Baring Asset Management Limited 155 Bishopsgate, London EC2M 3XY Tel+44 (0) Fax+44 (0) Authorised and regulated by the Financial Services Authority Sales and Client Service Procedures Introduction George Harvey April 2012

1 Sales & Client Service Procedures Training Background The S&SC Procedures objective and target audience - Requirement for all S&CS staff to be aware of, and to be competent in, the practices detailed in the S&CS Procedures Guide To embed good S&CS procedures into daily tasks To ensure the effective management of all S&CS activities To mitigate Barings’ commercial and reputational risk To ensure the incorporation of procedural changes in respect of external regulation or internal best practice - All S&CS staff are expected to be know these procedures and there is a standard sign off endorsing this requirement in the PMR The S&CS Procedures and where they are located - A series of over 25 chapters which cover and support the Sales Process from end to end - Each chapter includes a description of the key tasks with clear ownership and accountability - High level flow charts are included to map out the inter-relationships and timings - Located on the Sales & Marketing / Sales / Policies and Procedures section of the intranet

2 Sales & Client Service Procedures Training Training Approach and Delivery Training requirement - To improve and maintain standards of internal competence and understanding - To increase risk mitigation in our external dealings - As proof for external (e.g. FSA) evidencing - To identify competency gaps and additional training requirements Approach - A series of multiple choice competency tests, based on all aspects of the S&CS Procedures Guide, split between Institutional and Retail - Competency testing completed by all staff on an annual basis during April every year - All S&CS staff to complete relevant competency tests – minimum 80% pass score to avoid re-sit - New staff to complete Induction phase and competency testing within 3 months of joining, then annual competency testing in line with remainder of S&CS staff

3 Sales and Client Service Procedures Training Modules for Completion Module One Module Two Module Three Module Four Module Five Module Six Module Seven Institutional Sales Institutional Client Service Retail Sales Retail Client Service This table identifies the Modules that will need to be completed by staff for each area:

4 Sales and Client Service Procedures Training Content overview and link to Sales Process Sales and Client Service Procedures Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting The S&CS procedures are designed to support the main tasks and responsibilities for Barings client facing staff as clients relationships are won, serviced and developed at Barings Located on the Intranet, they support the 3 main areas of responsibility: Sales, Client Service and Mutual Funds Distribution The Procedures follow the Sales Process (left) starting with Sales, Consultant Relations and Prospecting tasks, through Take On and into core CS activity Each chapter of the Guide has a description of the required task, clear ownership/accountability, and flow charts to illustrate inter-relationships and timings Module 1 Module 2 Module 3 Module 4 Module 5 Module 6 Module 7 Barings Intranet: Sales and Marketing / Sales / Policies and Procedures The procedures follow a logical order detailing tasks and responsibilities from Prospecting, through Sales and Finals Pitching and into Core Client Servicing procedures Each chapter has a clear description of ownership, responsibilities, timelines and dependencies

5 Sales and Client Service Procedures Training Sales Prospecting, RFP and Finals Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting Seminars / Industry Forums Beauty Parades Ratings: Short Lists / Long Lists / Buys Lists Monitoring Prospects / Prospect / Research Meetings Prospect Classification Suitability RFPs / RFIs Successful Pitches Fees / Legal Agreements Competency Test for Institutional Sales Competency Test for Retail Sales This module is for Institutional and Retail Sales only and covers the main procedures to identify, pitch to and capture new business opportunities. Key Checkpoints: RFP / RFI generation, prospect segmentation and preparation of successful pitches and finals

Client Take On New Client Profile Form AML ID Verification Ongoing Client Monitoring – AML Suspicion reporting Fees / Legal Agreements Competency Test for Institutional Sales and Client Service Competency Test for Retail Sales and Client Service Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting Sales and Client Service Procedures Training Client Take On This module is for all S&CS staff and covers the key operational and due diligence responsibilities included in pre-final work and in the take on of new clients. Key Checkpoints: Protocols around C6 checks, relevant Anti Money Laundering activities and preparation of Legal Agreements

Ongoing client monitoring and maintenance of client details (Avenue) Updating existing records; minimum standards and key fields to be completed Contacts, To-Do activities and Meeting records Creating new Avenue records Annual intermediary reviews Client Due Diligence Mandate / Benchmark changes Operations - inflows / outflows Complaints handling Client queries / Ad hoc requests Competency Test for Institutional Client Service Competency Test for Retail Client Service Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting Sales and Client Service Procedures Training Client Service Core Activities This module is for Institutional and Retail Client Service only and covers your responsibilities for Avenue set up and maintenance plus ad hoc queries and handling of complaints. Key Checkpoints: Core Client Servicing protocols to include managing in / out flows and dealing with changes in client arrangements.

Portfolio / Investment Review meetings Quarterly Investment Reviews Field Consultant / Intermediary meetings Quarterly Conference Calls (e.g. DAA) Ad hoc requests Reports and Valuations Competency Test for Institutional Client Service Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting Sales and Client Service Procedures Training Client Meetings and Formal Reporting This module is for Institutional only and covers ongoing formal reporting to clients and field consultants. Key Checkpoints: Preparation, execution and follow up requirements for regular investment reviews, quarterly conference calls and other external reporting responsibilities.

Annual Client Planning process Blue Sheet reviews Relationship development meetings Non Formal client meetings / Field Consultant meetings Competency Test for Institutional Client Service Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development and Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting Sales and Client Service Procedures Training Relationship Development and Planning This module is for Institutional only focusing on relationship development and the new / existing procedures to support this activity. Key Checkpoints: Bluesheet requirements, annual client planning meetings and the increased contact with field consultants / clients outside the normal cycle of Trustee meetings.

Formal Reporting overview Monthly Reporting – Institutional CS and Mutual Funds Quarterly Reporting (including S&CSC) RAG reporting Escalation of issues process Competency Test for Institutional Sales and Client Service Competency Test for Retail Sales and Client Service Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development and Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting Sales and Client Service Procedures Training S&CS Regular Formal Reporting This module is for all S&CS staff and covers internal reporting requirements and our commitment to keeping senior S&CS Management and the BAM Management Committee up to date with the status of the Institutional and Retail business channels. Key Checkpoints: Monthly and Quarterly S&CS meetings, the S&CS Committee meeting, the delivery of the RAG Report and how to escalate significant issues.

Global Distributor Profiles Data Maintenance Report production Distribution agreements Sophisticated product sales review Suspicious Transaction Reporting Client Profiling Annual Intermediary Reviews Client Due Diligence Fee Rebate Approval Process Competency Test for Retail Sales and Client Service Client Take On Procedures Sales Prospecting RFP and Finals Relationship Development and Planning Client Service Core Activity Sales and CS regular formal Reporting Mutual Fund Distribution TCF and GDPs Client Meetings and formal Reporting Sales and Client Service Procedures Training Mutual Fund Distribution, TCF and GDPs This module is for Retail only with the main focus being to support our key regulatory commitments and Barings ongoing commitment to TCF. Key Checkpoints: Sophisticated Product Reviews, Suspicious Transaction Reporting, Fee Rebate Approval and Global Distributor Profiles which are a key element in our MF distribution development.

12 Sales & Client Service Procedures Training Conclusion All S&CS staff to ensure that they are familiar with the S&CS Process New Users to commence review of S&CS Procedures Guide with immediate effect New Users will need to complete and pass relevant Competency Tests prior to sign off of Training Programme