LEVENDI THORNBRIDGE DEFINED RETURN FUND A Blueprint for Returns - PowerPoint PPT Presentation

LEVENDI THORNBRIDGE DEFINED RETURN FUND A Blueprint for Returns FOR PROFESSIONAL INVESTORS AND ADVISERS ONLY. NOT FOR DISTRIBUTION TO RETAIL INVESTORS.

DIS ISCLAIMER The contents of this document are communicated by, and the property of, Levendi Investment Management Limited (LIML). LIML is an appointed representative of Thornbridge Investment Management LLP, which is authorised and regulated by the Financial Conduct Authority (“FCA”) . The information and opinions contained in this document are subject to updating and verification and may be subject to amendment. No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained in this document by Levendi Investment Management Ltd or its directors. No liability is accepted by such persons for the accuracy or completeness of any information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained in this document. The information contained in this document is strictly confidential. The value of investments and any income generated may go down as well as up and is not guaranteed. Past performance is not necessarily a guide to future performance. SOURCE DATA: all data is sourced from Bloomberg PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 2 Management LLP which is authorised and regulated by the Financial Conduct Authority.

LEVENDI-IM PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 3 Management LLP which is authorised and regulated by the Financial Conduct Authority.

LEVENDI IN LE INVESTMENT MANAGEMENT (L (LIML) An investment advisory firm that advises on the use of structured investments and derivatives, particularly when incorporated into funds and portfolios. Based in the UK, with more than £600M of assets under advice, we offer a combination of investment expertise, quantitative assessment of risk and return and independent asset and portfolio valuations. LIML’s investment management team have extensive experience in Defined Return Investments: FRANK COPPLESTONE, MANAGING PARTNER Frank has 25 years experience in structured products and derivatives, having started his career at Credit Suisse Financial Products. He spent a decade working as an equity-derivatives trader at Bankers Trust and Commerzbank before moving to Deutsche Bank to build and manage the Quantitative Products Engineering businesses. In 2008 he joined Morgan Stanley to run Financial Engineering in EMEA and Americas and later became Global Head of the Retail Structured Products platform at Morgan Stanley. Prior to launching Levendi Investment Management, Frank was the Global Head of Equities (Structured Products) at Jefferies. Frank holds a Doctorate from Oxford University. DAVID STUFF, MANAGING PARTNER David has been involved in equity derivatives, equity structuring and the structured product market for over 25 years. Before launching Levendi Investment Management David worked at J.P. Morgan, Barclays and RBS. David has worked with and for retail product providers, discretionary managers and institutional investors. ART NOBLE, RESEARCH AND ANALYSIS Art is responsible for the product analysis. Art started to develop the model that the Fund uses to evaluate risk and return immediately after the March 2012 paper from the FCA. Prior to working on this Art was developing statistical arbitrage strategies and portfolio optimisation tools at Noble and Co. At J.P. Morgan Art was responsible for marketing derivative products and had a particular focus on hedge fund derivative solutions and asset and liability modelling. He was also responsible for building pricing models, risk management tools and value-at-risk techniques that became RiskMetrics. PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 4 Management LLP which is authorised and regulated by the Financial Conduct Authority.

ARCHITECTS OF F VALUE ANALYSIS PRICING MANAGEMENT STRUCTURING Analysis of investments Accurate and robust pricing The portfolio management We develop investments for using a proprietary capabilities means that we can process aims to maximise the Fund based on our consensus-based model of assess the competitiveness of the chance of achieving the analysis of expected returns estimates of capital market Issuer offerings and calculate target return and minimise for each market and returns. Results are analysed risk exposures to underlying the risks of drawdown incorporating the prevalent to answer the following: assets, interest rates, market pricing environment. The risk management volatilities, correlations and ▪ What returns can be overlay is used to control We combine our abilities to Issuer credit. reasonably expected? volatility on a day-to-day originate and evaluate basis. products with our ▪ What are the sensitivities proprietary analysis of risk and risks? and return when we identify investments for the Fund. PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 5 Management LLP which is authorised and regulated by the Financial Conduct Authority.

RE REALISED FU FUND PERFORMANCE 108% 106% 104% 102% 100% 98% Return 96% 94% 92% 90% 88% 86% 84% 82% Month Source; Levendi, Bloomberg Levendi Thornbridge UK Total Return Europe Total Return PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 6 Management LLP which is authorised and regulated by the Financial Conduct Authority.

COMPARISON WITH ITH OTH THER BENCHMARK ASSETS 108% 106% 104% 102% 100% Return 98% 96% 94% 92% 90% 88% Month Source: Levendi, Bloomberg Levendi Thornbridge Vanguard Life 40% Equity CBOE Put Index Peer Group Average EX Levendi PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 7 Management LLP which is authorised and regulated by the Financial Conduct Authority.

DOWNSIDE PROTECTION DO May 22 - June 25 August 9 - September 7 October 1 - December 24 0% • Levendi Fund aims to offer a degree of protection when markets fall. -2% • Fund has offered significant downside protection through both large market -4% corrections since launch • Defensive return when markets fall is a result Max Drawdown -6% of • Investment selection -8% • Choice of very defensive investments • Risk management overlay -10% -12% -14% Date Levendi Thornbridge UK Total Return Europe Total Return PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 8 Management LLP which is authorised and regulated by the Financial Conduct Authority.

RIS RISK RA RATING SCALE Fund volatility is calculated using process defined by regulators for the KIID and KID. This volatility can be used to illustrate the fund risk ranking using the Dynamic Planner and Defaqto risk scales. IMPORTANT NOTE; The Fund has not been risk rated by either Dynamic Planner or Defaqto. The nature of the fund means that neither risk rating agency can provide a risk rating. The analysis below is based on publicly available information about the volatility ranges that each firm uses to rate funds. However, we do not know how either firm calculates the volatility of a fund. PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 9 Management LLP which is authorised and regulated by the Financial Conduct Authority.

TARGET MARKET / / PORTFOLIO ALL LLOCATION TARGET MARKET PORTFOLIO ALLOCATION • Lower risk investors Defensive Equity • Looking for steady returns under a wide • High Correlation range of market conditions • Low exposure to equity markets • Prepared to accept some risk to capital Absolute Return • Prepared to accept some volatility of returns • Target LIBOR +6% returns • Medium to long term investment horizon Target Volatility • 10% maximum volatility Bond Substitute • High annual returns • Low volatility PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 10 Management LLP which is authorised and regulated by the Financial Conduct Authority.

PERFORMANCE RE RELATIVE TO SECTORS 1Y Performance to 2 April 2019 Levendi Thornbridge IA Flexible Investment IA UK All Companies IA Mixed Investment 20-60% Shares IA Europe Excluding UK IA Targeted Absolute Return -2.0% -1.0% 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% Universe Sector Position #Funds Percentile Quartile IA OEICS Mixed Investment 20-60% Shares 23 150 84% 1st IA OEICS Flexible Investment 30 144 79% 1st IA OEICS Targeted Absolute Return 5 106 95% 1st Source; performance for 1 year to 2 nd April 2019, www.trustnet.com PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 11 Management LLP which is authorised and regulated by the Financial Conduct Authority.

THE ASSETS PROFESSIONAL INVESTORS ONLY. Levendi Investment Management Limited is an appointed representative of Thornbridge Investment 4/2/2019 12 Management LLP which is authorised and regulated by the Financial Conduct Authority.