Mutual Fund Monthly ReviewMutual Fund Industry Vital SignsStarting assets (May 31, 2012) $649.0 billion+ net sales $2.5 billion+/- estimated market effect $4.3 billion (0.7%)= Ending assets (June 30, 2012) $655.8 billion

Vitals Signs by Fund Category for June 2012

EquiSoft specializes in the design and development of digital business solutions primarily for the financial industry. For more information please contact: Jonathan Georges, CIM, FCSI , Vice President, Financial Products. T: 514.989.3141 X 201 | T: 888.989.3141 | Jonathan.Georges@equisoft.com | www.equisoft.com. ©2011 EquiSoft consulting and software solutions.

Did You Know?According to the Investment Executive’s 2012 Report Card on Banks and Credit Union’s, advisors at these firms are reporting significant declines in their assets under manage-ment (AUM). In fact, the average advisor has seen their AUMs drop from $49.5 million last year to $46.4 million in 2012. This decrease in book size has also been accompanied by a shift in product allocation. Mutual funds and high-interest accounts gained mostly at the expense of GICs and proprietary managed products.

June 2012 – Product Development Highlights Manulife Financial announced plans to merge 17 funds in October and November 2012. If approved by regulators and unit holders, the move will streamline the company’s fund roster and eliminate any remaining presence of AIC managers at Manulife. AIC was purchased by Manulife back in 2009.

Scotia Asset Management launched a suite of 8 corporate class funds. Five of the classes are based on the Scotia INNOVA Portfolios and three are based on stand-alone funds. The minimum initial investment for the corporate class version of the INNOVA Portfolios is $50,000 while the minimum for the stand-alone funds is $10,000.

BlackRock Investments announced that, effective July 1, the index tracked by iShares Broad Emerging Markets will change from the MSCI Emerging Markets Index to the FTSE RAFI Emerging Markets Index. The fund is a former Claymore ETF that was rebranded under the iShares name back in March 2012.

IA Clarington announced the hiring of David Taylor’s firm Taylor Asset Management to manage three new funds: IA Clarington Focused Canadian Equity Class, IA Clarington Focused Balanced and its corporate class equivalent, IA Clarington Focused Balanced Class. David Taylor is the former manager of Dynamic Value Fund of Canada, among others. The three new funds have provisions for performance fees of 10% of the returns that exceed the respective funds’ blended benchmarks. Source: Investment Executive Research

June 2012

Note: Asset growth figures can be affected by a change in the number of companies reporting to IFIC and by fund category changes.

Source: IFIC except for Performance where the source is Fundata.

Top 3 Categories Bottom 3 Categories

Asset Growth ($) Canadian Money Market: $6.124 billion Global Neutral Balanced: -$4.636 billion Cdn. Div. & Income Equity: $4.509 billion Global Equity Balanced: -$4.389 billion International Equity: $1.633 billion Global Fixed Income Balanced: -$2.133 billion

Asset Growth Miscellaneous – Other: 46.6% Global Fixed Income Balanced: -16.8%(as a % of starting assets) Canadian Money Market: 23.7% Global Equity Balanced: -14.8% Alternative Strategies: 23.0% U.S. Synthetic Money Market: -13.4%

Net Sales ($) Canadian Fixed Income: $1.257 billion Canadian Equity: -$317 million Cdn. Fixed Income Balanced: $637 million Canadian Equity Balanced: -$242 million Global Neutral Balanced: $564 million Cdn. Focused Small/Mid Cap Eq.: -$211 million

Net Sales Alternative Strategies: 23.7% U.S. Synthetic Money Market: -12.2%(as a % of starting assets) Miscellaneous – Other: 10.7% Cdn. Focused Small/Mid Cap Equity: -8.8% Cdn. Long Term Fixed Income: 4.0% Japanese Equity: -7.6%

Performance Health Care Equity: 5.1% Natural Resources Equity: -1.8%(Fund category averages) European Equity: 4.6% Alternative Strategies: -1.5% International Equity: 4.3% Retail Venture Capital: -1.5%

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CONSULTING AND SOFTWARE SOLUTIONS

EquiSoft specializes in the design and development of digital business solutions for the fi nancial industry.Each month this space features an EquiSoft product or service that exemplifi es our commitment to the fi nancial industry. This month’s edition highlights our streamlined Retirement Needs Analysis Calculator, available as a stand-alone tool or as part of EquiSoft’s fully integrated suite of web-based tools designed to manage every element of wealth.

Equisoft 's Retirement Needs Analysis CalculatorConsidering such variables as investor age, target retirement date, life expectancy, current and future incomes and expenses and retirement savings, EquiSoft’s Retirement Needs Analysis calculator projects future account values and incomes to determine if an investor can maintain their desired lifestyle throughout their retirement years.

With a clear projection of the investor’s current retirement plan, the alternate scenario sliders can be used to immediately assess the impact of changes to the current plan.

The current and alternate scenarios can be detailed in an industry-leading report generated in PDF format.

• Available as a stand-alone tool or as part of EquiSoft’s fully integrated suite of web-based tools designed to manage every element of wealth;

• Available in investor and fi nancial advisor versions;

• Confi gurable to refl ect different tax jurisdictions;

• Multi-lingual;

• Multiple projection views (assets and incomes);

• Alternate scenario sliders to imme-diately assess the impact of changes to the retirement plan;

• Industry-leading PDF report;

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Please do not hesitate to contact us for more information.Jonathan Georges, CIM, FCSI Vice-président, Produits fi nanciers / Vice President, Financial Products

EquiSoft CONSEILS ET SOLUTIONS INFORMATIQUES / CONSULTING AND SOFTWARE SOLUTIONS

T: 514.989.3141 X 201 | T: 888.989.3141 | F: 514.989.3140Jonathan.Georges@equisoft .com | www.equisoft .com

CONSULTING AND SOFTWARE SOLUTIONS

Please do not hesitate to contact us for more information.Jonathan Georges, CIM, FCSI Vice-président, Produits financiers / Vice President, Financial Products

EquiSoft CONSEILS ET SOLUTIONS INFORMATIQUES / CONSULTING AND SOFTWARE SOLUTIONS

T: 514.989.3141 X 201 | T: 888.989.3141 | F: 514.989.3140 Jonathan.Georges@equisoft.com | www.equisoft.com