Prescient Limited

JSE and ABSA Private Bank Showcase Presentation22 July 2015

Presented by: Herman Steyn (CEO)

July 2015

2

CONTENTS

� Business environment

� About Prescient

� Operational overview

� The year ahead

� Questions

� Appendices

3

Business Environment

4

BUSINESS ENVIRONMENT

Hidden opportunities in the challenges

� Worsening employment situation

� Poor service delivery

� Education crisis

� Weakening credit rating

� Increased regulatory burden

� Regulatory changes

– Retail distribution review

– Retirement reform

� BEE

� Cyber security

� World grappling with QE

� Increased tension around ISIS

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About Prescient

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WHO IS PRESCIENT� Well-established, entrepreneurial

– 1998– Founders still involved in the business– Staff are significant shareholders – Alignment of interests

� Diversified Financial Services and Information Mana gement Company

– Operate globally (SA, Africa, China, Australia, Ireland, Middle East, Jersey, London)

– Asset management (Retail and Institutional)– Information management services– Fund services and White labelling – Stock broking – Wealth management

� Innovative Offerings - Only Operate in areas where w e know we can add value to clients

– Differentiated approach - Asset management (philosophy)– Differentiated products - Energy Fund, Hedge fund administration, Information

management services, – Growth markets – Africa and China

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GROUP ORGANOGRAMF

INA

NC

IAL

SE

RV

ICE

S

Prescient Investment Management

EMHPrescient Investment Management

Prescient Securities

Prescient Wealth Management

Prescient Fund Services

Prescient Management Company

Prescient Life

Prescient Property Investment Management

Stadia Capital

Greenfields Institute of Business

INF

OR

MA

TIO

N M

AN

AG

EM

EN

T S

ER

VIC

ES

Stricklands Tetra Cape

PBT Infosight

PBT Technology Services (Cape Town)

PBT Technology Services

Bi-Blue Consulting

PBT Australia

Prescient Fund Services (Ireland)

Technique Business Intelligence Software (TBIS)

Cyberpro Consulting

8

Operational Overview

9

HIGHLIGHTS AS A 31 MARCH

� Current AUM in investment management – R65.5 billion (FY14: R59.1 billion)

� Current third party AUA in Fund Services business• South Africa – R48.6 billion

(FY14: R31.1 billion)• Ireland – €1.1 billion

(FY14: €1.2 billion)

� Revenue increased to R835.8 million (+26%)

� Headline earnings per share of 7.54 cents (+15.4%)

� Total dividend declared for the year of 5.75 cents per share (+12.7%), interim dividend of 3.0 cents per share

� Prescient Holdings and subsidiaries – Level II contributor in terms of the DTI code

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� 16 Year track record

� Markets include South Africa, Africa, China,

Global Markets

� Investment philosophy - a differentiating

factor

� Assets under management of R65.5 billion

(FY14: R59.1 billion).

� Geographical split of AUM

� Average fee rate has increased from 0.23%

to 0.27%

Assets under management

PRESCIENT INVESTMENT MANAGEMENT

60 59

66

54

56

58

60

62

64

66

2013 2014 2015

Ra

nd

Bil

lio

ns

AUM

Millions

Africa 61.6

China 1 557.6

Developed Markets 4 430.8

Namibia 470.0

South Africa 58 991.2

Total AUM 65 511.2

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� Challenges

– Retail market penetration – Dispel the myth of active management vs. Prescient Investment Management

� Opportunities and Strategies for Growth

– Improved performance – underpin for earnings and distribution– First to market in China - significant earnings contributor in FY15, performance is actively

being monitored(Chinese markets)– Renewable Energy Fund – Africa Fund – Market catalysts : Retirement Reform and RDR – Improve distribution across institutional and retail markets (staffing)

PRESCIENT INVESTMENT MANAGEMENT

Assets under management – mandate ranking

AUM’ billions %

Cash 18.50 28.2%

Income 9.06 13.8%

Bonds 16.27 24.8%

Equity 1.17 1.8%

Balanced 0.95 1.4%

Positive Return 13.64 20.8%

TAA 1.76 2.7%

Global 4.03 6.1%

Property 0.13 0.2%

Total 65.51 100%

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CORE SOLUTION RANGE

IncomeProvider

Positive Return

Absolute Balanced

Equity

Targets a high income yield with stable capital values.

Targets sustainable real returns over time, while

actively managing downside risk (in foreign

currency for feeder funds).

Targets real returns through income and

capital gains with capital losses

possible over the shorter term.

Targets returns above general equity markets by investing in shares that offer value relative

to its price

Yield QuantPlus®

Yield QuantPlus®

Global Positive Return Feeder

Global Positive Return Feeder

China Balanced

Feeder

China Balanced

Feeder

Global Growth Feeder

Equity QuantEquity Quant

Africa EquityAfrica Equity

Equity IncomeEquity Income

Balanced

Targets real returns similar to the average balanced fund with no

explicit risk target.

GlobalBalancedStrategy Feeder

GlobalBalancedStrategy Feeder

Money MarketMoney Market

Bond QuantPlus®

Bond QuantPlus®

Global IncomeFeeder

Global IncomeFeeder

Equity Defender

Fund

Equity Defender

Fund

China Conservative

Feeder

China Conservative

Feeder

Expected Capital Volatility

Exp

ecte

d R

eal R

etu

rns

CORE SATELLITESATELLITEGLOBAL FEEDER FUNDS

GLOBAL FEEDER FUNDS

Global Income Fund ($)

Global Income Fund ($)

Global Positive

Return (Euro) Fund ($,€)

Global Positive

Return (Euro) Fund ($,€)

China Conservative

Fund ($, ¥)

China Conservative

Fund ($, ¥)China

Balanced Fund ($,¥)

China Balanced Fund ($,¥)

Global Growth Fund ($)

Global Growth Fund ($)

GLOBAL FUNDS

GLOBAL FUNDS

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PERFORMANCE

Period Performance as at 31 March 2015

3 Months 12 Months Benchmark

Fund BM Alpha Fund BM Alpha

Balanced Funds

Global Absolute Balanced 6.60% 2.00% 4.60% 16.70% 8.40% 8.30% CPI + 5%

Income Funds

Income Provider 2.60% 1.40% 1.20% 10.30% 5.90% 4.40% STeFI Call 110%

Equity Funds

Equity Fund (Was EAQ) 9.00% 6.90% 2.10% 19.80% 17.70% 2.10% SWIX

Equity Income 7.20% 2.70% 4.50% 20.90% 11.70% 9.20% FTSE/JSE Divi +

Positive Return Funds

Positive Return 2.90% 1.80% 1.10% 8.00% 7.40% 0.60% CPI + 4%

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PRESCIENT OFFSHORE RANGEE

xpec

ted

Rea

l Ret

urns

Expected Capital Volatility

Fund Type UCITS Registered Office 33 Sir John Rogerson’s QuayPricing Daily Dublin 2, IrelandInvestment Manager Prescient Investment Management Client Services 49 Upper Mount StreetCustodian BNY Mellon Trust Company Dublin 2, Ireland Administrator Stadia Fund Management Ltd Tel : 00 353 1 676 6959Auditors KPMG email : aidan@stadia.ie

Asset Class

Benchmark

GlobalIncome

Interest Bearing

90 day US TB

ChinaConser-vative

China CPI + 2%

Africa Equity

Nedbank 100 ex-SA

ChinaBalanced

China CPI + 3%

Global Positive Return (Euro)

Multi Asset

EU Harmonised CPI + 1%

Global Growth

Equity

MSCI World Index

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PERFORMANCE – OFFSHORE FUNDS

Period Performance as at 31 March 2015

3 Months 12 Months Benchmark

Fund BM Alpha Fund BM Alpha

International Funds

Global Income US$ 0.00% 0.00% 0.00% 1.50% 0.00% 1.50% USTB

Global PR (Euro) 4.10% 0.50% 3.60% 8.10% 0.60% 7.50% EURO Inflation

Global Growth US$ 0.30% 2.50% -2.10% -0.70% 5.20% -5.90% MSCI/Inflation

Africa Funds

Africa (Rand) -2.10% -1.30% -0.80% 7.20% 10.40% -3.20% MSCI Africa/Nedbank 100

Chinese Funds

China Balanced 27.00% -1.10% 28.10% 95.40% 2.70% 92.70% Chinese Inflation +3%

China Conservative 0.90% 0.20% 0.80% US Libor

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PRESCIENT FUND SERVICES (SA & IRELAND)

� Specialist outsourced administration and platform services to fund management market

� Significant growth in 3rd party AUA:– South Africa – R48.6 billion (FY14: R31.1 billion)– Ireland - €1.1 billion (FY14: €1.2 billion)Total local AUA - R138.6 billion

� Challenges and Opportunities– Investment in systems– Changing technology– Expand on offering – Hedge fund administration capability

(significant growth area)SA Hedge Fund Survey June 2014 (source: Novare)

� Hedge Fund assets surpass R50 billion, an increase of more than R10 billion from the previous year.

� Inflows into the hedge fund industry for the 12 months ending June 2014 exceeded R9.5 billion of which R654 million was allocated to new funds launched during 2014.

� 8 new funds were launched for the year ending June 2014

– Well positioned for growth in changing regulatory environment (outsourced models likely to gain momentum)

– Significant pipeline of clients – local and Ireland

South African assets under administration

9

13

194

5

8

3

13

22

-

10.00

20.00

30.00

40.00

50.00

60.00

2013 2014 2015

Ra

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Bil

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ns

Third party segregated

White label life portfolios

White label unit trusts

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PRESCIENT LIFE LIMITED

� Institutional : Offers a range of life-pooled portfolios managed by internal and third party managers with full administration services (AUM: R9.40 billion)

� Retail : Offers retirement annuities, preservation funds, umbrella funds, living annuities, endowment policies and tax-free savings accounts (AUM: R420 million)

� Net Flows: R2.27 billion

� Asset managers

– Third Party (AUM: R6.89 billion)

– Prescient Investment Management (AUM: R2.93 billion)

� Competitive advantages :

– Systems and reporting, strong regulatory knowledge and insights

� Focus

– “Seamless Transition” into annuity products in retirement

– Catalyst for growth: regulatory requirements

– Retail distribution0.00

2.00

4.00

6.00

8.00

10.00

12.00

2010 2011 2012 2013 2014 2015

Pol

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r Ass

ets

(Ran

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Policyholder AssetsPolicyholder Assets

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PRESCIENT SECURITIES

� Focus on institutional market

� Research and trade offering covers equity, derivatives and fixed income

� Differentiated by covering niche sectors/areas

� Consistent performance in FM rankings and Spire awards (refer to Appendix)

� Challenges and opportunities: Respond to downward pressure on brokerage rates by

strengthening research/trade offering across asset classes (a number of appointments

made recently)

� An independent private client wealth and portfolio management business

� Market responding well to Multi - asset portfolio offering

� Advisory business gaining momentum

� Challenges and opportunities: Strengthening team and developing distribution

channels and partnerships

PRESCIENT WEALTH MANAGEMENT

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INFORMATION MANAGEMENT SERVICES

� The PBT Group is a consulting company, specialising in data management, to SA,

MEA and Australian clients

� These professional services are conducted in, amongst others, the Financial

Services, Retail and Mobile Telecommunication sectors

� Successful track record in Africa and Middle East, operating since 2003

� Well established in Australia, operating since 2005

� Challenges and Opportunities

– Sizable debtors book but well managed

– Remunerated in foreign currency but salaries in ZAR

– Continued growing contribution to Prescient Group revenue and earnings

– 50% of earnings generated offshore to diversify earnings base

– Continued service delivery to clients in buoyant trading environment

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The Year Ahead

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THE YEAR AHEAD

� Focus on investment performance

� Positioned for growth

– Strong balance sheet

– Technology platform

– Appropriate solutions

� Maintain competitive positioning

� Specific focus areas:

– Retail

– Multi asset class performance

– Prescient Wealth

– Renewable energy

– Africa

� Maintain our entrepreneurial culture

� Diversification within companies

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THE YEAR AHEAD

� Challenges

– Regulatory burden

– Pressure to reduce costs of investment management services

– Dollar denominated costs for systems

– Conversion time for Prescient Wealth

– Pressure on revenue for Prescient Securities

– Funding growth?

� Earnings growth drivers

– Improved performance

– Growth of AUM / AUA

– Improved margins due to increase in retail flows

– High demand for information management services

– Growth of Prescient Fund Services (Ireland)

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Q&A

Regulatory Information

This presentation contains certain forward-looking statements. These forward-looking statements are based on current information and expectations, and

involve a number or risks and uncertainties. Although Prescient believes that the expectations reflected in such forward-looking statements are reasonable, noassurance can be given that such expectations will prove to have been correct. Actual results may differ materially from those projected in such statements dueto various factors, including but not limited to changes in economic and market conditions, changes in regulatory environment, fluctuations in security prices and

exchange rates, and business and operational risk management. Prescient is under no obligation to update these statements once it has been posted orreleased.

The information contained herein is provided for general information purposes only. This information does not constitute a solicitation, recommendation,guidance or proposal, and the service provided is not intended nor does it constitute financial, tax, legal, investment or other advice.

Whilst reasonable steps are taken to ensure the accuracy and integrity of information contained herein, Prescient accepts no liability or responsibilitywhatsoever if any information is, for whatever reason, incorrect. Prescient further accepts no responsibility for any loss or damage that may arise from relianceon information contained herein.

Unit trusts should be considered a medium- to long-term investment. The value of units may go down as well as up, and is therefore not guaranteed. Pastperformance is not necessarily an indication of future performance. Note that individual investor performance may differ as a result of the actual investment

date, the date of reinvestment of distributions and dividend withholding tax, where applicable. Where foreign securities are included in a fund it may be exposedto macroeconomic, settlement, political, tax, reporting or illiquidity risk factors that may be different to similar investments in the South African markets.Fluctuations or movements in exchange rates may cause the value of underlying investments to go up or down. Prescient Management Company (RF) (Pty)

Ltd is a Collective Investment Schemes Manager approved by the Financial Services Board in terms of the Collective Investment Schemes Control Act. UnitTrusts are traded at ruling prices set on every trading day. Unit trusts are allowed to engage in script lending and borrowing. Prescient is a full member of theAssociation for Savings & Investment SA (ASISA).

Business address:Prescient House, Westlake Business Park, Otto Close, Westlake, Cape Town, 7945Tel: 021 700 3600Fax: 021 700 3700

Thank You

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Appendices

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INDUSTRY RECOGNITION

� 2015 BATSETA Imbasa Yegolide Awards − Bond Manager of the Year− Responsible Investment Consultant / Service Provider of the Year− Nominated in Absolute Return Manager of the Year category− Nominated in Responsible Investment Manager of the Year category

� 2015 Raging Bull Awards– 27Four stable Prescient Fund of Funds– Best SA Multi-Asset Low Equity Fund– 27Four Balanced Prescient Fund of Funds– Best SA Multi-Asset Medium Equity Fund

� 2014 Morningstar– Nominated in Diversified Bond category– Nominated in Global Bond category

� Prescient Fund Services uses Eagle Investment Systems as its primary administration system. The business unit received an award from Eagle for innovative use of its software.

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INDUSTRY RECOGNITION

� The 2015 Financial Mail “Rating the Analysts (equit ies and derivatives) Awards”:– #1 – Innovative Research

– #1 – Electronic & Electrical Equipment

– #2 – Derivatives Research

– #2 – Derivatives Dealing

– #3 – Financial and Industrial Small & Medium Market Cap Companies

– #3 – Hotels, Travel & Leisure

– #3 – Risk Management

– #4 – Resources Small & Medium Market Cap Companies

– #6 – Computer Services

� The 2014 Spire Awards:– #1 – Best Agency Broker House (Roll-up award)

– #1 – Best Agency Broker – Bonds

– #1 – Best Agency Broker – Listed Interest Rare Derivatives

– #2 – Best Agency Broker – Listed FX Derivatives

– #2 – Best Research Team – Quantitative Research

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INDUSTRY RECOGNITION

� In 2014, EMHPrescient Investment Management was awarded Best Investment Management Company in Namibia as announced by leading financial magazine, World Finance.

� Prescient Wealth Management was shortlisted in the Africa Investor Advisor of the Year category for the Africa investor (Ai) Infrastructure Investment Awards 2015.

� In 2014, Prescient was recognised as being one of the top 100 most Gender Empowered Companies in South Africa. Top Women in Business and Government Media research revealed Prescient as an organisation encompassing gender empowerment at the very core of our business practices.

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REVENUE

281 277 274 287 354

204

378

482

-

100

200

300

400

500

600

700

800

900

2011 2012 2013 2014 2015

Ran

d M

illio

ns

Information Management Services

Financial Services

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PROFIT BEFORE TAX

133

118 113 108

130

25 44

56

-

20

40

60

80

100

120

140

160

180

200

2011 2012 2013 2014 2,015

Ra

nd

Mil

lio

ns

Information Management Services

Financial Services

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ANALYSIS OF SHAREHOLDERS

As at 31 March 2015

17%

7%

52%

2%

21%

2%

External BEE shareholding

BEE staff and management

Other staff and management

Non-executive directors and other relatedparties

Other

Treasury shares