Investor Education Summit 2018

Volatility’s return—A time to be offensive or defensive?

TAKING ACTION IN ESG

Amisha ParekhSenior Product Specialist, Sustainable Finance—Bloomberg

Priscilla Lu Head of Sustainable Investments—Asia Pacific

DWS and Bloomberg are not affiliated. The comments, opinions and estimates contained herein are based on or derived from publicly available information from sources that we believe to be reliable. We do not guarantee their accuracy. This material is for informational purposes only and sets forth our views of this date. The underlying assumptions and these views are subject to change without notice.

For Institutional Investor and Registered Representative use only. Not to be shared with the public.

Sustainable Investing Market

Amisha Parekh

I-061028-1

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Sustainable Investing Market

201620142012

Asia

North America

Europe

$1T$4T

$7T$10T

$9T

$11T

$12T

Sustainable Investing is a large and growing rapidly

Source: Global Sustainable Investing Alliance (GSIA)

$23TTotal AUM in

2016Growth in AUMfrom 2014-16

25%

SI encompasses multiple investing styles

Exclusionary Screens• Earliest approach to sustainable investing• Exclusion of sectors/companies based on

product impact (e.g., tobacco, guns, coal)

ESG Integration / Positive Screening

• Fastest growing style• Inclusion of ESG factors in analysis (e.g.,

carbon footprint, waste reduction, gender diversity) and corporate engagement

Thematic / Impact Investing

• Smaller, but growing• Investments in themes (e.g., Sustainable

Development Goals, clean energy)

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Growing emphasis on financial materiality

Sustainability AccountingStandards Board

The Sustainability AccountingStandards Board seeks to createindustry-specific standards to helpcompanies provide high-quality,comparable and decision-usefulinformation on ESG performancedata so that investors mayappropriately evaluate companieson their long-term strategies tomanage sustainability issues.Bloomberg has been a steadypartner since SASB’s founding in2011, providing crucial expertisefrom Bloomberg specialist andsignificant grant support throughBloomberg Philanthropies.

The FSB Task Force on Climate-relatedFinancial Disclosures

Established in 2015, the TCFD was asked to develop recommendations for more effective, voluntary climate-related disclosures that could promote more informed investment, credit, and insurance underwriting decisions. The TCFD developed four widely adoptable recommendations that are applicable to organizationsacross sectors (financial and nonfinancial) and jurisdictions. The four recommendations are focused on a company’s governance, strategy, risk management, and metrics and targets.

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Products to address investor demands

• Environmental, Social & Governance Data & Analytics• Green Bonds• Gender Equality Index• Bloomberg New Energy Finance (BNEF)• Bloomberg Intelligence

‒ Industry primers (e.g. Packaged Food)‒ Topic primers (e.g. SDGs)

• Bloomberg News‒ Sustainable Finance Brief

• ESG data feed that can be integrated into your internal systems and databases‒ Company reported data on 9,000+ companies‒ Bloomberg proprietary Gender Equality Index survey fields‒ CDP data

• Bloomberg ID allows combination with other datasets for custom use cases‒ Create your own score‒ Create your SDG aligned portfolio

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Increased investor sophistication and use of alternate data

ESG AROUND THE WORLD

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Source: 2016 Global Sustainable Investment Review (March 2017). For illustrative purpose only. Not a reference to any DWS Group investment strategy..

ESG INVESTING REACHED A US$22.89 TRILLION MARKET IN 201653% in Europe, 38% in U.S. with strong growth in Japan

GLOBAL ESG INVESTING GREW 25% OVER THE LAST 2 YEARS

Source: 2016 Global Sustainable Investment Review (March 2017).

GROWTH OF SRI ASSETS BY REGION 2012–2016 (USD TRILLION)

2012 2014 2016 2014–2016growth

Europe 8.76 10.77 12.04 12%United States 3.74 6.57 8.72 32.7%Canada 0.60 0.73 1.09 49%Australia/NZ 0.14 0.15 0.52 188.9%Asia ex Japan 0.04 0.05 460%Japan 0.007 0.474 6,690%Total 13.3 18.27 22.89 25.9%

ESG INVESTING BY REGION AND STYLE (USD trillion)Source: GSIA (March 2017). For comparability (to avoid the impact of changes in exchange rates), data is USD as of 31/12.2005.

FINDINGS FROM EUROSIF AND USSIF 2006 SURVEYSESG Trends:

_ U.S. ESG assets grew 33% from the start of 2014 to the start of 2016. ESG AuMin the U.S. now stands at USD8.72 trillion representing 20% of all assets under professional management

_ U.S. climate change funds grew 5x in the 12 months to the end of 2015 to reach USD1.42trn AuM

_ EU13 ESG assets grew by 12% from 2014 to 2016. The highest growth rate (but from a small base) was for sustainability themed and impact investing strategies

_ European exclusion strategies dominate with controversial conventional weapons making up 80% of exclusions

Source: Eurosif European SRI Study 2016 (November 2016); USSIF 2016 Report on U.S. Sustainable, Responsible and Impact Investing Trends (November 2016)

OPPORTUNITIES FOR INVESTMENTS IN ESG

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Source: DWS. For illustrative purpose only. Not a reference to any DWS Group investment strategy.

Natural resource conservation and regeneration

SustainableInvestments &

Financing

SustainableGovernment

Policies

SustainableInfrastructure

Assets

Green Enterprises

GLOBAL ENERGY CONSUMPTION

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Source : EnerData: Global Energy Statistical Yearbook 2018 (http://yearbook.enerdata.net)Past performance is not indicative of future performance.

0

5,000

10,000

15,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Europe CIS North America Latin America Asia Pacific Africa Middle East

MTOE (Millions Tons of Oil Equivalent)

TOP 4:_ China 3,105 Mtoe_ U.S. 2,201 Mtoe

_ India 934 Mtoe_ Russia 744 Mtoe

THE ASIA-PACIFIC REGION HAS BECOME THE LARGEST AND MOST IMPORTANT CLEAN ENERGY MARKET IN THE WORLD

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(a) This includes all asset classes and all clean energy sectors(b) Note: Total values include estimates for undisclosed deals. Includes corporate and government R&D, and spending for digital energy and energy storage projects (not reported in quarterly statistics). Source: Bloomberg New Energy Finance (2004-2017). As of January 2018.For illustrative purposes only

Total Annual New Investment in Clean Energy by Region($bn)(a)

$31bn $40bn $54bn$77bn $91bn $93bn

$128bn $141bn$109bn

$80bn $88bn $88bn $88bn $69bn$14bn$23bn

$44bn

$62bn$62bn $49bn

$67bn$83bn

$72bn

$62bn$75bn $78bn $69bn

$78bn

$17bn$25bn

$32bn

$43bn$53bn $65bn

$81bn

$100bn

$109bn

$126bn

$158bn$195bn

$168bn $187bn

$0

$50

$100

$150

$200

$250

$300

$350

$400

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

EMEA AMER APAC

3%

42%

48%

40%13% 0.5%

33%

17%-10%

-8%

20%12%

-10%

CHINA PLANS TO INVEST 3.5 TIMES MORE WIND AND 6 TIMES MORE SOLAR IN NEXT 5 YEARS

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China is reinforcing its commitments to clean energy. In the next five years, the EU risks being left further behind.

0

42

113

250

2005 2010 2015 2020

121%

0 1

43

160

0

50

100

150

200

2005 2010 2015 2020

272%

41

85

142

181

0

50

100

150

200

2005 2010 2015 2020

27%

Wind Capacity

SolarCapacity

2

30

100

120

0

50

100

150

2005 2010 2015 2020

20%

Source: European Commission; EWEA; IEA; E3G 17 March 2016 ; Xinhuanet; State Grid.No assurance can be given that any forecast or target will be achieved. For illustrative purposes only.

CHINA IS LEADING RENEWABLE GLOBAL ENERGY NETWORK

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Source: State Grid Corporation of China, 2011-02-07.For illustrative purposes only.

World leader in UHV transmission deployments

State Grid Corp of China (SGCC) has 18 UHV projects in operation; 8 AC and 10 DC UHV transmission lines(a)

SGCC currently has 4 UHV projects under construction; 3 AC and 1 DC HUV transmission lines(a)

Becoming defacto standards for UHVs – with extensive experience and proven deployed technologies

Vertical integration of technology suppliers reduces cost and accelerates adoption of state grid’s standard

Launching International initiatives to support rapid deployment of China’s UHV transmission lines cost effectively

China Invested US$43.8 billion in UHV from 2010 to 2015, and expect to invest another US$36.5 billion from 2016 to 2020(b)

Source:(a) State Grid Corporation of China, 2017 Corporate Social Responsibility Report.(b) State Grid Corporation of China.For illustrative purposes only. There is no assurance given that objectives will be met.

ONE BELT ONE ROAD: STRATEGIC INITIATIVE OF CHINA

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Source : Chart from Xinhuanet.com and Barclays research via Container News "Topic of the day: What is ‘China’s One Belt, One Road?”. As of April 17, 2016.

SCOPE AND OPPORTUNITY OF THE CORRIDOR

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Source : McKenzie Belt and Road Report 2017

Projects in BRI will be worth over US$350 Billion in 5 years

BRI consists of a land route (The Belt) and a sea route (The Road)

6 trade corridors

60+ countries in Asia, Middle East, Eastern Africa, and Eastern Europe

Will incorporate existing bilateral and multilateral agreements

69% World Population

51 % World GDP

WHO ARE THE PLAYERS TO DATE?

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Source : McKenzie Belt and Road Report 2017

WHO ARE THE MAJOR PLAYERS IN CHINA TO DATE?

Major SOEs : State Grid, China Communication Construction, China State Construction Engineering, Sinomach China Railroad Construction Corporation, China Railroad Group, CNPC

WHO ARE THE MAJOR FINANCIERS?

Asian Infrastructure Development Bank

(AIIB)Established in 2015 with USD 100 billion of initial total capital

New Development Bank

Established in 2014 by the BRIC countries

Financiers of Chinese Companies

Silk Road FundEstablished in 2014

with USD 40 billion of initial capital

Chinese policy banks

China Development Bank and the Export-Import Bank of China

Financiers of projects in BRI countries

OPPORTUNITIES IN INFRASTRUCTURE INVESTMENTS ALONG THE ROAD

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Source : McKenzie Belt and Road Report 2017

Belt & Road

Renewable Energy

Green Construction of Ports, Municipals

Efficient Organic Agriculture Waste Processing & Recycling PlantsWaste to Energy Systems

Water Purification & Waste Water Treatment Plants

HOW TO LEVERAGE THE GROWTH MOMENTUM FOR INTERNATIONAL BUSINESSES – STIMULUS PROGRAM

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Source: DWS. As of April 2018. For illustrative purposes only. No assurance can be given that investment objectives will be achieved.

Asset Manager

Financial Partners & Investors

PortfolioCompanies &

Partners

Asset Manager Investment Team Regional Expertise Financing Track

Record in Asian Infrastructure

Strong Corporate Relationships

Global Financial Relationship & Presence

The Fund (Asset Equity Investment and/or Debt) Investments in Sustainable Infrastructures Investments in Development of Infrastructure Assets

- Convertible Note- Bond- Debt- Option for Equity in Asset as well as

potentially development companies

Strategy & Opportunities Bridging Opportunities for International

Developers Expanding Markets into Belt & Road for

International Companies with Funding Creating Longer Term Partnerships locally for

further Expansion of GlobalTrade

Forming Local Partnership Presence

Expansion intoNew Markets

For International Corporations

OPPORTUNITY FOR INTERNATIONAL CORPORATIONS TO EXPAND WITH THE BELT & ROAD INITIATIVES

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Source: DWS. As of April 2018. For illustrative purposes only. No assurance can be given that investment objectives will be achieved.

The Fund

Financing

Selected Established Asian DeveloperCorporations Loans guaranteed by

Developer Co-investment with

Developer Variable price convertible

note correlated withperformance of the assets

Infrastructure Assets

Equity or Debt Fund

KEY FINDINGS

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Source: Bloomberg New Energy Finance, as of January 16, 2018

New investment in clean energy increased to $333.5 billion in 2017, up 3 percent and the second highest annual figure ever

Typical utility-scale photovoltaic systems were about 25% cheaper per megawatt in 2017 than 2015 yet global solar investment increased 18% year on year to $160.8 billion in 2017

China accounts for 40% in the global clean energy investment as a boom in solar pushed Chinese investment to a record $132.6 billion in 2017

US has the second largest investment in clean energy with $56.9 billion

Solar technologies were the biggest recipients of investment in 2017, but the biggest deals were in offshore wind. 13 Chinese offshore wind projects were financed with total capacity of 3.7GW, and an estimated investment of $10.8 billion.

RISKS RELATED TO INVESTMENTS IN THE CLEAN TECHNOLOGY INDUSTRY

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Uncertainty of the Clean Technology Market

The market for clean technology products is emerging and rapidly evolving, and its future success is uncertain. If clean technology proves unsuitable for widespread commercial deployment or if demand for clean technology products fails to develop sufficiently, the Portfolio Companies could be unable to generate enough revenue to achieve and sustain profitability. In addition, demand for clean technology products may not develop or may develop more slowly than anticipated. Many factors will influence the widespread adoption of clean technology and demand for clean technology products including the cost effectiveness, performance and reliability of clean technology and availability of government subsidies and incentives.

Resources

The performance of certain Portfolio Investments of the Fund may be substantially dependent upon prevailing prices of oil and natural gas. As energy derived from fossil fuels and other non-low carbon sources becomes more expensive, the value of low carbon energy and low carbon energy technology increases as well. Conversely, if new oil, coal or natural gas deposits or other non-low carbon sources are found, if the cost of producing energy from these non-low carbon sources decreases significantly for other reasons or if the prices of oil and natural gas falls, the attractiveness of low carbon energy sources may decrease, thus adversely affecting the rate of return of the Fund. Historically, the markets for oil and natural gas have been volatile and such markets are likely to continue to be volatile in the future. Prices for oil and natural gas are subject to wide fluctuations in response to relatively minor changes in the supply of and demand for oil and natural gas, market uncertainty and a variety of additional factors that are beyond the control of the Fund.

Decreased Demand for Energy as a consequence of the Global Economic Slowdown

Recent developments in the global financial markets have resulted in a slowdown in global economic activity and growth which has resulted in a decreased demand in energy resources. As the demand for energy decreases, the demand for both fossil based fuel sources and renewable sources of energy will decrease, impacting the profitability of renewable energy technologies and businesses and as a result the profitability of the Fund if it were to make investments in such technologies and businesses.

Environmental Regulation

Environmental laws, regulations and regulatory initiatives play a significant role in the clean technology industry and can have a substantial impact on investments in this industry. The Manager will seek to evaluate carefully the expected impact of environmental compliance on all potential Portfolio Investments. The Fund may invest in companies that are subject to changing and increasingly stringent environmental and health and safety laws, regulations and permit requirements. There can be no guarantee that all costs and risks regarding compliance with environmental laws and regulations can be identified. New and more stringent environmental and health and safety laws, regulations and permit requirements or stricter interpretations of current laws or regulations could impose substantial additional costs on the Portfolio Investments or potential Portfolio Investments. Compliance with such current or future environmental requirements does not ensure that the operations of the Portfolio Companies will not adversely affect the environment or the people or that such Portfolio Companies will not be required to incur additional unforeseen environmental expenditures. Moreover, failure to comply with any such requirements could have a material adverse effect on Portfolio Companies and there can be no assurance that Portfolio Companies will at all times comply with all applicable environmental laws, regulations and permit requirements. Past practices or future operations of such Portfolio Companies may also result in personal injury or property damage claims.

Under certain circumstances, environmental authorities and other parties may seek to impose personal liabilities on the limited partners of a partnership (such as the Fund) subject to environmental liability.

Reduction of Governmental Support for Clean TechnologyClean technology projects often enjoy wide support from national, state and local governments and regulatory agencies designed to finance development of clean technology, such as tax credits, various low carbon portfolio standard requirements, low carbon energy credits and utility programs, such as system benefits charge and customer choice programs. The combined effect of these programs is to subsidize in part the development, ownership and operation of clean technology projects, particularly in an environment where the low cost of fossil fuel may otherwise make the cost of producing energy from low carbon sources uneconomic. Any reduction in or elimination of these programs may have an adverse effect on development of clean energy resources and the Fund's Portfolio Investments.

IMPORTANT INFORMATION (CONTINUED)

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For investors in the United States:

None of the shares of this Proposed fund have been or will be registered under the U.S. Securities Act of 1933, as amended (the “1933 Act”) or the securities laws of any U.S. state. Such shares may only be offered or sold directly or indirectly in the United States or to any U.S. person in reliance on exemptions from the 1933 Act and such laws. In addition, this Fund has not been and will not be registered as an investment company under the U.S. Investment Company Act of 1940, as amended.

For investors in Canada:

No securities commission or similar authority in Canada has reviewed or in any way passed upon this document or the merits of the securities described herein and any representation to the contrary is an offence. There are risks associated with an investment in the Fund. The materials provided herein are submitted on a confidential basis for use by a limited number of qualified purchasers solely in connection with the consideration of the purchase of these securities on a "private placement" basis and only in those jurisdictions to whom they may be lawfully offered for sale, and therein only by persons permitted to sell such securities. The securities described herein may only be transferred in accordance with resale restrictions under applicable securities laws and investors are advised to seek legal advice for the resale restrictions applicable to them. Information contained herein is qualified in its entirety by the Memorandum and investors are advised to refer to such Memorandum. These materials are not, and under no circumstances to be construed as, an advertisement or a public offering of the securities described herein. These materials may not be reproduced in whole or in part and its use for any purpose other than to evaluate an investment in the securities described herein is prohibited.

Upon receipt of this document, each Canadian investor hereby confirms that it has expressly requested that all documents evidencing or relating in any way to the sale of the securities described herein (including for greater certainty any purchase confirmation or any notice) be drawn up in the English language only.

Par la réception de ce document, chaque investisseur canadien confirme par les présentes qu'il a expressément exigé que tous les documents faisant foi ou se rapportant de quelque manière que ce soit à la vente des valeurs mobilières décrites aux présentes (incluant, pour plus de certitude, toute confirmation d'achat ou tout avis) soient rédigés en anglais seulement.

IMPORTANT INFORMATION

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The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries, such as DWS Distributors, Inc., which offers investment products, or DWS Investment ManagementAmericas Inc. and RREEF America L.L.C., which offer advisory services.

A decision to invest should only be made after reading the final offering documentation and conducting in-depth and independent due diligence. No guarantee can be given that the fund referencewill be realized at all or as presented herein.

For purposes of ERISA and the Department of Labor’s fiduciary rule, we are relying on the sophisticated fiduciary exception in marketing our services and products, and nothing herein is intended as fiduciary or impartial investment advice unless it is provided under an existing mandate.

Any reference to “DWS”, “Deutsche Asset Management” or “Deutsche AM” shall, unless otherwise required by the context, be understood as a reference to asset management activities conducted by DWS Group GmbH & Co. KGaA and/or any of its affiliates Clients will be provided DWS products or services by one or more legal entities that will be identified to clients pursuant to the contracts, agreements, offering materials or other documentation relevant to such products or services. DWS’s real estate business is part of the Alternatives platform. In the U.S., DWS relates to the asset management activities of RREEF America L.L.C.; in Germany: RREEF Investment GmbH, RREEF Management GmbH, and RREEF Spezial Invest GmbH; in Japan: Deutsche Securities Inc. (For DSI, financial advisory (not investment advisory) and distribution services only); in Hong Kong: Deutsche Bank Aktiengesellschaft, Hong Kong Branch (for direct real estate business), and Deutsche Asset Management (Hong Kong) Limited (for real estate securities business); in Singapore: Deutsche Asset Management (Asia) Limited (Company Reg. No. 198701485N); in the United Kingdom: Deutsche Alternative Asset Management (UK) Limited, Deutsche Alternative Asset Management (Global) Limited and Deutsche Asset Management (UK) Limited; and in Denmark, Finland, Norway and Sweden: DWS Group; in Australia: Deutsche Investments Australia Limited (ABN 52 074 599 401) an Australian financial services license holder.

This material was prepared without regard to the specific objectives, financial situation or needs of any particular person who may receive it. It is intended for informational purposes only and it isnot intended that it be relied on to make any investment decision. It does not constitute investment advice or a recommendation or an offer or solicitation and is not the basis for any contract topurchase or sell any security or other instrument, or for DWS Group or its affiliates to enter into or arrange any type of transaction as a consequence of any information contained herein. NeitherDWS Group nor any of its affiliates, gives any warranty as to the accuracy, reliability or completeness of information which is contained in this document.

Investors must rely upon their own examination of the terms of the investments, and upon their own representatives and professional advisors, including legal counsel, accountants, and taxadvisors as to the accounting and tax treatment of such investment, suitability of such investment, and the legal and other aspects of such investments.Certain information in this Overview constitutes forward-looking statements. Due to various risks, uncertainties and assumptions made in our analysis, actual events or results or the actualperformance of the markets covered by this Overview may differ materially from those described. The information herein reflects our current views only, are subject to change, and are not intendedto be promissory or relied upon by prospective investors. There can be no certainty that events will turn out as we have opined herein.

© 2018 DWS GROUP GMBH & CO. KGaA. All rights reserved. I-060826-1 (09/2018)