“Piraeus Cyprus International Managed
             Risk Fund Ltd”
A unique fund domiciled in Cyprus which aims to shield c...
Who we are




FUND MANAGEMENT DEPARTMENT                2
PIRAEUS BANK CYPRUS
Piraeus Bank Group: Corporate Profile

                                    Latest Figures & Rating
                       ...
Piraeus Bank (Cyprus) Ltd
Strategic Objective
   The development of Cyprus as a financial centre for the region, providing...
Fund Management Department

 Offers discretionary management services
 Comprises professionals with wide range of experien...
Management Team

  A dynamic, motivated, capable team combining strong
  quantitative and qualitative capabilities.

     ...
Description of the Fund




FUND MANAGEMENT DEPARTMENT                             7
PIRAEUS BANK CYPRUS
Why the Managed Risk Strategy

  Current Market Conditions
      After the significant shocks experienced over the last tw...
Fact Sheet
                                          To optimize investment returns for a pre-set risk strategy through
  ...
Methodology and Strategy




 Pre-set Risk
                                 Invest              Monitor Risk             T...
International Managed Risk Fund Vs Capital Guaranteed Products
       Vs Fixed Deposit

                             Inter...
Results indicate a successful
                             investment strategy




FUND MANAGEMENT DEPARTMENT             ...
Back-Testing the investment strategy


                               99%      “A unique fund domiciled in
               ...
Real case: strategy tested in practice

    WIOF Global Strategy Risk 10% is a fund registered in Luxembourg and
    manag...
Summary

 A Managed Risk Strategy with the objective to:
     Limit risk within fixed pre-set boundaries.
     Benefit fro...
Contact Details
Fund Management Department
Piraeus Bank (Cyprus) Ltd

General email
cyfundmanagement@piraeusbank.com.cy


...
Disclaimer

This presentation is intended for information purposes only and is not an invitation to
subscribe for shares i...
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International Managed Risk Fund

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International Managed Risk Fund

  1. 1. “Piraeus Cyprus International Managed Risk Fund Ltd” A unique fund domiciled in Cyprus which aims to shield capital in volatile markets and to exploit the returns of rising markets
  2. 2. Who we are FUND MANAGEMENT DEPARTMENT 2 PIRAEUS BANK CYPRUS
  3. 3. Piraeus Bank Group: Corporate Profile Latest Figures & Rating Assets of €52,3 bn, 895 branches, 14,255 employees Loan portfolio of €38.3 bn, deposits & retail bonds at €31.4 bn Capital base €3.7 bn, CAD ratio of 10.3%, with Tier I ratio at 9.5% under Basle II Tangible Equity / Assets ratio at 5.9%, amongst the highest in Europe Ratings: Fitch BBB+ , Moody’s A2 The Piraeus Bank logo represents the front section of the ‘’trireme” (Greek: Trieres), renowned ancient battleship that appeared in the Greek seas Shareholders Structure, 31st Dec. ‘08 around 700 BC. Its name is derived from the three rows of Companies 18.0% Greek state oars on each side. It was designed to cover long distances 2.5% Treasury quickly under oar and sail and shares the design of the front part allowed it to ram enemy ships 3.8% Individual Investors 38% Foreign institutional Greek investors institutional 26.4% investors 11.3% FUND MANAGEMENT DEPARTMENT 3 PIRAEUS BANK CYPRUS
  4. 4. Piraeus Bank (Cyprus) Ltd Strategic Objective The development of Cyprus as a financial centre for the region, providing high level banking services, focusing in particular on all aspects of : Fund Management - Wealth Management Facilitation of investments in the European Union and the Middle East through Cyprus holding companies Creation of synergies among the economies of the region. Responsible for the development of Group operations in Russia, Egypt, US and the Middle East Main Activities in Cyprus Corporate Banking International Banking Services for non – Cypriots Asset Management & Trust / Custodian / Escrows Wealth Management Treasury Sales Investment Banking FUND MANAGEMENT DEPARTMENT 4 PIRAEUS BANK CYPRUS
  5. 5. Fund Management Department Offers discretionary management services Comprises professionals with wide range of experience in the field of fund management services Manages a number of third party mandates covering regional and worldwide markets Close cooperation with Piraeus Group fund management teams in Greece and Egypt FUND MANAGEMENT DEPARTMENT 5 PIRAEUS BANK CYPRUS
  6. 6. Management Team A dynamic, motivated, capable team combining strong quantitative and qualitative capabilities. Former Head of Asset Management Company with total Funds Under Management in excess of EUR250mil Marios Demetriades Fifteen years total experience CFA, ACA, BSc Extensive experience in the Cyprus, Greek and world markets Chief Investment Officer Managed the WIOF Greece – Cyprus Opportunities fund, the first ever Luxembourg fund to invest in these markets Six years experience in portfolio strategy and use of derivatives in portfolio Costas Mesaritis management (Watson Wyatt UK), advising mostly FTSE100 companies CAIA, BSc (LSE), Former head of portfolio management in an asset management company (Total Fund Manager FUM of USD100mil) Senior analyst with six years experience in equity, fixed income and derivatives Panayiotis Apseros research CFA, MSc, BSc Development of company valuation models and recommendation of securities to Senior Analyst Asset Managers FUND MANAGEMENT DEPARTMENT 6 PIRAEUS BANK CYPRUS
  7. 7. Description of the Fund FUND MANAGEMENT DEPARTMENT 7 PIRAEUS BANK CYPRUS
  8. 8. Why the Managed Risk Strategy Current Market Conditions After the significant shocks experienced over the last two years, the financial markets remain uncertain and volatility is likely to be high for the foreseeable future. Objective To develop a strategy that mitigates the high risk of volatile economic periods and simultaneously aims to exploit the rising markets. Our solution “Piraeus Cyprus International Managed Risk Fund” is an equity fund which aims to optimize investment returns for a pre-set risk strategy through the use of dynamic rebalancing methodologies. FUND MANAGEMENT DEPARTMENT 8 PIRAEUS BANK CYPRUS
  9. 9. Fact Sheet To optimize investment returns for a pre-set risk strategy through Investment Objective the use of dynamic rebalancing methodologies. Benchmark Absolute return fund that aims to achieve 8% per year. Initial Subscription Amount € 100,000 min Additional Subscription Amount € 10,000 min Frequency of Subscriptions /Redemptions Monthly Subscription /Redemption Fee 0% NAV calculation Monthly Management Fee 0.75% per year 20% of any increase in the Net Asset Value per share above the Incentive Fee Benchmark (High Water Mark) Investment Manager Piraeus Bank (Cyprus) Ltd Custodian Piraeus Bank (Cyprus) Ltd Auditors KPMG (Cyprus) Regulated by Central Bank of Cyprus A Company approved by the Central Bank of Cyprus as a Private International Variable Capital Company registered in Cyprus and Legal Structure acting as an International Collective Investment Scheme recognized under the International Collective Investment Scheme Law 47(1) / 1999 FUND MANAGEMENT DEPARTMENT 9 PIRAEUS BANK CYPRUS
  10. 10. Methodology and Strategy Pre-set Risk Invest Monitor Risk Take Action boundaries Adjustment of Establishment of exposure unit of risk to asset classes measurement Allocation of funds Monitoring of the limiting risk within & based on volatility measure of Risk the pre-set boundaries setting of upper and selection criteria on a daily basis and taking advantage and lower of the dynamics of level boundaries the market Bounded low risk strategy with optimized investment returns at all times. FUND MANAGEMENT DEPARTMENT 10 PIRAEUS BANK CYPRUS
  11. 11. International Managed Risk Fund Vs Capital Guaranteed Products Vs Fixed Deposit International Managed Risk Fund Capital Guaranteed Products Fixed Deposit Early redemption generally Large penalty fees in case of Early Redemption Fees No penalty fees allowed with penalty fees and exit before maturity loss of capital guarantee Monthly liquidity with no bid-offer Not very liquid and with large Liquidity No liquidity. Locked in for a spread bid-offer spread fixed period Attractive premium over deposit Cannot be negative but limited Potential Return Fixed at inception rates upside Fixed fee with performance related Generally fixed % irrespective of Fees No fees top-up subject to High Water Mark performance Flexible to the investor’s investment Flexible to the investor’s Duration 3 - 7 years horizon investment horizon Taxation on Capital Gain Non-Taxable Generally Non-Taxable N/A Conservative active management Capital locked in a strategy with that limits risk at relatively low levels, no active management thereafter aims to take advantage of rising which limit potential returns Investment Strategy markets and protects capital when N/A markets are falling FUND MANAGEMENT DEPARTMENT 11 PIRAEUS BANK CYPRUS
  12. 12. Results indicate a successful investment strategy FUND MANAGEMENT DEPARTMENT 12 PIRAEUS BANK CYPRUS
  13. 13. Back-Testing the investment strategy 99% “A unique fund domiciled in Cyprus that aims to shield the capital in volatile markets and to exploit rising markets” -13% Strategy was back-tested for 10 years (Dec 1999 to Dec 2010) and produced a return of 9.91% pa with volatility of 6.71% pa. The MSCI World index produced a return of -1.77% pa with volatility of 15.77% pa over the same period. FUND MANAGEMENT DEPARTMENT 13 PIRAEUS BANK CYPRUS
  14. 14. Real case: strategy tested in practice WIOF Global Strategy Risk 10% is a fund registered in Luxembourg and managed by Piraeus Bank (Cyprus) since October 2008. Utilizes a similar investment strategy and methodology as Piraeus Cyprus International Managed Risk Fund. Invests in global emerging markets and aims to achieve 8% pa with an average volatility of 10% pa. 21.1% 14.6% FUND MANAGEMENT DEPARTMENT 14 PIRAEUS BANK CYPRUS
  15. 15. Summary A Managed Risk Strategy with the objective to: Limit risk within fixed pre-set boundaries. Benefit from rising markets and protect capital in falling markets. Achieve higher returns than money-market instruments. Back-testing the strategy over the last ten years produces exceptional results: 9.9% annualised return; outperformed benchmark by more than 10% per year. Volatility less than 10% at all times, with annual average volatility of 6.7% per year. Summary of terms Regulated by the Central Bank of Cyprus. Minimum investment €100.000. Low administration and management fees. No entry or exit fees Monthly NAV valuations and subscriptions / redemptions. FUND MANAGEMENT DEPARTMENT 15 PIRAEUS BANK CYPRUS
  16. 16. Contact Details Fund Management Department Piraeus Bank (Cyprus) Ltd General email cyfundmanagement@piraeusbank.com.cy Marios Demetriades Marios.demetriades@piraeusbank.com.cy Tel: 00357 22575559 Mob: 0035799530688 Costas Mesaritis Costas.Mesaritis@piraeusbank.com.cy Tel: 00357 22575618 Panayiotis Apseros Tel: 00357 22575609 Panayiotis.Apseros@piraeusbank.com.cy FUND MANAGEMENT DEPARTMENT 16 PIRAEUS BANK CYPRUS
  17. 17. Disclaimer This presentation is intended for information purposes only and is not an invitation to subscribe for shares in the ICIS described herein. If choosing to buy the ICIS you should not rely solely on the information contained in this presentation. You should carefully read the prospectus and/or the terms and conditions relating to the ICIS. All material in the presentation is provided without express or implied warranties or representations of any kind and no liability is accepted. Opinions and comments therefore reflect current views of the author and are subject to change without notice. The investments herein may not be suitable for all recipients. Past performance is no guarantee of future results and no guarantee is implied. The price, value of, and income from any of the securities mentioned in this report can fall as well as rise. International investing includes risks related to political and economic uncertainties of foreign countries, as well as currency risk. Piraeus Bank (Cyprus) and/or its employees or associates may have or have had financial or other interests or positions in relevant securities. FUND MANAGEMENT DEPARTMENT 17 PIRAEUS BANK CYPRUS

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