Chartwell Financial Services is a firm of ‘fee based’ independent financial advisers based in Altrincham, Cheshire. We have been providing bespoke financial solutions to both personal and corporate clients since 1992 As part of the Private Clients business Chartwell Wealth Management offers holistic financial planning advice on a fee charging basis. We manage a series of risk based investment portfolios on our own wrap which also permits our clients to hold legacy investments and deposits under pension and personal portfolio strategies

1. Chartwell Wealth Management
Our Investment Philosophy
& Principles of Portfolio Management

2. Chartwell Financial Services is a firm of
‘fee based’ independent financial
advisers based in Altrincham, Cheshire.
We have been providing bespoke
financial solutions to both personal and
corporate clients since 1992
As part of the Private Clients business
Chartwell Wealth Management offers
holistic financial planning advice on a fee
charging basis. We manage a series of risk
based investment portfolios on our own
wrap which also permits our clients to hold
legacy investments and deposits under
pension and personal portfolio strategies

3. Chartwell Wealth Management -
What is our Investment Philosophy?
Managing the level of risk you are
prepared to take
Active fund management
Reducing risk by asset diversification
Selecting funds with low investment
volatility
Cost reduction for your portfolio
Regular strategic & tactical fund
manager reviews
Regular client reviews to reassess risk
& investment needs

4. How easy is it to pick a winner?

5. A Simple Decision for a UK Investor?
Should I invest in shares?
1503 company shares registered in the UK 1
Should I invest in a retail fund and let the
experts manage my money?
6172 funds offered for sale in the UK 2
Source as at end of June 2011:
1 - Bloomberg 630 for FTSE All-Share and 873 for AIM All Share
2 - Lipper All Mutual Funds

6. Which asset class will be the winner this year?
Rank/%
Annual 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
return
Commodities Property Commodities Emg Mkts HY Bonds Emg Mkts Europe ex UK Emg Mkts Gilts Emg Mkts Emg Mkts
1 61.6% 7.1% 19.4% 40.5% 21.2% 50.5% 20.1% 37.4% 12.8% 56.1% 22.9%
Pacific ex Pacific ex Pacific ex
Property Corp Bonds Property HY Bonds Property Japan Property Cash
Japan Japan Japan
2 10.5% 6.6% 10.5% 39.5% 18.9% 41.0% 18.1% 5.7%
34.2% 52.0% 22.8%
Pacific ex UK Japan H Y Bonds Japan
Corp Bonds Cash Corp Bonds Emg Mkts Commodities Commodities
3 10.2% 5.1% 9.8%
Japan
32.7%
17.4% 40.4% 16.8% 30.4% 1.2% 46.4% 19.2%
Pacific ex Pacific ex
Gilts Gilts Gilt Europe ex UK Emg Mkts Europe ex UK Corp Bonds UK US
Japan
4 8.8% 3.1% 9.3% 29.7%
Japan
34.3% 16.3% 15.7% -3.6% 30.1% 17.9%
14.9%
Pacific ex US Commodities Commodities
Cash Hedge Cash Japan Europe ex UK World ex UK Hedge
5 6.0% 2.8% 3.9% 23.9% 13.8% 24.9%
Japan
16.1%
10.3% -13.2% 20.03% 17.68%
Pacific ex UK
Hedge Hedge UK Europe ex UK HY Bonds World ex UK World ex UK Europe ex UK UK
6 4.1%
Japan
1.6%
1.0% 20.9% 12.8% 24.1% 11.8% 9.7% -17.1% 19.3% 17.2%
Europe ex UK Emg Mkts HY Bonds World ex UK Commodities UK Hedge Cash Property World ex UK World ex UK
7 1.7% 0.2% -11.% 20.7% 9.4% 22.0% 10.3% 6.2% -18.2% 18.65% 15.8%
Pacific ex Hedge US
HY Bonds HY Bonds US Japan Property World ex UK UK Property
8 -1.9% -1.6%
Japan
-14.6%
15.3% 8.6% 18.8% 5.7% 5.3% -23.0% 18.6% 13.4%
US US Emg Mkts Hedge World ex UK US Cash Gilts Europe ex UK Property HY Bonds
9 -2.2% -9.8% -15.0% 11.6% 7.8% 16.9% 4.8% 5.3% -24.0% 14.4% 12.4%
World ex UK UK Japan Property Corp Bonds Corp Bonds US US HY Bonds Hedge Hedge
10 -4.1% -13.3% -18.8% 11.2% 6.9% 8.7% 1.2% 3.4% -25.0% 13.4% 8.92%%
UK World ex UK UK Commodities Hedge HY Bonds Corp Bonds Corp Bonds Commodities Corp Bonds Europe ex UK
11 -5.9% -14.0% -22.7% 8.6% 6.8% 5.3% 0.8% 1.9% -25.9% 12.7% 8.4%
Emg Mkts Europe ex UK Europe ex UK Corp Bonds Gilts Gilts Gilts HY Bonds UK Cash Corp Bonds
12 -25.1% 20.1% -27.0% 5.9% 6.6% 7.9% 0.7% -0.9% -29.9% 0.8% 7.3%
Pacific ex Pacific ex
Commodities World ex UK Cash Cash Hedge Japan Property Gilts Gilts
Japan
13 Japan
-25.3%
-30.1% -27.4% 3.6% 4.5% 7.4% -10.5% -5.5% -1.9% 6.5%
-33.5%
Japan Japan US Gilts US Cash Commodities Japan Emg Mkts Japan Cash
14 -29.6% -31.6% -29.9% 2.1% 3.1% 4.7% -25.5% -6.8% -35.2% -3.6% 0.7%
You cannot predict the future?
Source: Datastream and Morningstar (total return in Sterling) as at 06 January 2011.

7. Picking the Wrong Fund
Can Seriously Damage Your Wealth
The Difference Between the Best and Worst Fund Choice
With a £10,000 Investment Over a 5 Year Period
£18,000
£16,586 £16,636
£16,062
£16,000
£14,313
£14,000
£11,720
Global Equity
Property
UK Equity
£12,000
Bonds
£10,000
Cash
£8,000
£7,411
£6,000
£6,507 £6,571
£4,000 £5,020 £4,974
£2,000
£0
Sectors: Bond GBP, Equity Global, Equity UK, Money Market GBP, Real Estate UK. Source: Lipper (UK Funds), 5 years to 30 th September 2012. All amounts
are net of fees. This material is presented for illustrative purposes only

8. Investor Psychology

9. Buying High and Selling Low?
Greed and fear: why clients need help
Net retail investments in equity funds by UK investors vs. FTSE 100 Index 1992 - 2008
1,600 8,000
1,400 7,000
1,200 6,000
1,000 5,000
FTSE 100 Index (GBP)
Cash flow (GBPm)
800 4,000
600 3,000
400 2,000
200 1,000
0 0
-200 -1,000
-400 -2,000
1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Monthly net retail cash flow to equity products in the UK (GBPm) FTSE 100 Index (GBP)
Source: IMA, MSCI. Monthly cash flow data shown reflects 6-month moving average. Past performance is not a guide to future performance.
9
1
V908

10. Market Timing - would that work?

11. Missing the best days can harm performance
Annualised returns of the FTSE All Share £10,000
average over 15 Years invested
Fully Invested 8.68% £34,869
Best 10 days missed 5.70% £22,961
Best 20 days missed 3.42% £16,559
Best 30 days missed 1.44% £12,394
Best 40 days missed -0.36% £9,468
Source: Datastream as at 02/04/10, Basis: total return in GBP, FTSE All Share annualised returns 01/04/95 to 01/04/10
It is time in the market not ‘timing’ the market that is key to investing
11

12. Long Term Investing between 1950 – 2010
Investment of £100 in 1950: Value 2010
UK Building Society Index - £1,560
(Income Reinvested)
Retail Prices Index - £2,680
Barclays Gilt Index - £6,146
(Income Reinvested)
Barclays Equity Index - £117,500
(Dividends Reinvested)
Source – Scottish Widows – UK Financial History 1950-2010 - SW55063
03/11

13. How do Chartwell achieve stability
for your investment portfolio?

14. Principles of Portfolio Management
A well constructed multi-manager mix is
superior to single strategies
Well constructed multi-asset strategy mixes
diverse drivers of return
Seek returns where the opportunity for
active management is greatest
Portfolio risk management must be an
active process
Portfolio Managers should be proactively
involved in the manager research process
Careful implementation pays off

16. What happens next?
We analyze the risk you are prepared to take
with your money
We operate 5 risk graded actively managed
portfolios on behalf of our clients

17. Risk Graded Portfolios Secure Conservative Balanced Adventurous Aggressive
% holding 2 3 4 5 6
UK Growth Assets 3 7 11 16 19
International Growth
6 18 30 41 54.5
Assets
Real Assets 5 8 11 14 17
Defensive Assets 86 67 48 29 9.5
Source: Morningstar as at 30 September 2012 – returns % (GBP) Based on C class share
returns. Inception date – 31st January 2010

18. Balanced Portfolio construction
Fund Portfolio Weight
UK Growth Assets
11.0%
International Growth Assets
30.0%
Real Assets
11.0%
Defensive Assets
48.0%
Asset Class Portfolio Weight
Equity 41.0%
Bonds 22.5%
Property 2.9%
Commodity & Infrastructure 6.1%
Absolute Return & Cash Plus 18.2%
Cash 9.4%

19. How well have the Chartwell
investment portfolios performed?

20. Portfolio 1mnth 3mnth 6mnth YTD 1 year 2 years Since
& Risk Grade Inception
Secure 2 0.5 2.7 2.7 4.9 6.6 5.4 11.7
Conservative 3 0.8 3.3 2.2 6.1 9.1 6.9 14.5
Balanced 4 1.0 3.8 1.6 7.3 11.7 8.2 17.0
Adventurous 5 1.2 4.4 1.1 8.4 14.2 9.5 19.4
Aggressive 6 1.5 5.0 0.4 9.6 16.9 10.6 21.5
Source: Morningstar as at 30 September 2012 – returns % (GBP) Based on C class
share returns. Inception date – 31st January 2010

21. Chartwell Wealth Management -
Regular Review Process
Chartwell Investment Management
Committee
Quarterly strategic review meetings
External compliance consultants attend
5 risk graded actively managed portfolios
All fund managers are reviewed
Asset allocation & standard deviation
reviews
Cost reduction for your portfolio
Strategic & tactical fund manager reviews

22. Our Contact Details
We look forward to Chartwell Wealth Management
hearing from you. Lindley Court
Scott Drive
Smarter solutions. Altrincham
Endless possibilities. Cheshire
WA15 8AB
T 0161 929 3500
F 0161 929 3501
E info@chartwellfs.com
W www.chartwellfs.com
Chartwell Professionals and Chartwell Wealth
Management are trading styles of Chartwell
Financial Services Limited who is Authorised &
Regulated by the Financial Services Authority.
Registered in England 02578206 .
Last Update December 2012