Strategic Acquisition of Colonial First State Global

October 31, 2018

This document contains forward-looking statements in regard to forecasts, targets and plans of our group and Colonial First State Global Asset Management (“CFSGAM”), which is a group of subsidiaries of (“CBA”). These forward-looking statements are based on information currently available for us and are stated here on the basis of the outlook at the time that this document was produced. In addition, in producing these statements certain assumptions (premises) have been utilized. These statements and assumptions (premises) are subjective and may prove to be incorrect and may not be realized in the future. Underlying such circumstances are a large number of risks and uncertainties. Please see other financial disclosure and public filings made or will be made by our group, including the latest kessan tanshin, financial reports, Japanese securities reports, Integrated reports and annual reports, and other financial disclosure and public filings made or will be made by CBA, including the latest financial results and annual report, for additional information regarding such risks and uncertainties. We have no obligation or intent to update any forward-looking statements contained in this document.

In addition, information on companies and other entities outside our group and CFSGAM that is recorded in this document has been obtained from publicly available information and other sources. The accuracy and appropriateness of such information has not been verified by us and cannot be guaranteed.

In this document, unless otherwise stated, the financial information regarding us was prepared in accordance with Japanese GAAP (which includes Japanese managerial accounting standards), and the financial information regarding CFSGAM was prepared in accordance with Australian GAAP. This document is being released by us outside of the United States and is not targeted at persons located in the United States.

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1.1 1.1 Contents

2.1 2.1

3.1 3.1 3.7 1. Executive Summary 4 3.7 4.4 4.4 2. Trends in Asset Management Industry and MUFG's Strategy 5

3. Transaction Overview 11

4. Overview & Vision with CFSGAM 13

5. Strategic Rationale of CFSGAM Acquisition 21 10.5 10.5 11.3 Appendix 26 11.3

12.6 12.6

18.7 18.7 19.3 19.3 3

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1.1 1.1 1. Executive Summary

2.1 2.1

3.1 3.1 3.7  Mitsubishi UFJ Financial Group, Inc.’s (“MUFG”) trust banking entity, Mitsubishi UFJ Trust and 3.7 4.4 Banking Corporation (“the Trust Bank”) has announced a strategic investment to acquire 100% 4.4 of the shares in major subsidiaries (“CFSGAM”) which represent the global asset management (“AM”) business of Colonial First State Global Asset Management group (“CFSGAM group”), headquartered in Australia

 Share sale deed has been signed between the Trust Bank and Commonwealth Bank of Australia (“CBA”), the Australian parent of CFSGAM group, to acquire 100% of CFSGAM

 CFSGAM is a global AM company with (“AuM”) of approximately A$210bn*1. CFSGAM comprises operations across Australia, , Europe and US, offering 10.5 10.5 products across equities, fixed income and alternatives. It has global specialist capabilities in 11.3 Emerging Markets, Asian markets, Fixed Income, Alternatives (property and infrastructure) and 11.3 systematic equities 12.6 12.6  This is an extremely important transaction with strategic significance for MUFG to: (i) acquire a global, competitive asset management operation with specialist capabilities; (ii) capture the growth of the asset management industry in Australia, which is a relatively high-growth developed market; and (iii) become the largest asset manager in the Asia/ region

18.7 18.7 19.3 *1 End Dec 2017 19.3 4

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1.1 1.1

2.1 2.1

3.1 3.1 3.7 3.7

4.4 4.4

2. Trends in Asset Management Industry and MUFG's Strategy

10.5 10.5

11.3 11.3

12.6 12.6

18.7 18.7 19.3 19.3 5

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1.1 1.1 Continuing Growth in the Asset Management Industry

2.1 2.1

3.1  The global trend of increasing AuM is expected to continue 3.1 3.7 3.7  In Asian and emerging countries, strong future growth is supported by robust economic development 4.4 4.4  Within developed markets, Australia’s growth rate is superior driven by its Superannuation*1 system

Forecast of AuM by region (US$tn) Europe 31.2 52.4 23.3 US 41.4 CAGR*3 3 6% CAGR* 5% Japan 6.0 2016 2021E 4.5 10.5 Asia ex-Japan 10.5 7.9 CAGR*3 2016 2021E 11.3 6% 11.3 4.3

2016 2021E 12.6 12.6 2016 2021E Others CAGR*3 *2 (incl. emerging markets) 13% Australia Total 106.3 6.0 2.8 4.1 79.3 1.8 CAGR*3 6%

2016 2021E 2016 2021E CAGR*3 CAGR*3 8% 9% 2016 2021E

18.7 (Source) The Cerulli Report: Global Markets 2017 18.7 *1 DC pension system with compulsory participation by employers 19.3 *2 Canada, Latin America, etc 19.3 *3 Compound Annual Growth Rate 6

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1.1 1.1 Polarized Client Needs

2.1 2.1

3.1  A bipolarized tendency is seen in AuM trends: while active core funds lose market share, low-fee passive 3.1 3.7 products and “characteristic active products” such as alternatives*1 and active specialty funds*2 are expanding 3.7 4.4 4.4 Global AuM split by product (US$tn) CAGR (2017-2022) Total 31 39 79 109 AuM Total 100% 7%

48% Alternatives/Active 80% 38 48% 50% specialty funds etc*3 38 50%55 8% 10.5 55 10.5

60% 11.3 11.3

12.6 Active core 12.6 40% 33%33% 27% 2% 26 26 27%29 29

20% Passive/ 23% 20% Smart β 20% 23%25 16 16 25 9% 0% 2003 2008 2017 2022E

Passive/Smart β Active core Alternative/Active specially funds etc

(Source) Boston Consulting Group: Global Asset Management 2018 18.7 *1 Alternatives: include infrastructure and real estate assets, funds 18.7 *2 Active specialty funds: include distinctive active funds that focus on specific regions or size of assets 19.3 *3 Alternatives/Active specialty funds: include “Alternatives”, “Active specialty funds” and “Specialties” (liability-driven, target-dated, global asset allocation) 19.3 7

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1.1 1.1 Overview of the Current MUFG AM Business

2.1 2.1 1 3.1  Being one of the largest asset manager in Japan, MUFG has competitive strengths especially in the 3.1 3.7 management of Japan-related assets 3.7 4.4 4.4 Overview of MUFG’s AM business MUFG’s domestic market share  One of the leading asset managers in Japan, with AuM of ¥72.5tn Corporate pension: ¥70,703.9bn *2, 3  Long history as an integrated asset manager in Japan 1.1 Commenced managing Japanese pension fund’s assets concurrently with the start of the Japanese pension scheme (in 1962) SMTH 2.2 Mitsubishi UFJ Kokusai AM has its origin to Japan’s oldest Others 23% company (Established in 1959) 33%  Establishment of the first quant-specialized technology institute in Japan (Mitsubishi UFJ Trust Investment TEChnology Institute (MTEC), MUFG Nippon 23% established in 1988) Life Mizuho 10.5  High ROE of Asset Management & Investor Services Business 10% Trust 10.5 (FY2017A: 23%*1) 11% 11.3 11.3 MUFG’s AuM by entity*2 fund: ¥96,945.8bn*2, 5 12.6 12.6 Mitsubishi UFJ AM (UK) Others *4 1% MU 15% Nomura Investments AM 2% the Others 25% Mitsubishi UFJ Total AuM Trust 39% Bank Kokusai AM Daiwa ¥72.5tn 63% 19% AM Nikko 15% MUFG AM 9% 12%

(Source) Newsletter on P&I, The Investment Trusts Association, Japan *4 Includes investee and partners as well as MUFG AM subsidiaries *1 Excludes the impacts of investment related accounting factors (amortization of goodwill, etc.) *5 Publically offered investment trusts 18.7 *2 End of Mar 2018 18.7 *3 Pension administration (based on book value) 19.3 19.3 8

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1.1 1.1 MUFG is Building Greater AM Operations and Wider Client Base

2.1 2.1

3.1  MUFG aims to become a truly global asset manager by: 3.1 3.7 3.7 ① Securing a variety of unique and competitive asset management operations, and 4.4 4.4 ② Expanding its client base on a global basis

AuM CAGR

(2017-2022) AM product functions

Greater Greater varietyof Private Equity functions product

7% Alternatives Real Estate Building a Global Infrastructure Asset Manager

10.5 10.5

Emerging Equity

11.3 Active 11.3 6% Asia Equity specialty 12.6 Single-Country 12.6 Equity Current 2% Active core status Expansion of client base into high-growth regions Passive/ 9% Smart β Client Japan Asia/Oceania US and Europe base 6% 12% 5% AuM CAGR (2016-2021) 18.7 (Source) The Cerulli Report: Global Markets 2017, Boston Consulting Group: Global Asset Management 2018 18.7 19.3 19.3 9

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1.1 1.1 MUFG is Aiming to Become a Hybrid AM Business Model

2.1 2.1

3.1  MUFG aims to develop a hybrid-type operational model, in which domestic business is conducted under one 3.1 3.7 “MUFG” brand, and a multi-boutique type strategy is adopted for acquired overseas operations 3.7 4.4 4.4 Operational models of AM companies bringing several AM entities under control

A: One-Brand B: Multi-boutique C: Hybrid

Operation under one brand Various boutiques One-Brand in domestic market, Acquired AMs to be integrated to Maintain independent brand and and utilize multi-boutique existing operation company operation operation overseas

三菱UFJアセット・ 10.5 AM Company Holding company Domestic Overseas 10.5 マネジメント（ ） Integrated management/brand Provide the following resources to One-Brand Multi-Boutique UK 11.3 group AM companies: 11.3 Corporate Center ・ Distribution channel the Trust Bank AM① AM② ・ Middle/back office functions, etc Mitsubishi UFJ Middle Kokusai AM 12.6 Model Sales Asset ・・・ 12.6 Management Back ・・・ MU Investments Mitsubishi UFJ Asset ③ ・・・ Management (UK) AM Disassembly/integration AM① AM② AM③

To be affiliated with a Acquired Acquired Middle AM AM Sales Asset holding company with the Management Back ・・・ Acquired brand and management, AM etc. maintained Corporate Center Acquired AM

18.7 18.7 19.3 19.3 10

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1.1 1.1

2.1 2.1

3.1 3.1 3.7 3.7

4.4 4.4

3. Transaction Overview

10.5 10.5

11.3 11.3

12.6 12.6

18.7 18.7 19.3 19.3 11

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1.1 1.1 Transaction Overview

2.1 2.1

3.1 Transaction overview 3.1 3.7 3.7

4.4 4.4

 Through this transaction, the Trust Bank MUFG CBA will acquire 100% of the shares in nine major subsidiaries of CFSGAM Group 100% 100% CFSGAM Outline from CFSGAM Holding Company the Trust Bank Holding Company  As a result of this acquisition, the target entities will become wholly-owned Target Major subsidiaries*1 of MUFG Acquisition of Subsidiaries 100% stake

10.5 10.5

11.3  Total acquisition value: approx. A$4.0bn (approx. ¥328.0bn*2) 11.3 Acquisition  Valued at 12.4x the EBITDA (actual) of CFSGAM Group for FY18/6 12.6 value 12.6  Fully financed from MUFG’s own funds, without any dilutive financing

 End of Oct 2018 Signing of share sale deed

Schedule  Mid-2019 Closing of the transaction (subject to approvals from relevant authorities and fulfillment of terms and conditions)

18.7 *1 Including holding through an intermediate holding company 18.7 *2 A$1= ¥82 19.3 19.3 12

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1.1 1.1

2.1 2.1

3.1 3.1 3.7 3.7

4.4 4.4

4. Overview & Vision with CFSGAM

10.5 10.5

11.3 11.3

12.6 12.6

18.7 18.7 19.3 19.3 13

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Edinburgh London Frankfurt NY Paris Louisville Hong Kong Singapore

Melbourne Sydney

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1.1 1.1 Overview of CFSGAM

2.1 2.1

3.1  CFSGAM is a global AM company with AuM of approximately A$210bn. CFSGAM comprises operations across Australia, Asia, 3.1 3.7 Europe and US, offering products across equities, fixed income and alternatives. It has global specialist capabilities in Emerging 3.7 Markets, Asian markets, Alternatives (property and infrastructure) and systematic equities 4.4 4.4  CFSGAM was originally part of the Colonial Limited business which merged with CBA in 2000. CFSGAM’s international operations can be traced back to one of the world’s oldest investment trust companies established in Edinburgh

Breakdown of AuM/client base Financial highlights (A$mm) Historical AuM (2008-2017)*1 AuM by asset class*2 FY16/6 FY17/6 FY18/6 (A$bn) Other Revenue 882 864 988 250 Infrastructure 1% Short-term A$210bn Index/ 10% investments Operating expenses 608 577 645 200 Systematic 24% equities Operating profits 273 287 343 150 12% Australian Operating margin 31% 33% 35% fixed 100 Australian equities income EBITDA 282 295 322 10.5 50 6% 7% 10.5 Other fixed EBITDA margin 32% 34% 33% 0 Asian and income 11.3 End End End End End End 11.3 08/6 10/6 12/6 14/6 16/6 17/12 emerging equities 34% 5% Jun 08 Jun 10 Jun 12 Jun 14 Jun 16 Dec 17 Regional operations AuM by region*2 AuM by client segment*2 12.6 Australia EMEA Asia US 12.6 Asia US 4% Wholesale 10% (incl. Retail) Key Edinburgh, Hong Kong, 44% Sydney New York locations London Singapore

EMEA Australia 2, 5 29% 57% AuM* A$119bn A$61bn A$21bn A$9bn Institutional 56%

Global institutional client mandates*3 Mandate revenue ex-Australia*4 Key Asian and Emerging equities, short-term investments, Australian and Products global fixed income, Index products, property and infrastructure c. 200 c. 75%

18.7 *1 End of June for each year, apart from the most recent figure (December, 2017) *4 Proportion of revenue from separate account contracts with clients based out of Australia 18.7 *2 End of Dec 2017 *5 Based on client domicile 19.3 *3 Number of separate account contracts 19.3 14

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1.1 1.1 Global Specialist Capabilities

2.1 2.1

3.1  Majority of AuM in attractive high margin and growing asset classes and markets 3.1 3.7 3.7

4.4 Alternatives Systematic equities 4.4 Global emerging markets*1 Asian markets*1 (Infrastructure and property) *1 (Realindex) *1

AuM A$25bn*2 12%

AuM AuM AuM AuM AuM 25% A$53bn*3 A$210bn A$210bn A$210bn A$210bn

AuM 11% AuM 9% A$23bn*4 A$18bn*5 10.5 10.5

11.3  Large and growing GDP and  Supportive demographic and  Global infrastructure  Shift towards low cost β 11.3 investable universe macroeconomic spending expected to rise strategies and the low 12.6 fundamentals and attractive from US$4tn in 2012 to growth, defensive market 12.6  Strong returns driven by valuations driving returns US$9tn in 2025 environment improving macroeconomic themes  Similar favorable drivers to  10% increase in AuM  Systematic Equities is Global Emerging Markets allocated to top 10 global becoming part of a  Diversification benefits 機関投資家 alternative asset managers diversified strategy 56% relative to developed in 2016 (combining active and markets passive funds management)  Greater focus on ESG criteria

(Source) CFSGAM, Boston Consulting Group “Global Asset Management 2017, The Innovator’s Advantage” *1 AuM data as end of Dec 2017, based on region where funds are invested Hong Kong, India and Japan. Stewart Investors – Asia Pacific *2 Emerging Market Debt, First State Stewart Asia – Global Emerging Markets, Stewart *4 Global Listed Infrastructure, Unlisted Infrastructure, Global Property Securities 18.7 Investors – Global Emerging Markets and Worldwide *5 Systematic Equities (Realindex excluding pure index) 18.7 19.3 *3 Asia Fixed Income, First State Stewart Asia – Asia Pacific, China A Shares, Greater China, 19.3 15

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1.1 Strong Investing Culture and Philosophy Has Delivered Outperformance for 1.1 Clients 2.1 2.1

3.1 3.1 3.7 Disciplined and responsible investment process Long-term benchmark outperformance 3.7 4.4 Commitment to Responsible Investment Principles 4.4  Three pillar approach – stewardship, investment quality and employee 100% engagement

Disciplined Investment Philosophy  Focus on capital preservation and performance through market cycles 80% Range of Investment Styles  Investment teams make own decisions on investment philosophy, investment process and fund capacity 60% Innovative Environment and Culture of Teamwork  Strong retention of key investment professionals – 89% retention rate over 10.5 three years 10.5

11.3 Client Focused Culture and Strong Financial Alignment 40% 11.3  Investment managers aligned with client outcomes – compensation linked to the success of strategies as measured by investment performance 12.6 12.6

20% ESG-conscious AM

 Has promoted ESG investment for more than a decade, as indicated in the signature to the United Nations Principles for Responsible 0% Investment (PRI) and issuance of RI (Responsible Investment) Report 09/6End 10/6End 11/6End 12/6End 13/6End 14/6End 15/6End 16/6End 17/6End 17/12End Jun 09 Jun 10 Jun 11 Jun 12 Jun 13 Jun 14 Jun 15 Jun 16 Jun 17 Dec 17  Launched Asia Pacific Sustainability Fund as its first sustainable product in 2005 Nearly 90% of CFSGAM’s AuM has outperformed indices in terms of rolling five-year performance since 2009

18.7 18.7 19.3 (Source) CFSGAM 19.3 16

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4 非上場インフラ

 伝統的インフラ（ユーティリティや空港等）・OECD諸国のブラウン資産 （建設が終了し、規制当局の許認可を取得し、既に営業を開始している 段階の資産）向け投資を一貫して行う  グローバル・オープンエンド・ファンドも有する

5 スマートβ (RealIndex)

 提携先RAFIスマートβ指数に基づき運用

2 Ex-First State Stewart

 Divided into SI and FSSA in 2015  Engagement in AM for more than 30 years under a consistent philosophy

Stewart Investors  Quality-focused investment in Asia/Pacific and emerging equities  Strengthening of global equities investment  AM based in Edinburgh and other locations

First State Stewart Asia  Quality-focused investment in Asia/Pacific and Chinese equities  Strong AM structure, tailored to trends in Asian countries such as Hong Kong  AM based in Hong Kong, Singapore and other locations 1.14 7.55 9.68 13.95 17.17 18.21 20.35

1.1 Long-term Outperformance of CFSGAM Underlying Funds Through Both Up 1.1 and Down Markets 2.1 2.1

3.1 Focus on capital preservation and performance through market cycles 3.1 3.7 3.7 All CFSGAM strategies First State Stewart Asia Stewart Investors 4.4 Percentage of months outperforming China Growth (A$5.7bn) Asia Pacific Leaders (A$14.7bn) 4.4

75% 69% 54% 50% 70% 41% 37%

58% Up markets Down markets All markets Up markets Down markets All markets

52% First State Stewart Asia Stewart Investors Asian Equity Plus (A$4.2bn) Global Emerging Markets Leaders Fund (A$4.9bn) 76% 76% 61% 51% 53% 10.5 32% 10.5

11.3 11.3

Up markets Down markets All markets Up markets Down markets All markets 12.6 12.6 Realindex First State Australian Equities (A$5.0bn) Global Listed Infrastructure (A$4.4bn) 68% 53% 52% 57% 44% 48%

Up markets Down markets All markets Up markets Down markets All markets Up markets Down markets All markets

18.7 (Source) CFSGAM. Months of outperformance from January 2008 (or inception) to December 2017 18.7 19.3 19.3 17

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1.1 1.1 CFSGAM Growth Driven Through Innovation and Product Development

2.1 2.1

3.1 3.1 3.7 AuM end Jun 2007 to end Dec 2017 (A$bn) 3.7 4.4 4.4 2007–2008 2010–2013 Global European sovereign 2017 Growth strategies 250 financial crisis debt crisis Launched EDIF 2, High Yield and • AEQ Small Companies FSSA Global Emerging Markets • Client specific funds • Emerging Market Debt 2015 • High Yield Launched 2012 • Global Fixed Income (unconstrained) Japanese Launched • Multi-Asset Solutions Equities 200 Emerging • Realindex (inc. pure index) Market Debt and 2009 • Worldwide Sustainability Worldwide Launched EDIF 1, Sustainability Global Listed Infrastructure and Unlisted Systematic Infrastructure Equities (Realindex), 150 10.5 China-A First State Stewart Asia 10.5

11.3 Stewart Investors (exc. Worldwide 11.3 Sustainability)

12.6 100 Original strategies 12.6 • AEQ Equity Income • AEQ Growth • Asian Fixed Income • Australian Fixed Income • Global Corporate Credit 50 • Global Fixed Income (exc. unconstrained) • Global Property Securities • Multi-Sector Funds • Short Term Investments (money market / cash)

0

End End End End End End End End End End End End

Jun Jun Jun Jun Jun Jun Jun Jun Jun Jun Jun Dec

30 Jun3008 Jun3009 Jun3010 Jun3011 Jun3012 Jun3013 Jun3014 Jun3015 Jun3016 Jun3017

31 Dec3107 Dec3108 Dec3109 Dec3110 Dec3111 Dec3112 Dec3113 Dec3114 Dec3115 Dec3116 Dec3117 18.7 Jun3007 07 08 09 10 11 12 13 14 15 16 17 17 18.7 19.3 19.3 (Source) CFSGAM 18

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1.1 1.1 Vision with CFSGAM (1) Contribution to MUFG

2.1 2.1

3.1  CFSGAM and the Trust Bank are complementary to each other in terms of both geography and products, and 3.1 3.7 the partnership will promote client and product diversification under MUFG 3.7 4.4 4.4  The share of AM/IS*1 business in MUFG’s gross profits will increase from 5% to 7%

Post-acquisition AM contribution

Breakdown of gross profits*2 Breakdown of AuM*3 AuM by region

(¥bn) (¥tn) CFSGAM (¥tn) 74% 17.2 60 the Trust CFSGAM Bank 40 81.0 172.6 91.6 89.7 MUFG 20 12% 7% 72.5 4% 3% 0 10.5 Japan Australia Asia EMEA US 10.5 17.2 81.0 MUFG CFSGAM % within AuM 11.3 11.3 Gross profit contribution by MUFG’s AM/IS businesses*4 AM contribution to major G-SIBs*5, 6

12.6 End Mar 2018 After CFSGAM acquisition % within gross profit 12.6

Global Global JP Morgan 6.1% AM/IS Markets AM/IS Markets 5% 15% 7% 15% R&C Goldman Sachs 19.3% 41% R&C 40% GCB GCB 16% 16% Morgan Stanley 6.8% GCIB JCIB GCIB JCIB BNP Paribas 7.4% 9% 13% 9% 13% *1 Asset Management & Investor Services Business Group *4 % with gross profit in business group. R&C: Retail & Commercial Banking, JCIB: Japanese *2 CFSGAM’s figures are as end of Jun 2018 and the Trust Bank’s figures are Corporate & Investment Banking, GCIB: Global Corporate & Investment Banking, as end of Mar 2018. A$1=¥82 GCB: Global Commercial Banking 18.7 *3 CFSGAM’s figures are as end of Dec 2017 and MUFG’s figures are as end of Mar 2018. *5 Global Systemically Important Banks 18.7 19.3 A$1=¥82 *6 (Source) Company data as of FY 2017. As for BNP Paribas sum of Asset Management and 19.3 Wealth Management is used 19

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1.1 1.1 Vision with CFSGAM (2) Foundations for Global AM Business

2.1 2.1

3.1  Establish a robust structure and foundation to become a leading global AM player 3.1 3.7 3.7  MUFG can provide CFSGAM with “MUFG Investor Services” for fund administration, finance, and investment 4.4 4.4 in IT systems to support growth. Use of technology in collaboration with MTEC will also help CFSGAM offer more sophisticated asset management services and solutions

Advantages of MUFG Advantages of CFSGAM

 One of the largest integrated AM companies in Japan, with competitive  Global asset manager with specialist capabilities advantages in management of Japan-related assets  Highly competitive products in growing markets  Long history in Japan (developed with Japanese pension market and  Robust client base in regions such as Australia, where AuM is expected to Mitsubishi UFJ Kokusai AM having its origin to one of the oldest mutual continue to grow funds) Offering distinguished and competitive investment products

One-Brand Operation Key Brands

10.5 10.5

development F

11.3 urther 11.3

12.6 12.6

MU Investments

Wide range of support from MUFG

“MUFG Investor Services” IT systems Finance Capital MTEC*1 Fund administration etc. investment

Existing Partners

Mitsubishi UFJ Baillie Gifford Asset Management 18.7 18.7

19.3 *1 Mitsubishi UFJ Trust Investment TEChnology Institute, quant-specialized technology 19.3 institute in Japan 20

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1.1 1.1

2.1 2.1

3.1 3.1 3.7 3.7

4.4 4.4

5. Strategic Rationale of CFSGAM Acquisition

10.5 10.5

11.3 11.3

12.6 12.6

18.7 18.7 19.3 19.3 21

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1.1 1.1 Strategic Rationale of CFSGAM Acquisition

2.1 2.1

3.1 3.1 3.7 3.7

4.4 4.4 Acquire a global, competitive AM operation with 1 specialist capabilities

Capture growth of the Australian AM market, 10.5 10.5 2 where there is relatively high-growth 11.3 11.3

12.6 12.6

3 Become the largest AM player in Asia/Oceania

18.7 18.7 19.3 19.3 22

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1 高成長分野の運用機能を獲得

2 オーストラリアの資産運用市場の成長を享受

3 アジア・オセアニア最大の運用機関に 1.14 7.55 9.68 13.95 17.17 18.21 20.35

1.1 1.1 Acquire a global, competitive AM operation with specialist capabilities

2.1 2.1

3.1  CFSGAM has highly regarded specialist capabilities in Global Emerging and Asian markets as well as 3.1 3.7 Alternatives 3.7 4.4 4.4 Global emerging and Asian market Alternatives (A$bn) (A$bn) 4,090 3,626 3,144 2,697 CAGR CAGR 6.8% 7.7%

Global addressable market Forecast global addressable market Global addressable market Forecast global addressable market (2017) (2020E) (2017) (2020E)

10.5 Performance*1 of top six CFSGAM funds by AuM 10.5

Performance relative to benchmark*2 11.3 Absolute performance per annum 11.3 per annum CFSGAM fund AuM(A$bn) 5 years 3 years 5 years 3 years 12.6 12.6 Stewart Investors 14.7 12% 12% 1% (3%) Asia Pacific Leaders Fund First State Stewart Asia 5.7 14% 16% 4% 3% China Growth Fund Realindex 5.0 11% 10% 1% 1% Australian Equities Stewart Investors 4.9 10% 14% 2% (1%) Global Emerging Markets Leaders

Global Listed Infrastructure 4.4 16% 15% 2% 3%

First State Stewart Asia 4.2 12% 12% 4% 3% Asian Equity Plus

Global emerging market and Asian Market products Alternatives products 18.7 (Source) CFSGAM 18.7 *1 Performance as end of Dec 2017 excluding short-term investments and geared funds 19.3 *2 Fund performance is before fees and taxes and relative to benchmark performance 19.3 23

1.14（出所） Morningstar[、Boston Consulting Group:7.55 Global Asset Management9.68 2018] 13.95 17.17 18.21 20.35 *1 パフォーマンス及びレーティングは2017年12月31日時点。短期債及びレバレッジファンドを除く *2 ベンチマークに使用しているファンドのパフォーマンスは手数料及び税引前 1.14 7.55 9.68 13.95 17.17 18.21 20.35

1.1 Capture Growth of the Australian AM Market, Where There is Relatively High- 1.1 Growth 2.1 2.1

3.1  The AM market in Australia is larger than that of Japan, and has achieved robust growth. In addition, it is 3.1 3.7 expected to be supported by the continuously strong macroeconomic environment 3.7 4.4 4.4  CFSGAM has a robust foundation in its growing home market

Growth of Australian fund market in size*1 Australian fund sector overview (US$bn)*2 (A$bn) # Asset manager AuM

3,500 千 3,000 1 362.5 2,500 2,000 2 CFSGAM*3 142.4 1,500 3 AMP Capital 119.5 1,000

10.5 500 10.5 4 BT Investment Mgmt. 60.7 0 11.3 1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 11.3 5 QIC 57.5 Australia market size Japan investment trust market size (public + private) 12.6 12.6 Expectation for consistent market growth backed by Superannuation  Superannuation, the defined contribution plan unique to Australia introduced in 1992, in which employers are obliged to pay annuity premiums, is a key driver for growth in the AM sector Expansion in senior population Stable economic growth Increase in premiums No impact of regime change

 With the expansion of elderly  Average real GDP growth per  Superannuation guarantee,  Superannuation was established population, the AM market for the annum from 1992 to 2016 is 3.3% compulsory super contributions by the regime of Australian Labor retired will grow fourfold by 2040 made by employers, will increase Party, the current opposition party, up to 12% in 2025 (currently 9.5%) which means this system is unlikely to be affected by future regime changes

(Source) Australian Bureau of Statistics, The P&I / Willis Towers Watson World 500: World’s *1 As for the FX rate, figures of December 1 of every year are used (As of next business day 18.7 largest money managers, NLI Research Institute (February 2016), The Investment if December 1 is holiday) 18.7 Trusts Association, Japan, Mitsubishi UFJ Research and Consulting *2 End of Dec 2016 19.3 19.3 *3 End of Jun 2016 (A$191bn). US$1=A$1.34 24

1.14 7.55 9.68 13.95 17.17 18.21 20.35  Xxxxxxx  XXXXXXX 1.14 7.55 9.68 13.95 17.17 18.21 20.35

1.1 1.1 Become The Largest AM player in Asia/Oceania

2.1 2.1

3.1  Pro-forma AuM will be the largest among Asia/Oceania AM players 3.1 3.7 3.7 4.4 Increased presence globally Asia/Oceania AuM ranking*1, 2 4.4  It is important to secure a certain (US$bn) size to maintain profitability and Rank Asset manager Head office AuM competitiveness, in preparation for tightened regulations, increase in MUFG + CFSGAM Japan 727.2 sales costs and IT investments, etc. 1 Sumitomo Mitsui Trust Holdings Japan 699.5 2 Nippon Life Insurance Japan 647.5  Upon completion of this acquisition, 3 MUFG Japan 584.8 10.5 MUFG will become the largest AM 10.5 player in the Asia/Oceania region 4 Macquarie Group Australia 362.5 11.3 11.3 5 Meiji Yasuda Life Insurance Japan 306.7  MUFG will break the top 30 in the 12.6 global AuM ranking 6 Shinkin Central Bank Japan 297.0 12.6

7 Nomura Asset Mgmt. Japan 295.9  Establish a foothold for becoming a Top15 player with AuM of ¥100tn 8 Sumitomo Life Insurance Japan 222.0

9 Samsung Group S. Korea 180.2

10 CFSGAM*3 Australia 142.4

(Source) The P&I / Willis Towers Watson World 500: World’s largest money managers *1 End of Dec 2016 18.7 *2 established Asset Management One in Oct.2016 and 18.7 19.3 its AuM was ¥52tr as of Mar 2016 (US$1=¥112.7) 19.3 *3 US$1=A$1.34, end of Jun 2016 25

1.14 7.55 9.68 13.95 17.17 18.21 20.35

（出所） The P&I / Willis Towers Watson World 500: World’s largest money managers

1.14 7.55 9.68 13.95 17.17 18.21 20.35

1.1 1.1

2.1 2.1

3.1 3.1 3.7 3.7

4.4 4.4

Appendix

10.5 10.5

11.3 11.3

12.6 12.6

18.7 18.7 19.3 19.3 26

1.14 7.55 9.68 13.95 17.17 18.21 20.35 1.14 7.55 9.68 13.95 17.17 18.21 20.35

1.1 1.1 Awards of CFSGAM Products

2.1 2.1

3.1 3.1  Recent awards in recognition of investment performance and investment philosophy 3.7 3.7

4.4 4.4

Asia Asset Management Best Benchmark Fund of the Year Thomson Reuters Lipper Environmental, Social and of the Best Awards 2018 Awards 2017 Fund Awards 2017 Governance

• Best Application of ESG • Grand awards—Provider of • Hong Kong—Bond Emerging • Asia Asset Management 10.5 10.5 (2018) the year (offshore), Best Markets Global Hard Best of the Best Awards— 11.3 Equity House, Best Currency (five years), Equity Best Responsible Investor 11.3 • Asia Pacific Equity ex-Japan Sustainable Investment Greater China (10 years), (2016), Best Application of over 10 years (2018) Award Equity Hong Kong (10 ESG, Co-winner (2015) 12.6 years), Equity India (10 12.6 • Manager of the year award— years), Equity Emerging • Financial News—ESG Asia Equity Markets Global (10 years) Integration Award (2014, 2015) • House awards best in • United Kingdom—Equity class—Asia ex-Japan Equity, India over 10 years, Equity China A-Shares Equity, Greater China over 10 years China Equity, India Equity

18.7 18.7 (Source) CFSGAM 19.3 19.3 27

1.14 7.55 9.68 13.95 17.17 18.21 20.35 1.14 7.55 9.68 13.95 17.17 18.21 20.35

1.1 1.1 History of CFSGAM

2.1 2.1

3.1 3.1 3.7 3.7 30+ years of growth 4.4 4.4

1988 2000 2007 2018 State Bank of New South Colonial Group acquired CFSGAM/FSI became a Announced to become Wales established First Stewart Ivory signatory to the United member of MUFG Group State Fund Managers as a National backed Principles subsidiary of Responsible Investment (PRI)

10.5 1988 1994 2000 2007 2015 2018 10.5

11.3 11.3

12.6 12.6 1994 2015 Colonial Mutual acquired Creation of First State State Bank of New South Stewart Asia and Stewart Wales, including First State Investors investment teams Fund Managers and from First State Stewart become Colonial Group 2000 CBA acquired Colonial Group Can be traced back to one of the world’s oldest investment trust companies established in Edinburgh (SAINTS in 1873) 18.7 18.7 19.3 19.3 28

1.14 7.55 9.68 13.95 17.17 18.21 20.35