Renaissance Canadian Balanced Value Fund

Annual Financial Statements for the financial year ended August 31, 2007

Statement of Investment Portfolio As at August 31, 2007

Number of Shares/ Average Cost Current Value Number of Shares/ Average Cost Current Value Par Value ($) ($) Par Value ($) ($) Canadian Bonds Alliance Pipeline L.P. 643,488 Series ‘A’, 7.18%, 2023/06/30 758,798 733,165 Canadian Housing Trust No. 1 Bank of Montreal 17,375,000 Series ‘6’, 4.10%, 2008/12/15 17,741,150 17,275,181 3,665,000 4.65%, 2013/03/14 3,655,663 3,578,491 1,000,000 3.55%, 2009/03/15 981,770 985,638 2,500,000 Variable Rate, Callable, 3,350,000 3.55%, 2010/09/15 3,335,428 3,254,513 5.20%, 2017/06/21 2,499,900 2,500,395 Government of Canada Bank of Nova Scotia 8,235,000 4.00%, 2017/06/01 8,063,709 7,965,304 726,382 3.32%, 2009/08/18 720,704 704,590 1,100,000 8.00%, 2023/06/01 1,622,280 1,535,095 2,855,000 3.93%, 2010/02/18 2,835,559 2,787,803 5,085,000 8.00%, 2027/06/01 7,760,370 7,413,481 400,000 8.90%, 2025/06/20 560,532 549,332 6,000,000 5.75%, 2033/06/01 7,365,521 7,185,000 BC Gas Utility Ltd. Government of Canada & Guaranteed (8.88%) 46,870,228 45,614,212 1,550,000 11.80%, 2015/09/30 2,253,868 2,235,990 Bell Aliant Regional Communications L.P. Alberta Capital Finance Authority 1,800,000 Callable, 5.41%, 2016/09/26 1,814,400 1,600,579 630,000 4.90%, 2015/06/01 652,737 640,716 Brascan Corp. Hydro-Quebec 1,125,000 5.95%, 2035/06/14 1,118,323 1,024,091 1,450,000 Series ‘19’, 6.50%, 2035/02/15 1,684,684 1,757,557 British Columbia Ferry Services Inc. Ontario School Boards Financing Corp. 1,000,000 6.25%, 2034/10/13 1,164,240 1,118,608 805,000 6.25%, 2016/10/19 865,528 883,166 Broadway Credit Card Trust 280,277 5.90%, 2027/10/11 296,104 300,253 1,180,000 Series ’04-2’, 4.80%, 2014/03/17 1,200,163 1,150,658 788,609 5.80%, 2028/11/07 788,521 838,393 Brookfield Power Corp. Province of British Columbia 1,600,000 Series ‘3’, Callable, 5.25%, 2018/11/05 1,599,424 1,531,061 1,850,000 8.50%, 2013/08/23 2,420,170 2,216,309 Calloway REIT 1,500,000 4.70%, 2037/06/18 1,492,110 1,451,836 900,000 Series ‘B’, Callable, 5.37%, 2016/10/12 896,085 858,925 Province of New Brunswick Canadian Credit Card Trust 2,050,000 4.50%, 2015/02/04 2,045,592 2,025,039 3,170,000 4.51%, 2012/04/24 3,163,765 3,090,848 Province of Newfoundland and Labrador CHC Helicopter Corp. 590,000 6.55%, 2030/10/17 641,910 710,673 350,000 Callable, 7.38%, 2014/05/01 359,899 346,181 Province of Nova Scotia Consumers Waterheater Operating Trust 2,640,000 5.80%, 2033/06/01 2,941,477 2,954,841 775,000 Series ‘03A1’, Callable, Province of Ontario 5.25%, 2010/01/28 804,411 778,105 2,660,000 5.60%, 2035/06/02 2,927,678 2,914,628 Enbridge Income Fund Province of Quebec 1,400,000 4.19%, 2009/12/21 1,404,472 1,376,304 7,315,000 5.25%, 2013/10/01 7,555,457 7,522,419 General Motors Acceptance Corp. of Canada Ltd. 3,440,000 5.50%, 2014/12/01 3,717,413 3,596,378 775,000 6.00%, 2010/05/25 772,977 681,521 1,930,000 5.75%, 2036/12/01 2,151,625 2,133,341 Genesis Trust 1,750,000 Class ‘A’, Series ’2005-2’, Provincial Government & Guaranteed (5.83%) 30,181,006 29,945,549 4.00%, 2010/03/15 1,740,437 1,708,626 Inter-American Development Bank 1,075,000 Class ‘A’, Series ’2006-2’, 5,000,000 4.25%, 2012/12/02 4,987,850 4,897,654 4.25%, 2011/09/15 1,075,000 1,042,791 1,370,000 0.50%, 2015/04/22 909,940 976,331 Glacier Credit Card Trust 505,000 4.27%, 2009/11/20 511,984 497,484 Supranational (1.14%) 5,897,790 5,873,985 Golden Credit Card Trust Municipality of Winnipeg, Manitoba 1,700,000 Series ’2006-1’, 4.25%, 2011/02/15 1,687,930 1,655,324 500,000 9.13%, 2015/05/12 678,610 636,865 Great Canadian Gaming Corp. 750,000 Callable, 7.25%, 2015/02/15 886,068 765,619 Municipal Government & Guaranteed (0.12%) 678,610 636,865 Iron Mountain Nova Scotia Funding Co. 1,000,000 Callable, 7.50%, 2017/03/15 1,000,000 921,820 N-45 First CMBS Corp. Merrill Lynch Financial Assets Inc. 1,165,000 4.64%, 2013/03/15 1,158,305 1,149,436 604,986 4.60%, 2014/05/12 615,792 599,408 NHA MBS Peoples Trust Co. 870,000 5.28%, 2014/10/12 871,563 864,293 484,614 4.00%, 2008/05/01 482,950 481,714 Milit-Air Inc. NHA MBS Toronto-Dominion Bank (The) 820,954 Series ‘1’, 5.75%, 2019/06/30 889,110 866,805 5,855,382 3.75%, 2011/12/01 5,768,781 5,679,252 NAV Canada Real Estate Asset Liquidity Trust 1,560,000 Series ’97-2’, Callable, 7.56%, 2027/03/01 1,848,298 1,852,432 885,000 Class ‘A2’, Series ’2004-1’, New Brunswick (F-M) Project Co. Inc. 5.08%, 2014/08/12 887,733 871,442 2,305,094 6.47%, 2027/11/30 2,434,667 2,595,165 1,284,262 Class ‘A1’, Series ’2006-1’, OPTI Canada Inc. 4.71%, 2015/07/12 1,284,216 1,265,987 1,050,000 Series ‘144A’, Callable, Schooner Trust 8.25%, 2014/12/15 1,239,415 1,130,180 860,000 5.10%, 2014/07/12 861,367 845,767 Royal Bank of Canada Mortgage-Backed Securities (2.00%) 10,443,352 10,293,598 2,830,000 4.71%, 2014/12/22 2,874,602 2,749,850 1,665,000 Variable Rate, Callable, 407 International Inc. 3.70%, 2015/06/24 1,645,288 1,607,706 2,000,000 Series ‘06D1’, 5.75%, 2036/02/14 1,997,440 1,981,819 Saskatchewan Wheat Pool Inc. 55 School Board Trust 1,250,000 Series ’2007-1’, Callable, 710,000 Series ‘A’, 5.90%, 2033/06/02 780,079 792,009 8.50%, 2017/08/01 1,250,000 1,237,500 Scotiabank Capital Trust 1,770,000 6.28%, 2013/06/30 1,919,256 1,854,379 1,675,000 Series ’06-1’, Callable, 5.65%, 2036/12/31 1,707,641 1,624,640

The accompanying notes are an integral part of these financial statements. Renaissance Canadian Balanced Value Fund

Number of Shares/ Average Cost Current Value Number of Shares/ Average Cost Current Value Par Value ($) ($) Par Value ($) ($) Sears Canada Inc. 52,600 Contrans Income Fund 699,155 518,110 700,000 Callable, 7.45%, 2010/05/10 730,450 718,468 75,050 Superior Plus Income Fund 1,077,435 952,385 Shaw Communications Inc. 1,750,000 Callable, 5 .70%, 2017/03/02 1,746,500 1,651,631 Industrials (2.01%) 9,036,067 10,340,216 Sherritt International Corp. 99,970 Aastra Technologies Ltd. 2,039,046 3,616,914 1,250,000 7.88%, 2012/11/26 1,331,250 1,292,759 368,900 Celestica Inc. 4,179,093 2,320,381 TD Capital Trust II 408,300 CGI Group Inc., Class ‘A’ 3,088,460 4,777,110 1,950,000 Series ‘2012’, 6.79%, 2012/12/31 2,205,829 2,091,148 Toronto-Dominion Bank (The) Information Technology (2.08%) 9,306,599 10,714,405 1,000,000 Variable Rate, Callable, 188,340 Alcan Inc. 10,430,790 19,634,445 4.32%, 2016/01/18 1,000,000 976,100 317,300 Cascades Inc. 3,649,107 3,195,211 2,000,000 Variable Rate, Callable, 207,500 Goldcorp Inc. 6,076,758 5,172,975 4.78%, 2016/12/14 2,000,000 1,872,973 209,280 Intertape Polymer Group Inc. 1,661,397 673,882 1,355,000 Variable Rate, Callable, 211,920 Intertape Polymer Group Inc., Rights, 5.69%, 2018/06/03 1,403,662 1,388,726 2007/09/17 — 24,901 650,000 Callable, 9.15%, 2025/05/26 929,936 915,251 128,950 Labrador Iron Ore Royalty Income Fund 2,960,244 4,600,936 Union Gas Ltd. 92,400 Methanex Corp. 2,595,332 2,186,184 1,300,000 7.20%, 2010/06/01 1,444,136 1,379,900 30,080 PRT Forest Regeneration Income Fund 323,415 237,632 700,000 6.65%, 2011/05/04 762,709 743,650 78,400 Teck Cominco Ltd., Class ‘B’ 1,400,795 3,528,000 Wells Fargo Financial Canada Corp. 1,715,000 3.60%, 2010/06/28 1,693,188 1,653,072 Materials (7.64%) 29,097,838 39,254,166 Westcoast Energy Inc. 600,000 Series ‘O’, 8.50%, 2018/09/04 770,845 756,264 215,000 BCE Inc. 6,853,933 8,683,850 65,600 Manitoba Telecom Services Inc. 3,047,105 3,240,640 Corporate (13.32%) 70,576,258 68,434,439 96,600 TELUS Corp. NV 5,948,877 5,284,986 Total of Canadian Bonds (31.29%) 164,647,244 160,798,648 Telecommunication Services (3.35%) 15,849,915 17,209,476 International Bonds 70,400 ATCO Ltd., Class ‘I’ 1,858,490 3,952,960 Algoma Acquisition Corp. Utilities (0.77%) 1,858,490 3,952,960 325,000 Series ‘144A’, Callable, 9.88%, 2015/06/15 346,759 323,173 Total of Canadian Equities (51.27%) 203,623,625 263,526,152 United States (0.06%) 346,759 323,173 United States Total of International Bonds (0.06%) 346,759 323,173 20,500 Apollo Group Inc., Class ‘A’ 989,633 1,272,313 67,000 DIRECTV Group Inc. (The) 1,323,245 1,653,536 Total of Bonds (31.35%) 164,994,003 161,121,821 25,650 Expedia Inc. 732,953 809,946 37,400 Home Depot Inc. 1,500,410 1,515,681 Canadian Equities 24,950 IAC/InterActiveCorp. 1,740,162 733,471 36,200 Canadian Tire Corp. Ltd., Class ‘A’ 1,851,237 2,809,482 6,520 Liberty Media Holding Corp. – Capital, 260,800 CanWest Global Communications Corp. 2,665,313 2,060,320 Series ‘A’ 634,324 751,724 213,900 Linamar Corp. 3,085,635 5,488,674 65,100 Liberty Media Holding Corp. – Interactive, 93,800 Magna International Inc., Class ‘A’ 7,732,758 8,894,116 Series ‘A’ 1,514,829 1,306,389 152,200 North West Company Fund 2,252,984 3,180,980 31,800 Newell Rubbermaid Inc. 912,565 867,566 76,500 Quebecor Inc., Class ‘B’ 2,198,047 2,783,835 Consumer Discretionary (1.73%) 9,348,121 8,910,626 118,800 RONA Inc. 2,712,249 2,555,388 68,600 Thomson Corp. (The) 3,294,365 3,066,420 21,100 Anheuser-Busch Cos. Inc. 1,035,325 1,102,639 88,190 Torstar Corp., Class ‘B’ 1,711,437 1,746,162 33,500 Wal-Mart Stores Inc. 1,799,203 1,546,159 Consumer Discretionary (6.34%) 27,504,025 32,585,377 Consumer Staples (0.52%) 2,834,528 2,648,798 129,500 Empire Co. Ltd., Class ‘A’ 4,382,546 6,425,790 16,250 ExxonMobil Corp. 1,020,291 1,473,704 44,800 George Weston Ltd. 3,309,045 3,207,680 159,200 Metro Inc., Class ‘A’ 4,542,585 5,562,448 Energy (0.29%) 1,020,291 1,473,704 206,640 Rothmans Inc. 3,478,106 4,653,533 21,090 Allstate Corp. (The) 1,325,917 1,221,476 52,900 Saputo Inc. 1,854,642 2,684,675 18,000 American Express Co. 1,172,921 1,116,201 Consumer Staples (4.38%) 17,566,924 22,534,126 17,600 American International Group Inc. 1,244,223 1,228,799 38,840 Bank of America Corp. 2,090,814 2,082,284 91,100 Canadian Natural Resources Ltd. 2,677,124 6,576,509 22,360 Citigroup Inc. 1,291,562 1,108,877 195,608 EnCana Corp. 8,798,144 12,106,179 62,000 Countrywide Financial Corp. 2,307,210 1,301,896 159,200 Imperial Oil Ltd. 4,401,811 7,356,632 32,700 JPMorgan Chase & Co. 1,499,278 1,540,022 129,200 Nexen Inc. 4,588,987 3,815,276 41,650 KeyCorp. 1,655,492 1,467,180 112,200 Petro-Canada 4,728,340 6,043,092 18,500 Legg Mason Inc. 1,895,401 1,699,087 170,500 TransCanada Corp. 5,464,686 6,274,400 60,000 Progressive Corp. (The) 1,492,868 1,291,000 20,500 SLM Corp. 1,091,362 1,090,368 Energy (8.21%) 30,659,092 42,172,088 22,410 Wachovia Corp. 1,324,728 1,161,140 107,380 Bank of Montreal 5,206,872 6,974,331 56,700 Washington Mutual Inc. 2,821,030 2,202,469 238,880 Bank of Nova Scotia 8,038,432 12,479,091 Financials (3.60%) 21,212,806 18,510,799 95,300 Canadian Imperial Bank of Commerce† 9,596,127 9,120,210 16,300 Dundee Real Estate Investment Trust 651,084 606,849 45,200 Bristol-Myers Squibb Co. 1,372,921 1,393,802 357,900 Manulife Financial Corp. 11,746,049 14,638,110 15,425 Covidien Ltd. 713,352 649,920 171,800 Northbridge Financial Corp. 5,638,605 5,892,740 40,000 Pfizer Inc. 1,282,720 1,051,080 174,560 Power Corp. of Canada 4,308,718 7,069,680 111,980 Power Financial Corp. 2,559,504 4,588,940 Health Care (0.60%) 3,368,993 3,094,802 255,500 Royal Bank of Canada 7,764,339 13,883,870 29,600 Emerson Electric Co. 1,299,762 1,541,507 57,000 Sun Life Financial Inc. 2,710,288 2,895,030 17,800 General Dynamics Corp. 1,191,581 1,479,263 91,550 Toronto-Dominion Bank (The) 4,524,657 6,614,487 15,425 Tyco International Ltd. 2,180,517 720,574 Financials (16.49%) 62,744,675 84,763,338 25,000 Waste Management Inc. 990,341 996,230 24,400 BFI Canada Income Fund 715,089 667,584 Industrials (0.92%) 5,662,201 4,737,574 101,550 Canadian National Railway Co. 3,734,388 5,656,335 34,310 Canadian Pacific Railway Ltd. 2,810,000 2,545,802

The accompanying notes are an integral part of these financial statements. Renaissance Canadian Balanced Value Fund

Number of Shares/ Average Cost Current Value Par Value ($) ($) 91,100 Dell Inc. 2,471,173 2,722,456 30,400 Electronic Data Systems Corp. 787,563 736,111 80,300 Intel Corp. 1,785,698 2,187,343 55,000 Motorola Inc. 988,657 986,181 15,425 Tyco Electronics Ltd. 636,979 568,986 53,150 Western Union Co. 1,169,949 1,058,712 Information Technology (1.61%) 7,840,019 8,259,789 120,100 Sprint Nextel Corp. 2,526,383 2,403,744 Telecommunication Services (0.47%) 2,526,383 2,403,744 Total of United States Equities (9.74%) 53,813,342 50,039,836 Total of Investments before Short-Term Investments (92.36%) 422,430,970 474,687,809 Short-Term Investments Government of Canada 250,000 Treasury Bill, 4.29%, 2007/09/06 247,155 249,940 3,000,000 Treasury Bill, 4.36%, 2007/09/20 2,965,320 2,993,139 1,550,000 Treasury Bill, 4.42%, 2007/10/04 1,531,803 1,543,872 725,000 Treasury Bill, 4.52%, 2007/10/18 716,314 720,835 18,350,000 Treasury Bill, 4.57%, 2007/11/01 18,127,598 18,211,566 2,700,000 Treasury Bill, 4.62%, 2007/11/15 2,666,952 2,674,708 10,200,000 Treasury Bill, 4.01%, 2007/11/29 10,091,546 10,101,506 Royal Bank of Canada 125,000 Term Deposit, 4.50% 2007/09/04 125,000 125,015 CIBC Mellon Trust† 569,369 Demand Deposit, Variable Rate 569,369 571,402 Short-Term Investments — CAD 37,041,057 37,191,983 Mellon Bank NA Deposit Trust Reserve 350,335 Variable Rate 371,555 371,000 Short-Term Investments — USD 371,555 371,000 Total of Short-Term Investments (7.31%) 37,412,612 37,562,983 Total of Investments (99.67%) 459,843,582 512,250,792 Other Assets, less Liabilities (0.33%) 1,690,428 Total Net Assets (100.00%) 513,941,220 †This security is issued by a related party of the Fund.

The accompanying notes are an integral part of these financial statements. Renaissance Canadian Balanced Value Fund

Statements of Net Assets Statements of Changes in Net Assets (continued)

(in 000s, except per unit amounts) Class F Units 2007 2006 2005 As at August 31, 2007, August 31, 2006, and December 31, 2005 (note 1) Increase (Decrease) in Net Assets from 2007 2006 2005 Operations $ 154 $22$19 Assets Distributions Paid or Payable to Unitholders Investments at current value (notes 2 and 3) $ 512,251 $ 505,525 $ 449,684 From net investment income (52) (13) (1) Cash including foreign currency holdings, at current From net realized capital gains (31) —(2) value 45 36 46 Accrued interest and dividends receivable 2,720 2,432 1,883 (83) (13) (3) Receivable for portfolio securities sold 807 4,578 — Changes Due to Unitholder Transactions Receivable for units issued 743 1,052 1,161 Amount received from the issuance of units (note 4) 1,669 1,369 380 Other receivables 18 ——Amount received from reinvestment of distributions 77 13 3 Total Assets 516,584 513,623 452,774 Amount paid on redemptions of units (944) (141) — Liabilities 802 1,241 383 Payable for portfolio securities purchased 989 3,296 117 Increase (Decrease) in Net Assets for the Period 873 1,250 399 Payable for units redeemed 812 1,223 667 Net Assets at Beginning of Period 1,649 399 — Management fees payable 744 729 634 Other accrued expenses 98 99 86 Net Assets at End of Period $ 2,522 $ 1,649 $ 399 Total Liabilities 2,643 5,347 1,504 Class O Units 2007 2006 2005 Total Net Assets $ 513,941 $ 508,276 $ 451,270 Increase (Decrease) in Net Assets from Total Net Assets per Class Operations $ 3,196 $ 1,285 $ 1,946 Class A $ 506,647 $ 463,546 $ 420,819 Class F $ 2,522 $ 1,649 $ 399 Distributions Paid or Payable to Unitholders Class O $ 4,772 $ 43,081 $ 30,052 From net investment income (1,889) (723) (409) From net realized capital gains (978) — (399) Net Asset Value per Unit (note 4) Class A $ 16.54 $ 16.06 $ 15.85 (2,867) (723) (808) Class F $ 10.86 $ 10.52 $ 10.34 Changes Due to Unitholder Transactions Class O $ 11.32 $ 10.97 $ 10.79 Amount received from the issuance of units 9,136 13,360 28,465 Amount received from reinvestment of distributions 2,867 723 808 Amount paid on redemptions of units (50,641) (1,616) (359) Statements of Changes in Net Assets (38,638) 12,467 28,914 (in 000s) Increase (Decrease) in Net Assets for the Period (38,309) 13,029 30,052 For the periods ended August 31, 2007, August 31, 2006, and Net Assets at Beginning of Period 43,081 30,052 — December 31, 2005 (note 1) Net Assets at End of Period $ 4,772 $ 43,081 $ 30,052 Class A Units 2007 2006 2005 Increase (Decrease) in Net Assets from Operations $ 34,278 $ 9,231 $ 44,957 Distributions Paid or Payable to Unitholders From net investment income (7,598) (3,719) (5,030) From net realized capital gains (11,362) — (3,418) Return of capital — —(2) (18,960) (3,719) (8,450) Changes Due to Unitholder Transactions Amount received from the issuance of units (note 4) 115,493 87,836 127,525 Amount received from reinvestment of distributions 18,379 3,611 8,203 Amount paid on redemptions of units (106,089) (54,232) (67,400) 27,783 37,215 68,328 Increase (Decrease) in Net Assets for the Period 43,101 42,727 104,835 Net Assets at Beginning of Period 463,546 420,819 315,984 Net Assets at End of Period $ 506,647 $ 463,546 $ 420,819

The accompanying notes are an integral part of these financial statements. Renaissance Canadian Balanced Value Fund

Statements of Operations (in 000s, except per unit amounts) For the periods ended August 31, 2007, August 31, 2006, and December 31, 2005 (note 1)

2007 2006 2005 Income Interest revenue $ 9,465 $ 5,703 $ 6,436 Dividend revenue 8,385 3,911 9,470 Securities lending revenue 30 85 83 Other income — —12 17,880 9,699 16,001 Expenses (notes 5 and 8) Management fees 8,753 5,612 6,818 Audit fees 20 10 11 Custodial fees 117 33 167 Independent review committee fees 9 22 Legal fees 27 26 60 Regulatory fees 39 23 22 Unitholder reporting costs 915 731 646 Other expenses 61 14 — 9,941 6,451 7,726 Expenses waived/absorbed by the Manager (13) (77) (73) 9,928 6,374 7,653 Net Investment Income (Loss) 7,952 3,325 8,348 Realized and Unrealized Gain (Loss) on Investments Net realized gain (loss) on sale of investments1 35,249 15,590 12,774 Net realized gain (loss) on foreign currency (notes 2c and d) (291) (14) (32) Increase (decrease) in unrealized appreciation (depreciation) of investments (5,282) (8,363) 25,832 Net Gain (Loss) on Investments 29,676 7,213 38,574 Increase (Decrease) in Net Assets from Operations $ 37,628 $ 10,538 $ 46,922 Increase (Decrease) in Net Assets from Operations per Class Class A $ 34,278 $ 9,231 $ 44,957 Class F $ 154 $22$19 Class O $ 3,196 $ 1,285 $ 1,946 Increase (Decrease) in Net Assets from Operations per Unit Class A $ 1.20 $ 0.33 $ 1.85 Class F $ 0.96 $ 0.18 $ 0.67 Class O $ 0.77 $ 0.38 $ 1.28

1 Net Realized Gain (Loss) on Sale of Investments (excluding short-term investments) (in 000s)

2007 2006 2005 Cost of Investments Held at Beginning of Period $ 406,851 $ 363,906 $ 257,018 Purchases 218,014 184,749 263,346 624,865 548,655 520,364 Cost of Investments Held at End of Period 422,431 406,851 363,906 Cost of Investments Sold or Matured 202,434 141,804 156,458 Proceeds from sales or maturities 237,683 157,394 169,232 Net Realized Gain (Loss) on Sale of Investments $ 35,249 $ 15,590 $ 12,774

The accompanying notes are an integral part of these financial statements. Notes to Financial Statements

August 31, 2007, August 31, 2006, and December 31, 2005 1. Renaissance Investments family of funds — Organization of the Funds and Financial Premium Class units are available to investors with a minimum initial investment of $25,000 Reporting Periods on a load basis. Investors do pay a sales commission when purchasing units of the Funds, and Each of the Renaissance Funds (individually, a ‘‘Fund’’, and collectively, the ‘‘Funds’’) is, or can be charged a redemption fee if they redeem their units. They may have to pay a short- expects to be, a mutual fund trust organized under the laws of Ontario and governed by a term trading fee, if applicable. declaration of trust (‘‘Declaration of Trust’’). Class O units are only available to selected investors who have been approved by and have The Funds are managed by CIBC Asset Management Inc. (the ‘‘Manager’’). The Manager is entered into a Class O account agreement with the Manager. These investors are typically also the trustee, registrar, and transfer agent of the Funds. financial services companies, including the Manager, that will use units of the Funds to Each Fund may issue an unlimited number of Classes of units and unlimited number of facilitate offering other products to investors. No management fees or operating expenses are units of each class. Class A, F, and O units of each of the Funds are available for sale (except charged to the Funds in respect of Class O units; instead, a negotiated management fee is Renaissance Canadian T-Bill Fund and Renaissance U.S. Money Market Fund, which only has charged by the Manager directly, or as directed by, Class O unitholders. Class A units, and Renaissance Money Market Fund, which has Class A, O, and Premium During the 2006 financial year, the year-end of the Funds was changed from December 31 Class units available for sale). Each class may charge a different management fee, and to August 31. Financial statements and other reported information relating to 2005 is operating expenses can either be common or class specific. Class specific expenses are presented to comply with securities regulations applicable to changes in year ends for mutual allocated on a class-by-class basis. As a result, a separate net asset value per unit is calculated funds. for each class. The Statement of Investment Portfolio of each Fund is as at August 31, 2007. The Class A units are available to all investors on a load basis. Investors may pay a sales Statements of Net Assets are as at August 31, 2007, August 31, 2006, and December 31, commission when purchasing units of the Funds, and may be charged a redemption fee if 2005 and the Statements of Operations and Statement of Changes in Net Assets are for the they redeem their units. They may have to pay a short-term trading fee, if applicable. periods ended August 31, 2007, August 31, 2006, and December 31, 2005, except for Funds Class F units are available to investors participating in programs that do not require the or classes established during either period, in which case the information presented is from payment of sales charges by investors and do not require the payment of service or trailing the Date Established or the Inception Date to August 31, 2007, August 31, 2006, or commissions to dealers. For these investors, the Manager ‘‘unbundles’’ the typical distribution December 31, 2005. costs and charges a lower management fee. Potential investors include clients of ‘‘fee-for- ‘‘Date Established’’ is the date on which a Fund was established by Declaration of Trust. service’’ investment advisors, dealer-sponsored ‘‘wrap accounts’’, and others who pay an ‘‘Inception Date’’ is the date upon which a class of units of a Fund were first sold to the annual fee to their dealer instead of transactional sales charges and where the dealer does not public. receive service fees or trailing commissions from the Manager. Inception Date Inception Date Inception Date Inception Date Name Date Established Class A Units Class F Units Class O Units Premium Class Units Renaissance Money Market Fund1 February 10, 1986 January 2, 1987 n/a July 20, 2007 August 21, 2006 Renaissance Canadian T-Bill Fund August 21, 1987 August 21, 1987 n/a n/a n/a Renaissance U.S. Money Market Fund March 30, 1987 March 30, 1987 n/a n/a n/a Renaissance Canadian Income Fund2 April 24, 1974 October 1, 1974 February 21, 2002 June 1, 2001 n/a Renaissance Canadian Bond Fund3 June 21, 1972 January 1, 1973 August 10, 2004 July 14, 2005 n/a Renaissance Canadian Real Return Bond Fund November 8, 2002 June 2, 2003 September 27, 2005 March 15, 2005 n/a Renaissance Canadian High Yield Bond Fund September 23, 1994 September 23, 1994 October 11, 2005 July 12, 2005 n/a Renaissance Global Bond Fund4 October 6, 1992 October 21, 1992 August 22, 2007 July 13, 2005 n/a Renaissance Canadian Balanced Fund December 10, 1984 December 10, 1984 November 23, 2005 November 17, 2003 n/a Renaissance Canadian Balanced Value Fund January 19, 1999 March 10, 1999 October 7, 2005 March 15, 2005 n/a Renaissance Canadian Asset Allocation Fund5 February 10, 1986 February 10, 1986 September 28, 2001 June 1, 2001 n/a Renaissance Global Asset Allocation Fund6 October 8, 1987 October 8, 1987 September 25, 2001 n/a n/a Renaissance Canadian Monthly Income Fund October 30, 1997 October 30, 1997 June 13, 2007 n/a n/a Renaissance Diversified Income Fund November 8, 2002 February 4, 2003 October 14, 2005 July 12, 2005 n/a Renaissance Millennium High Income Fund7 January 6, 1997 February 13, 1997 September 6, 2001 April 18, 2002 n/a Renaissance Canadian Dividend Income Fund November 8, 2002 November 8, 2002 October 19, 2005 August 11, 2005 n/a Renaissance Dividend Fund8 August 25, 1995 September 12, 1995 December 18, 2001 n/a n/a Renaissance Canadian Core Value Fund September 23, 1994 September 23, 1994 September 26, 2005 November 17, 2003 n/a Renaissance Canadian Growth Fund October 30, 1985 October 30, 1985 November 24, 2005 July 12, 2005 n/a Renaissance Canadian Small-Cap Fund9 October 22, 1996 October 25, 1996 November 3, 2005 July 12, 2005 n/a Renaissance Millennium Next Generation Fund10 August 13, 1993 January 19, 1999 February 14, 2001 January 2, 2001 n/a Renaissance U.S. Equity Value Fund November 24, 1998 December 17, 1998 November 3, 2005 November 17, 2003 n/a Renaissance U.S. Equity Growth Fund October 30, 1985 October 30, 1985 November 3, 2005 July 12, 2005 n/a Renaissance U.S. Index Fund October 22, 1996 October 25, 1996 November 23, 2005 n/a n/a Renaissance International Index Fund October 22, 1996 October 25, 1996 September 28, 2005 n/a n/a Renaissance International Equity Fund11 November 6, 2000 January 2, 2001 May 16, 2006 January 2, 2001 n/a Renaissance Global Markets Fund12 October 6, 1992 January 11, 1993 October 19, 2001 November 24, 2006 n/a Renaissance Global Multi Management Fund13 February 4, 2000 February 16, 2000 May 9, 2001 April 18, 2002 n/a Renaissance Global Value Fund14 January 21, 1998 May 1, 1998 February 22, 2002 January 2, 2001 n/a Renaissance Global Growth Fund November 24, 1998 December 17, 1998 September 26, 2005 May 31, 2006 n/a Renaissance Global Focus Fund15 September 3, 1999 September 6, 1999 April 5, 2007 May 31, 2006 n/a Renaissance Global Small-Cap Fund16 January 21, 1998 February 2, 1998 January 31, 2001 January 2, 2001 n/a Renaissance European Fund17 November 24, 1993 November 24, 1993 February 14, 2002 n/a n/a Renaissance Asian Fund18 October 6, 1989 January 2, 1990 May 17, 2002 n/a n/a Renaissance China Plus Fund19 January 21, 1998 February 2, 1998 May 10, 2001 January 2, 2001 n/a Renaissance Emerging Markets Fund20 October 22, 1996 October 25, 1996 May 25, 2007 July 12, 2005 n/a Renaissance Global Technology Fund March 31, 2000 April 6, 2000 n/a n/a n/a Renaissance Global Health Care Fund21 October 2, 1996 November 2, 1996 December 12, 2000 January 2, 2001 n/a Renaissance Global Resource Fund22 July 30, 2002 August 2, 2002 November 27, 2003 January 11, 2007 n/a Renaissance Global Science & Technology Fund23 October 2, 1996 October 28, 1996 December 14, 2000 January 2, 2001 n/a 1Formerly Talvest Money Market Fund 13Formerly Talvest Global Multi Management Fund 2Formerly Talvest Income Fund 14Formerly Talvest Global Equity Fund 3Formerly Talvest Bond Fund 15Formerly Renaissance Global Sectors Fund 4Formerly Talvest Global Bond Fund 16Formerly Talvest Global Small Cap Fund 5Formerly Talvest Cdn. Asset Allocation Fund 17Formerly Renaissance Euro Fund 6Formerly Talvest Global Asset Allocation Fund 18Formerly Talvest Asian Fund 7Formerly Talvest Millennium High Income Fund 19Formerly Talvest China Plus Fund 8Formerly Talvest Dividend Fund 20Formerly Renaissance Developing Capital Markets Fund 9Formerly Renaissance Canadian Small Cap Fund 21Formerly Talvest Global Health Care Fund 10Formerly Talvest Millennium Next Generation Fund 22Formerly Talvest Global Resource Fund 11Formerly Talvest International Equity Fund 23Formerly Talvest Global Science & Technology Fund 12Formerly Talvest Global Markets Fund Notes to Financial Statements

2. Summary of Significant Accounting Policies recorded as an Increase (decrease) in unrealized appreciation (depreciation) of investments These financial statements, prepared in accordance with Canadian generally accepted during the applicable period on the Statements of Operations. accounting principles (‘‘GAAP’’), include estimates and assumptions by management that The gain or loss arising from the difference between the value of the original forward affect the reported amounts of assets, liabilities, income, and expenses during the reporting foreign currency contract and the contract at close or delivery is realized and recorded as Net periods. Actual results may differ from such estimates. realized gain (loss) on foreign currency for Funds that use the forward foreign currency contracts for hedging, or as Income (loss) from forward foreign currency contracts for Funds Future adoption of new accounting standards that do not use the forward foreign currency contracts for hedging. The requirements of CICA Handbook Section 3855, Financial Instruments — Recognition and Measurement (’’CICA 3855’’), became effective for fiscal years beginning on or after e) Futures Contracts October 1, 2006. CICA 3855 prescribes specific guidance for establishing fair values under The margin deposits with brokers relating to futures contracts are included in Margin on the GAAP, including the use of bid prices for long positions and ask prices for short positions for Statements of Net Assets. Any change in the margin requirement is settled daily, and is investments quoted in active markets. Where active markets do not exist, fair values are included in Receivable for portfolio securities sold or Payable for portfolio securities purchased established using a fair valuation technique. Prior to the adoption of CICA 3855, fair values on the Statements of Net Assets. were based on last traded or closing prices or based on management’s best estimate where Any difference between the settlement value at the close of business on each valuation market quotations were not reliable or available. date and the settlement value at the close of business on the previous valuation date is CICA 3855 also requires that transaction costs (such as brokerage commissions) incurred on recorded as Income (loss) from futures contracts on the Statements of Operations. portfolio transactions be recognized immediately in net income and presented as a separate expense item in the financial statements. Prior to CICA 3855, transaction costs were included f) Options in the average cost of investments or as a reduction in the proceeds on the disposition of Premiums paid for purchased call and put options are included in Investments at current value investments. Transaction costs were recognized immediately in net assets and results of on the Statements of Net Assets. When a purchased option expires, the Fund will realize a operations, but were not presented as a separate line item. loss in the amount of the cost of the option. For a closing transaction, the Fund will realize a In accordance with the transitional provisions, CICA 3855 will be adopted by the Funds gain or loss depending on whether the proceeds are greater or less than the premium paid at retroactively on September 1, 2007, without restatement of prior period financial statements. the time of purchase. When a purchased call option is exercised, the cost of the security As a result of the change in accounting policy for the valuation of investments, Net Assets at purchased is increased by the premium paid at the time of purchase. Beginning of Period for each Fund or class, as applicable, will be adjusted to reflect the use of Premiums received from writing options are included in Investments at current value on the bid-ask pricing will be disclosed on the Statements of Changes in Net Assets. There is no Statements of Net Assets as initial reductions in the value of investments. Premiums received impact in the 2007 annual financial statements. There will be no impact to the net assets or from writing options that expire unexercised are recorded as Income on the Statements of results of operations as a result of the change in accounting policy for transaction costs. Operations. For a closing transaction, if the cost of closing the transaction exceeds the premium received, the Funds will record a realized loss, or if the premium received at the a) Investment Transactions, Income Recognition, and Recognition of Realized and time the option was written is greater than the amount paid, the Funds will record a realized Unrealized Gains and Losses gain. If a written put option is exercised, the cost for the security delivered is reduced by the i) Each transaction of purchase or sale of a portfolio asset by a Fund is reflected in the premiums received at the time the option was written. net asset value no later than the first computation of net asset value made after the date on which the transaction becomes binding upon the Fund. g) Securities Lending ii) Interest income is recorded on the accrual basis. The Funds may lend portfolio securities in order to earn additional revenue, which is disclosed iii) Dividend income is recorded on the ex-dividend date. on the Statements of Operations. The loaned assets of any one Fund are not permitted to iv) The valuation of securities and other assets is accounted for on a ‘‘fair value basis’’. exceed 50% of the current value of the assets of that Fund (excluding collateral debt for the This means that the value of the securities and assets is adjusted on each valuation loaned securities). The minimum allowable collateral is 102% of the current value of the date to reflect fair values (‘‘current value’’). loaned securities as per the requirements of National Instrument 81-102. Collateral can consist v) Realized gains and losses on investments and unrealized appreciation or depreciation of the following: of investments are calculated using the average cost of the related investments. i) Cash. vi) Other income is the sum of income other than that which is separately classified on ii) An evidence of indebtedness that is issued or fully and unconditionally guaranteed as the Statements of Operations. to the principal and interest by: a) the government of Canada, or a province or territory of Canada; b) the government of the United States of America or the government of b) Portfolio Securities one of the states of the United States of America; c) the government of another The cost of securities of the Fund is determined in the following manner. Securities are sovereign state, or a permitted supranational agency, if, in each case, the evidence of purchased and sold at a market-traded price to arrive at a value for the position traded. The indebtedness has an approved credit rating; or d) a Canadian financial institution or a total purchased value represents the total cost of the security to the Fund. When additional financial institution that is not incorporated or organized under the laws of Canada or units of the same security are purchased, the cost of those additional units is added to the of a province or territory of Canada, if, in either case, evidences of indebtedness of total security cost. When units of the same security are sold, the proportionate cost of the that issuer or guarantor that are rated as short-term debt by an approved credit rating units of the security sold is deducted from the total security cost. If there is a return of capital organization have an approved credit rating. paid by a security, the amount of this return of capital is deducted from the total security cost. iii) Irrevocable letters of credit issued by a Canadian financial institution, if evidences of This method of tracking security cost is known as ‘‘average cost’’ and the current total for any indebtedness of the Canadian financial institution that are rated as short-term debt by one security is referred to as the adjusted cost base or ‘‘ACB’’ of the security. an approved credit rating organization have an approved credit rating. The difference between the current value of securities and their average cost represents iv) Securities that are immediately convertible into securities of the same issuer, class, or the unrealized appreciation (depreciation) in value of the portfolio investments. The applicable type, and the same term, as the securities loaned. period change in unrealized appreciation (depreciation) of investments is included on the v) Commercial paper with a term to maturity of 365 days or less with an approved credit Statements of Operations. rating and that was issued by a company other than a government or permitted Short-term investments on the Statement of Investment Portfolio include accrued interest. supranational agency. Accrued interest for bonds is disclosed separately on the Statements of Net Assets. The market value of the loaned securities is determined on the close of any valuation date, and any additional required collateral is delivered to the Funds on the next business day. The c) Foreign Exchange securities on loan continue to be included on the Statements of Investment Portfolio, and are The value of investments and other assets and liabilities denominated in foreign currencies is included in the total value on the Statements of Net Assets in Investments at current value. translated into Canadian dollars (except for Renaissance U.S. Money Market Fund, which is valued in USD) at the rates prevailing on each valuation date. h) Multi-Class Structured Funds Purchases and sales of investments, income, and expenses are translated into Canadian Each Fund may issue an unlimited number of classes of units. The realized and unrealized dollars at the foreign exchange rates prevailing on the dates of such transactions. Foreign capital gains or losses, income, and common expenses (other than class specific operating currency translation gains (losses) on investments and income transactions are included in Net expenses and management fees) of the Fund are allocated on each valuation date to the realized gain (loss) on foreign currency and in Income, respectively, on the Statements of unitholders in proportion to the respective prior day’s net asset value, which includes Operations. unitholder trades dated for that day, of each class at the date of which the allocation is made. All class-specific operating expenses and management fees are class-specific, and do not d) Forward Foreign Currency Contracts require allocation. All class-specific operating expenses are paid by the Manager and are Funds may enter into forward foreign currency contracts for either hedging or non-hedging collected from the Funds on a recoverable basis. purposes where such activity is consistent with their investment objectives and as permitted by the Canadian securities regulatory authorities. Changes in the value of forward foreign currency contracts are recorded as Unrealized gain (loss) on forward foreign currency contracts on the Statements of Net Assets, and are Notes to Financial Statements

i) Other Assets and Liabilities Margin paid or deposited in respect of futures contracts and forward contracts will be Other assets and liabilities are recorded at cost, which approximates their current value. reflected as an account receivable and margin consisting of assets other than cash will be noted as held as collateral. j) Legend for Abbreviations Other derivatives and margin are valued in a manner that the Manager determines to The following is a list of abbreviations (foreign currency translation and others) that may be represent their fair value. used in the Statements of Investment Portfolio: e) Restricted Securities Currency Abbreviations Restricted securities purchased by any Fund will be valued in a manner that the Manager AUD – Australian Dollar ITL – Italian Lira determines to represent their fair market value. BEF – Belgium Franc JPY – Japanese Yen CAD – Canadian Dollar KRW – South Korean Won f) Other Securities CHF – Swiss Franc MXN – Mexican Peso All other assets of the Funds will be valued in accordance with the laws of the Canadian CNY – Chinese Renminbi MYR – Malaysian Ringgit securities regulatory authorities, where applicable, and in a manner that most accurately CZK – Czech Koruna NLG – Netherlands Guilder reflects their fair value as determined by the Manager. DEM – Deutsche Mark NOK – Norwegian Krone The value of any security or other property of a Fund for which a market quotation is not DKK – Danish Krone NZD – New Zealand Dollar readily available or where the market quotations do not properly reflect the fair value of such ESP – Spanish Peseta PHP – Philippine Peso securities will be determined by the Manager by valuing the securities at their fair value. EUR – Euro PLN – Polish Zloty FRF – French Franc SEK – Swedish Krona 4. Units Issued and Outstanding GBP – British Pound SGD – Singapore Dollar GRD – Greek Drachma THB – Thai Baht Unitholders have the right to require the Fund to repurchase their units at the net asset value HKD – Hong Kong Dollar TRY – New Turkish Lira next determined. Changes in issued and outstanding units for the periods ended August 31, HUF – Hungarian Forint TWD – Taiwan Dollar 2007, August 31, 2006, and December 31, 2005 are summarized as follows: IDR – Indonesian Rupiah USD – United States Dollar INR – Indian Rupee ZAR – South African Rand Renaissance Money Market Fund — Class A units

Other Abbreviations 2007 2006 2005 Balance — beginning of period 11,782,229 13,751,396 18,302,621 ADR – American Depository Receipt LEPOs – Low Exercise Price Options Units issued for cash and assets (note 12) 20,480,485 13,248,258 20,069,498 ADC – Austrian Depository Receipt MSCI – Morgan Stanley Capital International Units issued on reinvestment of CVO – Contingent Value Obligations NVDR – Non-Voting Depository Receipt distributions 301,620 239,364 265,193 ETF – Exchange Traded Fund OPaLS – Optimized Portfolios as Listed Securities GDR – Global Depository Receipt PERLES – Performance Linked to Equity Securities 32,564,334 27,239,018 38,637,312 iShares – index Shares SDR – Swedish Depository Receipt Units redeemed (13,450,470) (15,456,789) (24,885,916) IPN – International Participation iUnits – Index Units Note Balance — end of period 19,113,864 11,782,229 13,751,396

3. Valuation of Investments Renaissance Money Market Fund — Class O units The valuation date (‘‘Valuation Date’’) for a Fund is any day the Toronto Stock Exchange is open for business. The trustee may, at its discretion, establish other Valuation Dates. 2007 The value of the investments or assets of a Fund is determined as follows: Balance — beginning of period — Units issued for cash 5,405 a) Cash and Cash Equivalents Units issued on reinvestment of Cash, accounts receivable, dividends receivable, distributions receivable, and accrued interest distributions 28 are valued at their recorded cost, plus or minus any foreign exchange between recognition of the asset by the Fund and the current Valuation Date, which approximates current value. 5,433 Short-term investments (money market instruments) are valued at cost plus accrued Units redeemed (159) interest, which approximates current value for all Funds. Balance — end of period 5,274 b) Bonds, Debentures, and Other Debt Obligations Bonds, debentures, and other debt obligations are valued by taking the average of the bid and Renaissance Money Market Fund — Premium Class units ask prices provided by a recognized vendor upon the close of trading on a Valuation Date. 2007 2006 Bonds held in money market funds are valued at cost and plus or minus amortization, including foreign currency translation, if applicable, which approximates market value. Balance — beginning of period 7,045,119 — Units issued for cash 184,793,801 7,146,530 c) Listed Securities, Unlisted Securities, and Fair Value Pricing of Foreign Securities Units issued on reinvestment of Any security that is listed or dealt with on a securities exchange is valued at the closing sale distributions 2,228,763 3,246 price or, if there is no closing sale price on that exchange, and in the case of securities traded 194,067,683 7,149,776 on an over-the-counter (‘‘OTC’’) market, at the average of the closing ask price and the closing Units redeemed (123,202,410) (104,657) bid price unless it is determined by the Manager that these are inappropriate as a basis for Balance — end of period 70,865,273 7,045,119 valuation. In such situations, a fair value will be determined by the Manager. If any securities are inter-listed or traded on more than one exchange or market, the Manager will use the principal exchange or market for valuing such securities. Renaissance Canadian T-Bill Fund — Class A units Unlisted securities are valued at the average of the most recent bid and ask prices quoted 2007 2006 2005 by a recognized dealer, or the Manager may determine a price that more accurately reflects the fair value of these securities. Balance — beginning of period 7,116,861 8,381,429 9,712,950 Fair value pricing is designed to avoid stale prices and to provide a more accurate net asset Units issued for cash 8,222,928 5,497,393 9,382,730 Units issued on reinvestment of value, and may assist in the deterrence of harmful short-term or excessive trading in the distributions 180,466 123,023 118,661 Funds. When securities listed or traded on markets or exchanges that close prior to North American markets or exchanges are valued by the Manager at their fair market value, instead 15,520,255 14,001,845 19,214,341 of using quoted or published prices, the prices of such securities used to calculate the Fund’s Units redeemed (8,276,233) (6,884,984) (10,832,912) net asset value may differ from quoted or published prices of such securities. Balance — end of period 7,244,022 7,116,861 8,381,429 d) Derivatives Long positions in options, debt-like securities, and listed warrants are valued at the closing Renaissance U.S. Money Market Fund — Class A units value as established on either their principal trading exchange or by a recognized dealer in 2007 2006 2005 such securities. The credit rating of each counterparty (as rated by Standard & Poor’s, a division of The McGraw-Hill Companies, Inc.) meets or exceeds the minimum approved credit Balance — beginning of period 2,383,411 2,467,432 2,888,226 rating. Units issued for cash 2,764,236 1,877,701 2,383,826 Units issued on reinvestment of When any option is written by any Fund, the premium received by the Fund will be distributions 94,794 58,312 59,687 reflected as a liability that will be valued at an amount equal to the current market value of the option that would have the effect of closing the position. Any difference resulting from 5,242,441 4,403,445 5,331,739 revaluation shall be treated as an unrealized gain or loss on investment; the liability shall be Units redeemed (3,156,396) (2,020,034) (2,864,307) deducted in arriving at the net asset value of the Fund. The securities, if any, that are the Balance — end of period 2,086,045 2,383,411 2,467,432 subject of a written option will be valued in the manner described above for listed securities. Futures contracts, forward contracts, or swaps will be valued at the gain or loss, if any, that would be realized on the Valuation Date if the position in the futures contracts, forward contracts, or swaps were to be closed out. Notes to Financial Statements

Renaissance Canadian Income Fund — Class A units Renaissance Canadian Real Return Bond Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 4,524,841 6,027,930 7,252,115 Balance — beginning of period 31,823 22,100 — Units issued for cash 322,387 335,396 1,389,163 Units issued for cash and assets (note 12) 54,533 31,191 22,075 Units issued on reinvestment of Units issued on reinvestment of distributions 95,838 91,895 161,542 distributions 908 547 25 4,943,066 6,455,221 8,802,820 87,264 53,838 22,100 Units redeemed (1,940,188) (1,930,380) (2,774,890) Units redeemed (26,585) (22,015) — Balance — end of period 3,002,878 4,524,841 6,027,930 Balance — end of period 60,679 31,823 22,100

Renaissance Canadian Income Fund — Class F units Renaissance Canadian Real Return Bond Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 82,686 95,777 12,825 Balance — beginning of period 859,354 569,892 — Units issued for cash 21,453 23,871 106,922 Units issued for cash 107,765 353,205 571,061 Units issued on reinvestment of Units issued on reinvestment of distributions 2,509 2,055 504 distributions 34,646 17,082 23,603 106,648 121,703 120,251 1,001,765 940,179 594,664 Units redeemed (51,140) (39,017) (24,474) Units redeemed (964,079) (80,825) (24,772) Balance — end of period 55,508 82,686 95,777 Balance — end of period 37,686 859,354 569,892

Renaissance Canadian Income Fund — Class O units Renaissance Canadian High Yield Bond Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 2,662,814 3,025,135 3,269,838 Balance — beginning of period 12,081,769 12,340,881 12,950,788 Units issued for cash 158,690 106,806 344,613 Units issued for cash and assets (note 12) 12,983,837 1,782,971 3,263,021 Units issued on reinvestment of Units issued on reinvestment of distributions 104,634 86,636 134,707 distributions 775,732 501,320 768,654 2,926,138 3,218,577 3,749,158 25,841,338 14,625,172 16,982,463 Units redeemed (833,983) (555,763) (724,023) Units redeemed (3,250,413) (2,543,403) (4,641,582) Balance — end of period 2,092,155 2,662,814 3,025,135 Balance — end of period 22,590,925 12,081,769 12,340,881

Renaissance Canadian Bond Fund — Class A units Renaissance Canadian High Yield Bond Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 5,609,436 6,208,822 6,690,194 Balance — beginning of period 51,482 36,687 — Units issued for cash and assets (note 12) 4,659,047 646,531 1,336,460 Units issued for cash and assets (note 12) 199,780 18,305 36,426 Units issued on reinvestment of Units issued on reinvestment of distributions 176,378 136,798 183,074 distributions 5,201 2,000 261 10,444,861 6,992,151 8,209,728 256,463 56,992 36,687 Units redeemed (2,096,198) (1,382,715) (2,000,906) Units redeemed (9,790) (5,510) — Balance — end of period 8,348,663 5,609,436 6,208,822 Balance— end of period 246,673 51,482 36,687

Renaissance Canadian Bond Fund — Class F units Renaissance Canadian High Yield Bond Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 308 656 65 Balance — beginning of period 12,698 5,362 — Units issued for cash and assets (note 12) 7,181 566 2,813 Units issued for cash 4,075 7,676 5,269 Units issued on reinvestment of Units issued on reinvestment of distributions 176 20 68 distributions 1,027 594 159 7,665 1,242 2,946 17,800 13,632 5,428 Units redeemed (318) (934) (2,290) Units redeemed (17,800) (934) (66) Balance — end of period 7,347 308 656 Balance — end of period — 12,698 5,362

Renaissance Canadian Bond Fund — Class O units Renaissance Global Bond Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 136,314 60,642 — Balance — beginning of period 5,390,171 6,893,182 15,872,503 Units issued for cash and assets (note 12) 152,338 75,913 60,520 Units issued for cash 462,501 953,428 992,945 Units issued on reinvestment of Units issued on reinvestment of distributions 8,167 3,599 967 distributions 118,847 45,602 110,664 296,819 140,154 61,487 5,971,519 7,892,212 16,976,112 Units redeemed (15,626) (3,840) (845) Units redeemed (2,426,712) (2,502,041) (10,082,930) Balance — end of period 281,193 136,314 60,642 Balance — end of period 3,544,807 5,390,171 6,893,182

Renaissance Canadian Real Return Bond Fund — Class A units Renaissance Global Bond Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 6,579,615 5,005,569 1,947,697 Balance — beginning of period 306 239 4,961 Units issued for cash and assets (note 12) 1,662,116 2,370,426 3,540,487 Units issued for cash 859 64 237 Units issued on reinvestment of Units issued on reinvestment of distributions 192,046 83,771 65,073 distributions 3 363 8,433,777 7,459,766 5,553,257 1,168 306 5,261 Units redeemed (2,299,763) (880,151) (547,688) Units redeemed (309) — (5,022) Balance — end of period 6,134,014 6,579,615 5,005,569 Balance — end of period 859 306 239 Notes to Financial Statements

Renaissance Global Bond Fund — Class O units Renaissance Canadian Asset Allocation Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 96,776 36,725 — Balance — beginning of period 28,437,508 33,366,395 44,138,478 Units issued for cash 45,916 64,340 36,934 Units issued for cash 1,670,350 1,345,509 2,278,196 Units issued on reinvestment of Units issued on reinvestment of distributions 4,466 1,136 168 distributions 882,028 252 1,314,434 147,158 102,201 37,102 30,989,886 34,712,156 47,731,108 Units redeemed (11,945) (5,425) (377) Units redeemed (8,248,586) (6,274,648) (14,364,713) Balance — end of period 135,213 96,776 36,725 Balance — end of period 22,741,300 28,437,508 33,366,395

Renaissance Canadian Balanced Fund — Class A units Renaissance Canadian Asset Allocation Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 21,878,821 23,881,748 25,994,429 Balance — beginning of period 675 572 1,487 Units issued for cash and assets (note 12) 2,648,220 1,255,638 2,514,481 Units issued for cash 2,963 313 333 Units issued on reinvestment of Units issued on reinvestment of distributions 492,383 142,171 294,757 distributions 23 —31 25,019,424 25,279,557 28,803,667 3,661 885 1,851 Units redeemed (4,648,208) (3,400,736) (4,921,919) Units redeemed (214) (210) (1,279) Balance — end of period 20,371,216 21,878,821 23,881,748 Balance — end of period 3,447 675 572

Renaissance Canadian Balanced Fund — Class F units Renaissance Canadian Asset Allocation Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 13,436 15 — Balance — beginning of period 7,796,302 8,986,896 11,413,716 Units issued for cash and assets (note 12) 43,875 13,504 15 Units issued for cash 32,176 45,084 61,377 Units issued on reinvestment of Units issued on reinvestment of distributions 741 59 — distributions 460,311 — 607,778 58,052 13,578 15 8,288,789 9,031,980 12,082,871 Units redeemed (6,311) (142) — Units redeemed (1,877,250) (1,235,678) (3,095,975) Balance — end of period 51,741 13,436 15 Balance — end of period 6,411,539 7,796,302 8,986,896

Renaissance Canadian Balanced Fund — Class O units Renaissance Global Asset Allocation Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 6,445,396 6,586,136 4,712,161 Balance — beginning of period 2,120,321 2,701,317 3,537,375 Units issued for cash 566,805 551,555 2,347,661 Units issued for cash and assets (note 12) 1,257,961 144,542 342,125 Units issued on reinvestment of Units issued on reinvestment of distributions 300,656 119,238 173,157 distributions 6,453 12,291 22,584 7,312,857 7,256,929 7,232,979 3,384,735 2,858,150 3,902,084 Units redeemed (3,328,795) (811,533) (646,843) Units redeemed (1,376,605) (737,829) (1,200,767) Balance — end of period 3,984,062 6,445,396 6,586,136 Balance — end of period 2,008,130 2,120,321 2,701,317

Renaissance Canadian Balanced Value Fund — Class A units Renaissance Global Asset Allocation Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 28,857,469 26,550,381 22,050,251 Balance — beginning of period 66 66 122 Units issued for cash and assets (note 12) 7,044,981 5,475,193 8,427,783 Units issued for cash — —— Units issued on reinvestment of Units issued on reinvestment of distributions 1,128,732 224,477 528,391 distributions — —— 37,031,182 32,250,051 31,006,425 66 66 122 Units redeemed (6,396,183) (3,392,582) (4,456,044) Units redeemed — — (56) Balance — end of period 30,634,999 28,857,469 26,550,381 Balance — end of period 66 66 66

Renaissance Canadian Balanced Value Fund — Class F units Renaissance Canadian Monthly Income Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 156,749 38,609 — Balance — beginning of period 53,321,459 58,530,498 67,905,163 Units issued for cash and assets (note 12) 154,650 130,558 38,335 Units issued for cash 1,404,580 651,322 1,633,014 Units issued on reinvestment of Units issued on reinvestment of distributions 7,225 1,216 274 distributions 6,652,695 1,273,684 2,439,454 318,624 170,383 38,609 61,378,734 60,455,504 71,977,631 Units redeemed (86,434) (13,634) — Units redeemed (18,335,819) (7,134,045) (13,447,133) Balance — end of period 232,190 156,749 38,609 Balance — end of period 43,042,915 53,321,459 58,530,498

Renaissance Canadian Balanced Value Fund — Class O units Renaissance Canadian Monthly Income Fund — Class F units 2007 2006 2005 2007 Balance — beginning of period 3,925,456 2,784,020 — Balance — beginning of period — Units issued for cash 806,699 1,223,475 2,741,869 Units issued for cash 6,549 Units issued on reinvestment of Units issued on reinvestment of distributions 256,885 66,473 75,661 distributions 99 4,989,040 4,073,968 2,817,530 6,648 Units redeemed (4,567,391) (148,512) (33,510) Units redeemed — Balance — end of period 421,649 3,925,456 2,784,020 Balance — end of period 6,648 Notes to Financial Statements

Renaissance Diversified Income Fund — Class A units Renaissance Canadian Dividend Income Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 22,919,104 21,945,902 16,278,642 Balance — beginning of period 69,200 48,246 — Units issued for cash 1,387,832 3,233,200 9,037,257 Units issued for cash 31,599 45,084 48,039 Units issued on reinvestment of Units issued on reinvestment of distributions 837,173 554,503 816,904 distributions 796 1,235 207 25,144,109 25,733,605 26,132,803 101,595 94,565 48,246 Units redeemed (7,214,978) (2,814,501) (4,186,901) Units redeemed (45,643) (25,365) — Balance — end of period 17,929,131 22,919,104 21,945,902 Balance — end of period 55,952 69,200 48,246

Renaissance Diversified Income Fund — Class F units Renaissance Canadian Dividend Income Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 55,163 15,089 — Balance — beginning of period 3,570,000 3,570,000 — Units issued for cash 162,097 47,349 15,066 Units issued for cash 18,616 — 3,570,000 Units issued on reinvestment of Units issued on reinvestment of distributions 3,029 976 23 distributions 593 —— 220,289 63,414 15,089 3,589,209 3,570,000 3,570,000 Units redeemed (36,550) (8,251) — Units redeemed (1,052,489) —— Balance — end of period 183,739 55,163 15,089 Balance — end of period 2,536,720 3,570,000 3,570,000

Renaissance Diversified Income Fund — Class O units Renaissance Dividend Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 3,494,474 3,482,311 — Balance — beginning of period 8,612,498 8,760,044 8,346,008 Units issued for cash 21,918 13,389 3,482,164 Units issued for cash 2,138,846 1,074,650 2,460,060 Units issued on reinvestment of Units issued on reinvestment of distributions 1,802 1,073 255 distributions 189,519 132,873 205,148 3,518,194 3,496,773 3,482,419 10,940,863 9,967,567 11,011,216 Units redeemed (1,063,656) (2,299) (108) Units redeemed (2,351,622) (1,355,069) (2,251,172) Balance — end of period 2,454,538 3,494,474 3,482,311 Balance — end of period 8,589,241 8,612,498 8,760,044

Renaissance Millennium High Income Fund — Class A units Renaissance Dividend Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 113,462,575 107,091,340 89,778,487 Balance — beginning of period 16,482 8,970 6,708 Units issued for cash and assets (note 12) 7,050,671 15,380,123 32,093,409 Units issued for cash 4,192 10,078 7,308 Units issued on reinvestment of Units issued on reinvestment of distributions 4,169,163 2,994,224 4,634,412 distributions 385 257 177 124,682,409 125,465,687 126,506,308 21,059 19,305 14,193 Units redeemed (35,878,764) (12,003,112) (19,414,968) Units redeemed (3,335) (2,823) (5,223) Balance — end of period 88,803,645 113,462,575 107,091,340 Balance — end of period 17,724 16,482 8,970

Renaissance Millennium High Income Fund — Class F units Renaissance Canadian Core Value Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 1,162,146 1,083,754 890,186 Balance — beginning of period 16,651,816 17,097,212 16,472,120 Units issued for cash 237,047 284,144 457,476 Units issued for cash and assets (note 12) 3,731,568 1,777,013 3,684,396 Units issued on reinvestment of Units issued on reinvestment of distributions 37,782 25,174 33,819 distributions 1,022,712 971 23,565 1,436,975 1,393,072 1,381,481 21,406,096 18,875,196 20,180,081 Units redeemed (472,181) (230,926) (297,727) Units redeemed (3,638,950) (2,223,380) (3,082,869) Balance — end of period 964,794 1,162,146 1,083,754 Balance — end of period 17,767,146 16,651,816 17,097,212

Renaissance Millennium High Income Fund — Class O units Renaissance Canadian Core Value Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 1,881,429 1,338,932 614,666 Balance — beginning of period 160,260 91,070 — Units issued for cash 263,191 548,914 685,160 Units issued for cash and assets (note 12) 138,909 74,821 92,478 Units issued on reinvestment of Units issued on reinvestment of distributions 88,196 52,415 51,693 distributions 15,864 — 454 2,232,816 1,940,261 1,351,519 315,033 165,891 92,932 Units redeemed (1,658,508) (58,832) (12,587) Units redeemed (24,717) (5,631) (1,862) Balance — end of period 574,308 1,881,429 1,338,932 Balance — end of period 290,316 160,260 91,070

Renaissance Canadian Dividend Income Fund — Class A units Renaissance Canadian Core Value Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 12,628,949 11,702,851 8,507,057 Balance — beginning of period 3,307,409 2,712,255 943,470 Units issued for cash 1,954,094 2,192,666 4,581,926 Units issued for cash 531,644 903,836 1,882,460 Units issued on reinvestment of Units issued on reinvestment of distributions 258,569 185,594 251,736 distributions 471,472 — 51,502 14,841,612 14,081,111 13,340,719 4,310,525 3,616,091 2,877,432 Units redeemed (2,632,619) (1,452,162) (1,637,868) Units redeemed (1,986,071) (308,682) (165,177) Balance — end of period 12,208,993 12,628,949 11,702,851 Balance — end of period 2,324,454 3,307,409 2,712,255 Notes to Financial Statements

Renaissance Canadian Growth Fund — Class A units Renaissance Millennium Next Generation Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 6,762,458 7,695,231 9,730,569 Balance — beginning of period 60,961 70,649 53,449 Units issued for cash and assets (note 12) 3,517,759 206,636 374,565 Units issued for cash 42,015 22,394 39,946 Units issued on reinvestment of Units issued on reinvestment of distributions 35,523 — 56,014 distributions 4,483 —— 10,315,740 7,901,867 10,161,148 107,459 93,043 93,395 Units redeemed (1,362,394) (1,139,409) (2,465,917) Units redeemed (8,642) (32,082) (22,746) Balance — end of period 8,953,346 6,762,458 7,695,231 Balance — end of period 98,817 60,961 70,649

Renaissance Canadian Growth Fund — Class F units Renaissance Millennium Next Generation Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 3,475 229 — Balance — beginning of period 29,170 41,879 62,929 Units issued for cash and assets (note 12) 24,230 7,934 228 Units issued for cash 1,019 843 611 Units issued on reinvestment of Units issued on reinvestment of distributions 83 — 1 distributions 2,765 — 1,156 27,788 8,163 229 32,954 42,722 64,696 Units redeemed (748) (4,688) — Units redeemed (32,954) (13,552) (22,817) Balance — end of period 27,040 3,475 229 Balance — end of period — 29,170 41,879

Renaissance Canadian Growth Fund — Class O units Renaissance U.S. Equity Value Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 34,319 16,136 — Balance — beginning of period 4,029,866 4,831,223 6,167,587 Units issued for cash and assets (note 12) 6,526,370 20,497 15,725 Units issued for cash and assets (note 12) 3,280,115 228,173 571,201 Units issued on reinvestment of Units issued on reinvestment of distributions 1,512 — 571 distributions 19,514 1,188 — 6,562,201 36,633 16,296 7,329,495 5,060,584 6,738,788 Units redeemed (110,773) (2,314) (160) Units redeemed (1,008,457) (1,030,718) (1,907,565) Balance — end of period 6,451,428 34,319 16,136 Balance — end of period 6,321,038 4,029,866 4,831,223

Renaissance Canadian Small-Cap Fund — Class A units Renaissance U.S. Equity Value Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 4,682,243 5,000,281 4,778,463 Balance — beginning of period 460 376 — Units issued for cash and assets (note 12) 7,624,041 750,294 501,608 Units issued for cash and assets (note 12) 17,346 84 376 Units issued on reinvestment of Units issued on reinvestment of distributions 779,144 2,057 750,783 distributions 23 —— 13,085,428 5,752,632 6,030,854 17,829 460 376 Units redeemed (1,003,584) (1,070,389) (1,030,573) Units redeemed (457) —— Balance — end of period 12,081,844 4,682,243 5,000,281 Balance — end of period 17,372 460 376

Renaissance Canadian Small-Cap Fund — Class F units Renaissance U.S. Equity Value Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 3,694 2,799 — Balance — beginning of period 4,870,625 2,163,993 3,038,029 Units issued for cash and assets (note 12) 75,615 1,039 2,770 Units issued for cash 425,445 3,894,105 83,972 Units issued on reinvestment of Units issued on reinvestment of distributions 726 — 62 distributions 196,432 — 26,216 80,035 3,838 2,832 5,492,502 6,058,098 3,148,217 Units redeemed (19,530) (144) (33) Units redeemed (1,469,335) (1,187,473) (984,224) Balance — end of period 60,505 3,694 2,799 Balance — end of period 4,023,167 4,870,625 2,163,993

Renaissance Canadian Small-Cap Fund — Class O units Renaissance U.S. Equity Growth Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 669,344 5,586 — Balance — beginning of period 414,021 511,392 733,463 Units issued for cash and assets (note 12) 175,338 706,556 5,145 Units issued for cash 20,804 17,910 25,262 Units issued on reinvestment of Units issued on reinvestment of distributions 115,045 — 491 distributions — —— 959,727 712,142 5,636 434,825 529,302 758,725 Units redeemed (160,961) (42,798) (50) Units redeemed (99,355) (115,281) (247,333) Balance — end of period 798,766 669,344 5,586 Balance — end of period 335,470 414,021 511,392

Renaissance Millennium Next Generation Fund — Class A units Renaissance U.S. Equity Growth Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 3,770,783 3,601,458 3,348,311 Balance — beginning of period 91 91 — Units issued for cash and assets (note 12) 504,169 616,107 984,750 Units issued for cash — —91 Units issued on reinvestment of Units issued on reinvestment of distributions 201,110 38 7,283 distributions — —— 4,476,062 4,217,603 4,340,344 91 91 91 Units redeemed (885,300) (446,820) (738,886) Units redeemed (91) —— Balance — end of period 3,590,762 3,770,783 3,601,458 Balance — end of period — 91 91 Notes to Financial Statements

Renaissance U.S. Equity Growth Fund — Class O units Renaissance International Equity Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 37,430 14,837 — Balance — beginning of period 35,232 17,644 369,616 Units issued for cash 78,340 24,012 14,971 Units issued for cash 72,441 21,393 126,352 Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions — —— 115,770 38,849 14,971 107,673 39,037 495,968 Units redeemed (49,633) (1,419) (134) Units redeemed (6,990) (3,805) (478,324) Balance — end of period 66,137 37,430 14,837 Balance — end of period 100,683 35,232 17,644

Renaissance U.S. Index Fund — Class A units Renaissance Global Markets Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 4,183,826 5,701,941 9,341,388 Balance — beginning of period 5,977,427 8,104,601 13,112,506 Units issued for cash 65,170 69,661 116,483 Units issued for cash and assets (note 12) 32,261,133 87,919 156,962 Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions 5 11 17 4,248,996 5,771,602 9,457,871 38,238,565 8,192,531 13,269,485 Units redeemed (1,281,535) (1,587,776) (3,755,930) Units redeemed (2,536,361) (2,215,104) (5,164,884) Balance — end of period 2,967,461 4,183,826 5,701,941 Balance — end of period 35,702,204 5,977,427 8,104,601

Renaissance U.S. Index Fund — Class F units Renaissance Global Markets Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 160 61 — Balance — beginning of period 173 166 224 Units issued for cash — 99 2,065 Units issued for cash and assets (note 12) 422,248 18 6 Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions 239 —— 160 160 2,065 422,660 184 230 Units redeemed (160) — (2,004) Units redeemed (4,218) (11) (64) Balance — end of period — 160 61 Balance — end of period 418,442 173 166

Renaissance International Index Fund — Class A units Renaissance Global Markets Fund — Class O units 2007 2006 2005 2007 Balance — beginning of period 3,164,824 4,152,747 6,212,483 Balance — beginning of period — Units issued for cash 142,982 61,813 84,402 Units issued for cash 105,000 Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions — 3,307,806 4,214,560 6,296,885 105,000 Units redeemed (906,412) (1,049,736) (2,144,138) Units redeemed — Balance — end of period 2,401,394 3,164,824 4,152,747 Balance — end of period 105,000

Renaissance International Index Fund — Class F units Renaissance Global Multi Management Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 157 64 — Balance — beginning of period 11,464,964 14,683,540 6,049,611 Units issued for cash — 269 64 Units issued for cash 377,690 308,822 12,170,709 Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions 1,763 1,922 906 157 333 64 11,844,417 14,994,284 18,221,226 Units redeemed (157) (176) — Units redeemed (3,491,063) (3,529,320) (3,537,686) Balance — end of period — 157 64 Balance — end of period 8,353,354 11,464,964 14,683,540

Renaissance International Equity Fund — Class A units Renaissance Global Multi Management Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 10,152,164 12,149,029 15,588,353 Balance — beginning of period 6,833 8,042 8,503 Units issued for cash and assets (note 12) 9,977,452 5,698,128 2,045,841 Units issued for cash 222 — 3,164 Units issued on reinvestment of Units issued on reinvestment of distributions 63 103 106 distributions — —— 20,129,679 17,847,260 17,634,300 7,055 8,042 11,667 Units redeemed (3,779,131) (7,695,096) (5,485,271) Units redeemed (2,113) (1,209) (3,625) Balance — end of period 16,350,548 10,152,164 12,149,029 Balance — end of period 4,942 6,833 8,042

Renaissance International Equity Fund — Class F units Renaissance Global Multi Management Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 13,120 — 111 Balance — beginning of period 10,866 33,231 33,686 Units issued for cash and assets (note 12) 43,806 13,120 — Units issued for cash 20,779 —— Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions — —— 56,926 13,120 111 31,645 33,231 33,686 Units redeemed (2,215) — (111) Units redeemed (379) (22,365) (455) Balance — end of period 54,711 13,120 — Balance — end of period 31,266 10,866 33,231 Notes to Financial Statements

Renaissance Global Value Fund — Class A units Renaissance Global Focus Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 8,657,681 5,982,230 4,968,753 Balance — beginning of period 73 73 — Units issued for cash 7,622,703 4,083,152 3,067,906 Units issued for cash 3,356 —73 Units issued on reinvestment of Units issued on reinvestment of distributions 7,182 5,061 9,491 distributions — —— 16,287,566 10,070,443 8,046,150 3,429 73 73 Units redeemed (2,951,683) (1,412,762) (2,063,920) Units redeemed (73) —— Balance — end of period 13,335,883 8,657,681 5,982,230 Balance— end of period 3,356 73 73

Renaissance Global Value Fund — Class F units Renaissance Global Focus Fund — Class O units 2007 2006 2005 2007 2006 Balance — beginning of period 33,647 10,608 66 Balance — beginning of period 1,200 — Units issued for cash 58,505 27,317 10,608 Units issued for cash 3,623 1,505 Units issued on reinvestment of Units issued on reinvestment of distributions 324 — — distributions — — 92,476 37,925 10,674 4,823 1,505 Units redeemed (4,605) (4,278) (66) Units redeemed (1,438) (305) Balance — end of period 87,871 33,647 10,608 Balance — end of period 3,385 1,200

Renaissance Global Value Fund — Class O units Renaissance Global Small-Cap Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 6,426,057 8,643,239 14,750,836 Balance — beginning of period 3,045,762 3,528,068 3,861,977 Units issued for cash 121,890 13,759 15,670,019 Units issued for cash 212,063 312,950 948,856 Units issued on reinvestment of Units issued on reinvestment of distributions 173,755 — 206,721 distributions 146 252 476 6,721,702 8,656,998 30,627,576 3,257,971 3,841,270 4,811,309 Units redeemed (1,808,269) (2,230,941) (21,984,337) Units redeemed (833,115) (795,508) (1,283,241) Balance — end of period 4,913,433 6,426,057 8,643,239 Balance — end of period 2,424,856 3,045,762 3,528,068

Renaissance Global Growth Fund — Class A units Renaissance Global Small-Cap Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 4,284,363 2,346,298 2,222,451 Balance — beginning of period 11,611 26,935 29,729 Units issued for cash 2,304,347 2,506,828 1,364,869 Units issued for cash 1,746 1,333 5,797 Units issued on reinvestment of Units issued on reinvestment of distributions — 1,207 — distributions — —— 6,588,710 4,854,333 3,587,320 13,357 28,268 35,526 Units redeemed (1,101,391) (569,970) (1,241,022) Units redeemed (3,860) (16,657) (8,591) Balance — end of period 5,487,319 4,284,363 2,346,298 Balance — end of period 9,497 11,611 26,935

Renaissance Global Growth Fund — Class F units Renaissance Global Small-Cap Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 309,318 144,797 — Balance — beginning of period 1,192,262 1,556,176 3,450,251 Units issued for cash 233,964 182,682 145,790 Units issued for cash 3,831 9,192 3,129,872 Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions — —— 543,282 327,479 145,790 1,196,093 1,565,368 6,580,123 Units redeemed (68,298) (18,161) (993) Units redeemed (372,555) (373,106) (5,023,947) Balance — end of period 474,984 309,318 144,797 Balance — end of period 823,538 1,192,262 1,556,176

Renaissance Global Growth Fund — Class O units Renaissance European Fund — Class A units 2007 2006 2007 2006 2005 Balance — beginning of period 149,176 — Balance — beginning of period 1,118,247 1,300,156 1,673,466 Units issued for cash 42,877 151,264 Units issued for cash and assets (note 12) 911,339 83,788 44,055 Units issued on reinvestment of Units issued on reinvestment of distributions — — distributions 17,261 — 4,439 192,053 151,264 2,046,847 1,383,944 1,721,960 Units redeemed (26,596) (2,088) Units redeemed (251,453) (265,697) (421,804) Balance — end of period 165,457 149,176 Balance — end of period 1,795,394 1,118,247 1,300,156

Renaissance Global Focus Fund — Class A units Renaissance European Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 3,992,145 4,901,094 6,880,967 Balance — beginning of period 45 45 — Units issued for cash 404,692 177,104 4,833,292 Units issued for cash and assets (note 12) 206 —45 Units issued on reinvestment of Units issued on reinvestment of distributions — 6 — distributions — —— 4,396,837 5,078,204 11,714,259 251 45 45 Units redeemed (1,024,144) (1,086,059) (6,813,165) Units redeemed (45) —— Balance — end of period 3,372,693 3,992,145 4,901,094 Balance — end of period 206 45 45 Notes to Financial Statements

Renaissance Asian Fund — Class A units Renaissance Emerging Markets Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 765,817 800,694 1,010,646 Balance — beginning of period 1,661 835 — Units issued for cash 49,005 109,545 143,031 Units issued for cash 629 1,036 793 Units issued on reinvestment of Units issued on reinvestment of distributions 144 254 514 distributions 290 —49 814,966 910,493 1,154,191 2,580 1,871 842 Units redeemed (221,197) (144,676) (353,497) Units redeemed (2,580) (210) (7) Balance — end of period 593,769 765,817 800,694 Balance — end of period — 1,661 835

Renaissance Asian Fund — Class F units Renaissance Global Technology Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 690 3,308 2,437 Balance — beginning of period 964,754 1,167,304 1,537,703 Units issued for cash 788 1,959 2,618 Units issued for cash 66,641 82,625 1,115,752 Units issued on reinvestment of Units issued on reinvestment of distributions — — — distributions 2,571 —— 1,478 5,267 5,055 1,033,966 1,249,929 2,653,455 Units redeemed — (4,577) (1,747) Units redeemed (284,006) (285,175) (1,486,151) Balance— end of period 1,478 690 3,308 Balance — end of period 749,960 964,754 1,167,304

Renaissance China Plus Fund — Class A units Renaissance Global Health Care Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 7,767,889 8,714,618 8,798,706 Balance — beginning of period 56,424,924 59,318,472 46,308,362 Units issued for cash and assets (note 12) 1,877,018 537,966 2,814,154 Units issued for cash and assets (note 12) 8,172,954 5,163,567 23,036,495 Units issued on reinvestment of Units issued on reinvestment of distributions 763,890 762 1,301 distributions 9,771 5,420 5,633 10,408,797 9,253,346 11,614,161 64,607,649 64,487,459 69,350,490 Units redeemed (2,426,100) (1,485,457) (2,899,543) Units redeemed (10,819,492) (8,062,535) (10,032,018) Balance — end of period 7,982,697 7,767,889 8,714,618 Balance — end of period 53,788,157 56,424,924 59,318,472

Renaissance China Plus Fund — Class F units Renaissance Global Health Care Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 188,714 210,707 260,196 Balance — beginning of period 2,195,441 1,859,883 1,442,246 Units issued for cash 41,004 21,085 66,859 Units issued for cash and assets (note 12) 944,431 637,469 850,181 Units issued on reinvestment of Units issued on reinvestment of distributions 19,864 — — distributions 114 67 112 249,582 231,792 327,055 3,139,986 2,497,419 2,292,539 Units redeemed (98,004) (43,078) (116,348) Units redeemed (635,753) (301,978) (432,656) Balance — end of period 151,578 188,714 210,707 Balance — end of period 2,504,233 2,195,441 1,859,883

Renaissance China Plus Fund — Class O units Renaissance Global Health Care Fund — Class O units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 124,251 101,734 2,042,149 Balance — beginning of period 2,945,922 2,528,641 19,739,391 Units issued for cash 216,612 36,244 256,462 Units issued for cash 588,752 776,460 4,247,617 Units issued on reinvestment of Units issued on reinvestment of distributions 39,455 — 24,168 distributions — —— 380,318 137,978 2,322,779 3,534,674 3,305,101 23,987,008 Units redeemed (278,256) (13,727) (2,221,045) Units redeemed (1,621,449) (359,179) (21,458,367) Balance — end of period 102,062 124,251 101,734 Balance — end of period 1,913,225 2,945,922 2,528,641

Renaissance Emerging Markets Fund — Class A units Renaissance Global Resource Fund — Class A units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 1,056,683 1,118,070 1,165,316 Balance — beginning of period 1,679,325 1,571,690 1,125,743 Units issued for cash 110,417 91,171 82,107 Units issued for cash 648,413 508,325 997,495 Units issued on reinvestment of Units issued on reinvestment of distributions 146,660 — 141,661 distributions 70 115 — 1,313,760 1,209,241 1,389,084 2,327,808 2,080,130 2,123,238 Units redeemed (220,320) (152,558) (271,014) Units redeemed (817,006) (400,805) (551,548) Balance — end of period 1,093,440 1,056,683 1,118,070 Balance — end of period 1,510,802 1,679,325 1,571,690

Renaissance Emerging Markets Fund — Class F units Renaissance Global Resource Fund — Class F units 2007 2006 2005 2007 2006 2005 Balance — beginning of period 221 104 — Balance — beginning of period 3,871 1,762 5,466 Units issued for cash 544 159 103 Units issued for cash 897 2,463 2,948 Units issued on reinvestment of Units issued on reinvestment of distributions 31 — 1 distributions — —— 796 263 104 4,768 4,225 8,414 Units redeemed (252) (42) — Units redeemed (1,360) (354) (6,652) Balance — end of period 544 221 104 Balance — end of period 3,408 3,871 1,762 Notes to Financial Statements

Renaissance Global Resource Fund — Class O units The maximum management fee expressed as a percentage of the average net assets that can be charged by a class is as follows: 2007 Balance — beginning of period — Maximum Chargeable Management Fee Units issued for cash 21,866 Premium Units issued on reinvestment of Name Class A Class F Class O Class distributions — 1 21,866 Renaissance Money Market Fund 0.75% n/a 0.00% 0.50% Units redeemed — Renaissance Canadian T-Bill Fund 1.00% n/a n/a n/a Renaissance U.S. Money Market Fund 1.00% n/a n/a n/a Balance — end of period 21,866 Renaissance Canadian Income Fund2 1.20% 0.70% 0.00% n/a Renaissance Canadian Bond Fund3 1.50% 0.75% 0.00% n/a Renaissance Global Science & Technology Fund — Class A units Renaissance Canadian Real Return Bond Fund 1.50% 0.75% 0.00% n/a 2007 2006 2005 Renaissance Canadian High Yield Bond Balance — beginning of period 1,117,846 1,389,993 1,663,205 Fund 1.50% 0.75% 0.00% n/a Units issued for cash 78,416 46,636 394,659 Renaissance Global Bond Fund4 1.75% 1.00% 0.00% n/a Units issued on reinvestment of Renaissance Canadian Balanced Fund 1.75% 0.65% 0.00% n/a distributions 3 63Renaissance Canadian Balanced Value 1,196,265 1,436,635 2,057,867 Fund 1.75% 0.65% 0.00% n/a Units redeemed (351,707) (318,789) (667,874) Renaissance Canadian Asset Allocation Fund5 2.00% 1.00% 0.00% n/a Balance — end of period 844,558 1,117,846 1,389,993 Renaissance Global Asset Allocation Fund6 2.00% 1.00% 0.00% n/a Renaissance Global Science & Technology Fund — Class F units Renaissance Canadian Monthly Income Fund 1.50% 0.75% 0.00% n/a 2007 2006 2005 Renaissance Diversified Income Fund 2.00% 0.90% 0.00% n/a Balance — beginning of period 12,366 11,204 15,044 Renaissance Millennium High Income Units issued for cash 1,179 1,208 1,112 Fund7 2.00% 1.25% 0.00% n/a Units issued on reinvestment of Renaissance Canadian Dividend Income distributions — ——Fund 2.00% 1.00% 0.00% n/a 13,545 12,412 16,156 Renaissance Dividend Fund8 2.00% 1.00% 0.00% n/a Units redeemed (1,659) (46) (4,952) Renaissance Canadian Core Value Fund 2.00% 0.75% 0.00% n/a Balance — end of period 11,886 12,366 11,204 Renaissance Canadian Growth Fund 2.00% 0.75% 0.00% n/a Renaissance Canadian Small-Cap Fund9 2.00% 0.75% 0.00% n/a Renaissance Millennium Next Renaissance Global Science & Technology Fund — Class O units Generation Fund10 2.00% 0.75% 0.00% n/a 2007 2006 2005 Renaissance U.S. Equity Value Fund 2.00% 0.75% 0.00% n/a Renaissance U.S. Equity Growth Fund 2.00% 0.75% 0.00% n/a Balance — beginning of period 623,452 753,945 1,592,285 Renaissance U.S. Index Fund 1.50% 0.75% 0.00% n/a Units issued for cash 1,300 9,359 2,225,341 Renaissance International Index Fund 2.00% 1.00% 0.00% n/a Units issued on reinvestment of 11 distributions — ——Renaissance International Equity Fund 2.25% 1.00% 0.00% n/a Renaissance Global Markets Fund12 2.00% 0.75% 0.00% n/a 624,752 763,304 3,817,626 Renaissance Global Multi Management Units redeemed (204,142) (139,852) (3,063,681) Fund13 2.50% 1.25% 0.00% n/a 14 Balance — end of period 420,610 623,452 753,945 Renaissance Global Value Fund 2.50% 1.25% 0.00% n/a Renaissance Global Growth Fund 2.25% 1.00% 0.00% n/a Renaissance Global Focus Fund15 2.25% 1.00% 0.00% n/a 5. Management Fees and Operating Expenses Renaissance Global Small-Cap Fund16 2.50% 1.50% 0.00% n/a Management fees are based on the net assets of the Funds and are calculated daily. Renaissance European Fund17 2.00% 0.75% 0.00% n/a Management fees are paid to the Manager in consideration for providing, or arranging for the Renaissance Asian Fund18 2.50% 1.50% 0.00% n/a provision of, management, distribution, and portfolio advisory services. Renaissance China Plus Fund19 2.50% 1.50% 0.00% n/a In addition to the management fees, the Funds are responsible for all expenses relating to Renaissance Emerging Markets Fund20 2.00% 0.75% 0.00% n/a the operation and conduct of the business of the Funds, including interest, operating, and Renaissance Global Technology Fund 2.00% 0.75% 0.00% n/a administrative costs (other than advertising and promotional expenses, which are the Renaissance Global Health Care Fund21 2.50% 1.50% 0.00% n/a responsibility of the Manager), brokerage fees, commissions, spreads, regulatory fees, a Renaissance Global Resource Fund22 2.50% 1.50% 0.00% n/a portion of the fees paid to members of the Independent Review Committee, taxes, audit and Renaissance Global Science & legal fees and expenses, safekeeping and custodial fees, investor servicing costs, and costs of Technology Fund23 2.25% 1.25% 0.00% n/a unitholder reports, prospectuses, and other reports. All class-specific operating expenses are paid by the Manager and recovered from the Funds. The Funds do not pay a fee to the 1Formerly Talvest Money Market Fund Trustee. 2Formerly Talvest Income Fund The Manager may recover from a Fund less than the actual class-specific operating 3Formerly Talvest Bond Fund expenses paid by the Manager, resulting in the Manager absorbing class-specific expenses. 4Formerly Talvest Global Bond Fund The Manager may also charge less than the maximum management fee noted in the following 5Formerly Talvest Cdn. Asset Allocation Fund table resulting in the Manager waiving management fees. 6Formerly Talvest Global Asset Allocation Fund At its sole discretion, the Manager may stop absorbing class-specific operating expenses 7Formerly Talvest Millennium High Income Fund and/or waiving management fees at any time. Class-specific operating expenses absorbed 8Formerly Talvest Dividend Fund and/or management fees waived by the Manager are disclosed on the Statements of 9Formerly Renaissance Canadian Small Cap Fund Operations. 10Formerly Talvest Millennium Next Generation Fund In some cases, the Manager may charge management fees to an investor that are less than 11Formerly Talvest International Equity Fund the management fees the Manager is entitled to charge for certain investors in a Fund. The 12Formerly Talvest Global Markets Fund difference in the amount of the management fees will be paid out by the Fund to the 13Formerly Talvest Global Multi Management Fund applicable investors as a distribution of additional units of the Fund (‘‘Management Fee 14Formerly Talvest Global Equity Fund Distributions’’). Management Fee Distributions are negotiable between the Manager and the 15Formerly Renaissance Global Sectors Fund investor and are dependent primarily on the size of the investor’s investment in the Fund. 16Formerly Talvest Global Small Cap Fund Management Fee Distributions paid to qualified investors do not adversely impact the Fund or 17Formerly Renaissance Euro Fund any of the Fund’s other investors. The Manager may increase or decrease the amount of 18Formerly Talvest Asian Fund Management Fee Distributions to certain investors from time to time. 19Formerly Talvest China Plus Fund Funds may invest in units of other Funds (the ‘‘Underlying Funds’’). Where a Fund invests in 20Formerly Renaissance Developing Capital Markets Fund units of another Fund, the Fund does not pay duplicate management fees on the portion of its 21Formerly Talvest Global Health Care Fund assets that it invests in units of the Underlying Fund. In addition, the Fund will not pay 22Formerly Talvest Global Resource Fund duplicate sales fees or redemption fees with respect to the purchase or redemption by it of 23Formerly Talvest Global Science & Technology Fund units of the Underlying Fund. Some of the Underlying Funds held by the Funds may offer Management Fee Distributions. Such Management Fee Distributions of an Underlying Fund 6. Income Taxes will be paid out as required for taxable distribution payments by a Fund. The manager of an The Funds qualify or intend to qualify as mutual fund trusts under the Income Tax Act Underlying Fund may, in some cases, waive a portion of an Underlying Fund’s management (Canada). No income tax is payable by the Funds on net income and/or net realized capital fee and/or absorb a portion of an Underlying Fund’s operating expenses. gains that are distributed to unitholders. In addition, income taxes payable on undistributed net realized capital gains are refundable on a formula basis when units of the Funds are Notes to Financial Statements

redeemed. Sufficient net income and realized capital gains of the Funds have been, or will be, among the Funds based on transaction activity or some other fair basis as determined by the distributed to the unitholders such that no tax is payable by the Funds and, accordingly, no sub-advisors. provision for income taxes has been made in the financial statements. Occasionally, a Fund The dollar amounts of all commissions and other fees, in addition to soft dollar payments, may pay distributions in excess of net income and net realized capital gains of the Fund. This for the periods ended August 31, 2007, August 31, 2006, and December 31, 2005 are as excess distribution is called a return of capital and is non-taxable to the unitholder. However, a follows: return of capital reduces the average cost of the unitholder’s units for tax purposes. Renaissance U.S. Money Market Fund may realize net foreign currency gains and losses on Brokerage Commissions and Fees Soft Dollars the translation of the net realized capital gains to Canadian dollars for tax purposes. These Name 2007 2006 2005 2007 2006 2005 gains will be distributed to investors annually, unless the Fund elects to retain them with the Renaissance Canadian High Yield result that the tax would be payable by the Fund. Bond Fund $—$—$ 50$—$—$— Non-capital losses that arose in taxation years before 2004 are available to be carried Renaissance Global Bond Fund 1 9,905 ——— —— forward for seven years and applied against future taxable income. Non-capital losses that Renaissance Canadian Balanced arose in 2004 and 2005 are available to be carried forward for ten years. Non-capital losses Fund 98,433 51,946 73,157 879 684 941 that arose in 2006 and after are available to be carried forward for twenty years. Renaissance Canadian Balanced Capital losses for income tax purposes may be carried forward indefinitely and applied Value Fund 319,162 266,783 180,259 34,559 19,791 15,846 against capital gains realized in future years. Renaissance Canadian Asset Renaissance Money Market Fund, Renaissance Canadian T-Bill Fund, Renaissance Allocation Fund 2 64,220 294,425 563,237 17,473 38,334 74,318 U.S. Money Market Fund, and Renaissance Global Multi Management Fund have taxation Renaissance Global Asset Allocation year-ends of December 31. All other Funds have a taxation year-end of December 15. As at Fund 3 1,936 199 6,829 — —— the December 2006 taxation year-end, the following Funds have available non-capital and Renaissance Canadian Monthly capital losses for income tax purposes available to be carried forward as follows: Income Fund 1,025,583 561,443 549,871 100,014 12,782 25,586 Renaissance Diversified Income Total Total Non-Capital Losses that Expire in: Fund 562,062 358,041 326,251 67,696 15,561 14,842 Capital Non-Capital 2009 and Renaissance Millennium High Name Losses Losses 2007 2008 Thereafter Income Fund 4 1,107,708 913,715 1,071,891 — —— Renaissance U.S. Money Renaissance Canadian Dividend Market Fund $ 21,330,152 $ — $ — $ — $ — Income Fund 161,778 94,856 147,015 31,190 11,040 6,268 Renaissance Canadian Income Renaissance Dividend Fund 5 119,693 62,580 120,022 26,288 3,979 — Fund1 1,756,130 — — — — Renaissance Canadian Core Value Renaissance Global Bond Fund2 16,547,868 770,802 — — 770,802 Fund 706,703 662,788 440,592 72,760 44,541 12,513 Renaissance Canadian Asset Renaissance Canadian Growth Fund 203,629 114,976 203,369 8,484 12,596 15,535 Allocation Fund3 53,944,359 — — — — Renaissance Canadian Small-Cap Renaissance Dividend Fund4 2,663,126 — — — — Fund 6 538,438 263,224 325,251 38,367 14,655 21,788 Renaissance U.S. Equity Growth Renaissance Millennium Next Fund 11,144,312 2,592,962 — 847,004 1,745,958 Generation Fund 7 283,292 145,896 122,339 — —— Renaissance U.S. Index Fund 4,260,571 106,065,264 24,330,908 44,285,125 37,449,231 Renaissance U.S. Equity Value Fund 44,798 131,921 138,114 28,983 3,245 — Renaissance International Index Renaissance U.S. Equity Growth Fund 183,287 43,731,128 — 27,878,810 15,852,318 Fund 11,330 12,782 28,243 — —— Renaissance Global Multi Renaissance International Equity Management Fund5 14,101,736 5,552,521 — — 5,552,521 Fund 8 159,614 35,455 89,841 4,050 4,951 13,733 Renaissance Global Value Fund6 49,691,193 — — — — Renaissance Global Markets Fund 9 153,829 8,386 29,025 — —— Renaissance Global Growth Renaissance Global Value Fund 10 83,738 38,435 270,218 — —— Fund 31,960,885 1,163,948 — 299,424 864,524 Renaissance Global Growth Fund 34,608 23,600 6,907 — —— Renaissance Global Focus Fund7 95,325,506 6,960,566 — 4,095,562 2,865,004 Renaissance Global Focus Fund 11 85,798 40,609 57,227 — —— Renaissance Global Small-Cap Renaissance Global Small-Cap Fund8 60,413,261 4,125,997 316,702 2,637,920 1,171,375 Fund 12 103,750 77,902 163,981 3,563 3,639 8,735 Renaissance Asian Fund9 7,812,327 568,098 — 568,098 — Renaissance European Fund 13 50,224 33,802 70,076 — —— Renaissance Global Technology Renaissance Asian Fund 14 103,159 35,729 105,417 2,428 —— Fund 23,127,561 949,499 327,653 369,579 252,267 Renaissance China Plus Fund 15 1,190,335 342,408 1,276,456 27,918 —— Renaissance Global Resource Renaissance Emerging Markets Fund10 110,834 100,698 — — 100,698 Fund 16 108,060 54,553 74,868 — —— Renaissance Global Science & Renaissance Global Technology Fund 7,369 7,998 13,072 455 724 886 Technology Fund11 300,964,302 5,157,279 — 1,566,244 3,591,035 Renaissance Global Health Care Fund 17 451,311 326,781 678,696 16,566 18,560 31,704 1Formerly Talvest Income Fund 2 Renaissance Global Resource Formerly Talvest Global Bond Fund Fund 18 52,080 26,327 37,751 — —— 3Formerly Talvest Cdn. Asset Allocation Fund 4 Renaissance Global Science & Formerly Talvest Dividend Fund Technology Fund 19 156,627 165,896 326,740 7,114 13,759 22,272 5Formerly Talvest Global Multi Management Fund 6Formerly Talvest Global Equity Fund 1formerly Talvest Global Bond Fund 7Formerly Renaissance Global Sectors Fund 2formerly Talvest Cdn. Asset Allocation Fund 8Formerly Talvest Global Small Cap Fund 3formerly Talvest Global Asset Allocation Fund 9Formerly Talvest Asian Fund 4formerly Talvest Millennium High Income Fund 10Formerly Talvest Global Resource Fund 5formerly Talvest Dividend Fund 11Formerly Talvest Global Science & Technology Fund 6formerly Renaissance Canadian Small Cap Fund 7formerly Talvest Millennium Next Generation Fund 7. Brokerage Commissions and Fees 8formerly Talvest International Equity Fund Brokerage commissions for portfolio transactions are included in the cost of portfolio 9formerly Talvest Global Markets Fund investments purchased or as a reduction of the proceeds received upon the sale of portfolio 10formerly Talvest Global Equity Fund investments. In allocating brokerage business, consideration may be given by the sub-advisors 11formerly Renaissance Global Sectors Fund of the Funds to dealers that furnish research, statistical, and other services to sub-advisors 12formerly Talvest Global Small Cap Fund that process trades through such dealers (referred to in the industry as ‘‘soft dollar’’ 13formerly Renaissance Euro Fund arrangements). These services are paid for with a portion of brokerage commissions and 14formerly Talvest Asian Fund assist the sub-advisors with their investment decision-making services to the Funds. They are 15formerly Talvest China Plus Fund supplied by the dealer executing the trade or by a third party and paid for by that dealer. In 16formerly Renaissance Developing Capital Markets Fund addition, the Manager may enter into commission recapture arrangements with certain dealers 17formerly Talvest Global Health Care Fund with respect to the Fund. Any commission recaptured will be paid to the applicable Fund. 18formerly Talvest Global Resource Fund Fixed income and certain other securities are transacted in an over-the-counter market, 19formerly Talvest Global Science & Technology Fund where participants are dealing as principals. Such securities are generally traded on a net basis and do not normally involve brokerage commissions, but will typically include a ‘‘spread’’ 8. Related Party Transactions (being the difference between the bid and the offer prices on the security of the applicable Canadian Imperial Bank of Commerce (‘‘CIBC’’) and its affiliates have the following roles and marketplace). responsibilities with respect to the Funds, and receive the fees described below in connection Spreads associated with fixed income securities trading are not ascertainable, and for that with their roles and responsibilities. reason are not included in the dollar amounts below. In addition, the soft dollar amounts below only include the value of research and other services supplied by a third party to the Manager, Trustee, and Portfolio Advisor of the Funds sub-advisors, as the value of the services supplied to the sub-advisors by the dealer are not CIBC Asset Management Inc., a wholly-owned subsidiary of CIBC, is the Manager, trustee, ascertainable. When these services benefit more than one Fund, the costs are allocated and portfolio advisor of each of the Funds. The Funds may hold securities of CIBC. These Notes to Financial Statements

holdings are indicated by a footnote on the Statement of Investment Portfolio as issued by a third party and paid for by that dealer. As per the terms of the sub-advisory agreements, such related party. CIBC may also be involved in underwriting or lending to issuers that may be soft dollar arrangements are in compliance with applicable laws. In addition, the Manager may held by the Funds. enter into commission recapture arrangements with certain dealers with respect to the Funds. The Manager also arranges for Fund administrative services (other than advertising and Any commission recaptured will be paid to the relevant Fund. promotional, which are the responsibility of the Manager), legal, investor servicing, and costs Spreads associated with fixed income securities trading are not ascertainable, and for that of unitholder reports, prospectus, and other reports. The Manager is the registrar and transfer reason are not included in the dollar values below. In addition, the soft dollar amounts below agent for the Funds and provides, or arranges for the provision of, all other administrative only include the value of research and other services supplied by a third party to the portfolio services required by the Funds. The dollar amount (including GST) of all of these expenses sub-advisors, as the value of the services supplied to the portfolio sub-advisors by the dealer (net of absorptions) that the Manager recovers from the Funds, for the periods ended are not ascertainable. When these services benefit more than one Fund, the costs are August 31, 2007, August 31, 2006, and December 31, 2005, are as follows: allocated among the Funds based on transaction activity or some other fair basis as determined by the portfolio sub-advisors. The dollar amounts of all commissions and other Administrative and Other Fund fees, in addition to soft dollar payments, paid to CIBC World Markets Inc. and CIBC World Operating Costs Markets Corp. for the periods ended August 31, 2007, August 31, 2006, and December 31, Name 2007 2006 2005 2005 are disclosed in the following tables: Renaissance Money Market Fund1 $ 206,547 $ 147,561 $ 306,010 Renaissance Canadian T-Bill Fund 93,020 60,406 119,355 Soft dollars paid to: Renaissance U.S. Money Market Fund (U.S.$) 13,285 7,090 10,283 CIBC World Markets Inc. Renaissance Canadian Income Fund2 100,838 81,052 191,964 Commissions and other fees paid to: and CIBC World Renaissance Canadian Bond Fund3 36,442 37,444 262,786 CIBC World Markets Inc. CIBC World Markets Corp. Markets Corp. Renaissance Canadian Real Return Bond Fund 1,868 7,199 35,326 Name 2007 2006 2005 2007 2006 2005 2007 2006 2005 Renaissance Canadian High Yield Bond Fund 238,920 106,891 200,631 Renaissance Global Bond Fund4 12,328 22,072 100,213 Renaissance Canadian Renaissance Canadian Balanced Fund 925,364 525,268 822,485 Balanced Fund $ 2,791 $ 1,031 $ 2,789 $ 1,661 $—$—$ 777 $ 684 $ 484 Renaissance Canadian Renaissance Canadian Balanced Value Fund 861,587 454,348 570,634 Balanced Value Fund 30,443 36,438 24,328 — ——5,363 4,766 865 Renaissance Canadian Asset Allocation Fund5 766,820 554,921 1,184,261 6 Renaissance Canadian Renaissance Global Asset Allocation Fund 16,024 14,403 35,575 Asset Allocation Renaissance Canadian Monthly Income Fund 530,478 389,145 615,373 Fund1 2,368 35,856 61,576 — ——998 9,669 19,994 Renaissance Diversified Income Fund 466,615 283,730 377,593 Renaissance Global Renaissance Millennium High Income Fund7 3,160,104 2,319,525 3,719,788 Asset Allocation Renaissance Canadian Dividend Income Fund 306,849 162,880 207,427 Fund2 — — 1,291 — ——— —— Renaissance Dividend Fund8 492,754 267,357 398,412 Renaissance Canadian Renaissance Canadian Core Value Fund 1,072,736 662,140 910,362 Monthly Income Fund 87,126 38,334 60,355 — ——10,452 1,265 1,550 Renaissance Canadian Growth Fund 543,495 293,402 481,189 Renaissance Diversified Renaissance Canadian Small-Cap Fund9 279,468 150,853 212,788 Income Fund 45,238 23,921 43,688 — ——8,801 1,830 725 10 Renaissance Millennium Renaissance Millennium Next Generation Fund 471,043 287,025 409,797 3 Renaissance U.S. Equity Value Fund 99,904 54,189 81,567 High Income Fund 197,115 198,858 205,305 — ——— —— Renaissance Canadian Renaissance U.S. Equity Growth Fund 17,866 13,643 40,970 Dividend Income Renaissance U.S. Index Fund 38,345 26,416 57,480 Fund 13,262 14,995 27,663 — ——3,476 2,139 4,737 Renaissance International Index Fund 29,004 15,083 29,643 Renaissance Dividend Renaissance International Equity Fund11 6,877 3,488 29,966 4 12 Fund 9,040 11,346 17,263 — ——2,379 1,618 — Renaissance Global Markets Fund 200,084 64,668 147,231 Renaissance Canadian Renaissance Global Multi Management Fund13 156,557 108,093 133,750 Core Value Fund 55,068 72,086 44,429 — 2,562 — 9,749 8,036 1,585 Renaissance Global Value Fund14 8,673 5,762 37,902 Renaissance Canadian Renaissance Global Growth Fund 66,620 19,074 18,880 Growth Fund 7,436 9,238 11,849 3,500 ——3,840 504 1,436 15 Renaissance Canadian Renaissance Global Focus Fund 48,798 31,529 39,448 5 Renaissance Global Small-Cap Fund16 36,380 20,917 59,230 Small-Cap Fund 18,530 5,383 22,642 — ——2,095 667 4,013 Renaissance European Fund17 61,795 35,821 79,862 Renaissance Millennium 18 Next Generation Renaissance Asian Fund 20,297 13,254 22,587 6 Renaissance China Plus Fund19 492,462 205,716 328,694 Fund 38,327 21,915 18,060 — ——— —— 20 Renaissance U.S. Equity Renaissance Emerging Markets Fund 39,425 26,095 32,785 Value Fund — ——218 ——— —— Renaissance Global Technology Fund 2,463 1,722 1,282 21 Renaissance Global Renaissance Global Health Care Fund 4,062,124 2,206,642 3,018,693 Markets Fund7 19,480 — 1,959 62 ——— —— Renaissance Global Resource Fund22 56,142 29,024 21,267 23 Renaissance Global Renaissance Global Science & Technology Fund 82,791 53,041 112,944 Value Fund8 — — 239 217 — 1,013 — —— 1 Renaissance Global formerly Talvest Money Market Fund Small-Cap Fund9 390 ——259 1,863 2,141 — —— 2formerly Talvest Income Fund Renaissance Emerging 10 3formerly Talvest Bond Fund Markets Fund — ——190 564 196 — —— 4formerly Talvest Global Bond Fund Renaissance Global 5 Technology Fund — ——— ——11 —— formerly Talvest Cdn. Asset Allocation Fund Renaissance Global 6formerly Talvest Global Asset Allocation Fund Health Care Fund11 — ——2,174 — 2,636 — —— 7 Renaissance Global formerly Talvest Millennium High Income Fund 12 8formerly Talvest Dividend Fund Resource Fund — 204 2,357 — ——— —— 9 Renaissance Global formerly Renaissance Canadian Small Cap Fund Science & Technology 10formerly Talvest Millennium Next Generation Fund Fund13 — ——— ——229 —— 11 formerly Talvest International Equity Fund 1 12 formerly Talvest Cdn. Asset Allocation Fund formerly Talvest Global Markets Fund 2 13 formerly Talvest Global Asset Allocation Fund formerly Talvest Global Multi Management Fund 3 14 formerly Talvest Millennium High Income Fund formerly Talvest Global Equity Fund 4 15 formerly Talvest Dividend Fund formerly Renaissance Global Sectors Fund 5 16 formerly Renaissance Canadian Small Cap Fund formerly Talvest Global Small Cap Fund 6 17 formerly Talvest Millennium Next Generation Fund formerly Renaissance Euro Fund 7 18 formerly Talvest Global Markets Fund formerly Talvest Asian Fund 8 19 formerly Talvest Global Equity Fund formerly Talvest China Plus Fund 9 20 formerly Talvest Global Small Cap Fund formerly Renaissance Developing Capital Markets Fund 10 21 formerly Renaissance Developing Capital Markets Fund formerly Talvest Global Health Care Fund 11 22 formerly Talvest Global Health Care Fund formerly Talvest Global Resource Fund 12 23formerly Talvest Global Science & Technology Fund formerly Talvest Global Resource Fund 13formerly Talvest Global Science & Technology Fund Brokerage Arrangements and Soft Dollars Portfolio sub-advisors make decisions, including the selection of markets and dealers and the Custodian negotiation of commissions, with respect to the purchase and sale of portfolio securities and The custodian holds all cash and securities for the Funds and ensures that those assets are the execution of portfolio transactions. Brokerage business may be allocated by portfolio sub- kept separate from any other cash or securities that they might be holding (the ‘‘Custodian’’). advisors, including CIBC Global Asset Management Inc. (‘‘CIBC Global’’), to CIBC World The Custodian may hire sub-custodians for the Funds. The fees for the services of the Markets Inc. and CIBC World Markets Corp., each a subsidiary of CIBC. Custodian are borne as an operating expense by the Funds. CIBC is the Custodian of the CIBC World Markets Inc. and CIBC World Markets Corp. may also earn spreads on the sale Funds. of fixed income and other securities to the Funds. Dealers, including CIBC World Markets Inc. Service Provider and CIBC World Markets Corp., may furnish research, statistical, and other services to CIBC Mellon Global Securities Services Company (‘‘CIBC GSS’’) provides certain services to portfolio sub-advisors, including CIBC Global, that process trades through them (referred to in the Funds, including securities lending, fund accounting and reporting, and portfolio valuation. the industry as ‘‘soft-dollar’’ arrangements). These services are paid for with a portion of CIBC indirectly owns approximately one-half of CIBC GSS. brokerage commissions and assist the portfolio sub-advisors with their investment decision- making services to the Funds. They are supplied by the dealer executing the trade or by a Notes to Financial Statements

The amounts paid by the Funds (including GST) to CIBC GSS for custodial fees, fund Accrued expenses payable to the Manager, as at August 31, 2007, August 31, 2006, and accounting and reporting, and portfolio valuation (all net of absorptions) and also securities December 31, 2005, are as follows: lending for the periods ended August 31, 2007, August 31, 2006, and December 31, 2005 are as follows: Accrued Expenses Payable to CIBC Asset Management Inc. Custodial Fees, Fund Accounting and Name 2007 2006 2005 Reporting, Securities Lending, and Renaissance Money Market Fund1 $ 79,535 $ 24,611 $ 27,113 Portfolio Valuation Fees: Renaissance Canadian T-Bill Fund 10,090 11,507 14,700 Name 2007 2006 2005 Renaissance U.S. Money Market Fund (U.S.$) 1,782 1,967 1,972 2 1 Renaissance Canadian Income Fund 9,032 14,313 19,428 Renaissance Money Market Fund $ 13,731 $ 16,351 $ 5,201 3 Renaissance Canadian T-Bill Fund 22,228 14,414 24,750 Renaissance Canadian Bond Fund 4,263 3,834 29,117 Renaissance U.S. Money Market Fund (U.S.$) 7,960 5,780 9,291 Renaissance Canadian Real Return Bond Fund 191 237 10,237 2 Renaissance Canadian High Yield Bond Fund 33,576 21,839 22,298 Renaissance Canadian Income Fund 29,410 22,398 4,457 4 Renaissance Canadian Bond Fund3 8,382 9,024 4,639 Renaissance Global Bond Fund 893 7,099 12,050 Renaissance Canadian Real Return Bond Fund 2,593 4,550 42,283 Renaissance Canadian Balanced Fund 82,685 93,264 82,156 Renaissance Canadian Balanced Value Fund 76,972 77,035 69,333 Renaissance Canadian High Yield Bond Fund 129,938 139,044 174,966 5 4 Renaissance Canadian Asset Allocation Fund 65,441 100,423 109,348 Renaissance Global Bond Fund 14,358 33,753 5,818 6 Renaissance Canadian Balanced Fund 150,941 134,180 108,035 Renaissance Global Asset Allocation Fund 3,705 5,801 8,983 Renaissance Canadian Balanced Value Fund 105,137 58,854 143,731 Renaissance Canadian Monthly Income Fund 43,100 65,316 72,661 5 Renaissance Diversified Income Fund 39,237 52,534 48,435 Renaissance Canadian Asset Allocation Fund 134,039 148,083 54,500 7 Renaissance Global Asset Allocation Fund6 29,240 32,621 2,735 Renaissance Millennium High Income Fund 280,373 497,667 396,602 Renaissance Canadian Dividend Income Fund 31,468 31,394 30,459 Renaissance Canadian Monthly Income Fund 302,996 303,925 497,508 8 Renaissance Diversified Income Fund 195,803 43,280 64,756 Renaissance Dividend Fund 47,214 44,836 44,978 Renaissance Millennium High Income Fund7 773,267 720,380 638,009 Renaissance Canadian Core Value Fund 102,638 106,083 100,852 Renaissance Canadian Growth Fund 62,206 49,926 48,368 Renaissance Canadian Dividend Income Fund 63,958 39,447 60,853 9 8 Renaissance Canadian Small-Cap Fund 43,071 28,696 27,080 Renaissance Dividend Fund 56,695 38,198 26,870 10 Renaissance Canadian Core Value Fund 155,632 106,317 202,623 Renaissance Millennium Next Generation Fund 55,164 81,867 47,842 Renaissance Canadian Growth Fund 78,096 44,844 62,607 Renaissance U.S. Equity Value Fund 14,397 11,710 9,200 Renaissance Canadian Small-Cap Fund9 102,983 73,816 67,888 Renaissance U.S. Equity Growth Fund 2,489 2,920 5,384 Renaissance Millennium Next Generation Fund10 107,335 77,730 37,541 Renaissance U.S. Index Fund 3,600 4,945 5,531 Renaissance U.S. Equity Value Fund 40,609 23,201 30,218 Renaissance International Index Fund 2,965 3,876 3,086 Renaissance International Equity Fund11 13,191 862 9,535 Renaissance U.S. Equity Growth Fund 16,048 9,214 22,203 12 Renaissance U.S. Index Fund 15,849 11,784 17,540 Renaissance Global Markets Fund 44,473 14,431 15,091 Renaissance Global Multi Management Fund13 11,305 14,515 30,848 Renaissance International Index Fund 11,395 13,668 9,525 14 Renaissance International Equity Fund11 27,979 23,812 1,199 Renaissance Global Value Fund 1,024 627 8,004 12 Renaissance Global Growth Fund 9,463 6,735 4,515 Renaissance Global Markets Fund 88,429 49,460 7,036 15 13 Renaissance Global Focus Fund 6,272 6,501 6,721 Renaissance Global Multi Management Fund 4,421 3,719 2,072 16 Renaissance Global Value Fund14 25,097 15,183 11,300 Renaissance Global Small-Cap Fund 5,808 7,043 12,281 Renaissance European Fund17 11,381 9,148 11,340 Renaissance Global Growth Fund 47,198 20,236 25,338 18 15 Renaissance Asian Fund 4,808 5,560 5,243 Renaissance Global Focus Fund 31,837 17,630 43,329 19 16 Renaissance China Plus Fund 58,797 42,920 40,473 Renaissance Global Small-Cap Fund 66,540 55,112 25,564 20 Renaissance European Fund17 69,975 41,822 74,792 Renaissance Emerging Markets Fund 12,416 11,201 9,436 18 Renaissance Global Technology Fund 600 823 603 Renaissance Asian Fund 42,157 32,058 40,730 21 19 Renaissance Global Health Care Fund 328,863 352,421 359,936 Renaissance China Plus Fund 144,076 105,592 3,668 22 20 Renaissance Global Resource Fund 7,929 7,260 5,720 Renaissance Emerging Markets Fund 106,776 59,620 71,121 23 Renaissance Global Technology Fund 5,867 4,791 6,389 Renaissance Global Science & Technology Fund 7,199 8,419 12,758 21 Renaissance Global Health Care Fund 246,644 189,350 146,028 1 22 formerly Talvest Money Market Fund Renaissance Global Resource Fund 34,840 17,081 1,925 2 Renaissance Global Science & Technology Fund23 21,517 14,154 4,415 formerly Talvest Income Fund 3formerly Talvest Bond Fund 1formerly Talvest Money Market Fund 4formerly Talvest Global Bond Fund 2formerly Talvest Income Fund 5formerly Talvest Cdn. Asset Allocation Fund 3formerly Talvest Bond Fund 6formerly Talvest Global Asset Allocation Fund 4formerly Talvest Global Bond Fund 7formerly Talvest Millennium High Income Fund 5formerly Talvest Cdn. Asset Allocation Fund 8formerly Talvest Dividend Fund 6formerly Talvest Global Asset Allocation Fund 9formerly Renaissance Canadian Small Cap Fund 7formerly Talvest Millennium High Income Fund 10formerly Talvest Millennium Next Generation Fund 8formerly Talvest Dividend Fund 11formerly Talvest International Equity Fund 9formerly Renaissance Canadian Small Cap Fund 12formerly Talvest Global Markets Fund 10formerly Talvest Millennium Next Generation Fund 13formerly Talvest Global Multi Management Fund 11formerly Talvest International Equity Fund 14formerly Talvest Global Equity Fund 12formerly Talvest Global Markets Fund 15formerly Renaissance Global Sectors Fund 13formerly Talvest Global Multi Management Fund 16formerly Talvest Global Small Cap Fund 14formerly Talvest Global Equity Fund 17formerly Renaissance Euro Fund 15formerly Renaissance Global Sectors Fund 18formerly Talvest Asian Fund 16formerly Talvest Global Small Cap Fund 19formerly Talvest China Plus Fund 17formerly Renaissance Euro Fund 20formerly Renaissance Developing Capital Markets Fund 18formerly Talvest Asian Fund 21formerly Talvest Global Health Care Fund 19formerly Talvest China Plus Fund 22formerly Talvest Global Resource Fund 20formerly Renaissance Developing Capital Markets Fund 23formerly Talvest Global Science & Technology Fund 21formerly Talvest Global Health Care Fund 22formerly Talvest Global Resource Fund 9. Securities Lending 23formerly Talvest Global Science & Technology Fund The following Funds have assets involved in securities lending transactions outstanding as at August 31, 2007:

Securities Collateral on Loan for Loan Renaissance Canadian T-Bill Fund $ 15,770,785 $ 16,909,007 Renaissance Canadian Income Fund2 1,238,025 1,327,377 Renaissance Canadian Bond Fund3 12,381,224 13,274,812 Renaissance Canadian Real Return Bond Fund 3,901,773 4,183,375 Renaissance Canadian High Yield Bond Fund 25,351,561 27,181,254 Renaissance Global Bond Fund4 1,844,484 1,977,605 Renaissance Canadian Balanced Fund 36,464,989 39,096,769 Renaissance Canadian Balanced Value Fund 74,634,553 80,021,135 Renaissance Canadian Asset Allocation Fund5 43,394,191 46,526,071 Renaissance Canadian Monthly Income Fund 54,229,030 58,142,890 Renaissance Diversified Income Fund 40,949,703 43,905,157 Renaissance Millennium High Income Fund7 198,363,854 212,680,325 Renaissance Canadian Dividend Income Fund 19,206,669 20,592,867 Renaissance Dividend Fund8 14,810,562 15,879,482 Renaissance Canadian Core Value Fund 82,917,182 88,901,546 Renaissance Canadian Growth Fund 21,865,787 23,443,901 Notes to Financial Statements

Securities Collateral Collateral Type* i ii iii iv v on Loan for Loan Renaissance International Index Renaissance Canadian Small-Cap Fund9 $ 33,118,545 $ 35,508,803 Fund $ — $ 158,014 $ — $ 1,766 $ 673 Renaissance Millennium Next Generation Fund10 22,609,322 24,241,100 Renaissance Global Markets Renaissance U.S. Equity Value Fund 788,144 845,026 Fund9 — 22,521,584 — 251,692 95,866 Renaissance U.S. Equity Growth Fund 196,165 210,322 Renaissance Global Value Renaissance International Index Fund 149,652 160,453 Fund10 — 5,110,162 — 57,109 21,752 Renaissance Global Markets Fund12 21,329,717 22,869,142 Renaissance Global Growth Renaissance Global Value Fund14 4,839,727 5,189,023 Fund — 3,435,529 — 38,394 14,624 Renaissance Global Growth Fund 3,253,717 3,488,547 Renaissance Global Focus Renaissance Global Focus Fund15 1,633,805 1,751,721 Fund11 — 1,725,099 — 19,279 7,343 Renaissance Global Small-Cap Fund16 7,547,168 8,091,869 Renaissance Global Small-Cap Renaissance European Fund17 1,428,908 1,532,036 Fund12 — 7,968,891 — 89,057 33,921 Renaissance Asian Fund18 722,199 774,323 Renaissance European Fund13 — 1,508,753 — 16,861 6,422 Renaissance Emerging Markets Fund20 656,604 703,993 Renaissance Asian Fund14 — 762,555 — 8,522 3,246 Renaissance Global Technology Fund 125,253 134,293 Renaissance Emerging Markets Renaissance Global Health Care Fund21 89,002,981 95,426,574 Fund15 — 693,294 — 7,748 2,951 Renaissance Global Resource Fund22 2,402,971 2,576,400 Renaissance Global Technology Renaissance Global Science & Technology Fund23 2,673,127 2,866,054 Fund — 132,252 — 1,478 563 Renaissance Global Health Care Fund16 — 93,976,313 — 1,050,239 400,022 Collateral Type* i ii iii iv v Renaissance Global Resource Fund17 — 2,537,245 — 28,355 10,800 Renaissance Canadian T-Bill Renaissance Global Science & Fund $ — $ 16,652,030 $ — $ 186,096 $ 70,881 Technology Fund18 — 2,822,497 — 31,543 12,014 Renaissance Canadian Income 1 Fund — 1,307,204 — 14,609 5,564 * Definitions are in note 2g Renaissance Canadian Bond 1Formerly Talvest Income Fund Fund2 — 13,073,066 — 146,099 55,647 2Formerly Talvest Bond Fund Renaissance Canadian Real 3 Return Bond Fund — 4,119,798 — 46,041 17,536 Formerly Talvest Global Bond Fund Renaissance Canadian High 4Formerly Talvest Cdn. Asset Allocation Fund Yield Bond Fund — 26,768,162 — 299,150 113,942 5Formerly Talvest Millennium High Income Fund Renaissance Global Bond Fund3 — 1,947,550 — 21,765 8,290 6Formerly Talvest Dividend Fund Renaissance Canadian 7Formerly Renaissance Canadian Small Cap Fund Balanced Fund — 38,502,589 — 430,289 163,891 8Formerly Talvest Millennium Next Generation Fund Renaissance Canadian 9Formerly Talvest Global Markets Fund Balanced Value Fund — 78,805,001 — 880,691 335,443 10 Renaissance Canadian Asset Formerly Talvest Global Equity Fund Allocation Fund4 — 45,818,983 — 512,054 195,034 11Formerly Renaissance Global Sectors Fund Renaissance Canadian Monthly 12Formerly Talvest Global Small Cap Fund Income Fund — 57,259,254 — 639,905 243,731 13Formerly Renaissance Euro Fund Renaissance Diversified Income 14Formerly Talvest Asian Fund Fund — 43,237,901 — 483,208 184,048 15Formerly Renaissance Developing Capital Markets Fund Renaissance Millennium High 16 5 Formerly Talvest Global Health Care Fund Income Fund — 209,448,080 — 2,340,703 891,542 17 Renaissance Canadian Dividend Formerly Talvest Global Resource Fund Income Fund — 20,279,903 — 226,640 86,324 18Formerly Talvest Global Science & Technology Fund Renaissance Dividend Fund6 — 15,638,151 — 174,765 66,566 Renaissance Canadian Core 10. Hedging Value Fund — 87,550,449 — 978,427 372,670 Certain foreign currency denominated positions have been hedged, or partially hedged, by Renaissance Canadian Growth forward foreign currency contracts as part of the investment strategies of the Funds. These Fund — 23,087,609 — 258,017 98,275 hedges are indicated by a hedging reference number on the Statement of Investment Renaissance Canadian Small- Portfolio, and a corresponding hedging reference number on the Forward Foreign Currency Cap Fund7 — 34,969,152 — 390,800 148,851 Renaissance Millennium Next Contracts Schedule for the Funds. Generation Fund8 — 23,872,692 — 266,791 101,617 Renaissance U.S. Equity Value 11. Collateral on Specified Derivatives Fund — 832,184 — 9,300 3,542 Short-term investments may be used as collateral for futures contracts outstanding with Renaissance U.S. Equity brokers. Growth Fund — 207,125 — 2,315 882

12. Fund Re-organizations Fund Discontinuation As of the close of business on August 10, 2007, the assets of Talvest Cdn. Multi Management Fund, which consist of Underlying Funds, were distributed in kind to its unitholders as per the following table:

Class A Net Assets Units Underlying Funds Distributed of Distributed of Discontinued Fund Underlying Funds New Names Underlying Fund Underlying Fund Talvest Cdn. Multi Management Fund Talvest Cdn. Equity Value Fund Renaissance Canadian Core Value Fund $ 4,195,213 237,824 Talvest Cdn. Multi Management Fund Talvest Cdn. Equity Growth Fund Renaissance Canadian Growth Fund 4,195,213 487,487 Talvest Cdn. Multi Management Fund Talvest Small Cap Cdn. Equity Fund Renaissance Canadian Small-Cap Fund 1,048,803 36,858 Talvest Cdn. Multi Management Fund Talvest Millennium Next Generation Fund Renaissance Millennium Next Generation Fund 1,048,803 25,939 Under the tax reorganization rules in the Income Tax Act (Canada), the discontinuation was Any unutilized capital and non-capital loss carry forwards of the Discontinued Fund expired carried out on a taxable basis, which means that effectively all unrealized gains and losses of upon the discontinuation. None of the costs related to the discontinuation have been charged the Discontinued Fund units were realized. to the Funds. Notes to Financial Statements

Fund Mergers — Units Issued for Terminated Fund Units As of the close of business on August 17, 2007, the following Fund mergers took place:

Class A Class F Class O Net Assets Units Issued by Net Assets Units Issued by Net Assets Units Issued by Acquired by Continuing Acquired by Continuing Acquired by Continuing Terminating Fund Continuing Fund Post-Merger Fund Name Continuing Fund Fund Continuing Fund Fund Continuing Fund Fund Renaissance Canadian Money Talvest Money Market Fund Renaissance Money Market Fund $ 110,068,221 11,006,822 $ — — $ — — Market Fund Renaissance Canadian Bond Fund Talvest Bond Fund Renaissance Canadian Bond Fund 43,378,604 3,643,485 27,251 2,591 697,183 71,949 Renaissance Global Opportunities Talvest Global Markets Fund Renaissance Global Markets Fund 108,844,831 20,558,871 165,691 14,057 — — Fund Renaissance International Growth Talvest International Equity Fund Renaissance International Equity 34,043,933 6,647,388 416,339 40,877 — — Fund Fund Renaissance Tactical Allocation Talvest Global Asset Allocation Renaissance Global Asset Fund Fund Allocation Fund 6,497,464 984,927 — — — — Talvest European Fund Renaissance Euro Fund Renaissance European Fund 16,229,880 743,324 2,364 206 — — Talvest Small Cap Cdn. Equity Renaissance Canadian Small Cap Renaissance Canadian Small-Cap Fund Fund Fund 140,779,707 6,658,423 705,042 71,764 2,540 208 Talvest U.S. Equity Fund Renaissance U.S. Equity Value Renaissance U.S. Equity Value Fund Fund 18,022,769 1,889,140 174,632 15,827 — — Talvest High Yield Bond Fund Renaissance Canadian High Yield Renaissance Canadian High Yield Bond Fund Bond Fund 54,723,114 6,331,056 1,011,056 103,753 — — Talvest Cdn. Equity Growth Fund Renaissance Canadian Growth Renaissance Canadian Growth Fund Fund 98,302,484 2,869,475 72,267 5,871 82,268,521 6,463,383 Talvest Cdn. Equity Value Fund Renaissance Canadian Core Value Renaissance Canadian Core Value Fund Fund 51,289,520 1,476,578 97,319 9,254 — — Under the tax reorganization rules in the Income Tax Act (Canada) the mergers were carried The Funds involved with the mergers had a deemed year-end for tax purposes. All out on a non-taxable basis, which means that unitholders of the Terminating Funds received unrealized losses of the Terminating Funds were realized and, where possible, unrealized gains units of the Continuing Fund with the same adjusted cost base as the Terminating Fund. were elected to be realized allowing an offset to the realized losses. Unrealized gains were Each Continuing Fund identified above acquired all of the assets and assumed all the also elected to be realized in order to utilize expiring capital and non-capital losses in the liabilities of the applicable Terminating Fund at fair market value, in return for the issuance by Funds. Any unutilized capital and non-capital loss carry forwards of the Funds expired upon the the Continuing Fund of units equal in value to the net assets acquired from the Terminating merger. After the mergers, each Terminating Fund was wound up. None of the costs related Fund. As a result, the unitholders of each Terminating Fund became unitholders of the to the mergers have been charged to the Funds. applicable Continuing Fund.

Fund Mergers — Units Issued for Distributed Assets of Terminated Fund As of the close of business on August 17, 2007, the following mergers took place:

Class A Class F Net Assets Units Issued by Net Assets Units Issued by Invested In Continuing Invested In Continuing Terminating Fund Continuing Fund Post-Merger Fund Name Continuing Fund Fund Continuing Fund Fund Renaissance Talvest Global Health Care Fund Talvest Global Health Care Fund Renaissance Global Health Care Fund $ 23,089,306 1,348,210 $ 35,291 2,687 Renaissance Talvest China Plus Fund Talvest China Plus Fund Renaissance China Plus Fund 3,513,774 197,037 — — Renaissance Talvest Millennium High Income Talvest Millennium High Income Fund Renaissance Millennium High Income Fund 16,769,099 1,255,510 — — Fund Talvest Renaissance Canadian Real Return Renaissance Canadian Real Return Bond Renaissance Canadian Real Return Bond Bond Fund Fund Fund 5,621,557 516,777 356,012 38,205 Talvest Renaissance Canadian Balanced Fund Renaissance Canadian Balanced Fund Renaissance Canadian Balanced Fund 24,831,822 1,122,119 143,660 13,597 Talvest Renaissance Canadian Balanced Value Renaissance Canadian Balanced Value Fund Renaissance Canadian Balanced Value Fund 45,550,302 2,817,539 725,089 68,338 Fund Talvest Renaissance Canadian Core Value Renaissance Canadian Core Value Fund Renaissance Canadian Core Value Fund 19,069,881 549,004 96,145 9,143 Fund Talvest Renaissance U.S. Equity Value Fund Renaissance U.S. Equity Value Fund Renaissance U.S. Equity Value Fund 2,660,623 278,886 — — Under the tax reorganization rules in the Income Tax Act (Canada), the mergers were carried The Funds involved with the mergers had a deemed year-end for tax purposes. All out on a non-taxable basis, which means that unitholders of the Terminating Funds received unrealized losses of the Terminating Funds were realized and, where possible, unrealized gains units of the Continuing Fund with the same adjusted cost base as the Terminating Fund. were elected to be realized allowing an offset to the realized losses. Unrealized gains were The units issued by the Continuing Funds were for cash and assets received from also elected to be realized in order to utilize expiring capital and non-capital losses in the unitholders of the Terminating Funds. The cash and assets used for the issuance of units of Funds. Any unutilized capital and non-capital loss carry forwards of the Funds expired upon the the Continuing Funds were the result of the distribution of the Terminating Funds assets, and merger. After the mergers, each Terminating Fund was wound up. None of the costs related subsequent delivery of those assets to the Continuing Fund. As a result, the unitholders of to the mergers have been charged to the Funds. each Terminating Fund became unitholders of the applicable Continuing Fund. Auditors’ Report

To the Unitholders of

Renaissance Money Market Fund Renaissance Millennium Next Generation Fund Renaissance Canadian T-Bill Fund Renaissance U.S. Equity Value Fund Renaissance U.S. Money Market Fund Renaissance U.S. Equity Growth Fund Renaissance Canadian Income Fund Renaissance U.S. Index Fund Renaissance Canadian Bond Fund Renaissance International Index Fund Renaissance Canadian Real Return Bond Fund Renaissance International Equity Fund Renaissance Canadian High Yield Bond Fund Renaissance Global Markets Fund Renaissance Global Bond Fund Renaissance Global Multi Management Fund Renaissance Canadian Balanced Fund Renaissance Global Value Fund Renaissance Canadian Balanced Value Fund Renaissance Global Growth Fund Renaissance Canadian Asset Allocation Fund Renaissance Global Focus Fund Renaissance Global Asset Allocation Fund Renaissance Global Small-Cap Fund Renaissance Canadian Monthly Income Fund Renaissance European Fund Renaissance Diversified Income Fund Renaissance Asian Fund Renaissance Millennium High Income Fund Renaissance China Plus Fund Renaissance Canadian Dividend Income Fund Renaissance Emerging Markets Fund Renaissance Dividend Fund Renaissance Global Technology Fund Renaissance Canadian Core Value Fund Renaissance Global Health Care Fund Renaissance Canadian Growth Fund Renaissance Global Resource Fund Renaissance Canadian Small-Cap Fund Renaissance Global Science & Technology Fund (collectively, the ‘‘Funds’’)

We have audited the statements of net assets of the Funds as at August 31, 2007 and 2006, and December 31, 2005, the statement of investment portfolio as at August 31, 2007, and the statements of operations and changes in net assets for the periods then ended. These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with Canadian generally accepted auditing standards. Those standards require that we plan and perform an audit to obtain reasonable assurance whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation.

In our opinion, these financial statements present fairly, in all material respects, the financial position of the Funds as at August 31, 2007 and 2006, and December 31, 2005, and the results of their operations and the changes in their net assets for the periods then ended in accordance with Canadian generally accepted accounting principles.

Toronto, Canada, Chartered Accountants October 19, 2007. Licensed Public Accountants

Renaissance Investments 1500 University Street, Suite 800 Montreal, Quebec H3A 3S6 1-888-888-FUND (3863)

Website www.renaissanceinvestments.ca

CIBC Asset Management Inc., the manager and trustee of the Renaissance Investments family of funds, is a wholly-owned subsidiary of Canadian Imperial Bank of Commerce (CIBC ). Commissions, trailing commissions, management fees, and expenses all may be associated with an investment in the Renaissance Investments family of funds. Please read the Renaissance Investments family of funds simplified prospectus before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated. TMRenaissance Investments is a trademark of CIBC Asset Management Inc. Renaissance Investments is offered by CIBC Asset Management Inc.

NJ02021E (200711)