CHOICES Plans that fit your life

GROUP CHOICES PLAN Continue to enjoy many of the benefits of a group savings plan one phone call is all it takes!

Just because you’re leaving your employer plan, it doesn’t mean you also have to leave your group savings behind. During this transitional period, it’s important that you understand the choices you have so you are able to maintain the valuable savings plan you had under your employer plan – savings you've worked so hard to earn.

With Sun Life Financial, you’ve got choices. Through the Group Choices Plan, you will move directly from your employer’s plan to this exclusive group plan, helping you begin the next chapter of your life.

Exclusive offer! The Group Choices Plan is only available to former members of group retirement plans administered by Sun Life Financial, and their spouses.

Make the move Call us today at 1-877-893-9893

✆ 1 A licensed Consultant is available to answer your questions and walk you through the application process over the phone.

1 Registered as Financial Advisors in the province of .

Group Retirement Services are provided by the Sun Life Assurance Company of , a member of the Sun Life Financial group of companies.

2 About Group Choices Plan

About the Group Choices Plan What is the Group Choices Plan? During this transitional period, you'll need to make some time-sensitive decisions regarding the that you have under your previous employer’s group savings plan. But there’s no need to worry. Sun Life Financial's Group Choices Plan is designed to go where you go. With the Group Choices Plan, you'll continue to enjoy many of the same benefits of your former group plan that simply cannot be matched by opening an individual account at any other financial institution. Choices plan members benefit from: 1. Convenience Easily enrol over the phone or online. Review and manage your savings and protection coverage online 24/7 via mysunlife.ca.

2. No interruption in coverage2 You’ll have confidence knowing you’re protecting your assets and your family’s financial future3.

3. Access to diverse and well managed funds Choose from more than 70 investment options, all managed by highly qualified fund managers many of whom are not available to the average individual investor, carefully chosen for their operational transparency, financial stability and market demand.

4. Competitive fund management fees The Group Choices savings plan uses a tiered fund management fee structure. This means that your average monthly account balance determines the fees you pay and you can automatically qualify for lower fees as your account balance increases. As a Choices member, you will continue to benefit from competitive fees for your .

5. Ongoing support and objective guidance You have access to confidential one-on-one guidance through our licensed Financial Services Consultants1, or we can match you with a Sun Life Financial advisor who can help you create or review your financial plan.

6. Access to special offers for Sun Life Financial clients Take advantage of special offers and savings on other products and services such as car, home and travel insurance, through Sun Life Financial’s network of insurance providers.

Joining the Group Choices Plan is easy 1 Evaluate your investor profile and choose new funds It's always a good idea to understand what kind of investor you are. We've included an investment questionnaire on page 6 that can help you determine your investor profile and help you select the types of funds best for you. To learn more about the fund options available, call and speak with a licensed Financial Services Consultant1 or, once enrolled, go to mysunlife.ca. 2 Keep what you have It's easy. You can automatically move all of your current group investments into the Group Choices Plan. If any of your current investments are not available under the Plan, we will help you select a similar option. If you are still undecided or a similar investment option is not available, your assets will be invested as follows unless your settlement option letter indicates otherwise: > RRSP/LIRA – Sun Life Financial GraniteTM Conservative Fund with the target date closest to, without exceeding, your 65th birthday or the Sun Life Financial GraniteTM Retirement Segregated Fund if you are over age 65. > NREG/TFSA – Sun Life Financial Money Market Segregated Fund. The funds above are subject to change by Sun Life Financial and/or your former Group Plan Sponsor.

3 Receive plan guidance If you have any questions, please do not hesitate to call us. A licensed Financial Services Consultant1 from Sun Life is happy to help you choose your Group Choices Plan investments. Call toll free 1-877-893-9893, Monday to Friday, 8:00 a.m. to 8:00 p.m. E.T.

2 By enrolling within the specified time period, dependent on the product. 3 Some Choices products may require minimal health questions be answered in order to qualify. 3 Your money. Your choice. Choose the plan that best fits your financial goals You have a full range of Group Choices Plan products from which to choose: Registered Retirement Savings Plan (RRSP) You can transfer assets from your group Registered Retirement Savings Plan (RRSP), Deferred Profit Sharing Plan (DPSP), or non-locked-in savings from a Defined Contribution Pension Plan (DCPP) to a Group Choices Plan RRSP account. An RRSP is a savings vehicle for retirement, approved under the Income Tax Act and designed to encourage you to save for your own retirement. You can continue to contribute to your Group Choices Plan RRSP, subject to Canada Revenue Agency maximums. All contributions are tax deductible and the investment earnings are tax deferred until withdrawal. You can transfer any locked-in assets from a DCPP or other pension plan to a Group Choices Plan locked-in RRSP or a Locked-In Retirement Account (LIRA). Non-Registered Plan (NREG) You can transfer assets from your group NREG or Employee Profit Sharing Plan (EPSP) account to a Group Choices Plan NREG account. No tax will be withheld on amounts transferred, but the transfer will trigger a capital gain or loss, which you are required to report on your income tax return. A non-registered plan is a savings plan under which your contributions are not tax deductible. You can contribute as much money as you like to non-registered plans, and while withdrawals made from the plan are not taxable, it will trigger a capital gain or loss. In addition, investment earnings are taxed as they are earned. Tax-Free Savings Account (TFSA) You can transfer your assets from your group TFSA to a Group Choices Plan TFSA. A TFSA is a savings plan in which all investment earnings are sheltered from tax. You can continue to make ongoing after-tax contributions4 each year to your Group Choices Plan TFSA and have complete flexibility to make tax-free withdrawals at any time. Under TFSA rules, you can also put back any amounts that you withdraw the following year.

4 This amount is subject to change depending on your personal TFSA contribution limit.

Group Choices savings plan fees The Group Choices savings plan uses a tiered fund management fee (FMF) structure based on your average monthly account balance. The fee structure includes four tiers and each fund’s FMF depends on your tier. As your average monthly account balance increases to a higher tier, the FMFs you pay will automatically decrease.

Since increasing your account balance may mean qualifying for lower fees, you’ll benefit from making additional contributions or transferring other savings you have to your Group Choices savings plan(s).

If your account balance falls to a lower tier because of withdrawals or market fluctuations, your FMFs will automatically increase until your account balance moves back to a higher tier. The table below has the average monthly account balance in each savings plan and average fee reduction, for each tier. If your account balance places you in a higher tier, you will automatically qualify for lower FMFs, as outlined in the table. When you qualify for lower fees, we apply a rebate to reduce the fees you pay. This fee reduction will appear as a Fee Rebate on your monthly statement and represents the amount you are saving because of your account balance and associated tier.

Tier Average monthly savings balance Average fee reduction (% fee savings from Tier 1) 1 $0 - $74,999.99 N/A 2 $75,000 - $299,999.99 0.05% 3 $300,000-$999,999.99 0.50% 4 $1,000,000+ 0.60%

4 How much might you save by moving to a higher tier? With the Group Choices savings plan’s tiered fee structure, you automatically qualify for lower FMFs when you move to a higher tier. Take Julie, for example. Julie is currently in Tier 2 because her only savings plan has an average monthly account balance of $275,000. Julie decides to transfer $40,000 from her RRSP at another financial institution to her Group Choices savings plan. Doing so moves her to Tier 3 and allows her to automatically qualify for lower FMFs. By maintaining her Tier 3 average monthly account balance for 12 months, Julie is able to save approximately $878 in fees.

Fees matter - they can save you thousands of dollars Getting started Getting As a Choices member, you will continue to benefit from competitive fund management fees. And, as your account balance increases, you can automatically qualify for lower fees. You may not think this makes much of a difference, but you’ll be surprised at the impact over the long term. Paying lower fund management fees can potentially save you a significant amount of money over time.

Look at how much money a 0.50% difference in fees can save you over the long term! This example is based on a transfer-in amount of $45,000 and monthly contributions of $250.

Balance in your account at age 655 Additional growth in savings Age at time 1.50% fee 2.00% fee 0.50% reduction in management fees of transfer-in 30 $350,091 $305,462 $44,629 40 $224,089 $203,043 $21,046 50 $134,115 $126,090 $8,025

Investment returns in segregated funds are not guaranteed in the Group Choices plan. You should keep in mind that investing involves risk. The value of your investment will fluctuate over time, and you may gain or lose money as a result. 5 Assumes a 5% investment growth rate and an annual contribution made at the beginning of each year over a defined term. This chart is for illustrative purposes only. It is not intended to predict or project investment results. Contributions are subject to personal contribution limits.

Do you have questions or would like to discuss Group Choices funds? ✆ Call 1-877-893-9893 any business day from 8 a.m. to 8 p.m. E.T. to speak with one of our licensed Financial Services Consultants.

5 What type of investor are you? This is the perfect time to re-evaluate your investment needs to make sure they are in line with your current financial goals, as these goals can change over time. The Investment Risk Profiler is a great place to start. We all have different comfort levels with risk. Whether you are saving for the short term or for years down the road, an important part of your strategy is deciding how to invest your money. By defining your current situation, identifying your goals and determining the type of investor you are, you’ll get a feel for the types of investments that may be right for you. The short term: If you’re going to need your money soon, conservative investments, like short-term guaranteed funds and money market funds, will reduce your risk of selling at a loss. The long term: The longer your investment time horizon, the more diverse your investments can be. You may want to consider investing a portion of your savings more aggressively to generate a higher return and offset the effects of inflation.

Get started Find out about what type of investor you are and how much risk you are comfortable with by completing one of the below tools:

Filling out the Investment Risk Profiler on the following page. OR Complete the allocation tool by signing into your account at mysunlife.ca, then under Investments select my money tools

6 Investment Risk Profiler This tool will help you determine what kind of investor you are, and how much risk you may be comfortable with as you save. The tool is not meant to determine how much you need to save for your savings goals nor does it constitute comprehensive financial advice. Answer each of the following questions, keeping your savings and investment objectives in mind.

1. Which statement best describes your comfort level 5. If your investment dropped in value by 20% in one month, with fluctuations in the value of your investments? how would you react? I’d be very upset if my investments dropped in value over any I’d cash in my investment immediately. (1 point) period of time. (1 point) I’d make no changes until the value recovers and then I’m willing to accept a lower, more predictable rate of return as long re-evaluate. (10 points) as fluctuations in the value of my investments are small. (10 points) I’d do nothing. I understand my investments will fluctuate from day I’m willing to accept some fluctuations in the value of my to day, but believe they will grow over the long term. (20 points) investments as I’m seeking a higher rate of return. (20 points) I’d invest more while the prices are low. (30 points) I want the highest rate of return possible, and understand the value of my investments can fluctuate significantly. (30 points) 6. How would you describe your investing personality? 2. How likely is it that you’ll need access to a large portion I don’t like risk and can only tolerate moderate losses. (1 point)

of this money earlier than expected? I’m willing to take some risk and can tolerate one year of poor Investor questionnaire (E.g. taking early retirement)* returns. (10 points) Very likely (1 point) I can tolerate more than one year of poor returns. (20 points) Somewhat likely (10 points) 7. Which of the following statements best describes your Unlikely (20 points) investment knowledge? I won’t need access to any of the money in this plan early. (30 points) I’m a novice investor. (1 point) * Early retirement is defined by pension legislation and can vary by jurisdiction. I have some knowledge. (10 points) 3. Which of the following pattern of returns would you I have good working knowledge. (20 points) be most comfortable with? Assume an initial amount I consider myself an investment pro. (30 points) of $5,000 invested for 10 years. 8. How long will you leave this money invested before Your investment grows without losses to $8,100. However, in one of the years the value of your portfolio does not increase. (1 point) you’ll need a significant portion of it for your stated objective? Your investment grows to $10,100 in year 10, but slightly declines in value in two of the years. (10 points) Less than 5 years (1 point) Your investment grows to $12,400, but significantly declines in 5-10 years (10 points) value in three of the years and was worth only $3,500 after 11-20 years (20 points) the first year. (20 points) More than 20 years (30 points) 4. With the four results below, how would you invest $10,000? When calculating your score: A guaranteed return of $500. (1 point) > use questions 1 through 7 for the Built FOR me The potential of earning $800 but the risk of earning only $300. Target Date approach (10 points) > use questions 1 through 8 for the Built BY me / The potential of earning $1,200 but the risk of earning nothing. Built FOR me Target Risk approaches (20 points) > the associated risk profiles can be found on the next page The potential of earning $2,500 but the risk of losing $1,000. (30 points)

Your risk profile Built FOR me Score Risk profile Target date Add totals from questions 1 - 7 Left column on next page Score Risk profile Target risk

Built BY me Add totals from questions 1 - 8 Right column on next page 7 Two distinct investment approaches available Built FOR me is right for you if you are NOT comfortable picking Built BY me is right for you if you WANT to pick your own your own investments. You can choose funds based on either your risk investments. You already know your risk tolerance and have a target date tolerance (Target risk) or when you expect you will need your money in mind for when you expect you will need your money. (Target date).

Built FOR me Target date Built BY me & Built FOR me Target risk

A score of 0 to 52 points — Conservative A score of 35 points or less — Conservative You understand the portfolio’s fund mix will You have a need for a predictable flow of automatically adjust over time and provide the income or have a relatively short investment 100 lower-risk investment results you are looking horizon. Your tolerance for volatility is low and for. Combine this portfolio with your planned your primary goal is capital preservation. retirement year to maximize the value of your investments without having to actively A score of 36 to 85 points — Moderate manage your funds. You seek a regular flow of income and stability, while generating some capital growth over A score of 53 to 160 points — Moderate time. Your tolerance for volatility is moderate You understand the portfolio’s fund mix and your primary goal is capital preservation will automatically adjust over time, and with some income. you are willing to accept some volatility 100 for moderate growth. Combine this A score of 86 to 145 points — Balanced portfolio with your planned retirement You’re looking for long-term capital growth and year to maximize the value of your a stream of regular income. You’re seeking investments without having to actively relatively stable returns, but will accept some manage your funds. volatility. You understand that you can’t achieve capital growth without some element of risk. A score of 161 to 190 points — Aggressive You understand the portfolio’s fund mix will A score of 146 to 190 points — Growth automatically adjust over time, and you are You can tolerate relatively high volatility. willing to accept a higher degree of volatility You realize that, over time, equity markets 100 to achieve higher growth. Combine this usually outperform other investments. portfolio with your planned retirement year However, you’re not comfortable having to maximize the value of your investments all your investments in equities. You’re without having to actively manage your funds. looking for long-term capital growth with some income.

A score of 191 points or over — Aggressive You can tolerate volatility and significant Select your target date closest to, without exceeding, your planned fluctuations in the value of your investment retirement year: 2020, 2030, 2040 and 2050. because you realize that, historically, equities perform better than other types of investments. You’re looking for long-term capital growth and are less concerned with Sun Life Financial Granite Conservative Target Date Fund shorter-term volatility. Sun Life Financial Milestone Target Date Fund Sun Life Financial Granite Moderate Target Date Fund BlackRock LifePath Index Target Date Fund Sun Life Financial Granite Aggressive Target Date Fund Cash equivalents U.S. equity Bonds () International equity Canadian equity

8 Choosing your investments

With the results of the Investment Risk Profiler, you should have an idea of the investments that are right for you, and you can now choose your investments. If you’ve made the decision to choose new investment funds, it’s important to decide which primary investment approach you want to take:

1. Built FOR me portfolio Choose this approach if you would like to invest in a single fund that reflects your investment goals and takes care of the active investment decision-making for you. There are two types of pre-built options: > Target Risk: These funds will let you choose a pre-built portfolio that matches your risk tolerance. These are similar to balanced funds and will typically include a description such as conservative, moderate or aggressive as part of their name to describe the risk level of each fund. > Target Date (lifecycle) Funds: These funds are structured to coincide with a key life event, such as retirement, with an asset mix that adjusts automatically as the fund gets closer to maturity. These funds will typically have a year indicated as part of their name.

2. Built BY me portfolio Having completed the Investment Risk Profiler to help determine the asset mix (the mix of stocks, bonds and cash investments) that’s right for you, you'll now build your own investment portfolio. Once you’ve determined your target asset mix, you should review the Fund Sheets at mysunlife.ca to choose the funds that are right for you.

Note: The built BY me option and the built FOR me option are two different approaches that are often used independently. However, you can use them together. For example, if you choose funds under Option 2: Built BY me portfolio as your primary investment choice, you could also select a target date fund available under Option 1: Built FOR me portfolio to complement your primary investment choice.

Investment Fund Sheets online You can get detailed information and analysis about the investment funds available under the Group Choices Plan online from Morningstar®, a leading provider of investment news and evaluation. > Sign in to mysunlife.ca, using your access ID and Password. My plan > On the Home page, select the my financial centre link. > Under the Accounts drop-down menu, select Investment performance.

Segregated Funds Explained The market-based investment funds in your group plan are known as segregated funds. The assets in a segregated fund If you are approaching retirement and require information on are held by an insurance company for investment either by RRIFs, LIFs, LRIFs or annuities, call us at 1-866-224-3906, option 1 the insurance company or by a professional fund manager. The ✆ to learn about the benefits of Sun Life Financial group retirement assets in segregated funds are held in a separate account of income programs. the insurance company and are segregated from the insurance company's other assets. Neither the value of the assets nor the rate of return is guaranteed for segregated funds in your 9 group plan. Option 1: Built FOR me portfolio A pre-built portfolio – in which you choose a single Target Date (Lifecycle) fund, or a Target Risk fund – is designed to be a one-stop investment solution. Simply choose the fund that meets your investor profile or savings goal and the fund manager will take care of the rest. Here are the pre-built portfolio options available to you under the Group Choices Plan:

Target Date (Lifecycle) Funds Target Date (Lifecycle) Funds are structured to coincide with the investment time horizon of a key life event, such as retirement, with a portfolio asset mix that adjusts automatically to more conservative investments as you get closer to your target date. These may be right for you if you: > know when you'll need the money you’re investing; > are looking for capital growth and capital preservation over a set time period; > have other priorities in your life and are comfortable with experts monitoring and adjusting your investments. All you have to do is answer one simple question: What is the target date of the event for which you’re saving? Then pick the appropriate Target Date Fund. Plus, the Sun Life Financial Milestone Funds have the additional bonus of a guarantee, at maturity, of the highest month-end unit value achieved over the life of a fund. The guarantee applies if you hold the Milestone Fund until maturity. If you redeem your units before then, you'll receive the current market value for your fund units.

Target Risk Funds Target Risk Funds are similar to balanced funds in that they generally invest in all of the asset classes. However, Target Risk Funds are usually part of a series of funds, each fund being appropriate for an investor with a different risk tolerance level. Each one holds a different mix of stocks, bonds and cash, creating funds ranging from conservative to aggressive. Please refer to the Investment Risk Profiler to help determine which range is best for you.

Choose the funds that are right for you using a built FOR me portfolio Having completed the Investment Risk Profiler questionnaire on page 6, simply take your score and select one of the fund options below that aligns with your score.

BlackRock Sun Life Financial Granite FundsTM 62 points or less: BlackRock Conservative 35 points or less: Balanced Index Segregated Granite Conservative Fund Fund 36 to 85 points: Granite Moderate Fund 63 to 160 points: BlackRock Moderate 86 to 145 points: Balanced Index Segregated Granite Balanced Fund Fund 146 to 190 points: 161 points or more: Granite Growth Fund BlackRock Aggressive 191 points or more: Balanced Index Segregated Fund Granite Aggressive Fund

10 Option 2: Built BY me portfolio With a built BY me portfolio, you choose a mix of individual funds to create a diversified portfolio that matches your investor profile. > Guaranteed funds earn a set rate of interest along with a guarantee that it, along with your capital, will be returned to you after a specific term. These funds are a very low-risk investment. Guaranteed funds with terms ranging from one to five years may be purchased under the Group Choices Plan. If you withdraw from guaranteed funds prior to maturity, a market value adjustment will apply. > Money market funds invest primarily in short-term (under one year) government treasury bills and corporate notes. Because they are short-term and issued mostly by the government or high-quality businesses, they are liquid and also earn a low rate of return. > Bond/Fixed income funds typically invest in bonds issued by Canadian governments and companies. As well as paying a rate of interest, many bonds held in these funds also have a “market value” which can rise and fall depending on interest rates. As a result, bond funds have the potential for higher returns than money market or guaranteed funds, but there is a greater risk of loss. > Balanced funds are also known as diversified funds and invest in a mix of stocks, bonds, and cash investments. The mix will change as market conditions change, but it usually stays within the pre-determined ranges (e.g. stocks 40-60%, bonds 30-50%, cash 0-30%). The benefit of a balanced fund is that it provides automatic diversification by investing in a variety of asset classes, and reduces your exposure to the risk of having all of your investments in an asset class that is performing poorly. > Canadian equity funds invest primarily in stocks of Canadian companies. Some of these funds may invest up to 30% of their assets in stocks of companies located in other countries. Stocks may be expected to rise in value more than other types of investments, so they offer the greatest potential for long-term growth. However, with stock prices fluctuating more than other types of investments, investing in stock funds is also riskier. > Foreign equity funds invest primarily in stocks of companies located outside of Canada. As with Canadian equity funds, foreign equity funds offer greater potential for long-term growth, but can be riskier than other types of investments.

Staying informed Once you’ve enrolled in your plan, you can find up-to-date fund information through Morningstar®, a leading provider of investment news and evaluation. Simply follow these instructions once you’ve signed in to mysunlife.ca: Please refer to the enclosed > On the Home page, under my financial future, select > Rate Of Return sheets for a list of my financial centre. available funds. If you would like to > Under the Accounts drop-down menu, select Investment receive a hard copy of any of the performance. material, please You can also view your account statements online by signing in to contact a Sun Life Financial Services mysunlife.ca using your personal access ID and password. Select 1 my financial centre followed by Statements under the Accounts Consultant at 1-877-893-9893. drop-down menu. 11 12 Next steps

How do I enrol in the Group Choices Plan? It's easy!

The Group Choices Plan is all about choice. To enrol, simply do one of the following:

1 Call us today. A Financial Services Consultant1 will be happy to answer your questions and can enrol you over the phone. All you have to do is call 1-877-893-9893. 2 Sign in to your Group Retirement Services account at mysunlife.ca and select Leaving the plan. 3 Complete the enclosed Settlement Option Forms and return them to Sun Life Financial in the enclosed envelope. Please note: There may be different requirements for members who reside outside of Canada. For more information call 1-877-893-9893.

Once you’ve chosen where to invest your money, you may also determine how much you want to contribute and your method of payment. Please note that making regular contributions is at your discretion - it’s not a requirement. Should you choose to make contributions, they can be made in two ways: > Through regular Automatic Cheque Plan (ACP) deductions from your bank account (subject to a minimum monthly contribution of $50). > An online lump-sum contribution through mysunlife.ca.

Action required

We ask that you choose one of the options available for your eligible balances within the allotted timeframe indicated in the Settlement Option Form that is enclosed in this package. For your non-registered account(s), the transfer of funds or payment may be subject to capital gains/losses and you will receive the applicable tax form(s) from us. Please refer to the enclosed Settlement Option Form to learn what actions will be taken if you have not contacted us within the stipulated timeframe. Please note: When you move your money from a group plan to the Group Choices Plan, the original beneficiary designations are not automatically transferred, unless the nominations under the group savings plan were irrevocable. You must choose a new beneficiary by completing the Beneficiary Designation Form which will be included in your Welcome Package. If you do not designate a beneficiary, the proceeds of your Group Choices Plan will be paid to your estate in the event of your death. Alternatively, the Beneficiary Designation Form can be found at mysunlife.ca under Profile> Personal Info> Beneficiary Info.

Looking for life and too? When it comes to ensuring you are still protected, Sun Life Financial has you covered. Leaving your group plan doesn't mean you can't enjoy many of the same advantages that a group benefit plan offers. Next steps

My Life Choice Within 60 days of leaving your group plan, you and your spouse can apply for an amount equal to the group coverage (Basic and Optional Life Insurance combined) you had under your group plan, up to a maximum of $1,000,000.

My Health Choice Simply call us within 60 days of the date your group coverage ends to get health and dental coverage at affordable group rates.

Call us today at 1-877-893-9893 to learn more about your options to maintain your coverage. ✆ Monday to Friday, 8:00 a.m. to 8:00 p.m. ET 13 Common questions about the Group Choices Plan

Registered Retirement Savings Plan/ Locked-In Retirement Account Non-Registered Tax-Free Savings Questions (RRSP/LIRA) Plan (NREG) Account (TFSA) What is the To help you in reaching your savings goals To provide an easy method of saving for To provide a convenient method of purpose of the for long-term financial security in retirement. retirement or to reach other financial goals. saving for retirement or other financial Plan? goals with tax-free investment growth. Can I contribute Yes. Call Sun Life and speak to a Financial Services Consultant1 toll free at 1-877-893-9893, Monday to Friday from to any account in 8:00 a.m. to 8:00 p.m. ET. the Plan? Note: You must be at least 18 years of age to enrol in the TFSA. What can I You choose your contribution amount. Contributions can be made in two ways: contribute? 1. Through Automatic Cheque Plan (ACP) deductions – make regular monthly contributions straight from your personal chequing You can make account. changes to your contributions at any 2. Through a lump-sum contribution – make a contribution online at mysunlife.ca, or send us a cheque payable to time by contacting Sun Life Assurance Company of Canada. Sun Life’s Customer Each year, you can contribute to your No maximum. Each year, you can contribute to your Care Centre at RRSP up to your maximum allowable RRSP TFSA up to your maximum allowable 1-877-736-4741 contribution limit. You must remember to TFSA contribution limit. The maximum Monday to Friday include contributions to other personal or will increase yearly with inflation. from 8:00 a.m. to spousal RRSPs in your calculation of your Contributions to the TFSA are not tax- 8:00 p.m. ET. contribution limit. deductible. Will the Group Yes. Call Sun Life and speak with a Financial Services Consultant1 toll free at 1-877-893-9893, Monday to Friday from 8:00 a.m. to Choices Plan 8:00 p.m. ET for help with completing any applicable transfer form(s). accept money from my other plans outside of Sun Life Financial? Can I make Withdrawals are permitted under the RRSP. Withdrawals are permitted. Withdrawals and transfers to another withdrawals? TFSA are permitted at any time. Any Tax withholding applies to all withdrawals. No tax will be withheld since contributions withdrawals that you make in a given To request a are made with after-tax income however, the Cash withdrawals from a LIRA or locked-in year will create contribution room for withdrawal, call withdrawal may trigger a capital gain or loss RRSP are generally not permitted due to the following year. Sun Life's Customer that you are required to report in your tax pension legislation. Care Centre at return. No tax will be withheld on withdrawals 1-877-736-4741 since contributions are made with Monday to Friday after-tax income. from 8:00 a.m. to 8:00 p.m. ET You can make one withdrawal from your plan each year, free of charge. A $25 processing fee will be charged for each additional or request the withdrawal. withdrawal at If you transfer part of your funds to another institution, a $25 fee will apply. mysunlife.ca. A fee of $125 will be charged for withdrawals or transfers to another financial institution when you terminate membership in the Group Choices Plan. The minimum balance requirement is $1,000.00. Should your balance fall below this requirement we reserve the right to close the account and you will receive your balance less applicable fees and taxes. Depending on applicable legislation in accordance with your plan and province of employment. What happens Options include: Options include: Options include: when I terminate • transfer to another RRSP, LIRA or locked- • life annuity or fixed-term annuity • transfer to another TFSA membership in RRSP • lump-sum cash • life annuity or fixed-term annuity in the Group • transfer to a RRIF, LIF, LRIF, PRIF or RLIF • lump-sum cash You must exercise one of the options above Choices Plan? (where permitted by pension legislation) no later than the last day of the calendar You must exercise one of the options • transfer to a pension plan if that plan year in which you reach age 85. If you do not above no later than the last day of the allows choose an option by the end of that year, calendar year in which you reach 85. If • life annuity or fixed-term annuity payable Sun Life Financial will begin making annuity you do not choose an option by the up to age 90 payments to you. end of that year, Sun Life Financial will • lump-sum cash, less tax begin making annuity payments to you. You must exercise one of the options outlined above no later than the last day of the calendar year in which you reach age 71. If you do not choose an option by the end of that year, Sun Life Financial will begin making annuity payments to you.

14 Registered Retirement Savings Plan/ Locked-In Retirement Account Non-Registered Tax-Free Savings Questions (RRSP/LIRA) Plan (NREG) Account (TFSA) What benefits The total of your account balances will be paid to your designated beneficiary as a lump-sum cash payment. are paid if I die? If your spouse or common-law partner is If your spouse or common-law partner your beneficiary, his/her options are: is your beneficiary, he/she may transfer • transfer to his/her own RRSP or RRIF to his/her own TFSA or the • transfer to the Group Choices Plan RRSP Group Choices Plan TFSA. or RRIF • life annuity or fixed-term annuity payable up to age 90 • lump-sum cash

Investments You make the investment decisions. It is important for you to take an active role in your plan, as your decisions will affect the amount of money accumulated for your future. The information provided by Sun Life can assist you in making your decisions. Descriptions of You can change investments offered under the Plan are available online at mysunlife.ca after you've enrolled, or by calling Sun Life's Client Solutions your investment Centre at 1-877-893-9893 Monday to Friday from 8:00 a.m. to 8:00 p.m. ET. In addition, if you need help making an investment selection, direction for future a Financial Services Consultant1 is available to help you. Sun Life's Financial Services Consultants1 are licensed, salaried employees of contributions, or Sun Life Financial. transfer amounts between funds If any of your current investments are not available under the Plan, we will help you select a similar option. If you are still undecided at any time, by or a similar investment option is not available, your assets will be invested as follows unless your settlement option letter indicates accessing your otherwise: • RRSP/LIRA – Sun Life Financial GraniteTM Conservative Fund with the target date closest to, without exceeding, your 65th birthday account online, TM through our self- or the Sun Life Financial Granite Retirement Segregated Fund if you are over age 65. serve Automated • NREG/TFSA – Sun Life Financial Money Market Segregated Fund. Telephone System, The funds above are subject to change by Sun Life Financial and/or your former Group Plan Sponsor. or by completing a form obtained from Sun Life's Customer Care Centre What are my • Understand how the Plan works responsibilities? • Take advantage of the information and tools available to help you make investment decisions • Decide whether you should obtain investment advice and select who you go to for this advice • Make investment decisions • Check how your investments are performing and revise your investment strategy if your personal circumstances change • Determine how much you will contribute How do I access Once you are enrolled, you will receive a welcome letter from Sun Life Financial that includes your account number. You can access my account your account information by calling 1-877-736-4741 toll free for 24-hour Automated Telephone System self-service or the Customer information? Care Centre (8:00 a.m. to 8:00 p.m. ET). You can also review your investments and manage your plan at mysunlife.ca using your access identification number and password (available by registering online or through the Customer Care Centre). Annual statements will be mailed to you. What fees and The Group Choices savings plan administration fee of $15 a month only applies to account balances below $15,000 in each savings penalties apply? plan. For plan members who have assets of $15,000 or more in each savings plan, there is no monthly fee. , administration and account service costs are reflected in your account value. Details about your fees and charges are available: • on your account statement in the section "Performance of investments and fees" and "Administration Fees". • online at mysunlife.ca • by calling the Customer Care Centre at 1-877-736-4741 Short-term trading fee - You will be charged a 2% fee if you initiate an interfund transfer into a fund followed by an interfund transfer out of the same fund within 30 calendar days. The fee will not apply to Guaranteed Investment Accounts, directly held stock or money market fund transactions. Early withdrawal from guaranteed funds - If you make a transfer or withdrawal from a guaranteed fund before the end of the guaranteed term, a market value adjustment will be applied to reflect both interest rate movement and shortened period of investment (except on death or disability). Sun Life’s annuity Upon your election, Sun Life Assurance Company of Canada promises to provide you with an annuity payable for your lifetime using promise the segregated fund and guaranteed fund account balances which you are entitled to under the terms of the Plan. Your annuity payments will depend on your account balance, your age at the date your annuity payments are scheduled to begin, the type of annuity you choose and annuity purchase rates in effect. Payments will be calculated using the greater of (a) the current payout annuity rate effective at the time of calculation, and (b) a rate specified in the Group Annuity Policy. Speak to a Financial Services Consultant1 to find out when an annuity payment will be made. Common questions Official In the event of a conflict between this plan summary and your Group Annuity Policy or other group contract, the official Group documents Annuity Policy or other applicable group contracts will override this plan summary.

Questions? Contact Sun Life's Customer Care Centre representatives toll free at 1-877-736-4741 from 8 a.m. to 8 p.m. ET, any business day.

15 Respecting your privacy Respecting your privacy is a priority for the Sun Life Financial group of Know your responsibilities companies. We keep in confidence personal information about you and the When you become a member of the Group Choices Plan, products and services you have with us to provide you with investment, you are responsible for making investment decisions and retirement and insurance products and services to help you meet your determining how much to contribute toward your plan. It is lifetime financial objectives. To meet these objectives, we collect, use and your responsibility to use the tools and information provided to disclose your personal information for purposes that include: underwriting; administration; claims adjudication; protecting against fraud, errors or you to help you make these decisions. You should also decide misrepresentations; meeting legal, regulatory or contractual requirements; if seeking investment advice from a qualified individual makes and we may tell you about other related products and services that we sense to help with your specific goals. believe meet your changing needs. The only people who have access to your personal information are our employees, distribution partners such as advisors, and third-party service providers, along with our reinsurers. We will also provide access to anyone else you authorize. Sometimes, unless we are otherwise prohibited, these people may be in countries outside Canada, so your personal information may be subject to the laws of those countries. You can ask for the information in our files about you and, if necessary, ask us in writing to correct it. To find out more about our privacy practices, visit www..ca/privacy.

Disclaimer: This material is intended as a general guideline for investment purposes, and is current as of the date indicated below. Market conditions and other factors change over time, and this will affect either positively or negatively one or more asset classes. The investment assumptions we’ve used are based upon historical investment returns, and past returns may not reflect future investment performance. In order to identify an asset allocation model that is appropriate for your individual circumstances, you should consult a qualified financial planner who is familiar with your personal financial circumstances and understands your tolerance for risk.

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© Sun Life Assurance Company of Canada, 2019. TR-00023-E-CA-0519