Companyxx Statement of Commitment

European SRI Transparency Guidelines

KBC Asset Management Statement of Commitment Offering Socially Responsible Investments is an essential part of the strategic positioning and behaviour of KBC ASSET MANAGEMENT. We have been involved in SRI since 1992 and welcome the European SRI Transparency Guidelines. This is our third statement of commitment and it is valid for the period May 2010 to May 2011. Our full response to the European SRI Transparency Guidelines can be accessed below and is available in the annual report of the retail funds and on our web site https://www.kbcam.be/sri .

KBC Asset Management Compliance with the Transparency Guidelines KBC Asset management is committed to transparency and we believe that we are as transparent as possible given the regulatory and competitive environments that exist in the countries in which we operate. KBC ASSET MANAGEMENT meets the full recommendations of the European SRI Transparency Guidelines.

April 30, 2010 Guideline Categories

Section 1. Basic Details Signatories should be clear about who they are and provide precise background 1 information on the fund management company and the fund(s) The fund management company Provide the name of the fund management company managing the fund(s) to which this code apply.

KBC Asset Management NV 1a Havenlaan 6 1080 Brussels – Belgium www.kbcam.be

Describe, in a general way, the SRI philosophy of the fund management company and the way it is declined concretely. Describe the SRI activity of the fund management company or group (philosophy, organisation, research, number of employees) or indicate where this info is available. Describe the way the company/group participates in the distribution and promotion of SRI.

As far back as 1992 KBC Asset Management started to screen listed companies for their efforts in terms of sustainable and socially responsible business practices. This screening is used to determine companies that are potential candidates for Socially Responsible Investment (SRI). KBC Asset Management believes that companies, who are acting in a sustainable way, will take profit out of this strategy. KBC Asset Management wants to stimulate these issuers to continue and enhance their efforts by investing in them. This SRI approach is a key factor in the general KBC investment policy. The concept of sustainable and socially responsible business does however cover a broad range and often there is no theoretical foundation. Moreover, what comprises Socially Responsible Business is not a constant, but something that changes all the 1b time, especially in view of the recent financial crisis. KBC Asset Management has therefore conducted a review to ascertain whether the sustainability criteria used are still commensurate with the current views and ideas on socially responsible business. The outcome is a screening model with a comprehensive theoretical base focusing on the point of view of stakeholders. The social, financial and ecological claims that different stakeholders (e.g. employees, clients, future generations…) make upon a company are the fundamental pillars on which our methodology is based.

To support its investment policy in this regard, KBC Asset Management has set up its own research team, counting 11 employees, to screen the sustainability of the policies pursued by various companies and countries (with a view to investing in government bonds). KBC Asset Management is assisted in this endeavour by an External Advisory Board. The results of this ‘ethical screening’ are used by KBC Asset Management in the management of its ethical funds. These SRI funds are distributed by KBC group in the retailnetwork of KBC bank, CBC, Private Banking and Centea, and also to institutional investors worldwide. KBC Asset Management also promotes SRI through a multi-channel communication strategy, listed in answer 1e.

The SRI fund(s) 1c Provide the name of the fund(s) to which this code apply, and its (their) main characteristics. Provide the main characteristics of the SRI fund(s) (eg. AUM,..) or indicate where this information is available. Disclose the names of the portfolio holdings at a specified date within a six month period prior to the information being released and provide information related to the SRI investment universe. The overview of the funds, their characteristics and their AUM (figures of December 2009) are available in annex 1. Further information about currency, total expense ratio … is available on www.kbc.be/sri . An updated version of the investment universe and the portfolio holdings is also available on www.kbcam.be/sri .

Provide details on how to find further information regarding the funds. Indicate where more information about the SRI fund(s) is available (researches on stocks, sectors,…) and provide information related to the SRI investment universe.

 Contact details SRI department KBC Asset Management: Geert Heuninck, Head of SRI Department Tel. + 32 2 429 33 92 – mob. + 32 495 59 84 22 - fax + 32 2 429 81 67 1d Elena Bogaert, Sustainability Analyst Tel. +32 2 429 41 53 – mob. + 32 497 93 97 75 – fax + 32 2 429 81 67 KBC Asset Management NV, Socially responsible investments Havenlaan 6, 1080 Brussels, Belgium  Websites with further information regarding the funds: - www.kbcam.be /sri - www.kbcassetmanagement.com

Provide details of the content, frequency and means of communicating information to investors.

KBC AM has a multi channel communication strategy, involving:  Monitor Sustainable Investment: Bimonthly, KBC Asset Management publishes a newsletter, to provide information to interested parties about changes in the SRI methodology and decisions taken by the External Advisory Board for Sustainability Analysis and/or Environmental Advisory Committee.  Shareholder-forum: KBC Asset Management invites its shareholders and 1e interested parties to an online-discussion forum about SRI.  NGO meeting: During this annual working meeting, a broad group of NGOs are given the opportunity to air their opinions on KBC Asset Management’s policy regarding SRI.  Ad hoc communication with companies ensures that KBC Asset Management can score issuers accurately.  The website www.kbcam.be/sri gives more information on the actual evolutions in the SRI-funds.

Section 2. SRI Investment Criteria 2 Signatories should be clear about their purpose* and investment criteria*. 2a How does the fund define SRI? We would like this answer to reflect the fund’s definition of SRI as it applies to the specific fund (the main idea that is behind the fund, the fund’s purpose /aim/philosophy). Explain for instance for this SRI fund management strategy, the meaning of concepts such as ethical screening, negative screening, norm-based screening, best in class, thematic screening, etc

Traditionally, business managers make decisions that maximize the wealth of their firm’s equity holders. They do this by making decisions that maximize the present value of the companies’ future cash flows. But firms have a duty to society that goes well beyond simply maximizing the wealth of equity holders. The interests of other stakeholders –including employees, suppliers, and the society at large- could supersede the interests of a firm’s equity holders in managerial decision making. Some forms of socially responsible behaviour reduce the net present value of the firm’s cashflows (so called philanthropy), but other forms can actually improve the present value (so called profit-maximizing ethics): socially responsible behaviour can enable a company to differentiate its products, avoid costly fines and reduce a firm’s exposure to risk, all while working on a better society. Hitherto, modern, well-led companies are attaching increasingly more importance to a healthy environment and to ethical and social issues. Companies are addressing these claims and are acting to meet the demands of their staff, shareholders, customers and stakeholders.

KBC Asset Management’s approach to SRI is one which capitalises on this trend, while also taking account of three values: transparency, independence, and risk-return. The purpose of our SRI funds is to invest in issuers of bonds and equities who manage ESG issues in an optimal way. We do so because: 1. we believe that issuers who are acting in a sustainable way, will take profit out of this strategy; 2. we want to stimulate these issuers to continue/enhance their efforts by investing in them.

Hereto, KBC Asset Management adopts the best-in-class approach, where the emphasis is on investing in shares and/or bonds issued by the most socially responsible companies and governments on the broad market. In this approach, KBC Asset Management seeks out companies that perform well on 5 main domains: 1. Long term economic policy; 2. Corporate governance; 3. Environment; 4. Internal social policy; 5. Human rights and international labour standards. Diversification and multi-criteria are key features of the best-in-class approach. Only the best 40% of the companies are admitted to the sustainable universe. This top-section of the companies is additionally submitted to extra evaluation criteria described below.

In addition to the selection criteria, KBC Asset Management excludes companies that: 1. act in controversial sectors like tobacco, gambling, aerospace and defence; 2. are involved in the production of (strategic parts of) nuclear weapons and strategic weapons (e.g. Cluster bombs); 3. are active in controversial countries; 4. have an ambiguous nuclear power policy; 5. are closely linked to a company that is excluded by the previous criteria.

Furthermore, a norm-based screening is done, containing a screening by: 1. the United Nations Global Compact principles; 2. a blacklist of companies involved in the production or assemblage of controversial weapons KBC Asset Management seeks out OESO-Governments that perform well on 5 main domains: 1. General economic performance and stability; 2. Socio-economic development and health of the population; 3. Environment; 4. Equality, freedom and rights of the population; 5. Security, peace and international relations.

In addition, a norm-based screening is also done for governments, based upon: 1. civil liberties indicator and the physical integrity index; 2. the international campaign to ban landmines.

2b What are the ESG investment criteria of the fund? This response should be as detailed as possible in terms of the criteria used to make ESG investment decisions. For instance, specify, if the fund has exclusion criteria the weight of each ESG criteria; specify sector/thematic bias, capitalisation bias, geographic bias,..

Companies are assessed based on five main criteria, each of which is sub-divided into three to seven indicators. 1. Long term economic policy; 2. Corporate governance; 3. Environment; 4. Internal social policy; 5. Human rights and international labour standards.

A detailed list and description of the selection criteria and their weight is available in annex 2.

The relevance of the indicators is checked frequently. The External Advisory Board determines which criteria are included in the research.

In order to fulfil the evaluation criteria, in each of the five positive criteria three questions have to be answered: 1. Is there an explicit policy? 2. Are there systems in place to implement this policy? 3. What has actually been achieved?

Companies are penalised for any involvement in controversies regarding Corporate Social Responsibility in the exclusion criteria and the norm- based screening. When a company fails one of the exclusion-criteria, it is automatically excluded from the universe (no weighing). The scores for the norm-based screening are weighted similarly to the selection criteria.

Furthermore, sector and geographic bias impose an indirect influence on the selection process.

Sector bias In the first selection-step, only the top 40% per sector are selected. For the sectors ‘oil and gas’ and ‘mining’ only the top 20% are selected. The sector ‘aerospace and defence’ is excluded totally.

Capitalisation bias At KBC Asset Management, sustainability screening is carried out completely separately from managing the funds. The SRI-screening department doesn’t screen on capitalisation. It is the task of the portfolio-managers to take the capitalisation of a company into account.

Geographic bias Only the OESO-countries are taken into account for the screening of government bonds. The company screening is nevertheless worldwide.

Further information on the criteria can be found on www.kbcam.be/sri

How are the SRI criteria defined, and how frequently and by whom are the criteria reviewed? Indicate how frequently and by whom these criteria are reviewed.

The SRI criteria are defined by the External Advisory Board, a committee of independent 2c academic experts in diverse areas like ecology, social sciences, biology, human rights and business ethics. KBC Asset Management is in constant dialogue with these experts on the definition of exclusion criteria, the SRI screening methodology and various case-studies. Bimonthly, KBC Asset Management organizes a meeting with all the experts to discuss and decide on hot topics and new proposals.

How are criteria changes communicated to investors?

KBC has a multi channel communication strategy, involving:  Sustainable Investment Monitor: Bimonthly, KBC Asset Management publishes the Sustainable Investment Monitor, to provide information to interested parties about changes in methodology and decisions taken by the External Advisory Board for Sustainability Analysis and Environmental Advisory Committee.  NGO meeting: During this annual working meeting, a broad group of NGOs are given 2d the opportunity to air their opinions on KBC Asset Management’s policy regarding SRI.  The website www.kbcam.be/sri gives more information on the actual evolutions in the SRI-funds.

Communication with companies: Where there is uncertainty regarding its policy, the company concerned will be contacted in writing and asked to provide more information on how they conduct socially responsible business. KBC Asset Management also organises workshops geared at encouraging companies to adopt socially responsible business practices. Section 3. Research Process 3 Signatories should provide information on their research process. Describe your SRI research methodology and process. Specify the ESG methodology, and particularly how databases are integrated in the process, and how dialogues and engagement with companies and other stakeholders are taken into account in the research process.

[Comment: Why don’t you describe the same process that for the focus methodology, Step 1, 2, 3, 4?]

3a Sustainability screening is carried out completely separately from managing the SRI funds. The independent External Advisory Board for Sustainability Analysis determines the screening methodology and also has the deciding vote in defining the investment universe. The screening data come from independent research companies like EIRIS and ASSET4. These data are the basis for calculating the SRI-scores. The results of the exclusion criteria and the norm-based screening are also incorporated in the database. When KBC Asset Management starts a dialogue with a company, the findings are also submitted in the scores in the database. Even dialogue with stakeholders and external parties can influence the scores.

Does the fund manager use an in-house research team and/or an external research team? Please explain. Does the fund manager use an in-house ESG research team and/or does he delegate to external specialised providers? 3b SRI research is done by the internal SRI department, using external information provided by EIRIS, ASSET4 and other information sources (Factiva, Bloomberg …). Country screening is based on indicators that have been published by renowned institutions (OECD, World bank, ILO, WWF …).

3c Is there an external control or external verification process in place for the research process? Where an Advisory Committee is used, please state its responsibilities. Where an advisory committee is used, please state its responsibilities and composition. The independent External Advisory Board for Sustainability Analysis determines the screening methodology and also has the deciding vote in defining the investment universe. KBC Asset Management is in constant dialogue with these experts on the definition of exclusion criteria, the SRI screening methodology and various case-studies. Bimonthly, KBC Asset Management, organizes a meeting with all the experts to discuss and decide on the following matters:  approving the methodology and approach adopted by KBC Asset Management for SRI research;  approving the themes, criteria and sub-indicators on which the SRI research for both countries and companies is based;  designating and advising on socially questionable practices and technologies;  verifying the completeness, thoroughness and accuracy of the results of the SRI research;  monitoring the transparency policy for the approach adopted towards and the results of the SRI research;  ascertaining whether the SRI funds are in line with the SRI policy of KBC Asset Management;  deciding on the occasional (temporary) exclusion of companies that are involved in gross violations of one or more sub-indicators;  and monitoring themes that could have group-wide implications (e.g., policy on cluster bombs and anti-personnel mines).

List of the members of the External Advisory Board and their areas of specialisation:

Prof. Em. dr. Eric Tollens Prof. dr. Patricia Everaert Professor Agricultural and Environmental Professor Accountancy and Corporate Economy at Catholic University of Leuven Finance at University of Gent Prof. dr. Stefan Marysse Prof. dr. Kurt Devooght Professor International relations and political Professor Business Ethics at the economy in developing countries at the European High School Brussels, Ehsal University of Antwerp Prof. dr. Luc Hens Prof. Patrick VanDamme Vice-dean at the Faculty of Medical science Professor Tropical an Subtropical and pharmacy at the University of Brussels Agriculture and Etnobotanics at the University of Ghent Prof. Em. dr. Mieke Van Haegendoren Prof. dr. Xavier Baeten Vice-rector at the University of Hasselt, Manager Strategic Rewards Centre at the professor economic Sociology Vlerick Management Business School Prof. dr. Eva Brems Prof. dr. Luc Van Liedekerke Professor Human Rights at the University of Professor Economics and Ethics at Gent Catholic University of Leuven (Centre for Ethics, Social and Political Philosophy) and at University of Antwerp

Does the research process include stakeholder consultation? If yes, please provide 3d details. No. Do companies have the opportunity to see their profile or analysis? If yes, how often? How? With which frequency? Specify if comments of companies/issuers were integrated in their profile and whether their evaluation was modified because of this feedback.

All results of the screened companies, including individual company files are made available on the website www.kbcam.be/sri . This information is permanently available for everyone (clients 3e and non-clients). When KBC Asset Management wants more information to score a company, KBC Asset Management starts a dialogue with the company in question. The feedback of the company is taken into account and can influence the score of the company. Companies can also address questions about their score or our methodology at our SRI- mailbox [email protected].

How frequently is the research process reviewed?

3f Continuously. The expert committee discusses with the SRI research team about new evolutions regarding Corporate Social Responsibility. Thanks to this dialogue, KBC Asset Management was able to adopt a new and improved methodology in 2009.

What research findings are disclosed to the public? How?

3g All results of the screened companies are made available on the website www.kbcam.be/sri . This information is permanently available for everyone.

Section 4. Evaluation and Implementation 4a How are the results of research integrated into the investment process, including selection and approval of companies for investment? Specify for the different steps of the investment process the principles and means implemented to strengthen the link between the financial and the extra-financial information. How do research findings or data influence an investment decision? What is the selection principle? How are those principles built into the investment/divestment process?

At KBC Asset Management, portfolio managers examine the group of admitted socially responsible companies and countries and select those shares and bonds with the best relationship between expected return and risk. These investments follow a process that is exactly the same as the one followed by traditional investments. In this way, KBC Asset Management is able to ensure that SRI products generate a similar return to traditional investments, without running a higher risk. Signatories should provide information on how the research is used to build and 4 maintain their portfolio*. What internal or external measures are in place to ensure portfolio holdings* comply with SRI investment criteria?

KBC AM took several measures to ensure no positions outside the accepted SRI universes are acquired: 4b 1. The investment management software for the front-, middle- and back-office activities flags trades exceeding the SRI universes, these trades need approval from the SRI department; 2. the risk management department periodically runs control-runs on the SRI portfolio’s; 3. an external certified audit company (Deloitte) screens the portfolio’s.

What is the policy and procedure for divestments* on SRI grounds?

4c Issuers that are removed from the accepted SRI universe need to be divested within a period of one month.

What divestments occurred in the past year related to the SRI fund criteria?

In 2009, about forty companies that used to be in the sustainable universe were no longer 4d admitted due to SRI fund criteria. The portfolio managers must sell their positions in these companies within a one month period after the exclusion is made. An overview of the portfolio holdings is available in the fund factsheets at www.kbc.be.

Are investors informed about divestments on SRI grounds? If yes, how frequently and by what means? 4e The website is updated when changes in the investment universe occur.

Does the fund manager inform companies of portfolio exclusions* or divestments due to non-compliance with its SRI policy and criteria? 4f Not on a regular basis.

To what extent do any results of engagement activities feed into companies/issuers selection?

4g In 2008, KBC AM started engagement activities with companies who are not compliant with the SRI criteria. Hereto, a dialog with the company is organized. Section 5. Engagement Approach** Signatories should explain their approach to engagement if the fund has such a 5 policy. What are the aims of the engagement policy?

KBC AM pursues an active voting and engagement policy on the following instigators: 1. Corporate Social Responsibility, including long-term economical views and corporate governance; 2. developments which determine the value of a company and which (may) have a significant impact on value creation or the return for clients/investors; 3. the height of the interest in the investment funds managed by KBC AM and if exercising the voting right could have a material impact on the outcome of the vote.

The voting and engagement policy includes: 1. Actively supporting proposals made at the General Meeting which help create shareholder value in the medium and long term; 2. Encouraging companies to implement policy measures that make them sustainable and socially responsible; 5a 3. Opposing proposals that conflict with shareholder interests and the generally accepted principles of corporate governance and corporate social responsibility. This policy is centered around the Proxy Voting and Engagement Committee (PVEC), which co-ordinates the various steps of the policy pursued and advises the Executive Committee of KBC AM on votes to be cast. Where appropriate, KBC AM will enter into a dialogue with the management of the companies concerned, if necessary before KBC AM will cast its votes. The following elements, among others, may prompt a dialogue  A lack of transparency surrounding economic, strategic, corporate governance or corporate social responsibility elements;  A poor performance as regards one or more ‘sustainable business’ criteria compared to their peers;  Business-economic measures that threaten to destroy shareholder value.

How does the fund prioritise which companies it will engage with? The Proxy Voting and Engagement Policy focuses especially on the companies in which the SRI funds (?) hold important positions (5% and more). 5b Additionally, companies involved in specific SRI related topics (human rights, breaches ILO conventions, controversial weapons …) can be engaged as well.

5c Who undertakes engagement on behalf of the fund?

KBC AM has created the Proxy Voting and Engagement Committee, which co-ordinates all engagement activities on behalf of the funds. KBC AM's Proxy Voting and Engagement Committee (PVEC) has seven members, including the chairman who is appointed by the Executive Committee. Five members are members of the PVEC by virtue of their job:

 the head of equity fund management;  the head of the share analysis unit;  the head of the legal department;  the head of SRI;  a compliance officer. The seventh member is an external expert best placed to help the PVEC fulfill its advisory role. Main responsibilities:  Starting and co-coordinating shareholder dialogue, including the possibility of placing additional items on SRI-relevant elements on the agenda of the (extraordinary) general meeting of the companies in the scope;  Starting and co-ordinating the voting procedure;  Providing advice on voting decisions to the Executive Committee of KBC AM, including on the way votes will be cast on agenda items to be voted on and on which/how many shares that votes will be cast;  Monitoring the Proxy Voting and Engagement Policy (updating, amending and/or extending it);  Reporting and communicating (internal and external).

What methods of engagement are employed? The following instruments are available: 5d  Voting;  Dialogue;  Class actions. How is the effectiveness of engagement activity monitored/addressed?

On a yearly basis, companies in scope for the best-in-class funds are re-screened. During this 5e screening, evolutions in the engaged issues are evaluated. Additionally, if the specific company stays in scope of the voting and engagement policy, the PVEC will on a yearly basis decide whether or not additional engagement is required.

What further steps, if any, are taken if engagement is considered unsuccessful?

If engagement is not resulting in the desired changes, KBC AM can consider to vote against 5f management at the upcoming annual meeting on the agenda points, related to the specific raised issue(s). Engagement will also be used to inform companies on new –stringent – SRI criteria, giving them a specific period to comply with our demands.

How, and how frequently, are engagement activities communicated to investors and other stakeholders? 5g KBC AM will report on the actions taken and the outcome of this policy once a year (website). The latest report can be expected by spring 2010.

What engagement activity has been carried out on behalf of the fund during the past year? KBC AM started to engage with many companies on SRI and business economic issues. The 91 companies concerned received a letter with our questions. This provided them with the possibility to react and enter into a dialogue within a reasonable time frame. The table below illustrates the different matters that prompted an exchange of views. 5h Reasons for engagement Disclosure and transparency 65 Clarification on specific allegations 10 Activities in controversial countries 8 Involvement in controversial weapons 8 Section 6. Voting Policy 6 Signatories should make clear their policies on voting*. Does the fund have a voting policy? If so, what is it? 6a See section 5. Does the fund disclose its voting practices and reasoning for decisions? If so, where can this information be found? 6b On the website, and in the annual report of the different funds, all voting activities will be reported Does the fund sponsor/co-sponsor shareholder resolutions? 6c All voting and engagement decisions are taken by the executive committee of KBC AM and/or PVEC. What voting actions occurred that were related to the SRI fund ESG criteria? Voting at companies’ shareholder meetings is one of the key means by which we can exert influence on companies we invest in on behalf of our clients. KBC AM participated in 11 AGM of companies in 2009, taking into account the following voting policy:  Actively supporting proposals made at the General Meeting which help create shareholder value in the medium and long term;  Encouraging companies to implement policy measures that make them sustainable and socially responsible;  Opposing proposals that conflict with shareholder interests and the generally accepted 6d principles of corporate governance and corporate social responsibility. Note that the voting policy focuses on non-routine proxy votes, with KBC AM actively voting on items on the agenda that are:  contested;  expected to have a negative impact on shareholder value;  linked to the negative governance or corporate social responsibility elements on which the shareholder dialogue yielded an unsatisfactory outcome;  related to strategic developments.

Additional 1 Briefly describe the corporate responsibility policies of the organisation that manages or promotes the funds, or give direction to where this information can be located.

KBC is an integrated bancinssurance group, catering mainly for retail customers, small and medium-sized enterprises and private banking clientele. It occupies leading positions on its home markets of Belgium and Central and Eastern Europe, where it specialises in retail bancinsurance and asset management activities, as well as in the provision of services to businesses. The group is also active in a selection of other countries in Europe in private banking and services to businesses. Elsewhere around the globe, the group has established a presence in selected countries and regions.

KBC’s vision on CSR is embedded in its mission statement, and more specific commitments are set out in its Principles for Socially Responsible Business.

As a member of local CSR organisations and signatory to national and international CSR principles (including the United Nations Global Compact and the Luxembourg Charte d’entreprise pour la responsabilité sociale et le développement durable), KBC intends to enter into a proactive commitment vis-à-vis its stakeholders. Since a few years now, the group has also been publishing an annual Corporate Social Responsibility Report, which deals with its vision and achievements in this area. This report provides group-wide information on CSR, including quantitative data on KBC staff and the group’s ecological footprint. It is compiled in accordance with the reporting requirements set out in the Global Reporting Initiative G3 Guidelines and the United Nations Global Compact principles. KBC AM is also member of Belsif, Eurosif and subscribed the Principles for Responsible Investment.

The CSR report of KBC group gives detailed information about last years realisations. More general group wide principles and policies can be found on www.kbc.com.

Signatories should feel free to create a one-page document to synthesize the response to the guidelines. This one-pager must refer to the European Transparency Code and should not act as a replacement 2 for it.

The one-pagers can be found in annex 3. Annex 1 – Overview of the funds

Best-in-class 5.440.757.046 Ope n 2.007.673.396 Money Markets KBC Institutional Cash Year-End 49.503.874 Balanced KBC If - Global Ethical Defensive 1 112.834.629 Equity 239.204.615 KBC Eco Fund - Sustainable Euroland 6.447.139 KBC Eco Fund World 20.430.656 KBC If - Ethical Euro Equities 50.289.755 In.Flanders Index Fund 162.037.064 Fixed Income 1.606.130.277 KBC If - Ethical Euro Bonds 291.005.096 KBC Obli - Euro 584.310.167 KBC Renta Aud Renta 75.587.677 KBC Renta Canarenta 64.282.299 KBC Renta Decarenta 105.203.695 KBC Renta Nokrenta 91.223.304 KBC Renta Nzd Renta 11.193.915 KBC Renta Sekarenta 180.964.676 KBC Renta Sterlingrenta 202.359.448

Structured 3.433.083.651 Equity 3.433.083.651 Centea Fd Sustainables Short Term 01 1.626.681 Centea Fd Sustainables Short Term 02 1.362.541 Fund Partners CSOB Sustainables 1 4.520.022 Fund Partners KB Sustainables 1 13.972.936 Horizon CSOB Sustainables Skk 1 3.253.887 KBC Click CSOB Sustainables 02 2.372.389 KBC Click Solidarity 2 - Levenslijn Kinderf 1.748.356 KBC Click Solidarity 3 - K.O.T.K. 2.330.812 KBC Eqp Head Start Sustainables 01 31.412.368 KBC Eqp Head Start Sustainables 02 21.608.374 KBC Eqp Head Start Sustainables 03 62.918.833 KBC Eqp Head Start Sustainables 04 112.971.705 KBC Eqp Head Start Sustainables 05 138.372.348 KBC Eqp Head Start Sustainables 06 107.654.726 KBC Eqp Head Start Sustainables 07 35.115.624 KBC Eqp Head Start Sustainables 08 21.287.171 KBC Eqp Head Start Sustainables 09 28.785.314 KBC Eqp Head Start Sustainables 10 35.518.895 KBC Eqp Head Start Sustainables 11 26.635.872 KBC Eqp Head Start Sustainables 12 20.227.591 KBC Eqp Head Start Sustainables 13 46.998.108 KBC EQP HEAD START SUSTAINABLES 14 KAP 51.746.274 KBC EQP HEAD START SUSTAINABLES 15 KAP 37.673.517 KBC EQP JUMP SUSTAINABLES 01 KAP 14.954.361 KBC Eqp Jump Sustainables 02 16.084.537 KBC EQP QUALITY STOCKS LOOKBACK 01 KAP 47.922.072 KBC EQP QUALITY STOCKS LOOKBACK 02 KAP 53.567.891 KBC EQP QUALITY STOCKS LOOKBACK 03 KAP 63.358.156 KBC EQP QUALITY STOCKS LOOKBACK 04 KAP 82.015.557 KBC Eqp Sustainable Jumpstart 1 14.949.568 KBC Eqp Sustainable Jumpstart 2 9.570.878 KBC EQS QUALITY STOCKS USD 01 KAP 93.920.289 KBC EQS QUALITY STOCKS USD 02 KAP 83.203.674 KBC EQS QUALITY STOCKS USD 03 KAP 88.861.693 KBC EQS QUALITY STOCKS USD 04 KAP 29.625.277 KBC EQS QUALITY STOCKS USD 05 KAP 26.430.389 KBC Eqs Safety Booster Sustainables Aud 02 4.991.232 KBC Eqs Saftey Booster Sustainables Aud 01 3.695.338 KBC Eqs Special Sustainables 1 7.876.080 KBC Eqs Sustainables 1 3.609.002 KBC Eqs Sustainables Short Term Usd 03 23.690.354 KBC Eqs Sustainables Short Term Usd 04 21.130.331 KBC Eqs Sustainables Short Term Usd 05 9.240.429 KBC EQS SUSTAINABLES SHORT TERM USD 06 KAP 4.671.036 KBC EQS SUSTAINABLES SHORT TERM USD 07 KAP 12.111.193 KBC Eqs Sustainables Short Term Usd 08 15.846.582 KBC EQS SUSTAINABLES SHORT TERM USD 09 KAP 18.902.372 KBC Eqs Sustainables Short Term Usd 10 8.877.842 KBC Eqs World Sustainables 01 26.186.991 KBC Eqs World Sustainables 02 26.787.014 KBC Eqs World Sustainables 03 41.719.452 KBC Eqs World Sustainables 04 12.788.691 KBC Eqs World Sustainables 05 38.775.509 KBC Eqs World Sustainables 16 14.069.483 KBC Eqs World Sustainables Usd 01 41.454.789 KBC Eqsel Sustainables Short Term Usd 01 16.527.443 KBC Eqsel Sustainables Short Term Usd 02 22.366.416 KBC Eqsel World Sustainables 13 8.778.003 KBC Eqsel World Sustainables 14 3.777.653 KBC Eqsel World Sustainables 15 14.763.884 KBC EQUIMAX 2009 INVEST 01 KAP 25.968.146 KBC EQUIMAX 2009 INVEST 02 KAP 37.146.981 KBC EQUIMAX 2009 INVEST 03 KAP 52.915.419 KBC EQUIMAX 2009 INVEST 04 KAP 45.194.108 KBC EQUIMAX 2009 INVEST 05 KAP 43.739.345 KBC EQUIMAX 2009 INVEST 06 KAP 55.613.124 KBC EQUIMAX 2009 INVEST 07 KAP 69.344.999 KBC EQUIMAX 2009 INVEST 08 KAP 22.123.367 KBC EQUIMAX 2009 INVEST 09 KAP 15.579.000 KBC EQUIMAX JUMPSTART 01 KAP 25.917.985 KBC EQUIMAX JUMPSTART 02 KAP 14.644.000 KBC EQUIMAX JUMPSTART 900 B KAP 27.266.350 KBC EQUIMAX JUMPSTART 900 C KAP 36.550.209 KBC EQUIMAX JUMPSTART 900 D KAP 29.402.271 KBC EQUIMAX JUMPSTART 900 E KAP 40.541.853 KBC EQUIMAX JUMPSTART 900 F KAP 33.078.570 KBC EQUIMAX JUMPSTART 900 G KAP 30.180.306 KBC EQUIMAX JUMPSTART 900 H KAP 33.865.533 KBC EQUIMAX JUMPSTART 900 I KAP 56.084.431 KBC EQUIMAX JUMPSTART 900 J KAP 82.188.041 KBC EQUIMAX JUMPSTART 900 KAP 25.003.431 KBC Equimax World Sustainables 06 38.571.861 KBC Equimax World Sustainables 07 31.540.689 KBC EQUISELECT CRC PROTECTED FUND 2 KAP 11.697.346 KBC Equiselect World Sustainables 08 15.276.233 KBC Equiselect World Sustainables 09 10.175.661 KBC Equiselect World Sustainables 10 15.871.628 KBC Equiselect World Sustainables 11 19.467.988 KBC Equiselect World Sustainables 12 12.927.400 KBC Institutional Investors Sustainables Best Of 1 5.379.550 KBC L INV FD MI SEC JUMPSTART 900 B KAP 8.443.910 KBC L INV FD MI SEC JUMPSTART 900 KAP 13.009.160 KBC L Inv Fd Mi Sec World Sustainables 1 6.195.197 KBC L Inv Fd Mi Sec World Sustainables 2 1.873.712 KBC L Inv Fd Mi Sec World Sustainables 3 4.976.369 KBC L Inv Fd Mi Sec World Sustainables 4 2.944.839 KBC L Inv Fd Mi Sec World Sustainables 5 4.981.833 KBC L Inv Fd Mi Sec World Sustainables 6 2.760.117 KBC L Inv Fd Mi Sec World Sustainables 7 1.647.990 KBC L Inv Fd Mi Sec World Sustainables 8 3.814.657 KBC L Inv Fd Nlb Vita Sustainables 1 1.906.669 KBC L INV FD SEC QU ST 10 KAP 39.222.600 KBC L INV FD SEC QU ST 11 KAP 58.830.134 KBC L INV FD SEC QU ST 12 KAP 19.400.118 KBC L INV FD SEC QU ST 13 KAP 26.074.071 KBC Life Mi Head Start Sustainables 01 5.839.970 KBC Life Mi Sec Head Start Sustainables 02 10.842.308 KBC Life Mi Sec Head Start Sustainables 03 11.426.478 KBC Life Mi Sec Head Start Sustainables 04 3.814.107 KBC Life Mi Sec Head Start Sustainables 05 4.701.009 KBC Life Mi Sec Head Start Sustainables 06 6.248.957 KBC PARTICIPATION QUALITY STOCKS EUR 01 KAP 8.433.221 KBC PARTICIPATION QUALITY STOCKS EUR 02 KAP 5.568.185 KBC PARTICIPATION QUALITY STOCKS EUR 03 KAP 15.828.647 KBC PARTICIPATION QUALITY STOCKS EUR 04 KAP 24.255.784 KBC PARTICIPATION QUALITY STOCKS EUR 05 KAP 33.464.252 KBC PARTICIPATION QUALITY STOCKS EUR 06 KAP 36.921.906 KBC PARTICIPATION QUALITY STOCKS EUR 07 KAP 43.077.842 KBC PARTICIPATION QUALITY STOCKS EUR 08 KAP 76.095.599 KBC PARTICIPATION QUALITY STOCKS EUR 09 KAP 92.815.852 KBC PARTICIPATION QUALITY STOCKS EUR 10 KAP 30.807.527 KBC PARTICIPATION QUALITY STOCKS EUR 11 KAP 26.389.000 Annex 2 – The selection criteria and their weight

Weight Weig of Weigh hts of Weights of subcrite ts of Pillar Criteria Subcriteria criteri subcriteria ria in pillar a overall score Customer/supplier relations - 7,50% 15,10 policies 1,50% Economic relations % Customer/supplier relations - 7,50% systems 1,50% 7,50% Loyalty/ R&D Expenses 1,50% Product Responsibility / Social 15,10 3,80% Products and services Labels 0,76% % Product Responsibility / 3,80% Sustainable Consumption 0,76% 1,20% SEE risk Management 0,24% Vision and Strategy / Integration of non- 1,20% Precautionary Principle 0,24% 9,40% financial elements in Global Compact Signatory business activity 1,20% 0,24% Long 1,20% Community / Crisis Management term 0,24% 20% economic 4,70% Stakeholder engagement 0,94% policy Vision and Strategy / 4,50% Transparency 0,90% 4,50% Stakeholder reporting 0,90% 22,60 CSR-transparancy and Vision and Strategy / Global 4,50% % reporting Reporting 0,90% 4,50% Vision and Strategy / GRI Report 0,90% 4,50% Vision and Strategy / Accuracy 0,90% Client Loyalty / Anti-competition 9,40% Controversy 18,90 Anti-competition 1,88% % controversy Client Loyalty / Anti-competition 7,40% Compliance 1,48% 18,90 Controversies on Product responsibility / Customer 18,90% Controversies % products or services 3,78% 20% Corporate 2,50% Board Practice (chairman/CEO) 0,50% governan 2,50% Board Practice (audit committee) ce 0,50% Board Structure / Background and 2,50% Skills 0,50% Board Structure / Mandates 1,50% Board of Directors: limitation 0,30% 14,80 composition and Board Structure / Individual % 1,50% working practices reelection 0,30% 1,50% Board Structure / Term duration 0,30% Board Functions / Board 1,50% Attendance 0,30% Board Level Accountability for 1,50% Stakeholders 0,30% Board of Directors / 14,80 Remuneration of board 14,80% Compensation Policy / Long Term % and topmanagement Objectives 2,96% Shareholder Rights / Voting 3,70% Rights 0,74% 0,90% Shareholder Loyalty/ Policy 0,18% Shareholder Loyalty/ 7,40% Shareholders' rights 0,90% Implementation 0,18% 0,90% Shareholder Loyalty/ Monitoring 0,18% Shareholder Loyalty/ 0,90% Improvements 0,18% 22,20 11,10% Code of ethics: policy 2,22% Code of ethics % 11,10% Code of ethics: systems 2,22% 22,20 Bribery and corruption: Bribery risk exposure 0,00% 7,40% Anti-bribery policy 1,48% policy, systems and % 7,40% Anti-bribery system reporting 1,48% 7,40% Anti-bribery reporting 1,48% 2,60% Insider dealing controversies 0,52% Shareholder Loyalty / Auditor 2,60% independence 0,52% Compensation Policy / 2,60% Compensation Controversies 0,52% Shareholder Rights / Shareholder 18,50 Controversies on 2,60% Controversies % corporate governance 0,52% Shareholder Rights / Anti 2,60% Takeover Devices 0,52% Shareholder Loyalty / Accounting 2,60% Controversies 0,52% CONVENTION WATCH: Anti- 2,60% bribery principles 0,52% 9,80% Environmental policy 9,80% Environmental policy 1,96% 9,80% Environmental systems 9,80% Environmental systems 1,96% Environmental Environmental reporting 9,80% 9,80% reporting 1,96% Environmental performance 6,50% improvement (general) 19,50 Environmental 1,30% % performance 6,50% Energy 1,30% 6,50% Waste 1,30% Addressing climate change: 3,90% policy, systems, reporting, performance 0,78% Resource Reduction / Energy 1,00% Efficiency Initiatives 0,20% Emission Reduction / Innovative 1,00% production 0,20% Emission Reduction / CO2 19,50 Environmental 1,00% Reduction 0,20% % initiatives Resource Reduction / Green 1,00% Buildings 0,20% Emission Reduction / NOx and 3,90% SOx Emissions Environm 0,78% 20% ent Resource Reduction / Water 3,90% Recycling 0,78% Emission Reduction / Waste 3,90% Reduction 0,78% Product Innovation / 2,00% Environmental R&D Expenditures 0,40% Product Innovation / 2,00% 12,20 Eco-efficient products Environmental R&D 0,40% % and services 4,10% Product Stewardship 0,82% Product Innovation / 4,10% Environmental Labels and Awards 0,82% 6,50% Spills and Pollution Controversies 1,30% Product Innovation / Harmful 6,50% Products 1,30% CONVENTION WATCH: 2,20% Biodiversity (severe damage) 19,50 Controversies on 0,44% % environment CONVENTION WATCH: 2,20% Biodiversity (indirect eco-system impact) 0,44% CONVENTION WATCH: 2,20% Biodiversity (threatened species) 0,44% 20% Internal 15,70 Quality of 3,90% Employment Quality / Benefits 0,78% social % employement 3,90% Performance / Employee 0,78% Satisfaction 3,90% Job creation and security 0,78% Diversity and Opportunity / Work- 2,00% life Balance 0,40% Employment Quality / 2,00% Employment Awards 0,40% 16,90 Health & safety systems Health and safety 16,90% % 3,38% 5,60% Training 1,12% Training and Development / 16,90 Training and 5,60% Internal Promotion % development 1,12% policy Training and Development / 5,60% Management Training 1,12% Diversity and Equal 8,40% 16,90 Diversity and equal Opportunities: Policy 1,68% % opportunities Diversity and Equal 8,40% Opportunities: Systems 1,68% Controversies on Health & Safety / Health & Safety 16,90 health and safety of 16,90% Controversies % workforce 3,38% Controversies on Diversity and Opportunity / 16,90 diversity or equal 16,90% Diversity Compliance % opportunities 3,38% 12,50% Human rights policy 2,50% 12,50% Human rights systems 2,50% 12,50% Human rights reporting 2,50% Human 70,00 Human rights and 9,40% Supply chain policy 1,88% rights and % labour rights Supply chain systems 20% external 9,40% 1,88% social 9,40% Supply chain reporting 1,88% policy Human Rights / Suppliers Social 9,40% Impact 1,88% 25,00 Public Health Community / Public Health 25,00% Controversies % Controversies 5,00% Annex 3 – one-pagers