KBC Multi Track Semi-Annual Report 30 June 2020

KBC Multi Track Semi-annual report 30 June 2020

Public open-ended investment company under Belgian law with a variable number of units opting for investments complying with the conditions of Directive 2009/65/EC - UCITS

No subscriptions will be accepted on the basis of this report. Subscriptions will only be valid if effected after a free copy of the simplified prospectus or prospectus has been provided 1 2 Table of contents

1. General information on the Bevek KBC Multi Track

1.1. Organisation of the Bevek KBC Multi Track

1.2. Management report

1.2.1. Information for the shareholders 1.2.1.1. Securities Financing Transactions (SFTs) 1.2.1.2. General strategy for hedging the exchange rate risk 1.2.1.3. Social, ethical and environmental aspects 1.2.1.4. Synthetic risk and reward indicator 1.2.1.5. Ongoing charges 1.2.1.6. Existence of fee sharing agreements and rebates 1.2.1.7. Existence of fee sharing agreements and rebates 1.2.1.8. Recurrent fees and charges 1.2.2. General market overview

1.3. Aggregate balance sheet

1.4. Aggregate profit and loss account

1.5. Summary of recognition and valuation rules

1.5.1. Summary of the rules 1.5.2. Exchange rates

3 1. General information on the Bevek

1.1. Organisation of the Bevek Registered office 2 Havenlaan - B-1080 Brussels, Belgium. Date of incorporation 10 October 2000 Life Unlimited. Board of directors of the Bevek Name Function Mandat

Patrick Dallemagne Financial Director CBC Banque SA, Chairman Avenue Albert 1er 60, B-5000 Namur Luc Vanderhaegen / Director

Filip Abraham / Independent Director

Koen Inghelbrecht / Independent Director

Dirk Thiels Senior Investment Strategist KBC Natural person to whom the Asset Management NV, Havenlaan 2, executive management of the 1080 Brussels Bevek has been entrusted appointed 30/03/2020 Paul Beller KBC Asset Management NV, Natural person to whom the Havenlaan 2, 1080 Brussels executive management of the Bevek has been entrusted resigned 30/03/2020 Wilfried Kupers General Manager Group Legal KBC Natural person to whom the Group NV, Havenlaan 2, 1080 Brussels executive management of the Bevek has been entrusted Management type Bevek that has appointed a company for the management of undertakings for collective investments. The appointed management company is KBC Asset Management NV, Havenlaan 2, B-1080 Brussels. Date of incorporation of the management company 30 december 1999. Names and positions of the directors of the management company Name Title

Stefan Van Riet Non-Executive Director Pierre Konings Non-Executive Director Katrien Mattelaer Non-Executive Director Johan Daemen Non-Executive Director André Van Poeck Independent Director Luc Popelier Chairman Johan Lema President of the Executive Committee Tiny Ergo Managing Director resigned 31/08/2019 Linda Demunter Managing Director Frank Van de Vel Managing Director Chris Sterckx Managing Director Klaus Vandewalle Managing Director

4 Names and positions of the natural persons to whom the executive management of the management company has been entrusted Name Title Johan Lema President of the Executive Committee Tiny Ergo Managing Director resigned 31/08/2019 Linda Demunter Managing Director Frank Van de Vel Managing Director Chris Sterckx Managing Director Klaus Vandewalle Managing Director These persons may also be directors of various beveks. Auditor of the management company PriceWaterhouseCoopers België, Woluwe Garden, Woluwedal 18, 1932 Sint-Stevens-Woluwe, represented by Gregory Joos, company auditor and recognized auditor. Status of the Bevek Public Bevek with various sub-funds that has opted for investments complying with the conditions of Directive 2009/65/EC and which, as far as its operations and investments are concerned, is governed by the Law of 3 August 2012 relative to undertakings for collective investment complying with the conditions of Directive 2009/65/EC and the undertakings for investment in receivables.

In the relationship between the investors, each sub-fund will be viewed as a separate entity. Investors have a right only to the assets of and return from the sub-fund in which they have invested. The liabilities of each individual sub- fund are covered only by the assets of that sub-fund. Financial portfolio management Management of the investment policy has not been delegated. Financial service providers The financial services providers in Belgium are: KBC Bank NV, Havenlaan 2, B-1080 Brussels CBC Banque SA, Avenue Albert 1er 60, B-5000 Namur Custodian KBC Bank NV, Havenlaan 2, B-1080 Brussels. Custodian’s activities The custodian: a) Ensures the safe-keeping of the assets of the Bevek and compliance with the standard obligations in this regard; b) Ensures that the sale, issue, purchase, redemption and withdrawal of shares in the Bevek occur in compliance with the applicable legal and regulatory provisions, the articles of association and the prospectus; c) Ensures that the net asset value of the shares in the Bevek is calculated in accordance with the applicable legal and regulatory provisions, the articles of association and the prospectus; d) Carries out the instructions of , provided that these do not contravene the applicable legal and regulatory provisions, the articles of association and/or the prospectus; e) Ensures that in transactions relating to the assets of the Bevek, the equivalent value is transferred to the Bevekwithin the usual terms; f) Ascertains that: i. The assets in custody correspond with the assets stated in the acounts of the Bevek; ii. The number of shares in circulation stated in the accounts corresponds with the number of shares in circulation as stated in the acounts of the Bevek; iii. The investment restrictions specified in the applicable legal and regulatory provisions, the articles of association and the prospectus are respected; iv. The rules regarding fees and costs specified in the applicable legal and regulatory provisions, the articles of association and the prospectus are respected; v. The returns of the Bevek are appropriated in accordance with the applicable legal and regulatory provisions, the articles of association and the prospectus.

5 The custodian ensures that the cash flows of the Bevek are correctly monitored and in particular that all payments by or on behalf of subscribers on subscription to shares in the Bevek, have been received and that all the cash of has been booked to cash accounts that: 1. Have been opened in the name of the Bevek, in the name of the management company acting on its behalf, or in the name of the custodian acting on its behalf; 2. Have been opened at an entity as intended in Article 18(1a, b and c) of Directive 2006/73/EC; and 3. Are held in accordance with the principles set out in Article 16 of Directive 2006/73/EC. If the cash accounts have been opened in the name of the custodian acting in name of the Bevek, no cash from the entity intended in Article 18(1a, b and c) of Directive 2006/73/EC and none of the custodian’s own cash may be booked to these accounts. The assets of the Bevek are placed in custody with a custodian as follows: a) For financial instruments that may be held in custody: i. The custodian will hold in custody all financial instruments that may be registered in a financial instrument account in the books of the custodian, as well as all financial instruments that can be physically delivered to the custodian; ii. the custodian will ensure that all financial instruments that can be registered in a financial instrument account in the custodian’s books, are registered in the custodian’s books in separate accounts in accordance with the principles set out in Article 16 of Directive 2006/73/EC; these separate accounts have been opened in the name of the Bevek or in the name of the management company acting on its account, so that it can be clearly ascertained at all times that they belong to the Bevek, in accordance with the applicable law. b) For other assets: i. The custodian will verify that the Bevek or the management company acting on its behalf is the owner of the assets by checking based on information or documents provided by the Bevek or the management company and, where appropriate, of available external proofs, whether the Bevek or the management company acting on its behalf has ownership; ii. The custodian will maintain a register of the assets from which it is clear that the Bevek or the management company acting on its behalf is the owner thereof and will keep that register up-to- date. The custodian’s duty to return the financial instruments only applies to financial instruments that may be held in custody. Custody tasks delegated by the custodian The custodian of the Bevek has delegated a number of custody tasks as of the publication date of this annual/half- year report. The tasks delegated to this sub-custodian are: - Holding the required accounts in financial instruments and cash; - Carrying out the custodian’s instructions regarding the financial instruments and cash; - Where required, the timely delivery of the relevant financial instruments to other parties involved with holding them; - The collection of every type of return from the financial instruments; - The appropriate communication to the custodian of all information that the sub-custodian receives directly or indirectly from the issuers via the chain of depositaries and performing the required formalities with regard to the financial instruments, with the exception of exercising voting rights, unless otherwise agreed in writing; - Maintaining and communicating to the custodian all required details regarding the financial instruments; - Processing corporate events on financial instruments, whether or not after the holder of these instruments has made a choice; - Providing the services that have been agreed between the custodian and the sub-custodian and are legally permitted, with the exception of investment advice and asset management and/or any other form of advice relating to transactions in or the simple holding of financial instruments; - Maintaining and communicating to the custodian all required details regarding the financial instruments. List of sub-custodians and sub-sub-custodians The updated list of entities to which the custodian has delegated custody duties and, where applicable, the entities to which the delegated custody duties have been sub-delegated, can be consulted at www.kbc.be/investment-legal- documents. The custodian is liable for the loss of financial instruments held in custody in the sense of Article 55 of the Law of 3 August 2012 relative to undertakings for collective investment complying with the conditions of Directive 2009/65/EC and the undertakings for investment in receivables.

Investors can approach the institutions providing the financial services for up-to-date information regarding the identity of the custodian and its principal duties, as well as the delegation of these duties, and the identity of the institutions to which these duties have been delegated or sub-delegated, and also regarding any conflicts of interest as specified below.

6 Conflicts of interest The custodian will take all reasonable measures to identify conflicts of interest that may arise in the execution of its activities between - The custodian and management company of the Bevek, or the management companies of other beveks or funds of which the custodian holds assets; - The custodian and the Bevek whose assets the custodian holds, or other beveks or funds of which the custodian holds assets; - The custodian and the investors in this Bevek whose assets the custodian holds,or other beveks or funds of which the custodian holds assets; - These parties themselves.

The custodian of the Bevek will implement and maintain effective organisational and administrative procedures in order to take all reasonable measures to detect, prevent, manage and control conflicts of interest so that they do not prejudice the interests of the aforementioned parties.

If these procedures are not sufficient to be able to assume with reasonable certainty that the interests of the aforementioned parties have not been harmed, the investors will be notified of the general nature or causes of conflicts of interest according to the procedure described on the following website: www.kbc.be/investment-legal- documents (About Us > Code of conduct for conflicts of interest). Investors who wish to be informed personally of such conflicts of interest can contact the financial services providers. If necessary, the open-ended investment company’s custodian will adjust its processes. Administration and accounting management KBC Asset Management N.V., Havenlaan 2, B-1080 Brussel Accredited auditor of the the Bevek Deloitte Bedrijfsrevisoren CVBA, Gateway Building, Luchthaven Brussel Nationaal 1 J, 1930 Zaventem, represented by Maurice Vrolix, company auditor and recognized auditor. Distributor KBC Asset Management S.A., 4, Rue du Fort Wallis, L-2714 Luxembourg Promoter KBC

The official text of the articles of association has been filed with the registry of the Commercial Court.

7 List of sub-funds and share classes of KBC Multi Track The table below contains an overview of the sub-funds sold and their share classes. If no share class is mentioned for a sub-fund, that means that only capitalisation- and/or distribution units are available. The characteristics of the different share classes are given in the prospectus.

Name 1 Belgium 2 Germany Classic Shares Classic Shares CSOB CZK Institutional B Shares 3 Netherlands Sub-funds and share classes liquidated during the reporting period

Not applicable

In the event of discrepancies between the Dutch and the other language versions of the (Semi-)Annual report, the Dutch will prevail.

8 1.2. Management report 1.2.1. Information for the shareholders Pursuant to Article 96 of the Companies Code, information is supplied regarding the following: • In certain sub-funds the balance-sheet item 'Accrued income' might be negative (-) as a result of time-deposit accounts with a negative (-) interest rate. Reclaims of foreign withholding taxes on dividends. In some Member States of the European Union domestic investment funds benefit from exemptions or refunds of withholding taxes when they receive dividends from a domestic entity. The same tax benefits do not apply to non-resident investment funds investing cross-border. Such tax system is not in accordance with the free movement of capital within the European Union.

Since 2006 KBC investment funds yearly file requests for a refund of discriminatory withholding tax paid on dividends in France, Spain, Italy, Germany, Finland, Sweden, Norway and Austria. Refunds have already been received from French, Norwegian, Swedish, Spanish and Austrian fiscal administration. The funds no longer file requests in The Netherlands as a consequence of recent Dutch Court decisions.

There were no refunds this period.

1.2.1.1. Securities Financing Transactions (SFTs) General Each sub-fund may lend financial instruments within the limits set by law and regulations. Lending financial instruments is a transaction where one a sub-fund transfers financial instruments to a counterparty subject to an undertaking on the part of that counterparty to supply the sub-fund with comparable financial instruments at some future date or on the sub-fund's request.

This takes place within the framework of a securities lending system managed by either a ‘principal’ or an ‘agent’. If it is managed by a principal, a sub-fund has a relationship only with the principal of the securities lending system which acts as counterparty and to whom title to the loaned securities is transferred. If it is managed by an agent, a sub-fund has a relationship with the agent (as manager of the system) and with one or more counterparties to whom title to the loaned securities is transferred. The agent acts as intermediary between a sub-fund and the counterparty or counterparties.

The sub-funds use the lending of financial instruments to generate additional income. This might consist of a fee paid by the principal or, in the event that the fund performs the securities lending through an agent, by the counterparty, as well as income generated through reinvestments. The sub-funds are not permitted to agree forms of SFTs other than lending financial instruments. General information on the SFTs used Maximum percentage of Anticipated percentage Types of asset that the the assets under of the assets under Type of SFT SFT can involve management that can be management that will be involved in the SFT involved in the SFT Depending on market When lending financial conditions 0–30% of the instruments a maximum Lending financial Only shares and bonds assets under of 30% of the assets instruments will be lent management will be under management will involved in the lending of be involved. financial instruments

9 Criteria for the selection of counterparties Lending financial instruments only occurs with high-quality counterparties. The management company selects which counterparties qualify for the lending of financial instruments.

The selected counterparties must meet the following minimum requirements to this end:

Legal status Minimum rating Country of origin The counterparty must belong to Only counterparties rated as All geographical regions may be one of the following categories: investment grade may be considered when selecting considered. counterparties. a) A credit institution; or b) An investment firm; or An investment-grade rating means: a rating equal to or higher c) A settlement or clearing than BBB- or Baa3 according to institution; or one or more of the following d) A central bank of a member accredited rating agencies: state of the European Economic Area, the - Moody's (Moody's Investors European Central Bank, the Service); European Investment Bank or a public international - S&P (Standard & Poor's, a financial institution in which division of the McGraw-Hill one or more European Companies); en Economic Area member - Fitch (Fitch Ratings). states participate. If the counterparty does not have a rating, the rating of the counterparty’s parent company may be taken into consideration. The relationship with the counterparty or counterparties is governed by standard international agreements. Description of acceptable financial collateral and its valuation When a sub-fund lends financial instruments, it receives financial collateral in return. This financial collateral protects the sub-fund fund from default on the part of the counterparty to which the financial instruments have been lent.

Each sub-fund may accept the following forms of financial collateral: - Cash; and/or - Bonds and other debt instruments, issued or guaranteed by the central bank of a member state of the European Economic Area, the European Central Bank, the European Union or the European Investment Bank, a member state of the European Economic Area or the Organisation for Economic Cooperation and Development, or by a public international institution in which one or more member states of the European Economic Area participate, other than the counterparty or a person associated with it, and which are permitted to trade on a regulated market; and/or - Participation rights in a monetary undertaking for collective investment that complies with Directive 2009/65/EC or which meets the conditions of Article 52(1:6) of the Royal Decree of 12 November 2012 on certain public institutions for collective investment which meet the conditions of Directive 2009/65/EC, and the net asset value of which is calculated and published daily.

Where the lending of securities is agreed within the framework of a securities lending system, the financial collateral can also take the form of bonds eligible for trading on a regulated market and which have been rated as at least investment grade as described under ‘Criteria for the selection of counterparties’.

The valuation of the financial collateral occurs daily in accordance with the most applicable and accurate method: mark-to-market. A daily variation margin applies based on the daily valuation. Consequently, daily margin calls are possible.

There are no limits regarding the term of the financial collateral.

10 Reuse of financial collateral If a sub-fund receives collateral in the form of cash, it can reinvest this cash in - deposits with credit institutions which can be withdrawn immediately and which mature within a period not exceeding twelve months, provided that the office of the credit institution is situated within a member state of the EEA, or if the office is established in a third country, provided that it is subject to prudential supervisory rules which the FSMA considers as being equivalent to the rules under European Law. - short term money market funds as described in the ESMA Guidelines CESR/10-049 dated 19 May 2010 on the common definition of European money market funds. - government bonds that are denominated in the same currency as the cash received and that meet the terms and conditions set out in the Royal Decree of 7 March 2006 on securities lending by certain undertakings for collective investment.

Reinvesting in this way can eliminate the credit risk to which a sub-fund is exposed concerning the collateral in respect of the financial institution where the cash account is held, but there is still a credit risk in respect of the issuer or issuers of the debt instrument(s). The management company may delegate implementation of the reinvestment policy to a third party, including the agent managing the securities lending system.

Reinvestment in deposits at the same credit institution may not exceed 10% of the sub-fund's total assets. Reinvestment in bonds issued by the same public authority may not exceed 20% of the sub-fund's total assets. Policy on the diversification of collateral and the correlation policy A sub-fund is not permitted to accept financial collateral issued by the party offering them.

A sub-fund's exposure to financial collateral issued by the same issuer may not exceed 20% of the sub-fund's net assets. Holding of the financial collateral The financial collateral will be held in the following manner:

- for cash: held in a cash account; and - for financial collateral that is not cash: registration in a custody account.

The custodian of the financial collateral and/or the entity to which certain tasks relating to the custody of the financial collateral has been delegated is not necessarily the same entity as the custodian of the Bevek's assets, as stated under ‘B. Service providers to the Bevek'. Influence of SFTs on a sub-fund’s risk profile This lending does not affect a sub-fund's risk profile since: - The choice of principal, agent and every counterparty is subject to strict selection criteria. - The return of securities similar to the securities that have been lent can be requested at any time, which means that the lending of securities does not affect management of a sub-fund’s assets. - The return of securities similar to the securities that have been lent is guaranteed by the principal or the agent, as applicable. A margin management system is used to ensure that a sub-fund is at all times the beneficiary of financial security (collateral) in the form of cash or other or other specific types of securities with a low risk, such as government bonds, in case the principal or the counterparty (if a sub-fund uses an agent) does not return similar securities. The actual value of the collateral in the form of specific types of securities with a low risk must at all times exceed the actual value of the loaned securities by 5%. Furthermore, when calculating the value of the specific types of securities with a low risk provided as collateral, a margin of 3% is applied, which should prevent a negative change in price resulting in their actual value no longer exceeding the actual value of the securities. The value of the collateral in the form of cash must at all times exceed the actual value of the loaned securities. - The criteria met by the collateral are such as to limit the credit risk. A rating of at least investment grade is required in the case of collateral in the form of bonds and other debt instruments. In the case of collateral in the form of participation rights in monetary undertakings for collective investment, the inherent diversification of these undertakings limits the credit risk. In the case of cash that is reinvested, a rating of at least investment grade is required when reinvesting in either deposits or government bonds. In the case of reinvestment in short-term money-market funds, the inherent diversification of these funds limits the credit risk. - The criteria met by these types of collateral are such as to limit the liquidity risk. It must be possible to value the financial collateral on a daily basis by market price or to withdraw it on demand (on reinvestment of cash in deposits). - In the case of reinvestment of cash, there are additional criteria to limit the market risk associated with the initial values in cash. When reinvesting bonds, only bonds with a remaining term to maturity of no more than one year may be considered. The shortness of this remaining term results in a low sensitivity to interest rate movements. In the case of reinvestment in short-term money-market funds, the low duration of these funds limits the market risk with respect to the initial value in cash.

11 - The custody of financial collateral consisting of securities occurs by placing the securities in custody accounts which, in the event of the custodian’s bankruptcy, are held outside its insolvent estate. The custody of financial collateral consisting of cash occurs by holding it in cash accounts, whether or not segregated. The extent to which the custody of financial collateral consisting of cash occurs in non- segregated accounts has no influence, however, on the sub-fund's risk profile. - Operational risks are limited by operational controls, in the shape of daily control of the market values of loaned securities and collateral and reconciliation of internal and external data. Distribution policy for returns on the utilised SFTs By lending securities, a sub-fund can generate additional income, which might consist of a fee paid by the principal or the counterparty (if a sub-fund uses an agent) as well as income generated through reinvestments. After deducting the direct and indirect charges – set at a flat rate of 35% of the fee received and consisting of the charges for the clearing services provided by KBC Bank NV, the charges paid to the management company for setting up and monitoring the system for lending securities, the charges for margin management, the charges associated with cash and custody accounts and cash and securities transactions, the fee paid for any management of reinvestments and, if a sub-fund uses an agent, the fee paid to the agent. This income is paid to a sub-fund. It should be noted in this regard that KBC Bank NV is an entity affiliated with the management company.

1.2.1.2. General strategy for hedging the exchange rate risk In order to protect its assets against exchange rate fluctuations and within the limitations laid down in the articles of association, a sub-fund may perform transactions relating to the sale of forward currency contracts, as well as the sale of call options and the purchase of put options on currencies. The transactions in question may relate solely to contracts traded on a regulated market that operates regularly, that is recognised and that is open to the public or, that are traded with a recognised, prime financial institution specialising in such transactions and dealing in the over- the-counter (OTC) market in options. With the same objective, a sub-fund may also sell currencies forward or exchange them in private transactions with prime financial institutions specialising in such transactions. 1.2.1.3. Social, ethical and environmental aspects Investments may not be made in financial instruments issued by manufacturers of controversial weapons whose use over the past five decades, according to international consensus, has led to disproportionate human suffering among the civilian population. This involves the manufacturers of anti-personnel mines, cluster bombs and munitions and weapons containing depleted uranium. In addition, as of 31 March 2014 no new investments may be made in financial instruments issued by companies that do not have an anti-corruption policy and that have been given a negative score in a thorough screening for corruption in the last two years. A company has no anti-corruption policy if it cannot be demonstrated that it has an acceptable policy concerning the fight against corruption. An acceptable policy should be made public and must at least state that bribery will not be tolerated and that the law will be followed in this respect. The screening will be based on a generally accepted and independent 'Social, ethical and environmental factors' database. In this way, not only is a purely financial reality represented, but also the social reality of the sector or region. 1.2.1.4. Synthetic risk and reward indicator In accordance with Commission Regulation (EU) No. 583/2010, a synthetic risk and reward indicator has been calculated. This indicator provides a quantitative measure of a sub-fund's potential return and the risk involved, calculated in the currency in which a sub-fund is denominated. It is given as a figure between 1 and 7. The higher the figure, the greater the potential return, but also the more difficult it is to predict this return. Losses are possible too. The lowest figure does not mean that the investment is entirely free of risk. However, it does indicate that, compared with the higher figures, this product will generally provide a lower, but more predictable return.

The synthetic risk and reward indicator is assessed regularly and can therefore go up or down based on data from the past. Data from the past is not always a reliable indicator of future risk and return.

The most recent indicator can be found under the 'Risk and reward profile' heading in the 'Key Investor Information' document. 1.2.1.5. Ongoing charges The key investor information sets out the ongoing charges, as calculated in accordance with the provisions of Commission Regulation (EC) No. 583/2010 of 1 July 2010.

The ongoing charges are the charges taken from the UCITS over a financial year. They are shown in a single figure that represents all annual charges and other payments taken from the assets over the defined period and for a sub- fund and that is based on the figures for the preceding year. This figure is expressed as a percentage of the average net assets per sub-fund or, where relevant, of the share class.

The following are not included in the charges shown: entry and exit charges, performance fees, transaction costs paid when buying or selling assets, interest paid, payments made with a view to providing collateral in the context of derivative financial instruments, or commissions relating to Commission Sharing Agreements or similar fees received by the Management Company or any person associated with it. 1.2.1.6. Existence of fee sharing agreements and rebates The management company may share its fee with the distributor, and institutional and/or professional parties.

12 In the information for each sub-fund – under '2.4.6. Expenses' – you can see the percentage of the fee that has actually been shared for each sub-fund. If the management company invests the assets of the undertaking for collective investment in units of undertakings for collective investment that are not managed by an entity of KBC Groep NV, and receives a fee for doing so, it will pay this fee to the undertaking for collective investment. Fee sharing heeft geen invloed op de hoogte van de beheercommissie die a sub-fund to the management company. This management fee is subject to the limitations laid down in the articles of association. The limitations may only be amended after approval by the General Meeting. The management company has concluded a distribution agreement with the distributor in order to facilitate the wider distribution of the sub-fund's shares by using multiple distribution channels. It is in the interests of the holders of shares of a sub-fund and of the distributor for the largest possible number of shares to be sold and for the assets of a sub-fund to be maximised in this way. In this respect, there is therefore no question of any conflict of interest. 1.2.1.7. Existence of Commission Sharing Agreements Niet van toepassing 1.2.1.8. Recurrent fees and charges Recurrent fees and charges paid by the Bevek

Fees paid to directors who are not 250 EUR per meeting attended, linked to the director's actual responsible for the executive management attendance of/participation in the meetings of the Board of of the Bevek, insofar as the General Directors. This fee is divided across all the sub-funds marketed. Meeting has approved said fees.

Recurrent fees and charges paid by the sub-fund

Fee paid to the statutory auditor of the Fee of the statutory auditor: Bevek 1942 EUR/year (excluding VAT) for non-structured sub-funds These amounts can be indexed on an annual basis in accordance with the decision of the General Meeting.

13 1.2.2. General market overview 1 January 2020 – 30 June 2020 General overview The economic context The year began against the backdrop of a revival in the global economy, helped by a more accommodative monetary policy and easing risks in relation to Brexit and the Sino-American trade war. Sadly, this situation proved short-lived. The global spread of the Covid-19 virus and the lockdowns organised globally to manage further infections and hence the pressure on the healthcare system triggered an unprecedented contraction in the world economy. Governments embarked on an equally unprecedented expansion of public spending and guarantees in a bid to guide the economy through the lockdown period with as little damage as possible.

Monetary policy Since March, the coronavirus crisis has caused a dramatic reversal in monetary policy. The situation became clear after the Federal Reserve (Fed) cut its base rate not once but twice outside its normal schedule of meetings. Monetary authorities all over the world pulled out all the stops with key rate cuts and unprecedented expansion (in both depth and breadth) of their financial-asset purchasing programmes. The Fed went furthest by throwing virtually all limits overboard to keep the banking system, money markets and business credit market afloat. Currency markets On balance, the euro ended the reporting period on a relatively stable note against the main world currencies, only losing ground against the Swiss franc (+2%). Most emerging-market currencies lost ground substantially. Sterling (-7%) initially benefited from receding anxiety about a hard Brexit, but ultimately lost ground again after the country was relatively hard hit by the Covid-19 crisis and the Bank of England was forced to step in to ease the monetary reins substantially. Stock markets As the Covid-19 virus spread across the world at the end of February, global stock markets (MSCI World AC in euros) also fell sharply. More than 30% of market capitalisation was wiped out within a very short period. However, the sudden correction was followed by an equally sudden and powerful rally. Sentiment was buoyed by hopes that the virus would be rapidly brought under control, combined with the enormous fiscal and monetary support measures that were rolled out. Ultimately, the markets ended the reporting period with a loss of 6.4%. Latin America (-35%) and the markets in Central Europe (-25%) were particularly hard hit. The euro area (-12%) also fell far more than average. At the other end of the spectrum we find the US, where the stock market ended the reporting period barely 3.1% down; China also stayed out of the red (+3.4%)

The virtual standstill of the economy meant that demand for oil and other commodities has fallen off a cliff in recent months. The situation for the oil sector was made even worse by Saudi Arabia, which sought to grab a larger share of the market by ramping up production. The upshot was a gigantic output surplus and a fall in price from just over 70 USD per barrel of Brent crude to barely 20 USD the end of April. A stricter than expected production cap subsequently ushered in a recovery in the oil price, which closed the reporting period at 41.20 USD per barrel (down 38% compared with the start of the period). Euro area stock markets ended the reporting period with a similar loss (-34%). Other cyclical sectors, such as Materials (-8.6%) and Financials (-23.6%) closed substantially lower, too. The only sectors which recorded an increase were Health Care (+2.1%), Technology (+12.1%) and Communication Services (+0.3%); it is no coincidence that these are sectors that are benefiting from the Covid-19 crisis.

Bond markets German ten-year yields were volatile throughout the reporting period. They rose in January in anticipation of an economic recovery to just under zero (-0.16%). The outbreak of the Covid-19 crisis initially led to a sharp fall (to a new low of -0.86%) in early March. Fears of a lack of liquidity subsequently drove yields back up sharply to -0.2% in mid-March, but this was brought to an abrupt halt by the quantitative easing measures taken by the ECB, which brought rates back down to -0.46 at the end of the reporting period.

Long-term rates in the US showed a similar pattern to those in Germany, first falling to a historic low of 0.54% in early March before rising fairly spectacularly to 1.2% and ultimately ending the reporting period at 0.66%.

The rate spread between euro-denominated corporate bonds and safer government paper broadly followed the pattern of the equity markets. At the start of the reporting period, the spread narrowed further. Fears of a deep economic recession (and growing defaults) subsequently resulted in a threefold increase in the spread between mid-February and mid-March. The major expansion of the European Central Bank’s asset purchase programme partially restored confidence, allowing the spread to narrow to 1.49% at the end of the reporting period.

A similar pattern could also be observed in the rate spread between the corporate bonds of the Southern euro area countries and Germany. The severity of the coronavirus crisis in Italy in particular, combined with shaky local government finances, sparked doubts. Clear communication by the ECB succeeded in easing tensions in this regard too, however.

Projections

14 The economic context The European and US economies are restarting relatively quickly. High-frequency indicators suggest that the economy is getting under way again in several countries. However, the course and strength of the recovery are still highly uncertain and vary widely across sectors; sales of consumer goods got going fairly rapidly, for example, whereas consumption in many service sectors (including restaurants and travel) remains well below pre-crisis levels. It remains highly likely that it will take several quarters or even years to achieve a complete recovery. And there is still a high risk of new flare-ups of the Covid-19 virus.

The revised GDP figures for the euro area for the first quarter of 2020 confirmed that the lockdown measures have caused unprecedented economic damage since March. In the event, the downturn turned out to be slightly less severe than initial forecasts had suggested. The economies of Southern Europe and France were hit harder than the northern economies. Belgium fell somewhere between the two. We think euro area GDP is set to contract by 9.6% in 2020. We are forecasting it to grow by 6.2% in 2021.

The recovery of the European economy has been supported by drastic monetary and fiscal policy measures. In early June the ECB expanded and extended its emergency bond purchase programme, and the European Commission also published proposals for a recovery and strengthening of the economy (Next Generation EU).

The prospects for the US economy remain heavily overshadowed by the uncertainty regarding the future course of the coronavirus pandemic. States are restarting their economies earlier than anticipated, which will give a boost to the economy in the third quarter compared to the extremely gloomy second quarter. At the same time, the significant rise in the number of confirmed Covid-19 cases in a large number of states emphasises the risk associated with this restart. The reopening of the economy had already been partially scaled back in a number of (mainly southern) states We are projecting a fall in GDP of 6.5% in 2020, followed by 4.4% growth in 2021.

Supply and demand have realigned in the oil markets faster than expected, resulting in a vigorous recovery in the price of oil from its April low. The restart of the economies in Europe, the US and China has boosted demand for oil, while OPEC+ is curbing output. The higher oil price means the inflation outlook for the euro area and the US has increased to 0.4% and 0.5%, respectively. However, oil stocks remain very high, and it seems fairly unlikely that the present production discipline will be maintained for a protracted period. We therefore do not expect oil prices to go much beyond their present levels.

Monetary policy Central banks have responded fairly quickly to the deteriorating economic picture. We expect them to remain vigilant and to take additional steps if necessary in ‘whatever it takes’ mode. Given the already very low level of interest rates, additional steps will be of a quantitative nature. We do not anticipate any further lowering of key rates.

Currency markets Against a backdrop of virtually flat rate spreads, we think a slight weakening of the (somewhat overvalued) US dollar against the euro in the course of 2020 is the most likely scenario.

Financial markets The announcement of an extensive raft of monetary and fiscal measures prompted a strong response from the equity markets We now think that market valuations are predicated on the assumption of a very favourable restart scenario (V- shaped recovery). We do not subscribe to this scenario. We believe there is a substantial likelihood of a reality check (i.e. a market correction) based on economic numbers, earnings growth and/or Covid infections. We remain invested below the benchmark level in equities.

Given the extremely low interest rates (even negative in some cases), we remain extremely cautious towards bonds and are accordingly invested below the benchmark level.

Stock markets Regionally, our preference is for Asian emerging markets, which are primarily exposed to China. This region was the first to be hit by coronavirus, but managed to contain it relatively quickly by implementing effective measures, putting the region ahead of the rest of the world. Its economy has largely reopened and re-infection rates are relatively low. Some developed countries also appear to have brought the virus largely under control and the focus can now be shifted towards reopening the economy. It remains to be seen whether new Covid-19 flare-ups may lead to local lockdowns.

The sharp economic downturn is less good news for the cyclical, growth-oriented sectors. We accordingly prefer defensive stocks, for example in the Health Care sector, and more specifically the medical technologies segment. 15 This sector enjoys stable earnings growth and typically performs better in times of stock-market turbulence. It is in other words a defensive sector with a growth component. We are also focusing on Consumer Staples. This sector has barely been affected by the sharp slowdown in growth and therefore also offers predictable, stable earnings. Moreover, a substantial proportion of revenue is now generated in the emerging markets, where the economy is getting back up to speed. The defensive nature of these sectors is therefore extremely valuable in times of stock- market turbulence. The Technology sector is also still attractive. The biggest segment is software, which is fairly recession-proof. This segment is growing thanks to business services, spearheaded by cloud computing, and enjoys very high margins. The hardware and semiconductor components of the sector are rather more cyclical, but still form part of the structural growth narrative. We are also targeting the Communication Services sector. This includes media and telecom, both of which are holding up relatively well in the current economic climate.

It is too early for other cyclical sectors such as Industrials or Consumer Discretionary. Companies are hoarding huge cash reserves, which will not help investment budgets. This is therefore not good news for industrial stocks. Consumers are also being hard hit. Among other things, unemployment is rising sharply, which leaves little upside potential in the short term for cyclical companies with consumer exposure. The many monetary stimulus measures are intended to keep interest rates low, including in the US. This is putting the interest margin of banks under pressure. Moreover, the economic malaise will increase the number of non-performing loans. In principle, the banks have sufficient capital to weather this, but they are still not expected to perform any better than the rest of the market.

As regards investment themes, the focus is on medical technology. This segment of the Health Care sector enjoys robust cash flows and outperforms the market over the long term. It contains many innovative companies with high margins. We also have a preference for water companies. Drinking water is in very short supply due to obsolete and inadequate water infrastructure, climate change and problems with water quality and waste-water. This offers robust long-term revenue growth opportunities for water companies. The traditional premium for water companies is also lower than the average over the last eight years. Finally, we are also targeting Global Trends: this portfolio comprises companies that are included in themes which are expected to deliver accelerated growth in the coming years, such as digitalisation, demographic trends, medical technology and innovation. Some examples are the digital world, automation, cloud, e-commerce, alternative energy, gene therapy and animal welfare. Bond markets •In view of the extremely low level of interest rates, even negative in some cases, we are invested slightly below the benchmark level for bonds.

Bond yields are unattractive and set to remain low for a long time yet. These levels create an asymmetric risk. Government bonds maturing in the next few months or years are in many cases offering negative returns. Yields on longer maturities are also so low that the least rise in rates would be enough to push the return into the red. We prefer government bonds from the euro area with relatively short maturities.

The outbreak of the coronavirus pandemic has dealt a severe blow to the entire world. The rate of infection and the quarantine measures taken to counter the spread of the virus have plunged the global economy into a recession. Governments are attempting to mitigate the worst consequences through unprecedented fiscal stimulus measures and guarantees.

The measures taken in the US amount to 2 trillion dollars, roughly 10% of GDP. The Fed has also reacted quickly, reducing its key rate in March in two steps, from 1.75% to 0.25%. It is also providing unlimited liquidity, including through an unlimited bond purchase programme. Central banks worldwide have followed the Fed’s example and lowered interest rates.

The ECB had already cut its deposit rate in September 2019 from -0.4% to -0.5% and relaunched its bond purchase programme. The ECB did not cut its key rate further in March, but did announce a liquidity support programme. Calm largely returned to the financial markets with the announcement on 18 March of the 750 billion-euro Pandemic Emergency Purchase Programme (PEPP). Under this programme the ECB is not only pumping a great deal of liquidity into the market, but also providing extensive flexibility in its implementation. The budget for this programme was raised further in June to 1.35 trillion euros. The recent prospect of a European support fund are helping to ease tensions in the euro area. This has allowed the risk premiums for the peripheral countries to fall again. The ECB's ultra-flexible monetary policy will certainly be maintained for as long as the recession lasts and inflation remains too low. However, consumer prices are likely to fall and will therefore definitely not rise towards the 2% inflation target in the coming months.

We take a neutral stance on corporate bonds. These investments carry more risk than government bonds. They therefore offer an attractive premium, currently around 1.4%, for their lower creditworthiness compared with government bonds. Investors’ panic reaction following the coronavirus outbreak pushed up this credit premium from 0.8% to 2.4% at the end of March, which already prices in a steep economic downturn and an increase in the number of bankruptcies. Companies in the euro area, and especially banks, went into the crisis in a financially healthier position than in 2008. Governments and central banks have also taken unprecedented measures to mitigate the impact for the corporate sector and to meet the need for credit. The ECB is also supporting the corporate bond market through its purchases. This has pushed the credit premium back down to 1.4%, though this is still an attractive level.

We take a neutral stance on the high-risk themes in bonds with lower creditworthiness or currencies of emerging markets, which also offer a higher return.

16 17 1.3. Aggregate balance sheet (in EUR)

Balance sheet layout 30/06/2020 30/06/2019

TOTAL NET ASSETS 180,962,269.01 244,570,418.77 II. Securities, money market instruments, UCIs and derivatives A. Bonds and other debt instruments a) Bonds Collateral received in the form of bonds 398,872.38 467,465.64 C. Shares and similar instruments a) Shares 181,130,659.77 248,326,197.97 Of which securities lent 352,287.80 413,127.50 D. Other securities 113,463.14 100,329.20 F. Derivative financial instruments m) Financial indices Futures and forward contracts (+/-) -11,640.00 -31,221.00 IV. Receivables and payables within one year A. Receivables a) Accounts receivable 20,836.72 31,048.58 c) Collateral 56,250.01 299,840.71 B. Payables a) Accounts payable (-) -112,827.69 -34,084.93 c) Borrowings (-) -12,869.26 -4,102,392.81 d) Collateral (-) -398,872.38 -467,465.64 V. Deposits and cash at bank and in hand A. Demand balances at banks 199,037.75 -13,981.10 VI. Accruals and deferrals B. Accrued income 62,747.25 275,326.51 C. Accrued expense (-) -483,388.68 -280,644.36 TOTAL SHAREHOLDERS' EQUITY 180,962,269.01 244,570,418.77 A. Capital 203,204,925.26 188,736,186.89 B. Income equalization -45,306.72 -2,410,541.45 D. Result of the period -22,197,349.53 58,244,773.33

Off-balance-sheet headings I. Collateral (+/-) I.A. Collateral (+/-) I.A.a. Securities/money market instruments 398,872.38 467,465.64 I.A.b. Cash at bank and in hand/deposits 56,250.01 299,840.71 III. Notional amounts of futures and forward contracts (+) III.A. Purchased futures and forward contracts 499,125.00 III.B. Written futures and forward contracts -4,389,516.00 IX. Financial instruments lent 352,287.80 413,127.50

18 1.4. Aggregate profit and loss account (in EUR)

Income Statement 30/06/2020 30/06/2019

I. Net gains(losses) on investments C. Shares and similar instruments a)Shares -24,306,284.32 51,410,431.10 D. Other securities -77.05 -8,127.53 F. Derivative financial instruments l)Financial indices Futures and forward contracts 250,432.50 -567,298.87 Foreign exchange positions and H. transactions b)Other foreign exchange positions and 155,709.78 -739.45 transactions

Det.section I gains and losses on investments Realised gains on investments 7,645,592.01 29,408,747.93 Unrealised gains on investments -13,804,868.41 -2,031,892.66 Realised losses on investments -7,293,173.80 -51,090,076.20 Unrealised losses on investments -10,447,768.89 74,547,486.18

II. Investment income and expenses A. Dividends 2,723,770.33 8,854,098.57 B. Interests a)Securities and money market 20,682.41 135,573.41 instruments b)Cash at bank and in hand and deposits 38.49 158.04 C. Interest on borrowings (-) -3,946.21 -13,561.06 F. Other investment income 64.43 43,607.17

III. Other income Income received to cover the acquisition A. and realizaion of assets, to discourage 5,581.49 139,231.14 withdrawals and for delivery charges

IV. Operating expenses Investment transaction and delivery costs A. -17,012.49 -124,004.89 (-) B. Financial expenses (-) -3,759.18 -3,716.33 C. Custodian's fee (-) -35,616.16 -48,274.03 D. Manager's fee (-) a)Financial management -635,570.44 -1,208,956.93 b)Administration and accounting -91,385.16 -174,798.61 management E. Administrative expenses (-) -2,990.46 -2,029.93 F. Formation and organisation expenses (-) -5,307.44 -6,711.29 Remuneration, social security charges and G. -868.00 pension H. Services and sundry goods (-) -11,579.97 -11,699.86 J. Taxes -74,325.91 -102,547.24 K. Other expenses (-) -165,774.17 -64,992.08

Income and expenditure for the period Subtotal II + III + IV 1,702,869.56 7,410,508.09

Profit (loss) on ordinary activities V. -22,197,349.53 58,244,773.33 before tax

19 VII. Result of the period -22,197,349.53 58,244,773.33

20 1.5. Summary of recognition and valuation rules 1.5.1. Summary of the rules Summary of the valuation rules pursuant to the Royal Decree of 10 November 2006 on the accounting, annual accounts and periodic reports of certain open-ended undertakings for collective investment. The assets of the various sub-funds are valued as follows: • When purchased or sold, securities, money market instruments, units in undertakings for collective investment and financial derivatives are recorded in the accounts at their acquisition price or sale price, respectively. Any additional expenses, such as trading and delivery costs, are charged directly to the profit and loss account. • After initial recognition, securities, money market instruments and financial derivatives are measured at fair value on the basis of the following rules: • Securities that are traded on an active market without the involvement of third-party financial institutions are measured at fair value using the closing price; • Assets that have an active market which functions through third -party financial institutions that guarantee continuous bid and ask prices are measured using the current bid price set on that market. However, since most international benchmarks use mid-prices, and the data providers cannot supply bid prices (e.g., JP Morgan, iBoxx, MSCI, etc.), the midprices are used to measure debt instruments, as provided for in the Notes to the aforementioned Royal Decree. The method to correct these midprices and generate the bid price is not used, as it is not reliable enough and could result in major fluctuations. • Securities whose last known price is not representative and securities that are not admitted to official listing or admitted to another organised market are valued as follows: 1 When measuring these securities at fair value, use is made of the current fair value of similar assets for which there is an active market, provided this fair value is adjusted to take account of the differences between the assets concerned. 2 If no fair value for similar assets exists, the fair value is calculated on the basis of other valuation techniques which make maximum use of market data, which are consistent with generally accepted economic methods and which are verified and tested on a regular basis. 3 If no organised or unofficial market exists for the assets being valued, account is also taken of the uncertain character of these assets, based on the risk that the counterparties involved might not meet their obligations. • Shares for which there is no organised or unofficial market, and whose fair value cannot be calculated reliably as set out above, are measured at cost. Impairment is applied to these shares if there are objective instructions to this end. • Units in undertakings for collective investment (for which there is no organised market) are measured at fair value using their last net asset value. • Liquid assets, including assets on demand at credit institutions, obligations on current account vis-à-vis credit institutions, amounts payable and receivable in the short term that are not represented by negotiable securities or money market instruments (other than vis-à-vis credit institutions), tax assets and liabilities, are measured at nominal value. Other amounts receivable in the longer term that are not represented by negotiable securities are measured at fair value. Impairment is applied to assets, amounts to be received and receivables if there is uncertainty that they will be paid in full or in part at maturity, or if the realisation value of this asset is less than its acquisition value. Additional impairment is recorded on the assets, amounts to be received and receivables referred to in the previous paragraph to ensure that any change in their value, or risks inherent in the asset in question, are taken into account. • The income generated by securities lending is recognised as other income (Income statement II.B.a.: Investment income and expenses – Interest – Securities and money market instruments) and is included on an accruals basis in the income statement over the term of the transaction. • Securities issued in a currency other than that of the relevant sub-fund are converted into the currency of the sub-fund at the last known mid-market exchange rate. Differences A minor difference may appear from time to time between the net asset value as published in the press and the net asset value shown in this report. These are minimal differences in the net asset value calculated that are identified after publication. If these differences reach or exceed a certain tolerance limit, the difference will be compensated. For those buying or selling shares in the bevek and for the bevek itself, this tolerance limit will be a certain percentage of the net asset value and the net assets, respectively. This tolerance limit is: • money market funds: 0.25% • bond funds, balanced funds and funds offering a capital guarantee: 0.50% • equity funds: 1% • other funds (real estate funds, etc.): 0.50%

21 1.5.2. Exchange rates 1 EUR = 30/06/2020 30/06/2019 26.642521 CZK 25.444000 CZK 0.908991 GBP 0.894800 GBP 1.123150 USD 1.138800 USD

22 Semi-annual report as at 30 June 2020

Table of contents

2. Information on KBC Multi Track Belgium

2.1. Management report

2.1.1. Launch date and subscription price 2.1.2. Stock exchange listing 2.1.3. Goal and key principles of the investment policy 2.1.4. Financial portfolio management 2.1.5. Distributors 2.1.6. Index and benchmark 2.1.7. Policy pursued during the financial year 2.1.8. Future policy 2.1.9. Synthetic risk and reward indicator (SRRI)

2.2. Balance sheet

2.3. Profit and loss account

2.4. Composition of the assets and key figures

2.4.1. Composition of the assets of KBC Multi Track Belgium 2.4.2. Changes in the composition of the assets KBC Multi Track Belgium (in the currency of the sub-fund) 2.4.3. Amount of commitments in respect of financial derivatives positions 2.4.4. Changes in the number of subscriptions and redemptions and the net asset value 2.4.5. Performance figures 2.4.6. Costs 2.4.7. Notes to the financial statements and other data

23 24 2. Information on KBC Multi Track Belgium 2.1. Management report

2.1.1. Launch date and subscription price Capitalisation Launch date: 30 April 2001 Initial subscription price: 1 000 BEF Currency: EUR Distribution Launch date: 30 April 2001 Initial subscription price: 1 000 BEF Currency: EUR 2.1.2. Stock exchange listing Not applicable. 2.1.3. Goal and key principles of the investment policy Object of the sub-fund The main objective of this sub-fund is to generate the highest possible return for its shareholders by investing directly or indirectly in transferable securities. This is reflected in its pursuit of capital gains and income. To this end, the assets are invested, either directly or indirectly via correlated financial instruments, primarily in shares. Sub-fund's investment policy Permitted asset classes The sub-fund may invest in securities, money market instruments, units in undertakings for collective investment, deposits, financial derivatives, liquid assets and all other instruments insofar as permitted by the applicable laws and regulations and consistent with the object as described above. The sub-fund shall invest no more than 10% of its assets in units of other undertakings for collective investment. Restrictions of the investment policy The investment policy will be implemented within the limits set by law and regulations. The sub-fund may borrow up to 10% of its net assets, insofar as these are short-term borrowings aimed at solving temporary liquidity problems. Permitted derivatives transactions Derivatives can be used both to achieve the investment objectives and to hedge risks.

Listed and unlisted derivatives may be used to achieve the objectives: these may be forward contracts, futures, options or swaps on securities, indexes, currencies or interest rates or other transactions involving derivatives. Unlisted derivatives transactions will only be concluded with prime financial institutions specialised in such transactions.

Subject to the applicable laws and regulations and the articles of association, the sub-fund always seeks to conclude the most effective transactions. All costs associated with the transactions will be charged to the sub-fund and all income generated will be paid to the sub-fund.

If the transactions result in a risk in respect of the counterparty, this risk can be hedged by using a margin management system that ensures that the sub-fund is the beneficiary of security (collateral) in the form of liquid instruments, such as, for instance, cash or investment grade bonds. The relationship with the counterparty or counterparties is governed by standard international agreements.

Derivatives may also be used to hedge the assets of the sub-fund against open exchange rate risks in relation to the currency in which the sub-fund is denominated.

Where derivatives are used, they must be easily transferable and liquid instruments. Using derivatives does not, therefore, have a negative impact on liquidity risk. The use of derivatives may, however, affect the spread of the portfolio across regions, sectors or themes. Consequently, there may be an impact on concentration risk. Derivatives may not be used to protect capital, either fully or partially. They neither increase nor decrease

25 capital risk. In addition, using derivatives has no negative impact on credit risk, settlement risk, custody risk, flexibility risk or inflation risk or risk dependent on external factors.

The UCITS may conclude contracts that entail a credit risk in respect of issuers of debt instruments. Credit risk is the risk that the issuer of the debt instrument will default. This credit risk relates to parties whose creditworthiness at the time the contract is concluded is equal to that of the issuers whose debt instruments the UCITS can hold directly. Credit derivatives may possibly be used both to carry out the investment objectives and to cover the credit risk, but solely within the existing risk profile and without implying any shift to less creditworthy debtors than those the UCITS can invest in. Strategy selected The assets are invested primarily in shares (or share-related instruments) that are included in the BEL20 index. Benchmark-tracking The objective of the sub-fund is to track the composition of an index in accordance with and within the limits of Article 63 of the Royal Decree of 12 November 2012 on certain public undertakings for collective investment complying with the conditions of Directive 2009/65/EC. Relevant index/indices: BEL20 index, which contains the 20 most important shares (based on the freely tradable part of the market capitalisation) listed on Euronext Brussels. Additional information on this index and its composition is available at www.euronext.com. Index tracking method: physical replication using optimised sampling: the index is tracked using a selection of shares in the index in order to best replicate the index. In addition, an optimisation algorithm is used that balances the risk and the return of each of the portfolio positions, so optimising the selection. The sub-fund may also make limited use of synthetic replication by way of futures, primarily in order to cushion the effects of buying and selling and to avoid the attendant transaction charges.

The index is rebalanced every year. The more often an index is rebalanced, the greater the potential impact on the transaction charges within the sub-fund.

Given normal market conditions, the expected tracking error is between 0% and 1%. Possible causes of this tracking error could be the method used to track the index, transaction charges, dividend reinvestment, the general costs charged to the sub-fund, any income from lending financial instruments.

If the composition of the index is no longer sufficiently diversified or if the index is no longer sufficiently representative of the market it relates to or if the value and composition of the index is no longer published in a suitable manner, the management company will inform the Board of Directors without delay. The Board of Directors will consider what action to take in the interest of investors and may convene a general meeting of shareholders in order to amend the investment policy.

Euronext N.V. or its subsidiaries holds all (intellectual) proprietary rights with respect to the Index. Euronext N.V. or its subsidiaries do not sponsor, endorse or have any other involvement in the issue and offering of the product. Euronext N.V. and its subsidiaries disclaim any liability for any inaccuracy in the data on which the Index is based, for any mistakes, errors, or omissions in the calculation and/or dissemination of the Index, or for the manner in which it is applied in connection with the issue and offering thereof.

Bel20 Settlement Index is a registered trademark of Euronext N.V. or its subsidiaries.

Volatility of the net asset value The volatility of the net asset value may be high due to the composition of the portfolio. Securities Financing Transactions (SFTs) A more detailed explanation can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.1. Securities Financing Transactions (SFTs)’.

26 2.1.6. Index and benchmark See ‘Sub-fund’s investment policy’. Tracking error and annual tracking difference for the Capitalisation share (ISIN-code: BE0126900241) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. Tracking error and annual tracking difference for the Distribution share (ISIN-code: BE0152248556) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. 2.1.7. Policy pursued during the financial year As defined by the prospectus, the fund was managed with the objective to reflect the return of the BEL20 Index. 2.1.8. Future policy As defined by the prospectus, the fund was managed with the objective to reflect the return of the BEL20 Index. 2.1.9. Synthetic risk and reward indicator (SRRI) 5 on a scale of 1 (lowest risk) to 7 (highest risk)

A more detailed explanation can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.4. Synthetic risk and reward indicator’

The synthetic risk indicator gives an idea of the risk associated with investing in an undertaking for collective investment or a sub-fund. It measures risk on a scale of zero (least risk) to seven (most risk).

27 2.2. Balance sheet

30/06/2020 30/06/2019 Balance sheet layout (in the currency of the sub- (in the currency of the sub- fund) fund) TOTAL NET ASSETS 53,769,274.17 60,792,675.25 II. Securities, money market instruments, UCIs and derivatives C. Shares and similar instruments a) Shares 53,506,414.29 60,900,966.77 D. Other securities 63,431.27 F. Derivative financial instruments m) Financial indices Futures and forward contracts (+/-) -11,640.00 IV. Receivables and payables within one year A. Receivables a) Accounts receivable 15,927.44 c) Collateral 56,250.00 B. Payables a) Accounts payable (-) -1,000.11 -1,004.57 c) Borrowings (-) -58,979.94 V. Deposits and cash at bank and in hand A. Demand balances at banks 180,006.14 VI. Accruals and deferrals B. Accrued income -0.09 -0.09 C. Accrued expense (-) -40,114.77 -48,306.92 TOTAL SHAREHOLDERS' EQUITY 53,769,274.17 60,792,675.25 A. Capital 63,471,270.56 54,411,219.05 B. Income equalization -3,649.10 -22,017.48 D. Result of the period -9,698,347.29 6,403,473.68

Off-balance-sheet headings I. Collateral (+/-) I.A. Collateral (+/-) I.A.a. Securities/money market instruments I.A.b. Cash at bank and in hand/deposits 56,250.00 III. Notional amounts of futures and forward contracts (+) III.A. Purchased futures and forward contracts 499,125.00 III.B. Written futures and forward contracts IX. Financial instruments lent

28 2.3. Profit and loss account 30/06/2020 30/06/2019 Income Statement (in the currency of the fund) (in the currency of the fund)

I. Net gains(losses) on investments C. Shares and similar instruments a) Shares -10,121,930.03 5,584,643.04 D. Other securities -8,127.94 F. Derivative financial instruments l) Financial indices Futures and forward contracts 142,530.00 -148,285.00 Foreign exchange positions and H. transactions b) Other foreign exchange positions and 162,691.14 transactions Det.section I gains and losses on investments Realised gains on investments 2,410,938.77 1,280,174.42 Unrealised gains on investments -5,250,227.59 1,447,490.86 Realised losses on investments -1,396,889.57 -3,156,363.27 Unrealised losses on investments -5,580,530.50 5,856,928.09 II. Investment income and expenses A. Dividends 376,787.11 1,165,761.14 B. Interests a) Securities and money market 14,777.83 104,829.83 instruments C. Interest on borrowings (-) -940.37 -1,812.35 F. Other investment income 64.43 43,607.17 IV. Operating expenses Investment transaction and delivery costs A. -5,588.21 -10,294.69 (-) B. Financial expenses (-) -1,099.21 -727.18 C. Custodian's fee (-) -9,477.37 -8,179.74 D. Manager's fee (-) a) Financial management -192,001.04 -214,304.06 b) Administration and accounting -27,428.67 -30,614.87 management E. Administrative expenses (-) -996.13 -999.90 F. Formation and organisation expenses (-) -1,710.63 -1,830.73 Remuneration, social security charges and G. -209.89 pension H. Services and sundry goods (-) -3,442.00 -3,435.39 J. Taxes -22,372.41 -27,322.66 K. Other expenses (-) -8,211.73 -39,223.10 Income and expenditure for the period Subtotal II + III + IV 118,361.60 975,243.58 Profit (loss) on ordinary activities V. -9,698,347.29 6,403,473.68 before tax VII. Result of the period -9,698,347.29 6,403,473.68

29 2.4. Composition of the assets and key figures

2.4.1. Composition of the assets of KBC Multi Track Belgium Name Quantity on Currency Price in Evaluation % % % 30/06/2020 currency (in the currency of owned by portfolio Net the sub-fund) UCI assets NET ASSETS

SECURITIES PORTFOLIO

Exchange-listed shares

Belgium ACKERMANS VH NV - 9,448.00 EUR 116.400 1,099,747.20 2.05 2.05 AEDIFICA - 10,676.00 EUR 97.300 1,038,774.80 1.94 1.93 AGEAS NV - 77,479.00 EUR 31.540 2,443,687.66 4.56 4.55 ANHEUSER-BUSCH INBEV NV - 157,515.00 EUR 43.865 6,909,395.48 12.90 12.85 BARCO NV NEW 4,537.00 EUR 157.000 712,309.00 1.33 1.33 COFINIMMO - 10,656.00 EUR 122.400 1,304,294.40 2.44 2.43 COLRUYT - 24,030.00 EUR 48.970 1,176,749.10 2.20 2.19 G.B.L. - 31,511.00 EUR 74.680 2,353,241.48 4.39 4.38 GALAPAGOS GENOMICS NV - 18,241.00 EUR 175.050 3,193,087.05 5.96 5.94 KBC GROUP - 108,421.00 EUR 51.060 5,535,976.26 10.34 10.30 PROXIMUS - 66,011.00 EUR 18.140 1,197,439.54 2.24 2.23 SOFINA - 6,688.00 EUR 235.000 1,571,680.00 2.94 2.92 SOLVAY - 29,865.00 EUR 71.260 2,128,179.90 3.97 3.96 TELENET - 19,886.00 EUR 36.640 728,623.04 1.36 1.36 U.C.B. - 54,866.00 EUR 103.100 5,656,684.60 10.56 10.52 UMICORE - 90,890.00 EUR 41.910 3,809,199.90 7.11 7.08 WAREHOUSE DISTR. DE PAUW - 57,446.00 EUR 24.300 1,395,937.80 2.61 2.60 Netherlands APERAM - 21,793.00 EUR 24.820 540,902.26 1.01 1.01 ARGENX SE - 18,557.00 EUR 198.300 3,679,853.10 6.87 6.84 ING GROEP NV - 1,134,342.00 EUR 6.198 7,030,651.72 13.13 13.08 Total shares 53,506,414.29 99.90 99.51 Options and futures

Exchange-listed futures

Belgium BEL20-INDEX JUL 20 15.00 EUR 3,327.500 499,125.00 0.93 0.93 Suspense accounts (futures)

Belgium BEL20-INDEX JUL 20 -510,765.00 EUR 1.000 -510,765.00 -0.95 -0.95 Total options and futures -11,640.00 -0.02 -0.02 Rights

Belgium AEDIFICA CP 23 24/04 10,676.00 EUR 2.034 21,710.71 0.04 0.04 COFINIMMO DVOP 10,643.00 EUR 3.920 41,720.56 0.08 0.08 Total rights 63,431.27 0.12 0.12 TOTAL SECURITIES PORTFOLIO 53,558,205.56 100.00 99.61 CASH AT BANK AND IN HAND

Demand accounts

Belgium KBC GROUP EURO 160,191.14 EUR 1.000 160,191.14 0.30 Total demand accounts 160,191.14 0.30 Managed futures accounts

U.S.A. JPMORGAN CHASE & CO EURO FUT REK 19,815.00 EUR 1.000 19,815.00 0.04 Total managed futures accounts 19,815.00 0.04 TOTAL CASH AT BANK AND IN HAND 180,006.14 0.34 OTHER RECEIVABLES AND PAYABLES

Receivables

Belgium KBC GROUP EUR RECEIVABLE 15,927.44 EUR 1.000 15,927.44 0.03 KBC GROUP WHT TO BE RECOVERED EUR -0.00 EUR 1.000

30 U.S.A. JPMORGAN CHASE & CO DEKKING EUR 56,250.00 EUR 1.000 56,250.00 0.11 Total receivables 72,177.44 0.13 Payables

Belgium KBC GROUP EUR PAYABLE -1,000.11 EUR 1.000 -1,000.11 -0.00 Payables -1,000.11 -0.00 TOTAL RECEIVABLES AND PAYABLES 71,177.33 0.13 OTHER Interest receivable EUR -0.09 Expenses payable EUR -40,114.77 -0.07 TOTAL OTHER -40,114.86 -0.08 TOTAL NET ASSETS 53,769,274.17 100.00

Geographic breakdown (as a % of securities portfolio) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 Belgium 72.26 83.15 83.52 78.94 France 14.00 0.00 0.00 0.00 Netherlands 13.79 16.85 16.48 20.92 U.S.A. -0.05 0.00 0.00 0.14 TOTAL 100.00 100.00 100.00 100.00 Sector breakdown (as a % of securities portfolio) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 Cyclicals 13.55 12.21 14.45 12.04 Consum(cycl) 1.79 0.85 1.01 0.00 Cons.goods 12.76 15.66 13.14 15.03 Pharma 13.92 17.06 18.16 23.27 Financials 36.64 42.15 41.96 37.69 Technology 0.00 1.76 1.87 1.32 Telecomm. 5.21 5.67 4.72 3.58 Utilities 14.00 0.00 0.00 0.00 Real est. 2.13 4.64 4.69 7.07 TOTAL 100.00 100.00 100.00 100.00 Currency breakdown (as a % of net assets) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 EURO 100.00 100.00 100.00 100.00 2.4.2. Changes in the composition of the assets of KBC Multi Track Belgium (in the currency of the sub-fund) 1st half of year Purchases 6,463,912.21 Sales 8,676,340.87 Total 1 15,140,253.08 Subscriptions 2,547,476.79 Redemptions 3,996,241.42 Total 2 6,543,718.21 Monthly average of 55,235,695.17 total assets Turnover rate 15.56%

The table above shows the capital volume of portfolio transactions. This volume (adjusted to take account of total subscriptions and redemptions) is also compared to the average net assets at the beginning and end of the period. A figure close to 0% implies that the transactions relating to the securities or transactions relating to the assets (excluding deposits and cash) in a given period only involve subscriptions and redemptions. A negative percentage shows that subscriptions and redemptions entailed few, if any, transactions in the portfolio. Active asset management may result in high turnover rates (monthly percentage >50%).

31 2.4.3. Amount of commitments in respect of financial derivatives positions Name Currency Value in currency In the currency of Lot-size Transaction the sub-fund date BELFOX EUR 499,125.00 499,125.00 10.00 18.06.2020 JUL 20 JPMORGAN EUR 56,250.00 56,250.00 N/A 04.05.2020 DEKKING EUR 2.4.4. Changes in the number of subscriptions and redemptions and the net asset value

Period Change in number of shares in circulation Subscriptions Redemptions End of period Year Capitalization Distribution Capitalization Distribution Capitalization Distribution Totaal 2018 - 12 40,125.31 5,722.00 18,798.24 14,500.06 256,100.88 105,234.92 361,335.80 2019 - 12 2,937.09 4,245.00 23,580.19 17,978.44 235,457.78 91,501.48 326,959.26 2020 - 06 8,038.34 13,059.35 13,253.62 11,182.53 230,242.49 93,378.31 323,620.80

Period Amounts received and paid by the UCITS (in the currency of the sub-fund) Year Subscriptions Redemptions Capitalization Distribution Capitalization Distribution 2018 - 12 8,411,395.71 605,781.60 4,023,237.99 1,540,044.52 2019 - 12 627,389.41 421,018.81 5,049,538.64 1,796,785.48 2020 - 06 1,471,916.24 1,080,644.07 2,889,090.93 1,115,883.11

Period Net asset value End of period (in the currency of the sub-fund) Year Of the sub-fund Of one share Capitalization Distribution 2018 - 12 58,140,380.17 189.24 91.94 2019 - 12 65,172,022.52 234.67 108.37 2020 - 06 53,769,274.17 197.79 88.14

32 2.4.5. Performance figures

BE0126900241 KBC Multi Track Belgium CAP Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR 10.5% -10.3% 17.0% 25.3% 16.8% -4.6% 15.7% 1.4% -2.7% -5.9% in EUR 18.2% 28.4% 18.4% -3.2% 17.8% 1.7% -1.0% -4.5%

BE0152248556 KBC Multi Track Belgium DIS Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR 10.6% -10.3% 16.9% 25.2% 16.8% -4.6% 15.7% 1.4% -2.7% -5.9% in EUR 18.2% 28.4% 18.4% -3.2% 17.8% 1.7% -1.0% -4.5%

33 Cap Curr ISIN Code 1 year 3 years 5 years 10 years Since Launch* Div ency Share Bench Share Bench Share Bench Share Bench Starting Share classes mark classes mark classes mark classes mark date classes

CAP BE0126900241 EUR -6.55% -1.52% -3.24% -0.83% 1.14% 3.33% 5.39% 7.27% 30/04/2001 3.49%

DIS BE0152248556 EUR -6.57% -1.52% -3.25% -0.83% 1.14% 3.33% 5.39% 7.27% 30/04/2001 3.45% Risk warning: Past performance is not a guide to future performance. * Return on annual basis.

• The bar chart shows the performance for full financial years(period of 12 months prior to the half-yearly closing). • The figures do not take account of any restructuring.. • Calculated in EUR. • The return is calculated as the change in the net asset value between two dates expressed as a percentage. In the case of units that pay dividends, the dividend is incorporated geometrically in the return. • Calculation method for date D, where NAV stands for net asset value: Capitalisation units (CAP) Return on date D over a period of X years : [NIW(D) / NIW(Y)] ^ [1 / X] - 1 where Y = D-X Return on date D since the start date S of the unit: [NIW(D) / NIW(S)] ^ [1 / F] - 1 where F = 1 if the unit has existed for less than one year on date D where F = (D-S) / 365.25 if the unit has existed for longer than one year on date D Distribution units (DIV) Return on date D over a period of X years : [ C * NIW(D) / NIW(Y)] ^ [1 / X] - 1 where Y = D-X Return on date D since the start date S of the unit: [ C * NIW(D) / NIW(S)] ^ [1 / F] - 1 where F = 1 if the unit has existed for less than one year on date D where F = (D-S) / 365.25 if the unit has existed for longer than one year on date D where C is a factor that is determined for all N dividends between the calculation date D and the reference date. For dividend i on date Di with value Wi: Ci = [Wi / NIW(Di)] + 1 i = 1 ... N from whichC = C0 * .... * CN. • If the interval between the two dates exceeds one year, the ordinary return calculation is converted into a return on an annual basis by taking the nth square root of 1 plus the total return of the unit.. • The return figures shown above do not take account of the fees and charges associated with the issue and redemption of units. • These are the performance figures for capitalisation and distribution shares

34 2.4.6. Costs Ongoing Charges and Transaction costs: Capitalisation : Ongoing Charges : 0.968% Transaction costs : 0.011% Distribution : Ongoing Charges : 0.990% Transaction costs : 0.011%

Percentage calculated at reporting date: 30 June 2020 (period of 12 months prior to the half-yearly closing).

A more detailed explanation with respect to the method of calculating ongoing charges and the relevant exclusions can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.5. Ongoing charges’ More information on how transaction costs are calculated: the transaction costs are not included in the ongoing charges, but are instead shown separately. Moreover, this does not fully reflect the actual transaction costs as only the explicit transaction costs are given. Existence of Commission Sharing Agreements Not applicable Existence of fee sharing agreements and rebates The management company has shared 51,54% of its fee with the distributor, and institutional and/or professional parties. If the management company invests the assets of the undertaking for collective investment in units of undertakings for collective investment that are not managed by an entity of KBC Groep NV, and receives a fee for doing so, it will pay this fee to the undertaking for collective investment. Fee-sharing does not affect the amount of the management fee paid by a sub-fund to the management company. This management fee is subject to the limitations laid down in the articles of association. The limitations may only be amended after approval by the General Meeting. 2.4.7. Notes to the financial statements and other data

Fee for managing the investment 0.70% per year calculated on the basis of the average total net portfolio assets of the sub-fund, no management fee is charged on assets invested in underlying undertakings for collective investment managed by a financial institution of the KBC group.

(*) The fee for the management of the investment portfolio of the undertakings for collective investment in which the sub-fund invests will amount to a year.

Administration fee 0.10% per year calculated on the basis of the average total net assets of the sub-fund.

Custodian’s fee Max 0.04% per year calculated on the basis of the value of the securities held in custody by the custodian on the last banking day of the preceding calendar year, except on those assets invested in underlying undertakings for collective Investment managed by a financial institution of the KBC group.

Fee paid to the bevek's statutory auditor see the 'Information concerning the Bevek - G. Fees and charges regarding the Bevek’ for this non-structured sub-fund

Annual tax see the 'Information concerning the Bevek - H. Tax treatment’

Exercising voting rights If necessary, relevant and in the interest of the shareholders, the management company will exercise the voting rights attached to the shares in the Bevek’s portfolio. The management company will adhere to the following criteria when determining how it stands relative to the items on the agenda that are put to the vote: - Shareholder value may not be adversely affected. - Corporate governance rules, especially with regard to the rights of minority shareholders, must be respected. - The minimum standards with regard to sustainable business and corporate social responsibility must be met. The list of companies for which voting rights are exercised is available at the registered office of the Bevek.

35 Financial derivatives on financial indices The following financial indices were used as the underlying for financial derivatives::

The BEL 20 index is a non-dividend-protected share index calculated by NYSE Euronext, comprising maximum 20 different shares. The BEL 20 index is intended primarily as a continuous indicator of market trends, thereby promoting trading in index options and futures.

NYSE Euronext is responsible for calculating the index and may, at its own discretion, amend the composition of the BEL 20 index in the light of particular events, such as a share or bonus issue, which affect the underlying shares.

NYSE Euronext holds all ownership rights with respect to the index. NYSE Euronext in no way underwrites, guarantees or collaborates in the issue and offering of shares of KBC Multi Track Belgium. NYSE Euronext disclaims any liability for the issue and offering of shares of this institution for collective investment.

The BEL 20 index is published daily in De Tijd and L’Echo.

The value and, if available for distribution, the composition of the aforementioned financial indices may be obtained from the branches providing the financial service. Securities lending Pursuant to the Royal Decree of 7 March 2006 on securities lending, the undertaking for collective investment in transferable securities(UCITS) has entered into securities lending transactions, whereby the title to the securities that have been lent has been transferred, without recognition of that transfer of ownership in the accounts. For the period from 01/01/2020 to 01/06/2020, the realised net income for the UCITS amounts to 9.605,59 EUR and for the Management Company 3.842,24 EUR. Direct and indirect costs and charges are deducted from the gross income. These are set at a flat rate of 35% of the fee received and consist of the charges for the clearing services provided by KBC Bank NV, the charges paid to the management company for setting up and monitoring the system for lending securities, the charges for margin management, the charges associated with cash and custody accounts and cash and securities transactions, the fee paid for any management of reinvestments and, if the sub-fund uses an agent, the fee paid to the agent. The undertaking for collective investment in transferable securities will thus receive 65% of the fee received for securities lent. The number of securities lent varied between 0 and 2, with a market value fluctuating between 9690772 and 9690772 EUR.The detailed list of securities lending transactions carried out may be obtained from the registered office of the undertaking for collective investment in transferable securities at Havenlaan 2, 1080 Brussels. During the reporting period, securities lending transactions were effected in relation to the following securities lending systems: Manager of the securities lending system: Goldman Sachs Type of securities lending transactions effected: the lending transactions are effected through the agency of a Lending Agent. Nature of the lent securities: the securities lending applies only to the equity portion of the portfolio. Nature of the financial collateral: government bonds issued by Austria, Belgium, Germany, the Netherlands, Luxembourg, the UK, France, the US and Switzerland and supranational bonds denominated in EUR, USD or GBP issued by the EIB or the KFW. Reinvestment of the financial collateral received: no reinvestment takes place.

36 1) The amount of securities and Nil % commodities on loan as a proportion of total lendable assets defined as excluding cash and cash equivalents; 2) The amount of assets engaged in each type of SFT’s and total return swaps expressed as an absolute amount (in the collective investment undertaking’s currency) and as a proportion of the collective investment undertaking’s assets under management (AUM). The amount of assets engaged in 0,00 EUR each type of SFTs and total return swaps expressed as an absolute amount (in the collective investment undertaking’s currency) proportion of the collective Nil % investment undertaking's assets under management (AUM)

Concentration data: 1) Ten largest collateral issuers across all SFTs and total return swaps (break down of volumes of the collateral securities and commodities received per issuer’s name

name collateral issuer Market value on a settled basis currency Nil Nil Nil

2) Top 10 counterparties of each type of SFTs and total return swaps separately (Name of counterparty and gross volume of outstanding transactions).

type SFT (lending name counterparty Country of Market value on a currency program) counterparty settled basis Nil Nil Nil Nil Nil

Aggregate transaction data for each type of SFTs and total return swaps separately to be broken down according to the below categories:

37 1) Type and quality of equity (Goldman Sachs) equity(KBC Bank) bonds (Société Générale) collateral; type Nil. Nil. Nil. quality – Bloomberg composite rating: see table below 2) Maturity tenor of the collateral broken down in the following maturity buckets: less than one day, one day to one week, one week to one month, one to three months, three months to one year, above one year, open maturity: see table below; 3) Currency of the collateral: see table below 4) Maturity tenor of the Nil. Nil. Nil. SFTs and total return swaps broken down in the following maturity buckets: less than one day, one day to one week, one week to one month, one to three months, three months to one year, above one year, open transactions; 5) Country in which the counterparties are established: see table above 6) Settlement and clearing Nil. Nil. Nil. (e.g., tri-party, Central Counterparty, bilateral).

collateral quality currency Maturity tenor Nil Nil Nil Nil

Data on reuse of collateral: 1) Share of collateral received that is reused, compared to the maximum amount Nil specified in the prospectus or in the disclosure to investors; 2) Cash collateral reinvestment returns to the collective investment undertaking. Nil (EUR)

Safekeeping of collateral received by the collective investment undertaking as part of SFTs and total return swaps: 1) Number and names of custodians and the amount of collateral assets safe-kept by each of the custodians.

number Name collateral custodian Market value on a settled currency basis Nil Nil Nil Nil

Safekeeping of collateral granted by the collective investment undertaking as part of SFTs and total return swaps: 1) The proportion of collateral held in segregated Nil accounts or in pooled accounts, or in any other accounts.

Data on return and cost for each type of SFTs and total return swaps: 1) Data on return and cost for each type of SFTs and total return swaps broken down between the collective investment undertaking, the manager of the collective investment undertaking and third parties (e.g. agent lender) in absolute terms and as a percentage of overall returns generated by that type of SFTs and total return swaps.

Lending program: equity collective investment manager of the collective agent lender (Goldman Sachs) undertaking investment undertaking return EUR 14.777,83 3.842,24 1.330,00 percentage of overall 100,00 % 26,00% 9,00% returns cost EUR 5.172,24 percentage of overall 35,00 % returns

39 Semi-annual report as at 30 June 2020

Table of contents

2. Information on KBC Multi Track Germany

2.1. Management report

2.2. Balance sheet

2.3. Profit and loss account

2.4. Composition of the assets and key figures

2.4.1. Composition of the assets of KBC Multi Track Germany 2.4.2. Changes in the composition of the assets KBC Multi Track Germany (in the currency of the sub-fund) 2.4.3. Amount of commitments in respect of financial derivatives positions 2.4.4. Changes in the number of subscriptions and redemptions and the net asset value 2.4.5. Performance figures 2.4.6. Costs 2.4.7. Notes to the financial statements and other data

40 41 2. Information on KBC Multi Track Germany 2.1. Management report

2.1.1. Launch date and subscription price Classic Shares CSOB CZK Capitalisation Launch date: 1 December 2014 Initial subscription price: 1 000 CZK Currency: CZK Classic Shares Capitalisation Launch date: 25 November 1997 Initial subscription price: 250 DEM Currency: EUR Classic Shares Distribution Launch date: 25 November 1997 Initial subscription price: 250 DEM Currency: EUR Institutional B Shares Capitalisation Launch date: 16 May 2017 Initial subscription price: 335.05 EUR Currency: EUR 2.1.2. Stock exchange listing Not applicable. 2.1.3. Goal and key principles of the investment policy Object of the sub-fund The main objective of this sub-fund is to generate the highest possible return for its shareholders by investing directly or indirectly in transferable securities. This is reflected in its pursuit of capital gains and income. To this end, the assets are invested, either directly or indirectly via correlated financial instruments, primarily in shares Sub-fund's investment policy Permitted asset classes The sub-fund may invest in securities, money market instruments, units in undertakings for collective investment, deposits, financial derivatives, liquid assets and all other instruments insofar as permitted by the applicable laws and regulations and consistent with the object as described above. The sub-fund shall invest no more than 10% of its assets in units of other undertakings for collective investment. Restrictions of the investment policy The investment policy will be implemented within the limits set by law and regulations. The sub-fund may borrow up to 10% of its net assets, insofar as these are short-term borrowings aimed at solving temporary liquidity problems. Permitted derivatives transactions Derivatives can be used both to achieve the investment objectives and to hedge risks.

42 instruments, such as, for instance, cash or investment grade bonds. The relationship with the counterparty or counterparties is governed by standard international agreements.

Derivatives may also be used to hedge the assets of the sub-fund against open exchange rate risks in relation to the currency in which the sub-fund is denominated.

Index tracking method: physical replication using optimised sampling: the index is tracked using a selection of shares in the index in order to best replicate the index. In addition, an optimisation algorithm is used that balances the risk and the return of each of the portfolio positions, so optimising the selection. The sub-fund may also make limited use of synthetic replication by way of futures, primarily in order to cushion the effects of buying and selling and to avoid the attendant transaction charges.

The index is rebalanced yearly. The more often an index is rebalanced, the greater the potential impact on the transaction charges within the sub-fund.

This fund is not sponsored, endorsed, sold or promoted by MSCI INC. ('MSCI'), any of its affiliates, any of its information providers or any other third party involved in, or related to, compiling, computing or creating any MSCI index (collectively, the 'MSCI parties'). The MSCI indexes are the exclusive property of MSCI. MSCI and the MSCI index names are service mark(s) of MSCI or its affiliates and have been licensed for use for certain purposes by KBC Asset Management NV. None of the MSCI parties makes any representation or warranty, express or implied, to the issuer or owners of this fund or any other person or entity regarding the advisability of investing in funds generally or in this fund particularly or the ability of any MSCI index to track corresponding stock market performance. MSCI or its affiliates are the licensors of certain trademarks, service marks and trade names and of the MSCI indexes which are determined, composed and calculated by MSCI without regard to this fund or the issuer or owners of this fund or any other person or entity. None of the MSCI parties has any obligation to take the needs of the issuer or owners of this fund or any other person or entity into consideration in determining, composing or calculating the MSCI indexes. None of the MSCI parties is responsible for or has participated in the determination of the timing of, prices at, or quantities of this fund to be issued or in the determination or calculation of the equation by or the consideration into which this fund is redeemable. Further, none of the MSCI parties has any obligation or liability to the issuer or owners of this fund or any other person or entity in connection with the administration, marketing or offering of this fund. Although MSCI shall obtain information for inclusion in or for use in the calculation of the MSCI indexes from sources that MSCI considers reliable, none of the MSCI parties warrants or guarantees the originality, accuracy and/or the completeness of any MSCI index or any data included therein. None of the MSCI parties makes any warranty, express or implied, as to results to be obtained by the issuer of the fund, owners of the fund, or any other person or entity, from the use of any MSCI index or any data included therein. None of the MSCI parties shall have any liability for any errors, omissions or interruptions of or in connection with any MSCI index or any data included therein. Further, none of the MSCI parties makes any express or implied warranties of any kind, and

43 the MSCI parites hereby expressly disclaim all warranties of merchantability and fitness for a particular purpose, with respect to each MSCI index and any data included therein. Without limiting any of the foregoing, in no event shall any of the MSCI parties have any liability for any direct, indirect, special, punitive, consequential or any other damages (including lost profits) even if notified of the possibility of such damages.

No purchaser, seller or holder of this fund, or any other person or entity, should use or refer to any MSCI trade name, trademark or service mark to sponsor, endorse, market or promote this fund without first contacting MSCI to determine whether MSCI’s permission is required. Under no circumstances may any person or entity claim any affiliation with MSCI without the prior written permission of MSCI.

General strategy for hedging the exchange risk A more detailed explanation can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.2. General strategy for hedging the exchange rate risk’. Social, ethical and environmental aspects A more detailed explanation can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.3. Social, ethical and environmental aspects 2.1.4. Financial portfolio management There is no delegation of the management of the asset allocation. 2.1.5. Distributors KBC Asset Management S.A., 4, Rue du Fort Wallis, L-2714 Luxembourg. 2.1.6. Index and benchmark See ‘Sub-fund’s investment policy’. Tracking error and annual tracking difference for the Capitalisation share (ISIN-code: BE6271852269) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. Tracking error and annual tracking difference for the Capitalisation share (ISIN-code: BE0165668899) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. Tracking error and annual tracking difference for the Distribution share (ISIN-code: BE0165669905) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. Tracking error and annual tracking difference for the Capitalisation share (ISIN-code: BE6294785678) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. 2.1.7. Policy pursued during the financial year As defined by the prospectus, the fund was managed with the objective to reflect the return of the MSCI Germany Index.

44 The tracking error for the composition of the fund was more than 1 % ( 2 . 60 %). The tracking error is overestimated due to a price difference between the different stock exchanges on which the shares are listed. 2.1.8. Future policy As defined by the prospectus, the fund was managed with the objective to reflect the return of the MSCI Germany Index. 2.1.9. Synthetic risk and reward indicator (SRRI) Classic Shares CSOB CZK: 6 on a scale of 1 (lowest risk) to 7 (highest risk) Classic Shares: 6 on a scale of 1 (lowest risk) to 7 (highest risk) Institutional B Shares: 6 on a scale of 1 (lowest risk) to 7 (highest risk)

A more detailed explanation can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.4. Synthetic risk and reward indicator’

45 2.2. Balance sheet

30/06/2020 30/06/2019 Balance sheet layout (in the currency of the sub- (in the currency of the sub- fund) fund) TOTAL NET ASSETS 105,494,864.41 160,671,883.83 II. Securities, money market instruments, UCIs and derivatives A. Bonds and other debt instruments a) Bonds Collateral received in the form of bonds 398,872.38 467,465.64 C. Shares and similar instruments a) Shares 105,997,590.02 163,696,076.33 Of which securities lent 352,287.80 413,127.50 D. Other securities 55,076.34 F. Derivative financial instruments m) Financial indices Futures and forward contracts (+/-) -30,525.00 IV. Receivables and payables within one year A. Receivables a) Accounts receivable 4,909.28 31,048.58 c) Collateral 0.01 263,840.71 B. Payables a) Accounts payable (-) -110,827.58 -32,078.65 c) Borrowings (-) -2.36 -3,310,482.67 d) Collateral (-) -398,872.38 -467,465.64 V. Deposits and cash at bank and in hand A. Demand balances at banks 19,031.61 -9,637.10 VI. Accruals and deferrals B. Accrued income 10,747.35 223,326.60 C. Accrued expense (-) -426,583.92 -214,761.31 TOTAL SHAREHOLDERS' EQUITY 105,494,864.41 160,671,883.83 A. Capital 116,376,297.77 114,721,229.12 B. Income equalization -40,565.86 -2,376,653.98 D. Result of the period -10,840,867.50 48,327,308.69

Off-balance-sheet headings I. Collateral (+/-) I.A. Collateral (+/-) I.A.a. Securities/money market instruments 398,872.38 467,465.64 I.A.b. Cash at bank and in hand/deposits 0.01 263,840.71 III. Notional amounts of futures and forward contracts (+) III.A. Purchased futures and forward contracts III.B. Written futures and forward contracts -3,716,400.00 IX. Financial instruments lent 352,287.80 413,127.50

46 2.3. Profit and loss account 30/06/2020 30/06/2019 Income Statement (in the currency of the fund) (in the currency of the fund)

I. Net gains(losses) on investments C. Shares and similar instruments a) Shares -12,347,591.96 42,667,596.46 D. Other securities 0.41 F. Derivative financial instruments l) Financial indices Futures and forward contracts 64,012.50 -390,311.87 Foreign exchange positions and H. transactions b) Other foreign exchange positions and -6,896.79 -708.10 transactions Det.section I gains and losses on investments Realised gains on investments 3,316,206.96 27,824,919.66 Unrealised gains on investments -6,482,252.66 -6,825,862.80 Realised losses on investments -5,578,877.56 -47,543,212.52 Unrealised losses on investments -3,545,552.99 68,820,732.56 II. Investment income and expenses A. Dividends 2,106,543.63 7,197,699.30 B. Interests a) Securities and money market 1,183.29 21,740.59 instruments b) Cash at bank and in hand and deposits 38.49 158.04 C. Interest on borrowings (-) -2,518.06 -11,257.52 III. Other income Income received to cover the acquisition A. and realizaion of assets, to discourage 5,581.49 139,231.14 withdrawals and for delivery charges IV. Operating expenses Investment transaction and delivery costs A. -9,291.73 -112,767.23 (-) B. Financial expenses (-) -2,199.75 -2,716.25 C. Custodian's fee (-) -21,834.48 -36,217.42 D. Manager's fee (-) a) Financial management Classic Shares -340,054.15 -767,176.31 Institutional B Shares -3,094.51 -78,728.47 Classic Shares CSOB CZK -26,248.51 -70,395.74 b) Administration and accounting -53,360.45 -132,990.61 management E. Administrative expenses (-) -993.48 -28.17 F. Formation and organisation expenses (-) -2,245.05 -3,614.03 Remuneration, social security charges and G. -578.53 pension H. Services and sundry goods (-) -4,823.60 -4,960.51 J. Taxes Classic Shares -42,343.74 -64,822.68 Institutional B Shares -0.19 -224.38 Classic Shares CSOB CZK 92.80 27.38 K. Other expenses (-) -154,823.25 -21,646.81 Income and expenditure for the period Subtotal II + III + IV 1,449,608.75 6,050,731.80 Profit (loss) on ordinary activities V. -10,840,867.50 48,327,308.69 before tax VII. Result of the period -10,840,867.50 48,327,308.69

47 2.4. Composition of the assets and key figures

2.4.1. Composition of the assets of KBC Multi Track Germany Name Quantity on Currency Price in Evaluation % % % 30/06/2020 currency (in the currency of owned by portfolio Net the sub-fund) UCI assets NET ASSETS

SECURITIES PORTFOLIO

Exchange-listed shares

Cyprus AROUNDTOWN PROPERTY HOLD SA - 113,002.00 EUR 5.098 576,084.20 0.54 0.55 France SARTORIUS STEDIM BIOTECH - 3,492.00 EUR 292.600 1,021,759.20 0.96 0.97 Germany ADIDAS AG - 18,694.00 EUR 233.600 4,366,918.40 4.12 4.14 ALLIANZ AG REG 40,960.00 EUR 181.760 7,444,889.60 7.02 7.06 ASCLEPION-MEDITEC AG - 3,962.00 EUR 86.800 343,901.60 0.32 0.33 BASF SE - 90,190.00 EUR 49.880 4,498,677.20 4.24 4.26 BAYER AG - 96,496.00 EUR 65.790 6,348,471.84 5.99 6.02 BAYERISCHE MOTOREN WERKE AG (FRA)(PREF) 5,682.00 EUR 43.180 245,348.76 0.23 0.23 BAYERISCHE MOTOREN WERKE AG - 32,413.00 EUR 56.820 1,841,706.66 1.74 1.75 BEIERSDORF AG - 9,921.00 EUR 101.100 1,003,013.10 0.95 0.95 BRENNTAG AG - 15,139.00 EUR 46.770 708,051.03 0.67 0.67 COMMERZBANK AG - 100,389.00 EUR 3.967 398,243.16 0.38 0.38 CONTINENTAL AG - 10,775.00 EUR 87.160 939,149.00 0.89 0.89 COVESTRO AG - 17,030.00 EUR 33.850 576,465.50 0.54 0.55 DAIMLER AG - 84,014.00 EUR 36.145 3,036,686.03 2.87 2.88 DELIVERY HERO SE - 12,581.00 EUR 90.960 1,144,367.76 1.08 1.09 DEUTSCHE BANK AG REG 192,675.00 EUR 8.464 1,630,801.20 1.54 1.55 DEUTSCHE BOERSE AG - 18,657.00 EUR 161.050 3,004,709.85 2.84 2.85 DEUTSCHE LUFTHANSA AG REG 24,187.00 EUR 8.942 216,280.15 0.20 0.21 DEUTSCHE POST AG - 97,156.00 EUR 32.550 3,162,427.80 2.98 3.00 DEUTSCHE TELEKOM INT FIN REG 327,361.00 EUR 14.945 4,892,410.15 4.62 4.64 DEUTSCHE WOHNEN AG - 33,549.00 EUR 39.950 1,340,282.55 1.26 1.27 E.ON SE - 220,443.00 EUR 10.015 2,207,736.65 2.08 2.09 EVONIK INDUSTRIES AG - 20,608.00 EUR 22.610 465,946.88 0.44 0.44 FRAPORT AG - 4,077.00 EUR 38.820 158,269.14 0.15 0.15 FRESENIUS MEDICAL CARE AG & CO - 20,936.00 EUR 76.300 1,597,416.80 1.51 1.51 FRESENIUS SE & CO KGAA (FRA) 41,040.00 EUR 44.120 1,810,684.80 1.71 1.72 FUCHS PETROCLUB SE PREF 6,553.00 EUR 35.740 234,204.22 0.22 0.22 GEA AG - 15,424.00 EUR 28.150 434,185.60 0.41 0.41 HANNOVER RUECK SE (FRA) NAAM 5,921.00 EUR 153.400 908,281.40 0.86 0.86 HEIDELBERGCEMENT AG - 14,573.00 EUR 47.540 692,800.42 0.65 0.66 HENKEL KGAA (FRA) 10,340.00 EUR 74.150 766,711.00 0.72 0.73 HENKEL KGAA PREF 17,420.00 EUR 82.880 1,443,769.60 1.36 1.37 HOCHTIEF AG - 2,517.00 EUR 78.950 198,717.15 0.19 0.19 INFINEON TECHNOLOGIES AG - 122,819.00 EUR 20.875 2,563,846.63 2.42 2.43 KION GROUP AG - 6,462.00 EUR 54.800 354,117.60 0.33 0.34 KNORR-BREMSE AG - 4,735.00 EUR 90.230 427,239.05 0.40 0.41 LANXESS - 8,152.00 EUR 46.960 382,817.92 0.36 0.36 LEG IMMOBILIEN AG - 6,778.00 EUR 113.000 765,914.00 0.72 0.73 MERCK KGAA - 12,720.00 EUR 103.300 1,313,976.00 1.24 1.25 METRO AG - 16,955.00 EUR 8.416 142,693.28 0.14 0.14 MTU AERO ENGINES AG - 5,207.00 EUR 154.150 802,659.05 0.76 0.76 NEMETSCHEK SE - 5,665.00 EUR 61.200 346,698.00 0.33 0.33 PORSCHE AUTOMOBIL HOLDING SE PREF 14,985.00 EUR 51.160 766,632.60 0.72 0.73 PUMA SE (FRA) 8,137.00 EUR 68.820 559,988.34 0.53 0.53 RWE AG - 57,324.00 EUR 31.110 1,783,349.64 1.68 1.69 SAP AG - 102,569.00 EUR 124.320 12,751,378.08 12.03 12.09 SCOUT24 AG - 10,566.00 EUR 69.050 729,582.30 0.69 0.69 SIEMENS AG REG 75,101.00 EUR 104.760 7,867,580.76 7.42 7.46 SIEMENS HEALTHINEERS AG - 14,739.00 EUR 42.650 628,618.35 0.59 0.60 SYMRISE AG - 12,641.00 EUR 103.500 1,308,343.50 1.23 1.24 TEAMVIEWER AG - 12,773.00 EUR 48.600 620,767.80 0.59 0.59 TELEFONICA DEUTSCHLAND HOLDING - 102,025.00 EUR 2.627 268,019.68 0.25 0.25 THYSSENKRUPP AG - 39,700.00 EUR 6.314 250,665.80 0.24 0.24 UNIPER SE - 19,720.00 EUR 28.700 565,964.00 0.53 0.54 UNITED INTERNET AG - 10,052.00 EUR 37.710 379,060.92 0.36 0.36 VOLKSWAGEN AG - 3,196.00 EUR 143.300 457,986.80 0.43 0.43 VOLKSWAGEN AG PREF 18,209.00 EUR 134.940 2,457,122.46 2.32 2.33 VONOVIA SE - 50,564.00 EUR 54.580 2,759,783.12 2.60 2.62 ZALANDO SE - 14,878.00 EUR 62.780 934,040.84 0.88 0.89

48 Netherlands MUNICH RE FINANCE BV REG 14,173.00 EUR 231.400 3,279,632.20 3.09 3.11 QIAGEN NV - 22,685.00 EUR 38.340 869,742.90 0.82 0.82 Total shares 105,997,590.02 100.00 100.48 TOTAL SECURITIES PORTFOLIO 105,997,590.02 100.00 100.48 COLLATERAL RECEIVED

Belgium COLLATERAL ONTVANGEN SECURITIES LENDING 398,872.38 EUR 1.000 398,872.38 0.38 TOTAL RECEIVED COLLATERAL 398,872.38 0.38 CASH AT BANK AND IN HAND

Demand accounts

Belgium KBC GROUP CZK 233,879.70 CZK 1.000 8,778.44 0.01 KBC GROUP EURO 10,253.17 EUR 1.000 10,253.17 0.01 KBC GROUP USD -2.65 USD 1.000 -2.36 Total demand accounts 19,029.25 0.02 TOTAL CASH AT BANK AND IN HAND 19,029.25 0.02 OTHER RECEIVABLES AND PAYABLES

Receivables

Belgium KBC GROUP CZK RECEIVABLE 75,285.79 CZK 1.000 2,825.78 0.00 KBC GROUP EUR RECEIVABLE 2,083.50 EUR 1.000 2,083.50 0.00 U.S.A. JPMORGAN CHASE & CO DEKKING EUR 0.01 EUR 1.000 0.01 Total receivables 4,909.29 0.01 Payables

Belgium COLLATERAL ONTVANGEN SECURITIES LENDING TEGENP -398,872.38 EUR 1.000 -398,872.38 -0.38 KBC GROUP CZK PAYABLE -17,104.07 CZK 1.000 -641.98 -0.00 KBC GROUP EUR PAYABLE -110,185.60 EUR 1.000 -110,185.60 -0.10 Payables -509,699.96 -0.48 TOTAL RECEIVABLES AND PAYABLES -504,790.67 -0.48 OTHER Interest receivable EUR 10,747.35 0.01 Expenses payable EUR -426,583.92 -0.40 TOTAL OTHER -415,836.57 -0.39 TOTAL NET ASSETS 105,494,864.41 100.00

Geographic breakdown (as a % of securities portfolio) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 Belgium 2.18 -2.06 -0.51 -0.08 Cyprus 0.54 0.55 0.65 0.54 Germany 95.84 99.83 98.60 97.76 France 0.39 0.60 0.60 0.96 Luxembourg 0.18 0.16 0.00 0.00 Netherlands 0.68 0.77 0.61 0.82 U.S.A. 0.19 0.15 0.05 0.00 TOTAL 100.00 100.00 100.00 100.00 Sector breakdown (as a % of securities portfolio) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 Cyclicals 28.91 28.48 28.68 26.23 Consum(cycl) 22.80 23.49 22.37 18.14 Cons.goods 0.47 0.75 0.77 1.01 Pharma 5.85 6.60 6.41 7.16 Financials 17.63 14.47 15.92 15.66 Technology 11.68 13.88 13.65 17.50 Telecomm. 5.27 4.97 4.46 4.87 Utilities 3.43 3.70 3.79 4.30 Real est. 3.96 3.66 3.95 5.13 TOTAL 100.00 100.00 100.00 100.00

49 Currency breakdown (as a % of net assets) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 CZECH KORUNA 0.01 -0.01 -0.26 0.01 EURO 99.99 100.01 100.26 99.99 TOTAL 100.00 100.00 100.00 100.00 2.4.2. Changes in the composition of the assets of KBC Multi Track Germany (in the currency of the sub-fund) 1st half of year Purchases 4,018,523.66 Sales 19,639,109.33 Total 1 23,657,632.99 Subscriptions 3,117,345.04 Redemptions 18,128,439.79 Total 2 21,245,784.83 Monthly average of 107,097,165.69 total assets Turnover rate 2.25%

The detailed list of transactions can be consulted free of charge at the company designated as financial service: CBC Banque SA, Avenue Albert 1er 60, B-5000 Namur KBC Bank NV, Havenlaan 2, B-1080 Brussels 2.4.3. Amount of commitments in respect of financial derivatives positions Name Currency Value in currency In the currency of Lot-size Transaction the sub-fund date JPMORGAN EUR 0.01 0.01 N/A 29.05.2020 DEKKING EUR 2.4.4. Changes in the number of subscriptions and redemptions and the net asset value

50 Classic Shares Period Change in number of shares in circulation Subscriptions Redemptions End of period Year Capitalization Distribution Capitalization Distribution Capitalization Distribution Totaal 2018 - 12 79,133.98 449,537.00 83,680.14 384,651.05 453,683.77 1,075,551.88 1,529,235.65 2019 - 12 13,020.32 29,763.00 275,851.64 849,311.33 190,852.46 256,003.55 446,856.01 2020 - 06 5,302.48 3,447.51 16,652.71 31,464.25 179,502.24 227,986.80 407,489.04

Period Amounts received and paid by the UCITS (in the currency of the class) Year Subscriptions Redemptions Capitalization Distribution Capitalization Distribution 2018 - 12 25,630,260.44 91,622,732.54 27,165,088.90 79,861,202.28 2019 - 12 3,904,815.74 5,543,706.27 83,764,114.59 163,850,276.40 2020 - 06 1,471,622.86 568,138.74 5,244,519.44 6,135,543.87

Period Net asset value End of period (in the currency of the class) Year Of the class Of one share Capitalization Distribution 2018 - 12 313,948,129.32 273.69 176.45 2019 - 12 117,701,310.19 334.45 210.43 2020 - 06 97,587,760.15 307.15 186.21 Classic Shares CSOB CZK Period Change in number of shares in circulation Subscriptions Redemptions End of period Year Capitalization Distribution Capitalization Distribution Capitalization Distribution Totaal 2018 - 12 59,911.64 64,986.54 249,071.51 249,071.51 2019 - 12 26,311.21 74,087.95 201,294.77 201,294.77 2020 - 06 27,697.88 29,733.22 199,259.42 199,259.42

Period Amounts received and paid by the UCITS (in the currency of the class) Year Subscriptions Redemptions Capitalization Distribution Capitalization Distribution 2018 - 12 64,223,190.81 71,152,931.31 2019 - 12 26,832,596.54 77,324,046.39 2020 - 06 25,679,413.82 30,821,183.37

Period Net asset value End of period (in the currency of the class) Year Of the class Of one share Capitalization Distribution 2018 - 12 227,454,406.89 913.20 2019 - 12 220,915,406.32 1,097.45 2020 - 06 210,665,200.56 1,057.23

51 Institutional B Shares Period Change in number of shares in circulation Subscriptions Redemptions End of period Year Capitalization Distribution Capitalization Distribution Capitalization Distribution Totaal 2018 - 12 200,993.99 231,350.00 407,277.99 407,277.99 2019 - 12 51,916.67 440,036.07 19,158.60 19,158.60 2020 - 06 0.00 19,158.60 0.00 0.00

Period Amounts received and paid by the UCITS (in the currency of the class) Year Subscriptions Redemptions Capitalization Distribution Capitalization Distribution 2018 - 12 63,813,658.09 74,467,719.64 2019 - 12 15,731,907.40 130,838,408.40 2020 - 06 0.00 5,581,497.52

Period Net asset value End of period (in the currency of the class) Year Of the class Of one share Capitalization Distribution 2018 - 12 111,582,056.43 273.97 2019 - 12 6,434,744.81 335.87 2020 - 06 0.00

52 2.4.5. Performance figures

Classic Shares CSOB CZK BE6271852269 KBC Multi Track Germany Classic Shares CSOB CZK CAP Annual performance compared to the benchmark on 30/06/2020 (inCZK)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015# 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in CZK -13.6% 18.8% -1.5% -4.7% 2.2% in CZK -12.0% 20.9% -0.2% -3.5% 3.4%

# There is insufficient data for this year to give investors a useful indication of past performance. Classic Shares CSOB CZK BE6271852269 KBC Multi Track Germany Classic Shares CSOB CZK CAP Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015# 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR -13.1% 23.2% -1.1% -2.5% -2.4% in EUR -11.4% 25.4% 0.2% -1.3% -1.2%

# There is insufficient data for this year to give investors a useful indication of past performance.

53 Cap Curr ISIN Code 1 year 3 years 5 years 10 years Since Launch* Div ency Share Bench Share Bench Share Bench Share Bench Starting Share classes mark classes mark classes mark classes mark date classes

CAP BE6271852269 CZK 7.41% 8.29% 0.53% 1.72% 1.74% 3.21% % 01/12/2014 1.63%

CAP BE6271852269 EUR 6.13% 7.00% 0.33% 1.52% 2.33% 3.80% 01/12/2014 2.52% Risk warning: Past performance is not a guide to future performance. * Return on annual basis. Classic Shares CSOB CZK • The bar chart shows the performance for full financial years(period of 12 months prior to the half-yearly closing). • The figures do not take account of any restructuring.. • Calculated in CZK and in EUR. • The return is calculated as the change in the net asset value between two dates expressed as a percentage. • Calculation method for date D, where NAV stands for net asset value: Capitalisation units (CAP) Return on date D over a period of X years : [NIW(D) / NIW(Y)] ^ [1 / X] - 1 where Y = D-X Return on date D since the start date S of the unit: [NIW(D) / NIW(S)] ^ [1 / F] - 1 where F = 1 if the unit has existed for less than one year on date D where F = (D-S) / 365.25 if the unit has existed for longer than one year on date D • If the interval between the two dates exceeds one year, the ordinary return calculation is converted into a return on an annual basis by taking the nth square root of 1 plus the total return of the unit.. • The return figures shown above do not take account of the fees and charges associated with the issue and redemption of units. • These are the performance figures for capitalisation shares.

54 Classic Shares BE0165668899 KBC Multi Track Germany Classic Shares CAP Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR 21.8% -13.5% 23.6% 22.2% 10.6% -12.4% 24.0% -0.4% -1.8% -2.4% in EUR 23.0% -13.2% 24.2% 22.8% 11.2% -11.4% 25.4% 0.2% -1.3% -1.2%

Classic Shares BE0165669905 KBC Multi Track Germany Classic Shares DIS Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR 21.8% -13.6% 23.6% 22.2% 10.5% -12.4% 24.0% -0.4% -1.8% -2.4% in EUR 23.0% -13.2% 24.2% 22.8% 11.2% -11.4% 25.4% 0.2% -1.3% -1.2%

55 Cap Curr ISIN Code 1 year 3 years 5 years 10 years Since Launch* Div ency Share Bench Share Bench Share Bench Share Bench Starting Share classes mark classes mark classes mark classes mark date classes

CAP BE0165668899 EUR 6.04% 7.00% 0.76% 1.52% 2.88% 3.80% 6.79% 7.56% 25/11/1997 2.63%

DIS BE0165669905 EUR 6.10% 7.00% 0.79% 1.52% 2.89% 3.80% 6.78% 7.56% 25/11/1997 2.61% Risk warning: Past performance is not a guide to future performance. * Return on annual basis. Classic Shares • The bar chart shows the performance for full financial years(period of 12 months prior to the half-yearly closing). • The figures do not take account of any restructuring.. • Calculated in EUR. • The return is calculated as the change in the net asset value between two dates expressed as a percentage. In the case of units that pay dividends, the dividend is incorporated geometrically in the return. • Calculation method for date D, where NAV stands for net asset value: Capitalisation units (CAP) Return on date D over a period of X years : [NIW(D) / NIW(Y)] ^ [1 / X] - 1 where Y = D-X Return on date D since the start date S of the unit: [NIW(D) / NIW(S)] ^ [1 / F] - 1 where F = 1 if the unit has existed for less than one year on date D where F = (D-S) / 365.25 if the unit has existed for longer than one year on date D Distribution units (DIV) Return on date D over a period of X years : [ C * NIW(D) / NIW(Y)] ^ [1 / X] - 1 where Y = D-X Return on date D since the start date S of the unit: [ C * NIW(D) / NIW(S)] ^ [1 / F] - 1 where F = 1 if the unit has existed for less than one year on date D where F = (D-S) / 365.25 if the unit has existed for longer than one year on date D where C is a factor that is determined for all N dividends between the calculation date D and the reference date. For dividend i on date Di with value Wi: Ci = [Wi / NIW(Di)] + 1 i = 1 ... N from whichC = C0 * .... * CN. • If the interval between the two dates exceeds one year, the ordinary return calculation is converted into a return on an annual basis by taking the nth square root of 1 plus the total return of the unit.. • The return figures shown above do not take account of the fees and charges associated with the issue and redemption of units. • These are the performance figures for capitalisation and distribution shares

56 Institutional B Shares BE6294785678 KBC Multi Track Germany Institutional B Shares CAP Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR -0.3% -1.6% in EUR 0.2% -1.3%

57 Institutional B Shares • The bar chart shows the performance for full financial years(period of 12 months prior to the half-yearly closing). • The figures do not take account of any restructuring.. • Calculated in EUR. • The return is calculated as the change in the net asset value between two dates expressed as a percentage. • Calculation method for date D, where NAV stands for net asset value: Capitalisation units (CAP) Return on date D over a period of X years : [NIW(D) / NIW(Y)] ^ [1 / X] - 1 where Y = D-X Return on date D since the start date S of the unit: [NIW(D) / NIW(S)] ^ [1 / F] - 1 where F = 1 if the unit has existed for less than one year on date D where F = (D-S) / 365.25 if the unit has existed for longer than one year on date D • If the interval between the two dates exceeds one year, the ordinary return calculation is converted into a return on an annual basis by taking the nth square root of 1 plus the total return of the unit.. • The return figures shown above do not take account of the fees and charges associated with the issue and redemption of units. • These are the performance figures for capitalisation shares.

58 2.4.6. Costs Ongoing Charges and Transaction costs: Classic Shares CSOB CZK Capitalisation : Ongoing Charges : 1.222% Transaction costs : 0.020% Classic Shares Capitalisation : Ongoing Charges : 1.202% Transaction costs : 0.020% Classic Shares Distribution : Ongoing Charges : 1.176% Transaction costs : 0.020% Institutional B Shares Capitalisation : Ongoing Charges : 0.430% Transaction costs : 0.020%

Percentage calculated at reporting date: 30 June 2020 (period of 12 months prior to the half-yearly closing).

A more detailed explanation with respect to the method of calculating ongoing charges and the relevant exclusions can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.5. Ongoing charges’ More information on how transaction costs are calculated: the transaction costs are not included in the ongoing charges, but are instead shown separately. Moreover, this does not fully reflect the actual transaction costs as only the explicit transaction costs are given. Existence of Commission Sharing Agreements Not applicable Existence of fee sharing agreements and rebates The management company has shared 54,25% of its fee with the distributor, and institutional and/or professional parties. If the management company invests the assets of the undertaking for collective investment in units of undertakings for collective investment that are not managed by an entity of KBC Groep NV, and receives a fee for doing so, it will pay this fee to the undertaking for collective investment. Fee-sharing does not affect the amount of the management fee paid by a sub-fund to the management company. This management fee is subject to the limitations laid down in the articles of association. The limitations may only be amended after approval by the General Meeting. 2.4.7. Notes to the financial statements and other data

Classic Shares CSOB CZK Fee for managing the investment 1.50% per year calculated on the basis of the average total net portfolio assets of the sub-fund, no management fee is charged on assets invested in underlying undertakings for collective investment managed by a financial institution of the KBC group.

(*) The fee for the management of the investment portfolio of the undertakings for collective investment in which the sub-fund invests will amount to a year.

Administration fee 0.10% per year calculated on the basis of the average total net assets of the sub-fund.

Fee paid to the bevek's statutory auditor see the 'Information concerning the Bevek - G. Fees and charges regarding the Bevek’ for this non-structured sub-fund

Annual tax see the 'Information concerning the Bevek - H. Tax treatment’

59 Classic Shares Fee for managing the investment 0.70% per year calculated on the basis of the average total net portfolio assets of the sub-fund, no management fee is charged on assets invested in underlying undertakings for collective investment managed by a financial institution of the KBC group.

(*) The fee for the management of the investment portfolio of the undertakings for collective investment in which the sub-fund invests will amount to a year.

Administration fee 0.10% per year calculated on the basis of the average total net assets of the sub-fund.

Fee paid to the bevek's statutory auditor see the 'Information concerning the Bevek - G. Fees and charges regarding the Bevek’ for this non-structured sub-fund

Annual tax see the 'Information concerning the Bevek - H. Tax treatment’

Institutional B Shares Fee for managing the investment Max 0.70% per year calculated on the basis of the average total net portfolio assets of the sub-fund, no management fee is charged on assets invested in underlying undertakings for collective investment managed by a financial institution of the KBC group.

(*) The fee for the management of the investment portfolio of the undertakings for collective investment in which the sub-fund invests will amount to a year.

Administration fee 0.10% per year calculated on the basis of the average total net assets of the sub-fund.

Fee paid to the bevek's statutory auditor see the 'Information concerning the Bevek - G. Fees and charges regarding the Bevek’ for this non-structured sub-fund

Annual tax see the 'Information concerning the Bevek - H. Tax treatment’

60 Securities lending Pursuant to the Royal Decree of 7 March 2006 on securities lending, the undertaking for collective investment in transferable securities(UCITS) has entered into securities lending transactions, whereby the title to the securities that have been lent has been transferred, without recognition of that transfer of ownership in the accounts. For the period from 01/01/2020 to 01/06/2020, the realised net income for the UCITS amounts to 769,13 EUR and for the Management Company 307,65 EUR. Direct and indirect costs and charges are deducted from the gross income. These are set at a flat rate of 35% of the fee received and consist of the charges for the clearing services provided by KBC Bank NV, the charges paid to the management company for setting up and monitoring the system for lending securities, the charges for margin management, the charges associated with cash and custody accounts and cash and securities transactions, the fee paid for any management of reinvestments and, if the sub-fund uses an agent, the fee paid to the agent. The undertaking for collective investment in transferable securities will thus receive 65% of the fee received for securities lent. The number of securities lent varied between 0 and 2, with a market value fluctuating between 528750 and 528750 EUR.The detailed list of securities lending transactions carried out may be obtained from the registered office of the undertaking for collective investment in transferable securities at Havenlaan 2, 1080 Brussels. During the reporting period, securities lending transactions were effected in relation to the following securities lending systems: Manager of the securities lending system: Goldman Sachs Type of securities lending transactions effected: the lending transactions are effected through the agency of a Lending Agent. Nature of the lent securities: the securities lending applies only to the equity portion of the portfolio. Nature of the financial collateral: government bonds issued by Austria, Belgium, Germany, the Netherlands, Luxembourg, the UK, France, the US and Switzerland and supranational bonds denominated in EUR, USD or GBP issued by the EIB or the KFW. Reinvestment of the financial collateral received: no reinvestment takes place.

Name Currency Quantity Price Value in currency of the portfolio DEUTSCHE LUFTHANSA-REG EUR 22900 8.942 204,771.80 FRAPORT AG FRANKFURT EUR 3800 38.82 147,516.00 AIRPORT Total 352,287.80

Details of collateral received for securities lent Name Currency Nominal value Currency fund Value in currency fund AUSTRIA EUR 216000 EUR 233,703.00 GOVERNMEN 0.75 20OCT26 144A GERMANY 2013 EUR 815 EUR 867.95 1.5% 15/02/2023 UNITED KINGDOM GBP 71034.31 EUR 164,301.42 GIL 0.125 10AUG48 IL Total 398,872.37 For the valuation of the collateral received, indicative prices have been used in this detail list by the Collateral Management Division of KBC Bank The amount in securities lent on a traded basis, as given in the annual report, can differ from the amount in securities lent on a settled basis. The position held as collateral is determined on the basis of the settled positions.

Transparency of securities financing transactions and of reuse Global data:

61 1) The amount of securities and 0,33 % commodities on loan as a proportion of total lendable assets defined as excluding cash and cash equivalents; 2) The amount of assets engaged in each type of SFT’s and total return swaps expressed as an absolute amount (in the collective investment undertaking’s currency) and as a proportion of the collective investment undertaking’s assets under management (AUM). The amount of assets engaged in 352.287,80 EUR each type of SFTs and total return swaps expressed as an absolute amount (in the collective investment undertaking’s currency) proportion of the collective 0,33 % investment undertaking's assets under management (AUM)

Concentration data: 1) Ten largest collateral issuers across all SFTs and total return swaps (break down of volumes of the collateral securities and commodities received per issuer’s name

name collateral issuer Market value on a settled basis currency Republic of Austria 233.703,00 EUR UNITED KINGDOM GIL 0.125 164.301,42 EUR 10AUG48 IL Federal Republic of Germany 867,95 EUR

2) Top 10 counterparties of each type of SFTs and total return swaps separately (Name of counterparty and gross volume of outstanding transactions).

type SFT (lending name counterparty Country of Market value on a currency program) counterparty settled basis equity (Goldman UBS AG Switzerland 204.771,80 EUR Sachs) equity (Goldman Goldman, Sachs UK 147.516,00 EUR Sachs) International LTD

Aggregate transaction data for each type of SFTs and total return swaps separately to be broken down according to the below categories:

62 1) Type and quality of equity (Goldman Sachs) equity(KBC Bank) bonds (Société Générale) collateral; type bonds Nil. Nil. quality – Bloomberg composite rating: see table below 2) Maturity tenor of the collateral broken down in the following maturity buckets: less than one day, one day to one week, one week to one month, one to three months, three months to one year, above one year, open maturity: see table below; 3) Currency of the collateral: see table below 4) Maturity tenor of the open maturity Nil. Nil. SFTs and total return swaps broken down in the following maturity buckets: less than one day, one day to one week, one week to one month, one to three months, three months to one year, above one year, open transactions; 5) Country in which the counterparties are established: see table above 6) Settlement and clearing tri-party Nil. Nil. (e.g., tri-party, Central Counterparty, bilateral).

collateral quality currency Maturity tenor AUSTRIA GOVERNMEN AA+ EUR above one year 0.75 20OCT26 144A GERMANY 2013 1.5% NR EUR above one year 15/02/2023 UNITED KINGDOM GIL NR EUR above one year 0.125 10AUG48 IL

number Name collateral custodian Market value on a settled currency basis 1 Bank of New York 398.872,38 EUR

Lending program: equity collective investment manager of the collective agent lender (Goldman Sachs) undertaking investment undertaking return EUR 1.183,28 307,65 106,50 percentage of overall 100,00 % 26,00% 9,00% returns cost EUR 414,15 percentage of overall 35,00 % returns

64 Semi-annual report as at 30 June 2020

Table of contents

2. Information on KBC Multi Track Netherlands

2.1. Management report

2.2. Balance sheet

2.3. Profit and loss account

2.4. Composition of the assets and key figures

2.4.1. Composition of the assets of KBC Multi Track Netherlands 2.4.2. Changes in the composition of the assets KBC Multi Track Netherlands (in the currency of the sub-fund) 2.4.3. Amount of commitments in respect of financial derivatives positions 2.4.4. Changes in the number of subscriptions and redemptions and the net asset value 2.4.5. Performance figures 2.4.6. Costs 2.4.7. Notes to the financial statements and other data

65 66 2. Information on KBC Multi Track Netherlands 2.1. Management report

2.1.1. Launch date and subscription price Capitalisation Launch date: 25 November 1996 Initial subscription price: 250 NLG Currency: EUR Distribution Launch date: 25 November 1996 Initial subscription price: 250 NLG Currency: EUR 2.1.2. Stock exchange listing Not applicable. 2.1.3. Goal and key principles of the investment policy Object of the sub-fund The main objective of this sub-fund is to generate the highest possible return for its shareholders by investing directly or indirectly in transferable securities. This is reflected in its pursuit of capital gains and income. To this end, the assets are invested, either directly or indirectly via correlated financial instruments, primarily in shares. Sub-fund's investment policy Permitted asset classes The sub-fund may invest in securities, money market instruments, units in undertakings for collective investment, deposits, financial derivatives, liquid assets and all other instruments insofar as permitted by the applicable laws and regulations and consistent with the object as described above. The sub-fund shall invest no more than 10% of its assets in units of other undertakings for collective investment. Restrictions of the investment policy The investment policy will be implemented within the limits set by law and regulations. The sub-fund may borrow up to 10% of its net assets, insofar as these are short-term borrowings aimed at solving temporary liquidity problems. Permitted derivatives transactions Derivatives can be used both to achieve the investment objectives and to hedge risks.

Derivatives may also be used to hedge the assets of the sub-fund against open exchange rate risks in relation to the currency in which the sub-fund is denominated.

67 capital risk. In addition, using derivatives has no negative impact on credit risk, settlement risk, custody risk, flexibility risk or inflation risk or risk dependent on external factors.

The UCITS may conclude contracts that entail a credit risk in respect of issuers of debt instruments. Credit risk is the risk that the issuer of the debt instrument will default. This credit risk relates to parties whose creditworthiness at the time the contract is concluded is equal to that of the issuers whose debt instruments the UCITS can hold directly. Credit derivatives may possibly be used both to carry out the investment objectives and to cover the credit risk, but solely within the existing risk profile and without implying any shift to less creditworthy debtors than those the UCITS can invest in. Strategy selected The assets are invested primarily in shares (or share-related instruments) that are included in the AEX index. Benchmark-tracking The objective of the sub-fund is to track the composition of an index in accordance with and within the limits of Article 63 of the Royal Decree of 12 November 2012 on certain public undertakings for collective investment. Relevant index/indices: AEX index, which contains the 25 most traded shares listed on Euronext Amsterdam. Additional information on this index and its composition is available at www.euronext.com. Index tracking method: physical replication using optimised sampling: the index is tracked using a selection of shares in the index in order to best replicate the index. In addition, an optimisation algorithm is used that balances the risk and the return of each of the portfolio positions, so optimising the selection. The sub-fund may also make limited use of synthetic replication by way of futures, primarily in order to cushion the effects of buying and selling and to avoid the attendant transaction charges.

The index is rebalanced every year. The more often an index is rebalanced, the greater the potential impact on the transaction charges within the sub-fund.

AEX Settlement Index is a registered trademark of Euronext N.V. or its subsidiaries. Volatility of the net asset value The volatility of the net asset value may be high due to the composition of the portfolio. Securities Financing Transactions (SFTs) A more detailed explanation can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.1. Securities Financing Transactions (SFTs)’.

68 Tracking error and annual tracking difference for the Capitalisation share (ISIN-code: BE0161292785) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. Tracking error and annual tracking difference for the Distribution share (ISIN-code: BE0161293791) calculated in the currency of the share. Tracking error: % is shown where it relates to a period of at least one year. The tracking error is the annualised volatility of the differences between the daily returns of the unit in question and those of the benchmark index. The Tracking error does not exceed the threshold. 2.1.7. Policy pursued during the financial year As defined by the prospectus, the fund was managed with the objective to reflect the return of the AEX Index. 2.1.8. Future policy As defined by the prospectus, the fund was managed with the objective to reflect the return of the AEX Index. 2.1.9. Synthetic risk and reward indicator (SRRI) 6 on a scale of 1 (lowest risk) to 7 (highest risk)

A more detailed explanation can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.4. Synthetic risk and reward indicator’

69 2.2. Balance sheet

30/06/2020 30/06/2019 Balance sheet layout (in the currency of the sub- (in the currency of the sub- fund) fund) TOTAL NET ASSETS 21,698,130.43 23,105,859.69 II. Securities, money market instruments, UCIs and derivatives C. Shares and similar instruments a) Shares 21,626,655.46 23,729,154.87 D. Other securities 50,031.87 45,252.86 F. Derivative financial instruments m) Financial indices Futures and forward contracts (+/-) -696.00 IV. Receivables and payables within one year A. Receivables c) Collateral 36,000.00 B. Payables a) Accounts payable (-) -1,000.00 -1,001.71 c) Borrowings (-) -12,866.90 -732,930.20 V. Deposits and cash at bank and in hand A. Demand balances at banks -4,344.00 VI. Accruals and deferrals B. Accrued income 51,999.99 52,000.00 C. Accrued expense (-) -16,689.99 -17,576.13 TOTAL SHAREHOLDERS' EQUITY 21,698,130.43 23,105,859.69 A. Capital 23,357,356.93 19,603,738.72 B. Income equalization -1,091.76 -11,869.99 D. Result of the period -1,658,134.74 3,513,990.96

Off-balance-sheet headings I. Collateral (+/-) I.A. Collateral (+/-) I.A.b. Cash at bank and in hand/deposits 36,000.00 III. Notional amounts of futures and forward contracts (+) III.B. Written futures and forward contracts -673,116.00 IX. Financial instruments lent

70 2.3. Profit and loss account 30/06/2020 30/06/2019 Income Statement (in the currency of the fund) (in the currency of the fund)

I. Net gains(losses) on investments C. Shares and similar instruments a) Shares -1,836,762.33 3,158,191.60 D. Other securities -77.05 F. Derivative financial instruments l) Financial indices Futures and forward contracts 43,890.00 -28,702.00 Foreign exchange positions and H. transactions b) Other foreign exchange positions and -84.57 -31.35 transactions Det.section I gains and losses on investments Realised gains on investments 1,918,446.28 303,653.85 Unrealised gains on investments -2,072,388.16 3,346,479.28 Realised losses on investments -317,406.67 -390,500.41 Unrealised losses on investments -1,321,685.40 -130,174.47 II. Investment income and expenses A. Dividends 240,439.59 490,638.13 B. Interests a) Securities and money market 4,721.29 9,002.99 instruments C. Interest on borrowings (-) -487.78 -491.19 IV. Operating expenses Investment transaction and delivery costs A. -2,132.55 -942.97 (-) B. Financial expenses (-) -460.22 -272.90 C. Custodian's fee (-) -4,304.31 -3,876.87 D. Manager's fee (-) a) Financial management -74,172.23 -78,352.35 b) Administration and accounting -10,596.04 -11,193.13 management E. Administrative expenses (-) -1,000.85 -1,001.86 F. Formation and organisation expenses (-) -1,351.76 -1,266.53 Remuneration, social security charges and G. -79.58 pension H. Services and sundry goods (-) -3,314.37 -3,303.96 J. Taxes -9,702.37 -10,204.90 K. Other expenses (-) -2,739.19 -4,122.17 Income and expenditure for the period Subtotal II + III + IV 134,899.21 384,532.71 Profit (loss) on ordinary activities V. -1,658,134.74 3,513,990.96 before tax VII. Result of the period -1,658,134.74 3,513,990.96

71 2.4. Composition of the assets and key figures

2.4.1. Composition of the assets of KBC Multi Track Netherlands Name Quantity on Currency Price in Evaluation % % % 30/06/2020 currency (in the currency of owned by portfolio Net the sub-fund) UCI assets NET ASSETS

SECURITIES PORTFOLIO

Exchange-listed shares

Belgium GALAPAGOS GENOMICS NV - 1,598.00 EUR 175.050 279,729.90 1.29 1.29 France UNIBAIL-RODAMCO SE - 5,260.00 EUR 50.160 263,841.60 1.22 1.22 Luxembourg ARCELORMITTAL - 25,250.00 EUR 9.370 236,592.50 1.09 1.09 Netherlands A.K.Z.O. NOBEL - 7,588.00 EUR 79.740 605,067.12 2.79 2.79 ABN AMRO GROUP N.V. - 14,322.00 EUR 7.666 109,792.45 0.51 0.51 ADYEN BV - 972.00 EUR 1,295.500 1,259,226.00 5.81 5.80 AEGON - 64,020.00 EUR 2.653 169,845.06 0.78 0.78 ASM INTERNATIONAL - 1,853.00 EUR 137.550 254,880.15 1.18 1.18 ASML HOLDING NV - 10,207.00 EUR 326.900 3,336,668.30 15.39 15.38 ASR NEDERLAND NV - 5,092.00 EUR 27.340 139,215.28 0.64 0.64 HEINEKEN - 8,759.00 EUR 82.060 718,763.54 3.32 3.31 IMCD GROUP NV - 1,999.00 EUR 83.680 167,276.32 0.77 0.77 ING GROEP NV - 148,132.00 EUR 6.198 918,122.14 4.24 4.23 JUST EAT TAKEAWAY.COM NV - 4,872.00 EUR 92.760 451,926.72 2.09 2.08 KON. AHOLD DELHAIZE NV - 41,843.00 EUR 24.260 1,015,111.18 4.68 4.68 KONINKLIJKE D.S.M. NV (AMS) 6,897.00 EUR 123.200 849,710.40 3.92 3.92 KONINKLIJKE KPN NV - 135,801.00 EUR 2.360 320,490.36 1.48 1.48 KONINKLIJKE PHILIPS ELECTRONICS N.V. - 34,088.00 EUR 41.520 1,415,333.76 6.53 6.52 NN GROUP NV - 11,101.00 EUR 29.900 331,919.90 1.53 1.53 PROSUS NV - 15,440.00 EUR 82.740 1,277,505.60 5.89 5.89 RANDSTAD NV (AMS) 4,181.00 EUR 39.660 165,818.46 0.77 0.76 ROYAL DUTCH SHELL PLC -A- 174,755.00 EUR 14.398 2,516,122.49 11.61 11.60 UNILEVER (AMS) OS-VORM 52,751.00 EUR 47.250 2,492,484.75 11.50 11.49 WOLTERS KLUWER - 10,379.00 EUR 69.520 721,548.08 3.33 3.33 U.K. RELX PLC - 78,139.00 EUR 20.600 1,609,663.40 7.43 7.42 Total shares 21,626,655.46 99.77 99.67 Rights

Netherlands KONINKLIJKE PHILIPS ELECTRONICS N.V. - 34,088.00 EUR 0.850 28,974.80 0.13 0.13 ROYAL DUTCH SHELL PLC AMS 167,873.00 EUR 0.125 21,057.07 0.10 0.10 Total rights 50,031.87 0.23 0.23 TOTAL SECURITIES PORTFOLIO 21,676,687.33 100.00 99.90 CASH AT BANK AND IN HAND

Demand accounts

Belgium KBC GROUP EURO -12,824.86 EUR 1.000 -12,824.86 -0.06 KBC GROUP GBP -6.08 GBP 1.000 -6.69 KBC GROUP USD -39.70 USD 1.000 -35.35 Total demand accounts -12,866.90 -0.06 TOTAL CASH AT BANK AND IN HAND -12,866.90 -0.06 OTHER RECEIVABLES AND PAYABLES

Payables

Belgium KBC GROUP EUR PAYABLE -1,000.00 EUR 1.000 -1,000.00 -0.01 Payables -1,000.00 -0.01 TOTAL RECEIVABLES AND PAYABLES -1,000.00 -0.01 OTHER Interest receivable EUR 51,999.99 0.24 Expenses payable EUR -16,689.99 -0.08

72 TOTAL OTHER 35,310.00 0.16 TOTAL NET ASSETS 21,698,130.43 100.00

Geographic breakdown (as a % of securities portfolio) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 Belgium 0.36 -2.25 -1.55 1.23 France 4.64 3.34 3.27 1.22 U.K. 7.47 8.03 7.30 7.41 Luxembourg 2.43 1.92 1.75 1.09 Netherlands 85.09 88.82 89.09 89.05 U.S.A. 0.01 0.14 0.14 0.00 TOTAL 100.00 100.00 100.00 100.00 Sector breakdown (as a % of securities portfolio) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 Cyclicals 26.24 26.05 22.87 20.49 Consum(cycl) 17.34 18.85 17.59 18.14 Cons.goods 23.58 22.73 20.00 19.46 Pharma 0.68 0.92 1.39 1.29 Financials 13.53 9.92 12.82 13.51 Technology 12.81 16.42 20.47 24.41 Telecomm. 2.01 1.77 1.58 1.48 Real est. 3.79 3.34 3.27 1.22 Unit trusts 0.02 0.00 0.01 0.00 TOTAL 100.00 100.00 100.00 100.00 Currency breakdown (as a % of net assets) 31/12/2018 30/06/2019 31/12/2019 30/06/2020 EURO 100.05 100.05 100.05 100.00 POUND STERLING -0.05 -0.05 -0.05 0.00 TOTAL 100.00 100.00 100.00 100.00 2.4.2. Changes in the composition of the assets of KBC Multi Track Netherlands (in the currency of the sub-fund) 1st half of year Purchases 1,933,451.66 Sales 3,226,265.74 Total 1 5,159,717.40 Subscriptions 676,894.89 Redemptions 1,143,875.99 Total 2 1,820,770.88 Monthly average of 21,288,793.07 total assets Turnover rate 15.68%

The detailed list of transactions can be consulted free of charge at the company designated as financial service: CBC Banque SA, Avenue Albert 1er 60, B-5000 Namur KBC Bank NV, Havenlaan 2, B-1080 Brussels 2.4.3. Amount of commitments in respect of financial derivatives positions Nil 2.4.4. Changes in the number of subscriptions and redemptions and the net asset value

73 Period Change in number of shares in circulation Subscriptions Redemptions End of period Year Capitalization Distribution Capitalization Distribution Capitalization Distribution Totaal 2018 - 12 3,076.73 4,354.00 5,924.22 5,230.85 55,349.02 33,500.69 88,849.71 2019 - 12 1,784.00 655.00 6,860.61 3,221.49 50,272.41 30,934.20 81,206.61 2020 - 06 1,567.72 1,148.00 2,426.56 1,830.91 49,413.58 30,251.29 79,664.87

Period Amounts received and paid by the UCITS (in the currency of the sub-fund) Year Subscriptions Redemptions Capitalization Distribution Capitalization Distribution 2018 - 12 911,983.39 900,045.71 1,773,870.65 1,068,362.54 2019 - 12 561,792.37 133,959.62 2,162,146.59 660,126.13 2020 - 06 445,653.99 234,161.33 766,722.00 381,166.18

Period Net asset value End of period (in the currency of the sub-fund) Year Of the sub-fund Of one share Capitalization Distribution 2018 - 12 20,962,809.57 268.32 182.43 2019 - 12 24,025,624.40 340.39 223.48 2020 - 06 21,698,130.43 316.62 200.09

74 2.4.5. Performance figures

BE0161292785 KBC Multi Track Netherlands CAP Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR 9.8% -6.9% 14.6% 21.9% 16.1% -5.6% 18.9% 11.5% 4.1% 0.9% in EUR 10.8% -5.8% 15.8% 23.2% 17.5% -4.3% 20.5% 12.6% 5.3% 2.2%

BE0161293791 KBC Multi Track Netherlands DIS Annual performance compared to the benchmark on 30/06/2020 (in EUR)

2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020 in EUR 9.8% -6.9% 14.6% 21.9% 16.1% -5.6% 18.9% 11.5% 4.1% 0.8% in EUR 10.8% -5.8% 15.8% 23.2% 17.5% -4.3% 20.5% 12.6% 5.3% 2.2%

75 Cap Curr ISIN Code 1 year 3 years 5 years 10 years Since Launch* Div ency Share Bench Share Bench Share Bench Share Bench Starting Share classes mark classes mark classes mark classes mark date classes

CAP BE0161292785 EUR -1.08% 3.87% 3.96% 6.40% 6.36% 8.46% 7.86% 9.51% 25/11/1996 1.68%

DIS BE0161293791 EUR -1.09% 3.87% 3.94% 6.40% 6.34% 8.46% 7.84% 9.51% 25/11/1996 1.67% Risk warning: Past performance is not a guide to future performance. * Return on annual basis.

76 2.4.6. Costs Ongoing Charges and Transaction costs: Capitalisation : Ongoing Charges : 0.997% Transaction costs : 0.016% Distribution : Ongoing Charges : 1.017% Transaction costs : 0.016%

Percentage calculated at reporting date: 30 June 2020 (period of 12 months prior to the half-yearly closing).

A more detailed explanation with respect to the method of calculating ongoing charges and the relevant exclusions can be found in this report's General information on the Bevek under ‘Information for shareholders – 1.2.1.5. Ongoing charges’ More information on how transaction costs are calculated: the transaction costs are not included in the ongoing charges, but are instead shown separately. Moreover, this does not fully reflect the actual transaction costs as only the explicit transaction costs are given. Existence of Commission Sharing Agreements Not applicable Existence of fee sharing agreements and rebates The management company has shared 51,17% of its fee with the distributor, and institutional and/or professional parties. If the management company invests the assets of the undertaking for collective investment in units of undertakings for collective investment that are not managed by an entity of KBC Groep NV, and receives a fee for doing so, it will pay this fee to the undertaking for collective investment. Fee-sharing does not affect the amount of the management fee paid by a sub-fund to the management company. This management fee is subject to the limitations laid down in the articles of association. The limitations may only be amended after approval by the General Meeting. 2.4.7. Notes to the financial statements and other data

(*) The fee for the management of the investment portfolio of the undertakings for collective investment in which the sub-fund invests will amount to a year.

Administration fee 0.10% per year calculated on the basis of the average total net assets of the sub-fund.

Fee paid to the bevek's statutory auditor see the 'Information concerning the Bevek - G. Fees and charges regarding the Bevek’ for this non-structured sub-fund

Annual tax see the 'Information concerning the Bevek - H. Tax treatment’

77 Securities lending Pursuant to the Royal Decree of 7 March 2006 on securities lending, the undertaking for collective investment in transferable securities(UCITS) has entered into securities lending transactions, whereby the title to the securities that have been lent has been transferred, without recognition of that transfer of ownership in the accounts. For the period from 01/01/2020 to 01/06/2020, the realised net income for the UCITS amounts to 3.068,84 EUR and for the Management Company 1.227,54 EUR. Direct and indirect costs and charges are deducted from the gross income. These are set at a flat rate of 35% of the fee received and consist of the charges for the clearing services provided by KBC Bank NV, the charges paid to the management company for setting up and monitoring the system for lending securities, the charges for margin management, the charges associated with cash and custody accounts and cash and securities transactions, the fee paid for any management of reinvestments and, if the sub-fund uses an agent, the fee paid to the agent. The undertaking for collective investment in transferable securities will thus receive 65% of the fee received for securities lent. The number of securities lent varied between 0 and 4, with a market value fluctuating between 3189788 and 3189788 EUR.The detailed list of securities lending transactions carried out may be obtained from the registered office of the undertaking for collective investment in transferable securities at Havenlaan 2, 1080 Brussels. During the reporting period, securities lending transactions were effected in relation to the following securities lending systems: Manager of the securities lending system: Goldman Sachs Type of securities lending transactions effected: the lending transactions are effected through the agency of a Lending Agent. Nature of the lent securities: the securities lending applies only to the equity portion of the portfolio. Nature of the financial collateral: government bonds issued by Austria, Belgium, Germany, the Netherlands, Luxembourg, the UK, France, the US and Switzerland and supranational bonds denominated in EUR, USD or GBP issued by the EIB or the KFW. Reinvestment of the financial collateral received: no reinvestment takes place.

- Section II, entitled 'Income and expenditure relative to the investments', contains the net results of transactions in respect of the lending of securities including the result generated by reinvesting financial guarantees tendered in the context of lending bon. Transparency of securities financing transactions and of reuse Global data: 1) The amount of securities and Nil % commodities on loan as a proportion of total lendable assets defined as excluding cash and cash equivalents; 2) The amount of assets engaged in each type of SFT’s and total return swaps expressed as an absolute amount (in the collective investment undertaking’s currency) and as a proportion of the collective investment undertaking’s assets under management (AUM). The amount of assets engaged in 0,00 EUR each type of SFTs and total return swaps expressed as an absolute amount (in the collective investment undertaking’s currency) proportion of the collective Nil % investment undertaking's assets under management (AUM)

Concentration data: 1) Ten largest collateral issuers across all SFTs and total return swaps (break down of volumes of the collateral securities and commodities received per issuer’s name

name collateral issuer Market value on a settled basis currency Nil Nil Nil

2) Top 10 counterparties of each type of SFTs and total return swaps separately (Name of counterparty and gross volume of outstanding transactions).

type SFT (lending name counterparty Country of Market value on a currency program) counterparty settled basis Nil Nil Nil Nil Nil

Aggregate transaction data for each type of SFTs and total return swaps separately to be broken down according to the below categories: 1) Type and quality of equity (Goldman Sachs) equity(KBC Bank) bonds (Société Générale) collateral; type Nil. Nil. Nil. quality – Bloomberg composite rating: see table below 2) Maturity tenor of the collateral broken down in the following maturity buckets: less than one day, one day to one week, one week to one month, one to three months, three months to one year, above one year, open maturity: see table below; 3) Currency of the collateral: see table below 4) Maturity tenor of the Nil. Nil. Nil. SFTs and total return swaps broken down in the following maturity buckets: less than one day, one day to one week, one week to one month, one to three months, three months to one year, above one year, open transactions; 5) Country in which the counterparties are established: see table above 6) Settlement and clearing Nil. Nil. Nil. (e.g., tri-party, Central Counterparty, bilateral).

collateral quality currency Maturity tenor Nil Nil Nil Nil

79 Data on reuse of collateral: 1) Share of collateral received that is reused, compared to the maximum amount Nil specified in the prospectus or in the disclosure to investors; 2) Cash collateral reinvestment returns to the collective investment undertaking. Nil (EUR)

number Name collateral custodian Market value on a settled currency basis Nil Nil Nil Nil

Lending program: equity collective investment manager of the collective agent lender (Goldman Sachs) undertaking investment undertaking return EUR 4.721,29 1.227,54 424,92 percentage of overall 100,00 % 26,00% 9,00% returns cost EUR 1.652,45 percentage of overall 35,00 % returns