Sohail Jaffer Partner, FWU Group

1. The Role of International Insurance Companies in the opening of frontiers: development of new products(Takaful) Sohail Jaffer Partner, FWU Group FWU group won the Euromoney Islamic Finance Awardfor being the "Best Islamic white label service provider“.

2. Contents • FWU’s International Business Model • International Bank Distribution and Strategic Product Partners • Product Highlights and customer benefits • Dynamic Fund Selection and Allocation Model • FWU’s Value Added • FWU’s Retakaful Pooling Arrangement • FWU Group

3. FWU’s definition of Bancassurance «Bancassurance is defined as the delivery and distribution of a suitable range of tailored ‘bankable’protection and long term savings and pension products designed to meet the lifecycle needs of the customer base of a bank or other financial institution.» Customer Demand Driven

4. FWU-GROUP‘s Core Business Competencies Bancassurance - Asset Management - Factoring The group is well positioned to meet the life assurance, investment and pension needs of institutional and private clients in Europe, Middle East and Asia with state of the art bancassurance & Shari‘a compliant Life products. Germany Luxembourg Austria Italy France Saudi Arabia United Arab Emirates Pakistan Malaysia Kuwait

5. FWU Group’s International Business Model • Strategic Product Partners • Clone international Bancassurance success FWU Shari’ah Board & Expertise • Structured asset management approach • Product & process innovation • Web-based POS & Admin System • customer convenience • tailored ‘white label’ solutions • quality training and sales support • commission factoring solution • exclusive Retakaful solution • selection of service providers incl. custodian bank

6. Benefits of ‘White label’ Bancassurance Solution • Bank defines own commission level • Tailored customer solutions Bank offers choice of both conventional Bancassurance and Takaful products • Structured asset mgt. approach linked to open inv. architecture • Seamless integration into Bank’s own brand • Bank has choice to participate in other modules of the service value chain (custodian, brokerage, transaction banking)

7. Contents • FWU’s International Business Model • International Bank Distribution and Strategic Product Partners • Product Highlights and customer benefits • Dynamic Fund Selection and Allocation Model • FWU’s Value Added • FWU’s Retakaful Pooling Arrangement • FWU Group

8. FWU Group‘s international Bank distribution and Strategic product partners Bank Distribution Partners • FWU's existing distribution partners include: NCB in KSA and ADCB in UAE Al Safat Takaful Company Kuwait Bank Customers Aman Insurance UAE EFU Life Insurance Pakistan Al Ahli Takaful Company KSA Takaful Ikhlas Malaysia Bank is Custodian of all customer funds in the Savings Plan • Product administration, and claims management • Customer statements • Financial accounting • Filing with local regulatory authorities • New product development, • Product launch support • Product management, Marketing & Training support • Structured asset mgt. apporach • Systems support to Strategic Product Partner and Bank Distribution Partner • Product enhancements & Shari’ah compliance Local Life Insurance Product Partner FWU Int. Network Dubai, KL & Luxembourg

9. Contents • FWU’s International Business Model • International Bank Distribution and Strategic Product Partners • Product Highlights and customer benefits • Dynamic Fund Selection and Allocation Model • FWU’s Value Added • FWU’s Retakaful Pooling Arrangement • FWU Group

10. Main product features and customer benefits FWU Group‘s "White Label" Savings, Education and Retirement Plans – Product Highlights Product features Customer Benefits • Plan benefits are available to all bank customers • All bank customers are insurable • No medical examination of bank customer required (up to a defined limit) • Eliminates important psychological barrier • Transparent and cost efficient structure • Greater customer comfort • Accelerated sales process using FWU’s Point of Sale and Administration technology • Immediate risk cover for bank customer • Plan benefits are available immediately to all bank customers • Bank customer convenience

11. Bank Income Growth – 5 year period 7,000 6,000 5,000 USD ('000) 4,000 Conservative 3,000 Average Best 2,000 1,000 - Year 1 Year 2 Year 3 Year 4 Year 5 Bank Annuity Income: Attractive Dynamics Conservative Average Best Base Assumptions: Number of Plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,000 40,000 50,000 Average duration 15 years Average monthly contribution $ 200 Lapsation rate 2 to 10 % p.a Fund growth rate 7 % p.a

12. Cumulative Bank Income over a 5 year period

13. Contents • FWU’s International Business Model • International Bank Distribution and Strategic Product Partners • Product Highlights and customer benefits • Dynamic Fund Selection and Allocation Model • FWU’s Value Added • FWU’s Retakaful Pooling Arrangement • FWU Group

14. Structured Asset Management Approach • Agreed funds target universe • Objective Investment process FWU’s fund selection and allocation model • Overweights the winners & underweights the losers • Enhance return by 15% to 25% p.a

15. FWU‘s Dynamic Fund Selection and Allocation Model Fund Selection Process • Based on Funds’ returns, risk and correlation amongst each other, funds are ranked from best to worst => Each fund is given a score, based on its ranking. • Using the above rankings => Top eight funds are selected.

16. FWU‘s Dynamic Fund Selection and Allocation Model Allocation model (key value added) • Overweighting of the outperformer • Underweighting of the underperformer

17. Investment Proposal for Regular and Single Premium Savings Plans FWU‘s Dynamic Fund Select & Allocation Model Strategy 1ConservativePortfolio Strategy 2BalancedPortfolio Strategy 3GrowthPortfolio Strategy 4DynamicPortfolio Investment in External Islamic Mutual Funds Launched as internal funds ofFWU‘s local Takaful Product Partner

18. Investment Advantages of Pooling Conservative portfolio Balanced portfolio Growth portfolio Dynamic portfolio 25:75 50:50 80:20 0-100 Cash Equivalent Pool Equity Pool Custodian Bank • Direct Investment in: • Sukuk • Murabaha • Trade-Finance

19. Contents • FWU’s International Business Model • International Bank Distribution and Strategic Product Partners • Product Highlights and customer benefits • Dynamic Fund Selection and Allocation Model • FWU’s Value Added • FWU’s Retakaful Pooling Arrangement • FWU Group

20. The value added – why FWU Group INNOVATION ENTREPRENEURIAL PARTNER • Sophisticated Point of Sale and Administration System • Customised product design • Product training and sales support • Dynamic funds select and allocation model • Business simulation model • Cost efficient Agency structure • Regional service hubs • Unique Retakaful arrangement

21. Contents • FWU’s International Business Model • International Bank Distribution and Strategic Product Partners • Product Highlights and customer benefits • Dynamic Fund Selection and Allocation Model • FWU’s Value Added • FWU’s Retakaful Pooling Arrangement • FWU Group

22. FWU-Group‘s Exclusive Retakaful Pooling Arrangement Hannover Re („AAA rated“, 3rd largest life Reinsurance) FWU–GROUP Pooling Arrangement Wakeel/Trustee Administrator • Data processing • and administration Asset Management • Fee Basis • 100% profit redistribution • Quard Hasna • Shari‘ah compliant Investments Establishment of insurance provider through joint venture or strategic cooperation agreement InsurancePartners Al Ahli TakafulCompany NCB/FWU / IFC Dubai Islamic Insurance & Reinsurance AMAN Eastern Federal Union Life EFU Takaful Ikhlas SDN BHD Al Safat Takaful Company Bank distribution partners in the following markets Malaysia UAE Kuwait Pakistan KSA Distribution-Partners The National Commercial Bank Jeddah Abu Dhabi CommercialBank Major Bank Major Bank Major Bank

23. Contents • FWU’s International Business Model • International Bank Distribution and Strategic Product Partners • Retakaful Pooling Arrangement • Structured Asset Management Approach • FWU’s Value Added • FWU’s Retakaful Pooling Arrangement • FWU Group

24. FWU-GRUPPE An entrepreneurial and institutional partnership Dr. Manfred J. Dirrheimer andPartners Swiss Re FrankonaRückvers. AG,Munich 95% 5% FWU AG Munich, Luxembourg, Dubai, Kuala Lumpur 74,9% 100% 13,25% 80% 10% 100% Wave Asset Management AGHamburg PREMIUM SELECT LUX S.A.Luxembourg FWU Payment Services GmbH Munich Branch Luxemburg International HQ Al Ahli Takaful Company Jeddah, KSA ATLANTICLUX Life Insurances S.A.Luxembourg FWU Commission Factoring GmbHMunich 7,5% Branch Dubai Regional HQ ME 13,25% 25,1% 30% 90% 25,1% Branch Bolzano VHVVersicherungen,Hanover IFC International Finance CooperationWashington National Commercial Bank, Jeddah, KSA VHVVersicherungen,Hanover Branch Kuala Lumpur Regional HQ FE

25. FWU Group – Profile • The FWU Group is an entrepreneurial financial services group with headquarters in Munich, Germany. • Further offices are located in Luxembourg and Dubai Internet City (DIC). • Group shareholders include GE Frankona Re AG, an international re-insurer, and European banks and insurance companies. • Core activities are Bancassurance, Savings & Pension Plans and Asset Management. • Group subsidiaries include: • an Asset Management Company (PREMIUM SELECT LUX S.A.) • a Life Insurance Company (ATLANTICLUX S.A.) Both are based and regulated in Luxembourg.

26. Contact Mr. Sohail Jaffer Partner, FWU Group 2, Rue Sainte Zithe L-2763 Luxembourg Email: s.jaffer@fwugroup.com Tel: +352 – 2 61 97 700 Fax: +352 – 2 61 97 800 Internet: www.fwugroup.com The information in this presentation does not constitute a sales offer, investment advice or an offer for the acquisition of financial products or instruments, and shall not in this regard imply legal obligations for the FWU Group or anybody else towards the readers of this presentation. This presentation is solely intended to provide information on matters of interest for the readers and such information is not meant to replace the knowledge and the judgment of the readers who should make all appropriate inquiries.