RBC Guaranteed Investment Funds

1. RBC Guaranteed Investment Funds Investing with Confidence PRESENTED BY: Santo P. Filice, CHS Date: January 22th, 2014

2. What’s Under Your Client’s Mattress? 33% of Canadians’ Savings are Held in Low- or No-Return Cash Accounts

3. Alternative to the Mattress • 1Yr. Redeemable GIC 1.05% • 1 Yr. Non – Redeemable GIC 1.3% • 5 Yr. Redeemable GIC 1.95% • 5 Yr. Non-Redeemable GIC 2.2% • *CPI September 2013 – 1.1% • RBC rates on November 17th, 2013

4. That Mattress can be Expensive

5. Agenda Why Segregated Funds - Value Proposition The Market Opportunity for You Whose Mattress do we need to look under? Why RBC GIF – Strength, Value, Advice New Product Offerings Next Steps 5

6. The Uncertain Road – TSX MARKET DOWNTURN

7. Emotional Irrational investing

8. A Little Refresher – Why Segregated Funds? • Investment with Principal Guarantees/Resets • Estate Planning/ Potential for Creditor protection • Underlying Investments • Maturity and Death Benefit Guarantees • Gains when market goes up, protected when market goes down • Ability to bypass probate • Passes directly to named beneficiaries • It is an insurance contract therefore beneficiaries take precedence over creditors • Diversify by asset class

9. A Seatbelt for the Uncertain Road RBC Guaranteed Investment Funds New Maturity Guarantee = $81,750 (75% of $109,000) Initial Maturity Guarantee = $75,000 (75% of $100,000) Note: Assumes no withdrawals. Assumes that the deposit was made on or before age 80. 9

10. Death Benefit Guarantee RBC Guaranteed Investment Funds Death Death Guarantee $118,000 Mutual Fund Value $80,000 Note: Assumes no withdrawals. Assumes that the deposit was made on or before age 80. 10

11. Enhancing Your Value Proposition • More opportunities • Ongoing renewal commission • Build a fence

12. Thoughts Clients May Have I don’t know if I’ll have enough money for retirement I want my loved ones to have enough when I’m gone I’m Self Employed I’m not eligible for Life Insurance I’ve lost money in the markets All my investments are in GICs I want to participate in market growth but I’m worried I will lose on my investment 12

13. Target Clients • Age 45+, Pre-retirees and retirees • Saving for retirement • Looking for efficient transfer of wealth

14. The $738 Billion Inheritance Windfall Source; Investor Economics – Canadian Retirement Market / 2011 Household Balance Sheet

15. Case Study #1 – Preserving an Estate Martha, 68, retired widow $400K Non Reg. in a conservative Mutual Fund portfolio Does not like the volatility of the markets Would like to leave the money for her family Assessment Profile • Preserving wealth to maximize transfer to beneficiaries Recommendation • Transfer her Non Reg. savings to RBC GIF Series 2. Benefits • 100% death benefit, which can be reset annually • Avoidance of the length of probate – from a few months to weeks. • Avoidance of the costs of probate (probate fees, executor fees, legal fees) – Up to 20% of her assets. • Financial affairs remain private. * All case studies are for illustrative purposes only and are not true accounts. This document is being provided for general information purposes only and the contents should not be relied upon as containing specific financial, investment, tax or related advice. Client must seek their own independent advice." Assuming a $100,000 segregated fund portfolio for the province of Ontario. Probate fees vary by province. Source for Ontario probate is the Estate Administration Tax Act, 1998 S.O. 1998, Chapter 34. The costs displayed represent a typical range for fees that may be incurred by clients utilizing third-party assistance in managing their estate. This example assumes the only assets the client has are in segregated funds. 15

16. Protection for the Uninsurable • 100% Death Benefit Maturity - ensures no surprises

17. Protection for your Family • Previously Married • Self Employed • Income Splitting

18. Case Study #2 – Potential for Creditor Protection Joe, 46, self-employed contractor, married with 2 children His business is non-incorporated Nest egg of $200,000 in non-registered assets Ensure his family is protected should anything happen to his business or himself Profile Assessment • Protecting family and assets Recommendation • RBC GIF Series 1 GIF Benefits • Potential for creditor protection should his business fail • 100% death benefit protects investment against market volatility * All case studies are for illustrative purposes only and are not true accounts. This document is being provided for general information purposes only and the contents should not be relied upon as containing specific financial, investment, tax or related advice. Client must seek their own independent advice." 18

19. Segregated Fund Assets (in Billions)

20. WHY RBC? Strength Simplicity Trust Simple product structure $295 Billion AUM RBC, a trusted brand, a Canadian institution

21. RBC Global Asset Management Manager of the underlying mutual funds Over 1.2 million clients Proven track record Approximately $295 billion in assets under management 60 investment professionals

22. Comparing MERs Source of competitor MERs: Paltrak December 31, 2012 and product material. MERs for the RBC GIF are as published in the December 31, 2011 audited financial statements. These MERs are subject to change at anytime and may increase. Actual MERs including HST will be published in the annual audited financial statements.

23. RBC Insurance Introducing 3 new funds for your clients! RBC High Yield Bond Fund RBC PH&N Canadian Income Fund RBC North American Value Fund

24. RBC GIF – Competitive Advantage

25. RBC Payout Annuities – Product Design at a Glance Payments for a Fixed period Payments for life • Guaranteed period (0-25 years) • Immediate • Prescribed • Guaranteed term (3-25 years) • Immediate • Prescribed

26. So, Now It’s YOUR Turn . . . And remember . . . Choice, Not ChanceShould Determine Ones Destiny Advice Driven Sales Ideas Let’s meet 1 on 1 26

27. QUESTIONS!