International Stable

Fund Investment Objective and Policy

♦  The objective of the Fund, in a long-term perspective, is to provide sponsors, members and contributors with capital appreciation by investing in a diversified portfolio of global shares and bonds. The Fund is suitable for investors willing to accept modest risks to seek higher long-term returns (low to medium risk profile). Investment performance and returns may go down as well as up.

♦  The composition of the Fund's portfolio shall take into account the following core objectives and the respective allocation ranges for each asset class described below:

In addition to directly held shares, the class of shares includes the convertible bonds or bonds with entitlement to the subscription of shares, any other instruments that allow exposure to the equity markets, including participation shares of investment funds whose majority investments are made up by shares.

In addition to directly held bonds, whether of fixed or floating rate, the class of bonds includes any other instruments that allow exposure to bond markets, including shares of investment funds whose majority investment are made up by bonds.

The limits defined for the Fund's investments may be defaulted if such a breach is carried out in a passive manner, in particular by valuation or devaluation of financial assets or by inflows and outflows of capital, or if it is justified by high volatility in financial markets advising the use of the class of liquidity (including bank deposits and money market instruments) as a refuge, which should be delimited within a reasonable period of time.

Fund Risk Profile

♦  Low to medium

Fund Risk Disclosure

♦  The Fund’s unit price may go up as well as down, due to the Fund’s investment strategy that involves risks which may result in capital loss and due to the fact that the Fund does not establish a minimum guaranteed income.

♦  Past performance of the Fund is not a guide to the future.

♦  The markets in which the Fund may invest may be subject to a higher than usual risk of political and economic instability and restrictive changes in government regulations and laws.  The assets of and income from the Fund may also be unfavorably affected by adverse fluctuations in currency foreign exchange rates and, consequently, the Fund Units may be subject to significant price volatility.