amundi funds bond global aggregate citywire 6 dec 2012

Amundi Funds Bond Global Aggregate

Tapping value wherever it exists

This material is solely for the attention of "professional” investors(see more details and definitions at the end of the document).

CitywireDecember 2012

Amundi Funds Bond Global Aggregate - Citywire - November 2012 - page 2

A broad universe Government bonds, investment grade credit, emergingbonds, high yield, ABS and currencies

Flexible style adapted to“full cycle” management

Combining long-term macro-views with short-term tacticalmanagement

Dynamic asset allocation to tap value wherever it exists

$509 mn AuM with a focus to invest in liquid assets

Stability of team andresources

7-year track record1 for the flexible bond process(Aggregate) and managed by Hervé Hanoune since 2008

Supported by all the London global fixed income teams andthe infrastructure of Amundi Group worldwide

Solid track record 12.2% annualised net performance since inception versus5.4% for the reference indicator1

Long-term, successful, macro-management in a global aggregate universe

Source: Amundi, September 2012. Information given for indicative purposes only, may change without prior notice. Pastperformance is not necessarily a guide to future performance. Investors may not get back the amount they originally investThe sub-fund does not offer any capital or performance guarantee.Please refer to Amundi Funds prospectus for further details about the assets authorised in the sub-fund and regarding theinvestment and management style of the sub-fund1 Inception date of Amundi Funds Bond Global Aggregate 30 October 2007, details of performance page 10


$918.9 Bn AUM1

Global Fixed Income (GFI) Platform AuM $545 billion

Illustration given for indicative purposes only. May change without prior notice.

1.Amundi Group figures as at September 2012.

17Quantitative

Research

18Credit

Analysts

17Strategy &EconomicResearch

GlobalCorporate

GlobalAggregate

EmergingMarket Debt

GlobalCurrency

10Emerging

EquityPM andanalysts

GlobalSovereign

London-based team

Amundi is a leading fixed income manager


2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 YTD MTD2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 YTD MTD

EM external

debt

14.41%

US Credit

10.40%

EM external

debt

13.12%

EM (MSCI)

51.59%

EM (MSCI)

22.45%

EM (MSCI)

30.31%

EM (MSCI)

29.18%

EM (MSCI)

36.48%

US

Treasury

13.74%

EM (MSCI)

74.50%

EM (MSCI)

16.36%

US

Treasury

9.81%

EM external

debt

16.61%

EuroStoxx

4.89%

US

Treasury

13.52%

US

Treasury

6.75%

US

Treasury

11.79%

Asia Pacific

(MSCI)

38.07%

DM exp. US

(MSCI)

17.59%

EuroStoxx

21.28%

DM exp. US

(MSCI)

23.47%

Asia Pacific

(MSCI)

12.28%

Euro

Treasury

8.37%

Global High

Yield

57.69%

Global High

Yield

15.07%

EM external

debt 8.46%

Global High

Yield

16.34%

DM exp. US

(MSCI)

2.36%

Euro

Treasury

9.49%

EU Credit

6.47%

US Credit

10.52%

DM exp. US

(MSCI)

35.28%

Asia Pacific

(MSCI)

16.30%

Asia Pacific

(MSCI)

21.04%

EuroStoxx

15.12%

US

Treasury

9.01%

EU Credit

-2.56%

Asia Pacific

(MSCI)

34.46%

Asia Pacific

(MSCI)

14.32%

US Credit

8.35%

S&P 500

15.88%

EM external

debt 1.65%

US Credit

9.39%

Euro

Treasury

5.54%

EU Credit

8.75%

Global High

Yield

29.33%

Global High

Yield

11.99%

DM exp. US

(MSCI)

10.86%

Asia Pacific

(MSCI)

14.51%

DM exp. US

(MSCI)

8.62%

US Credit

-3.08%

EM external

debt

28.18%

S&P 500

12.78%

Global High

Yield 3.63%

EuroStoxx

11.12%

Global High

Yield 1.63%

EU Credit

6.35%

Global High

Yield 2.44%

Euro

Treasury

8.23%

S&P 500

26.38%

EM external

debt

11.73%

EM external

debt

10.73%

S&P 500

13.62%

EuroStoxx

6.79%

EM external

debt

-10.91%

DM exp. US

(MSCI)

27.75%

EM external

debt

12.04%

Euro

Treasury

2.63%

EU Credit

10.52%

S&P 500

1.16%

Global High

Yield 1.28%

EM external

debt 1.36%

Global High

Yield 2.41%

EM external

debt

25.66%

S&P 500

8.99%

Euro

Treasury

6.48%

Global High

Yield

12.20%

EM external

debt 6.28%

Global High

Yield

-25.24%

S&P 500

23.45%

US Credit

8.47%

EU Credit

2.17%

EM (MSCI)

9.92%

Euro

Treasury

0.70%

EuroStoxx

-2.69%

EM (MSCI)

-4.91%

EM (MSCI)

-7.97%

EuroStoxx

15.68%

EU Credit

7.47%

Global High

Yield 5.65%

EM external

debt 9.88%

US Credit

5.11%

S&P 500

-38.49%

EuroStoxx

21.14%

US

Treasury

5.87%

S&P 500

0.00%

DM exp. US

(MSCI)

9.48%

US Credit

0.66%

S&P 500

-10.14%

S&P 500

-13.04%

Asia Pacific

(MSCI)

-9.79%

US Credit

7.70%

Euro

Treasury

6.94%

EU Credit

4.09%

US Credit

4.26%

S&P 500

3.53%

Asia Pacific

(MSCI)

-43.23%

US Credit

16.04%

DM exp. US

(MSCI)

4.90%

DM exp. US

(MSCI) -

14.82%

US Credit

8.97%

Asia Pacific

(MSCI)

0.59%

DM exp. US

(MSCI)

-15.21%

EuroStoxx

-20.25%

DM exp. US

(MSCI)

-17.52%

EU Credit

6.34%

EuroStoxx

6.90%

S&P 500

3.00%

US

Treasury

3.08%

Euro

Treasury

3.07%

EuroStoxx

-44.37%

EU Credit

14.41%

EU Credit

4.79%

EuroStoxx

-17.05%

Euro

Treasury

8.67%

EU Credit

0.53%

Asia Pacific

(MSCI)

-29.20%

Asia Pacific

(MSCI)

-21.84%

S&P 500

-23.37%

Euro

Treasury

3.13%

US Credit

5.24%

US

Treasury

2.79%

Euro

Treasury

1.84%

Global High

Yield 1.95%

DM exp. US

(MSCI)

-45.09%

Euro

Treasury

4.16%

Euro

Treasury

1.02%

Asia Pacific

(MSCI) -

17.31%

Asia Pacific

(MSCI)

8.19%

EM (MSCI)

0.46%

EM (MSCI)

-31.80%

DM exp. US

(MSCI)

-22.61%

EuroStoxx

-37.30%

US

Treasury

2.24%

US

Treasury

3.54%

US Credit

1.96%

EU Credit

0.47%

EU Credit

0.34%

EM (MSCI)

-54.48%

US

Treasury

-3.57%

EuroStoxx

-5.81%

EM (MSCI)

-20.41%

US

Treasury

1.42%

US

Treasury

-0.65%

Sources: Bloomberg, Amundi. Data as of 23rd October 2012.Information given for indicative purposes only.Past market data are no reliable indicators for current or future data.

Opportunities are abundant but change over investment cycles…

Spread = 16.3%

Spread = 9.1%


In the prevailing low rate environment, a global fixed income manager can add valuethrough active duration management and asset class diversification.

A challenging environment for government bonds

Information given for indicative purposes only.Past market data are no reliable indicators for current or future data.


Portfolio construction is as important as market views

Active management is not only a function of views. The “risk paradigm” hasimportant implications for portfolio construction.

The “risk on / risk off” behaviour prevailing on financial markets today is animportant consideration when deciding on the amount of risk to deployed.

Source: Amundi as at end 2011. Factor analysis of mixed ‘macro’ asset factors, 2011 sample.Information given for indicative purposes only.Please refer to Prospectus of Amundi Funds and the key investor information documents pertaining toBond Global Aggregate sub-fund for more information on risks involved

Figure 1 Biplot: Factor analysis of mixed ‘macro’ asset factors

‘Risky’ Assets

‘Safe-haven’ Assets

Factor analysis of mixed ‘macro’ asset factors, 2011 sample

CURRENCIES

TREASURIES

CREDIT

EQUITIES

Factor analysis of mixed ‘macro’ asset factors, 2005 sample


Government BondsGovernment Bonds

GlobalGlobalInvestment GradeInvestment Grade

GlobalGlobalCurrenciesCurrencies

One of the most global benchmarkuniverse: Barclays Global Aggregate

• Global Investment Grade

• 78% sovereign, 17% credit, 5% covered &ABS

• > 13,000 issues & 2,500 issuers

• > 70 Countries

Covered BondsCovered Bonds& ABS& ABS

GlobalGlobalHY & EMHY & EMB

en

ch

mark

un

ivers

eO

ff-bench

ma

rkun

iverse

Amundi Funds Bond Global Aggregate

Use one of the broadest benchmarkavailable

Investment in currency further more

Possibility to invest1 in High Yield (<20%)or emerging market debt (<33%) if marketconditions are right

Source: Amundi, September 2012. Information given for indicative purposes only, may change withoutprior notice. The percentages given for high yield and emerging market debt are internal constraintsonly.1 For further details on the investment policy, please refer to the Amundi Funds Prospectus

A very broad fixed income investment universe

Amundi Funds Bond Global Aggregate - Citywire - November 2012 - page 8Source: Barclays.Past performance is not necessarily a guide to future performance. Investors may not get back theamount they originally invest

Why is global aggregate relevant?

All-weather universe


Amundi Funds Bond Global Aggregate: best GFI performer since inception

Sources: Morningstar, Amundi. Data as at end-September 2012.Past performance is not necessarily a guide to future performance. Investors may not get back the amount they originally investData Source - ©[2012] Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is notwarranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is noguarantee of future results. The rating concerns the IU class. Performance for Amundi Funds Bond Global Aggregate AU-C and Templeton Global Total Return A Acc $ for September 2012.

A “full cycle” product

The above list of Trackers consists of a selection of Trackers which Amundi regularly compares its funds’ performance to and is not intended to be a complete list of Trackersadopting a similar strategy.


Attractive performance

* Net of management fee of 0.45% p.a., admin fee of 0.2%. and perf. fee of 20% above benchmark p.a.

Source: Amundi – Since inception performance from adoption of current investment process.Net performance of Amundi Funds Bond Global Aggregate (IU-C).Past performance is not necessarily a guide to future performance. Investors may not get back the amount they originally invest

Calendar Year Net Performance as at 31 October 2012

0.08%

7.79%

31.67%

10.78%

-4.92%

19.03%

12.21%

1.07%

5.58%5.09% 4.61% 5.40% 5.08% 5.37%

-5%

0%

5%

10%

15%

20%

25%

30%

2007 2008 2009 2010 2011 2012 Since Inception(Annualised)

Amundi Funds Global Aggregate USD

Barclays Global Aggregate (Hedged USD)

.

Annualized performanceAnnualized

out-performanceInformation

ratio

1 year +16.09% +10.01% 1.9

3 years +8.40% +3.35% 0.5

Since October 2007 +12.21% +6.85% 1.0


Portfolio attribution

-20.0%

-10.0%

0.0%

10.0%

20.0%

30.0%

40.0%

2008 2009 2010 2011 2012

Currency

Credit Allocation

Emerging Debt

Curve AllocationDuration Country Allocation

Trading

Performance attribution expressed as an absolute percentage of the contribution gross performance.Gross portfolio attribution of Amundi Funds Bond Global Aggregate for 2010 to 2012.Gross portfolio attribution of the strategy for 2008 and 2009 (for information purposes only).

Source: Amundi. Data as at October 2012. Information given for indicative purposes only.Past performance is not necessarily a guide to future performance. Investors may not get back theamount they originally investThe sub-fund does not offer any capital or performance guarantee.

A “full cycle” product: sources of excess return are dynamic over time


Amundi Funds Bond Global Aggregate is different from the competition

Perfect complement to competitors in the global fixed income space

50/50 portfolio may provide noticeably lower risk and very good returns1

Recent performance is driven by credit & developed FX strategies

Bond market stress still provides a buying opportunity

Complementary management style and drivers of returns

Top-Down Multi-dimensional management provides different sources ofalpha

Bottom-Up Strong internal research lets portfolio construction contribute toreturns

BenchmarkAgnostic

Agnostic approach emphasizes total return, tapping valuewherever it exists while providing diversification

Ris

kB

ud

ge

tin

g

1Source: Amundi, September 2012. Information given for indicative purposes only.Past performance is not necessarily a guide to future performance. Investors may not get back theamount they originally investPast market data are no reliable indicators for current or future data.The sub-fund does not offer any capital or performance guarantee


Alpha creation

Three normally low-correlated asset classes / three angles

Source: Amundi.Information given for indicative purposes only, may change without prior notice.

Directional Relative Value Tactical management

Bonds

Currencies

Credit

Duration

$ exposure

Credit exposure

Country allocation

Curve allocation

G4 allocation

Intra-bloc allocation

Macro sector allocation

Strategic views

Short-term trading

Bond selection

EM currency allocation

Short-term trading

Market/industry

Bond selection

EMD relative value

Emerging

Emerging ExposureEmerging exposure

External / Local debt

Region, country, curve

Corporate

Bond selection

Short-term trading

A clear decision-making process

Core views

Qualitative views expressedas a score, on a 9-point scalefrom very negative (-4)to very positive (+4)

Made upon any type ofargument (macro-eco,valuation, flows,…)

Meetings (with clients) asmarket conditions dictate

Multiple investment horizons

Views only on strategies wherewe have a strong conviction

Formalised in a singledocument

Source: Amundi. Views as at 07/11/12. See also disclaimer page.This slide shows a snapshot of the positions to illustrate the team investment process. They do notrepresent current or future views of the Amundi team and are not a forecast of actual events. Amundiviews are subject to change.”



Strategic orientation 2012-2013

Global growth remains anaemic and heterogeneous. The Eurozone and the UK areflirting with recession while the Chinese and Japanese economies have surprised to thedownside. The US, to the contrary, are continuing to deliver positive macro surprises.

G-4 central banks have taken monetary accommodation to a new level. As a result,financial and macroeconomic tail risks have been capped.

Overall, macro visibility has improved as risks from the negative confidence effect of theEurozone crisis have eased and reduced tail risk has led to a reduction in uncertainty.

Strong flows continue to support emerging and credit the “hunt” for yield in a low rateenvironment.

As macro calls are disturbed by political decisions and unorthodox Central Bankpolicies, investment horizon has shortened.

High uncertainty and low visibility where active management& portfolio construction are key.

Source: Amundi. Information given for indicative purposes only.Past market data are no reliable indicators for current or future data.


Amundi Funds Bond Global Aggregate today

Equilibrate risk allocation

Attractive yield

Limited specific risk

Geographic AllocationAsset Allocation Rating breakdown

Yield 4.21%

Duration 3.8

Average Rating BBB+

Number of securities 190

Source: Amundi. Data as of end-October 2012.Past performance is not necessarily a guide to future performance. Investors may not get back theamount they originally investStrategies given for indicative purposes only, may change without prior notice.


Breakdown by seniority

Source: Amundi. Portfolio data as of end-October 2012.Past performance is not necessarily a guide to future performance. Investors may not get back the amount theyoriginally investStrategies given for indicative purposes only, may change without prior notice within the limits stated in the prospectus .1 The sub-fund does not offer any capital nor performance guarantee

Overweight:– Short-term credit vs. long-term credit to capture attractive spreads– US and European core countries of issuers with recent reinforcement of peripherals

Attractive valuation’s on prime quality MBS

Active use of credit derivatives to protect thesub-fund vs. adverse scenarios1

Benefit from attractive yields & flows to support EM1

Issuer selection supported by recommendations from a large and experienced credit research team

Breakdown by sector

A constructive view on credit…

Amundi Funds Bond Global Aggregate – November 2012 - page 18

Preference:– USD vs. developed markets currencies

– Emerging markets currencies vs. developed markets currencies

Use of options in order to increase convexity

Tail risk hedge

Breakdown by currency

…And Combined With Active Currency Management

Source: Amundi. October 2012.Strategies given for indicative purposes only, may change without prior notice within the limits stated inthe prospectus .


Clearly defined guidelines in more detail

Management referenceindicator

Barclays Global Aggregate Hedged

Tracking-Error (ex-ante) Maximum 4.5% p.a. (with 66% confidence level)1

Interest rate risk Active modified duration management within [0;8] bracket1

Currency risk Hedged reference indicator but active currency management

Investment universe Minimum 2/3 of assets to be invested in :

- OECD government bonds

- OECD corporate bonds

- Investment grade ABS/MBS

Minimum 80% of assets invested in investment gradeinstruments

Typically, 100+ cash securities in the portfolio1, active use ofCDS

Morningstar Rating TM- Overall

Source: Amundi, September 2012.1 Internal guidelines given for indicative purposes only. May change without prior notice.Please refer to Amundi Funds prospectus for further details about the investment and management style of the sub-fund.Data Source - ©[2012] Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is notwarranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is noguarantee of future results. The rating concerns the IU class. Data as at end-August 2012.


Amundi, French joint stock company (“Société Anonyme”) with a registered capital of € 584 710 755 and approved by the French Securities Regulator(Autorité des Marchés Financiers-AMF) under number GP 04000036 as a portfolio management company90 boulevard Pasteur -75015 Paris- France – 437 574 452 RCS Paris.

www.amundi.com- www.amundi-funds.com

This material is solely for the attention of institutional, professional, qualified or sophisticated investors and distributors. It is not to be distributed to the general public, privatecustomers or retail investors in any jurisdiction whatsoever nor to “US Persons”.Moreover, any such investor should be, in the European Union, a “Professional” investor as defined in Directive 2004/39/EC dated 21 April 2004 on markets in financialinstruments (“MIFID”) or as the case may be in each local regulations and, as far as the offering in Switzerland is concerned, a “Qualified Investor” within the meaning of theprovisions of the Swiss Collective Investment Schemes Ordinance of 23 June 2006 (CISA), the Swiss Collective Investment Schemes Ordinance of 22 November 2006 (CISO)and the FINMA’s Circular 08/8 on Public Offering within the meaning of the legislation on Collective Investment Schemes of 20 November 2008. In no event may this material bedistributed in the European Union to non “Professional” investors as defined in the MIFID or in each local regulation, or in Switzerland to investors who do not comply with thedefinition of “qualified investors” as defined in the applicable legislation and regulation.

DisclaimerThis document contains information about Amundi Funds Bond Global Aggregate (the “Sub-Fund”), a sub-fund of Amundi Funds (the “SICAV”), an undertaking for collectiveinvestment in transferable securities existing under Part I of the Luxembourg law of 17 December 2010, organised as a société d’investissement à capital variable and registeredwith the Luxembourg Trade and Companies Register under number B68.806. The SICAV has its registered office at 5, allée Scheffer, L-2520 Luxembourg.Amundi Funds has been authorised for public sale by the Commission de Surveillance du Secteur Financier in Luxembourg.Subscriptions in the Sub-Funds will only be accepted on the basis of the SICAV’s latest prospectus and/or the Key Investor Information Document (KIID) of the sub-fund, its latestannual and semi-annual reports and its articles of incorporation that may be obtained, free of charge, at the registered office of the SICAV or respectively at that of therepresentative agent duly authorized and agreed by the relevant authority of each relevant concerned jurisdiction.Consideration should be given to whether the risks attached to an investment in the Sub-Funds are suitable for prospective investors who should ensure that they fullyunderstand the contents of this document. A professional advisor should be consulted to determine whether an investment in the Sub-Funds is suitable.The value of, and any income from, an investment in the Sub-Funds can decrease as well as increase. The Sub-Funds have no guaranteed performance. Further, pastperformance is not a guarantee or a reliable indicator for current or future performance and returns. The performance data do not take account of the commissions and costsincurred on the issue and redemption of units.This document does not constitute an offer to buy nor a solicitation to sell in any country where it might be considered as unlawful, nor does it constitute public advertising orinvestment advice.The information contained in this document is deemed accurate as at November 2012.

DisclaimerThis document is for your information only. It does not constitute an advertisement, offer, invitation, commitment,advice or recommendation to make a purchase of securities or enter into any such transaction. It is personal andconfidential and may not be copied or distributed to anyone or in any jurisdiction that would make such distributionunlawful.

The information contained herein has been obtained from sources believed to be reliable but has not beenindependently verified, although Amundi and its affiliated companies (“Amundi”) believe it to be fair and notmisleading. Such information is solely indicative and may be subject to modification from time to time and should beread in conjunction with the appropriate offering document. We do not accept any liability whatsoever whether director indirect that may arise from the use of information contained in this document. Amundi, its associates, directors,connected parties and/or employees may from time to time have interests and or underwriting commitments in theinvestments mentioned in this document.

Amundi does not guarantee that all risks associated to the transactions mentioned herein have been identified, nordoes it provide advice as to whether you should enter into any such transaction.

Past performance is not indicative of future performance. Amundi does not make any representation as to the merits,suitability, expected success, or profitability of any such transaction mentioned herein.

You must make your own assessment of any such transaction and the risks and benefits associated with it and of allthe matters referred to above. You should enter into transactions only after having considered, with the assistance ofits external advisors, the specific risks of any such transaction.

Amundi Singapore Limited168 Robinson Road#24-01 Capital TowerSingapore 068912Company Registration Number: 198900774E


amundi funds bond global aggregate citywire 6 dec 2012

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