citywire cullen presentation

CULLEN NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY FUND

Citywire New York: 20th – 22nd June 2011

Disclosure

PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS.This document has been prepared by Cullen Funds PLC, for information purposes only. This document is an indicative summary of the terms and conditions of the securities described herein and may be amended, superseded or replaced by subsequent summaries. The final terms and conditions of the securities will be set out in full in the applicable offering document(s). The performance shown is that of the Cullen Global High Dividend Value Equity strategy and the Cullen North American High Dividend Value Equity Strategy, the philosophy of which the Cullen Global High Dividend Value Equity Funds and the Cullen North American High Dividend Value Equity Fund (‘The Funds’) will be based. It is represented here to illustrate the success that Cullen Capital Management has had in the past but is not intended to represent The Funds returns. The performance of The Funds will not necessarily mirror that of the strategy due to, among other things, different charging structures, timings and portfolio concentration. All views and opinions are those of Cullen Capital Management and are subject to change without notice. This presentation is based on information we consider reliable, but we do not warrant its accuracy or completeness and it should not be relied on as such. Where securities are mentioned in this presentation they do not necessarily represent a specific portfolio holding and do not constitute a recommendation to purchase or sell. This document shall not constitute an offer to sell, or the solicitation of an offer to buy any securities described herein. Cullen Funds PLC is not acting as adviser or fiduciary. Accordingly you must independently determine, with your own advisers, the appropriateness for you of the securities before investing. Cullen Funds PLC accepts no liability whatsoever for any consequential losses arising from the use of this document or reliance on the information contained herein. Cullen Funds PLC does not guarantee the accuracy or completeness of information which is contained in this document and which is stated to have been obtained from, or is based upon trade and statistical services or other third party sources. Any data on past performance, modelling or back-testing contained herein is no indication as to future performance. No representation is made as to the reasonableness of the assumptions made within, or the accuracy or completeness of any modelling or back-testing. All opinions and estimates are given as of the date hereof and are subject to change. The value of any investment may fluctuate as a result of market changes. The information in this document is not intended to predict actual results and no assurances are given with respect thereto. Cullen Capital Management, its affiliates and the individuals associated therewith may (in various capacities) have positions or deal in securities (or related derivatives) identical or similar to those described herein. This document is being made available in the UK to persons who are investment professionals as defined in Article 19 of the FSMA 2000 (Financial Promotion Order) 2005. Outside of the UK, it is directed at persons who have professional experience in matters relating to investments. Any investments to which this document relates will be entered into only with such persons. This document is not for distribution to retail customers. NO ACTION HAS BEEN MADE OR WILL BE TAKEN THAT WOULD PERMIT A PUBLIC OFFERING OF THE SECURITIES DESCRIBED HEREIN IN ANY JURISDICTION IN WHICH ACTION FOR THAT PURPOSE IS REQUIRED. NO OFFERS, SALES, RESALES OR DELIVERY OF THE SECURITIES DESCRIBED HEREIN OR DISTRIBUTION OF ANY OFFERING MATERIAL RELATING TO SUCH SECURITIES MAY BE MADE IN, OR FROM ANY JURISDICTION, EXCEPT IN CIRCUMSTANCES WHICH WILL RESULT IN COMPLIANCE WITH ANY APPLICABLE LAWS AND REGULATIONS AND WHICH WILL NOT IMPOSE ANY OBLIGATION ON CULLEN FUNDS PLC OR ANY OF ITS AFFILIATES. THIS DOCUMENT DOES NOT DISCLOSE ALL THE RISKS AND OTHER SIGNIFICANT ISSUES RELATED TO AN INVESTMENT IN THE SECURITIES. PRIOR TO TRANSACTING, POTENTIAL INVESTORS SHOULD ENSURE THAT THEY FULLY UNDERSTAND THE TERMS OF THE SECURITIES AND ANY APPLICABLE RISKS. THIS DOCUMENT IS NOT A PROSPECTUS FOR ANY SECURITIES DESCRIBED HEREIN. INVESTORS SHOULD ONLY SUBSCRIBE FOR ANY SECURITIES DESCRIBED HEREIN ON THE BASIS OF INFORMATION IN THE RELEVANT PROSPECTUS (WHICH HAS BEEN, OR WILL BE PUBLISHED AND MAY BE OBTAINED FROM CULLEN FUNDS PLC), AND NOT ON THE BASIS OF ANY INFORMATION PROVIDED HEREIN. Results for fully discretionary accounts are market value weighted and are calculated on a total return, time-weighted basis using trade date valuations. Returns reflect the reinvestment of dividends and other earnings. Cash returns are included in a component of the total account and are not detailed separately. Leverage is not used in managed account and mutual fund strategies. Performance results will vary based upon the period measured. It is intended that Cullen Funds PLC will make an application to be recognised for distribution in the United Kingdom by the Financial Services Authority under Section 264 of the Financial Services and Markets Act, 2000 of the United Kingdom. Most or all of the protection provided by the United Kingdom regulatory structure will not apply. The rights of Shareholders may not be protected by the Financial Services Compensation Scheme established in the United Kingdom. Copyright Cullen Funds PLC. (all rights reserved). This document is confidential, and no part of it may be reproduced, distributed or transmitted without the prior written permission of Cullen Funds PLC.

Highlights

Registered investment advisor established in 1983

Independent: 100% employee owned firm

Value investor: disciplined, experienced, research-driven

Headquarters: New York

Assets under management: $13.7 bn as of 31st May 2011

3 ORGANISATION

Small Cap Value Equity

Schafer Cullen SMA - $128m

Cullen Small Cap Value Fund - $7m

International High DividendValue Equity

t

$ mVehicleVehicle Type

94Cullen International High Dividend Fund

U.S. Mutual Fund

129Schafer CullenSeparately Managed Account

707Schafer Cullen ADRSeparately Managed Account


94Cullen International High Dividend Fund

U.S. Mutual Fund


707Schafer Cullen ADRSeparately Managed Account

Value Equity - $6.6 bn$ mVehicleVehicle Type


730Pioneer North American Basic Value Fund

Luxembourg UCITS

135Pioneer Cullen Value VCT Portfolio

U.S. Mutual Fund

5,440Pioneer Cullen Value FundU.S. Mutual Fund



730Pioneer North American Basic Value Fund

Luxembourg UCITS

135Pioneer Cullen Value VCT Portfolio

U.S. Mutual Fund

5,440Pioneer Cullen Value FundU.S. Mutual Fund

High Dividend Value Equity - $5.8 bn

Small Cap Value Equity


7Cullen Small Cap Value FundU.S. Mutual Fund



7Cullen Small Cap Value FundU.S. Mutual Fund


Global High DividendValue Equity - $69 m

Other


38Schafer Cullen Global Small Cap Value Fund

Global Small Cap Value (Hedge Fund)



38Schafer Cullen Global Small Cap Value Fund

Global Small Cap Value (Hedge Fund)


Assets Under Management$13.7 bn as of 31 May 2011

4 ORGANISATION

Vehicle Type Vehicle $ m

Separately Managed Account

Schafer Cullen 51

Ireland UCITS Cullen Global High Dividend Value Equity Fund

18

Vehicle Type Vehicle $ m

Separately Managed Account

Schafer Cullen 4,796

U.S. Mutual Fund Cullen High Dividend Equity Fund

945

Ireland UCITS Cullen North American High Dividend Value Equity Fund

30

Strong Team Based Approach

Portfolio management team have an average of 25 years’ experience Supported by a team of seven equity analysts

Investment Team

James P. CullenPresident and Portfolio Manager

(46 years)

Jennifer ChangAnalyst

Rahul SharmaVice President & Portfolio Manager

John C. GouldExecutive Vice President &

Portfolio Manager(23 years)

Erik SchaferAnalyst

Mike KellyAnalyst

Pravir SinghAnalyst

Brooks CullenAnalyst

Carl GardinerAnalyst

Stephen O’NeilAnalyst

5 ORGANISATION

Investment Overview

Legendary investor, Benjamin Graham said it best in summarizing his 50 years in the investment business. He said that the key to being successful in investing was to ignore everything else and focus on the following two key principles:

1. Invest with a discipline which helps you to avoid overpaying for your investments. The disciplines he recommended were price/earnings, price/book and dividend yield.

2. Be a long-term investor. (i.e. 5 years)

6 INVESTMENT PHILOSOPHY

The Potential Offered by a Disciplined Value Approach

7

Annual performance of the S&P 500

43 Years S&P 500 Top 20% by P/E Bottom 20% by P/E Bottom 20% by P/B Top 20% by Yield

1968-2010 9.5 8.3 14.8 14.8 12.3

Years S&P 500 Top 20% by P/E

Bottom 20% by

P/E

Bottom 20% by

P/BK

Top 20% by Yield

1968 11.1 11.6 30.5 37.3 26.51969 -8.5 -12.6 -17.5 -20.5 -15.61970 4.0 -5.6 7.8 4.3 11.71971 14.3 20.5 19.0 19.9 12.51972 18.9 20.8 14.8 14.3 13.01973 -14.7 -15.5 17.7 -10.6 -10.91974 -26.5 -30.9 -12.8 -12.1 -10.81975 37.2 34.5 83.3 94.8 65.41976 23.9 18.9 50.3 57.3 44.61977 -7.2 -9.3 11.0 8.4 4.11978 6.6 6.7 13.1 7.5 1.61979 18.4 26.5 26.3 30.5 19.51980 32.4 40.4 26.4 18.5 17.61981 -4.9 -6.6 15.1 13.5 17.11982 21.4 34.1 31.0 37.0 29.41983 22.5 24.2 24.4 41.2 28.21984 6.3 -6.7 34.3 1.0 10.21985 32.2 23.8 28.4 19.1 29.51986 18.5 15.1 20.5 9.3 19.51987 5.2 7.7 -8.0 10.5 -1.51988 16.8 11.3 20.8 24.7 20.5

Years S&P 500

Top 20% by P/E

Bottom 20% by

P/E

Bottom 20% by

P/BK

Top 20% by Yield

1989 31.7 27.0 23.7 15.1 26.41990 -3.1 -13.9 -18.7 -25.2 -17.41991 30.5 32.5 47.6 55.2 45.31992 7.7 8.8 14.0 27.9 15.81993 10.1 13.5 16.5 18.4 16.81994 1.3 0.0 1.5 3.1 1.41995 37.6 22.8 42.5 42.1 30.21996 23.0 18.6 18.7 16.4 14.51997 33.4 18.3 35.2 25.4 28.91998 28.6 22.9 -2.3 11.5 7.01999 21.0 26.8 3.4 5.9 -8.42000 -9.2 -2.2 18.3 21.1 15.02001 -11.9 -15.7 15.4 14.6 12.72002 -22.2 -23.2 -8.6 -17.6 -7.82003 28.6 41.7 37.5 56.9 31.32004 10.9 20.2 22.5 23.8 15.92005 4.9 5.1 15.1 12.5 4.42006 15.8 13.2 18.4 20.2 21.42007 5.5 5.2 -3.3 -13.7 -4.82008 -37.0 -44.8 -45.8 -49.0 -36.92009 26.5 49.3 70.4 65.5 40.92010 15.1 22.4 15.8 21.5 20.0

Returns noted are for illustrative purposes only and do not represent the performance of an account, fund or composite.Source: CCM Research 31/12/10. The performance data quoted represents past performance, which is no guarantee of future results. The Standard & Poor's 500 Stock Index (the S&P 500) is a commonly used measure of the broad U.S. stock market. Indices are unmanaged and their returns assume reinvestment of dividends and, unlike mutual fund returns, do not reflect any fees or expenses associated with a mutual fund or separately managed account. It is not possible to invest directly in an index. The Top and Bottom 20% by P/E , P/B, and Yield represents holdings within the S&P 500 Index.

INVESTMENT PHILOSOPHY

% CAGR

The Case for Deep Value FundsRolling 5-Year Performance: Bottom 20% of the S&P 500 by P/E & Top

20% by Yield

Period S&P 500S&P 500 Bottom

20% by P/E

S&P 500 Top 20% by Yield

1968-1972 7.5% 9.7% 8.7%

1969-1973 2.0% 0.0% 1.3%

1970-1974 -2.4% 1.1% 2.5%

1971-1975 3.2% 12.4% 10.8%

1972-1976 4.9% 17.8% 16.5%

1973-1977 -0.2% 17.0% 14.6%

1974-1978 4.3% 24.7% 17.7%

1975-1979 14.8% 34.3% 24.8%

1976-1980 14.0% 24.7% 16.5%

1977-1981 8.1% 18.2% 11.7%

1978-1982 14.1% 22.2% 16.7%

1979-1983 17.3% 24.5% 22.2%

1980-1984 14.8% 26.1% 20.3%

1981-1985 14.7% 26.5% 20.6%

1982-1986 19.9% 27.6% 23.1%

1983-1987 16.5% 18.9% 16.6%

1984-1988 20.5% 18.2% 15.2%

1985-1989 13.2% 16.3% 18.4%

1986-1990 13.2% 6.1% 8.2%

Past performance is no guarantee of future results. The Standard & Poor's 500 Stock Index (the S&P 500) is a commonly used measure of the broad U.S. stock market. Indices are unmanaged and their returns assume reinvestment of dividends and, unlike mutual fund returns, do not reflect any fees or expenses associated with a mutual fund. It is not possible to invest directly in an index.Source: CCM Research 31/12/10.

Period S&P 500S&P 500 Bottom

20% by P/E

S&P 500 Top20% by Yield

1987-1991 15.4% 10.5% 12.5%

1988-1992 15.9% 15.4% 16.2%

1989-1993 14.6% 14.5% 15.5%

1990-1994 8.7% 10.1% 10.5%

1991-1995 16.6% 23.2% 21.0%

1992-1996 15.3% 17.9% 15.4%

1993-1997 20.3% 22.0% 18.9%

1994-1998 24.1% 17.8% 15.8%

1995-1999 28.6% 18.2% 13.5%

1996-2000 18.3% 13.9% 10.7%

1997-2001 10.7% 13.3% 10.4%

1998-2002 -0.6% 4.7% 3.2%

1999-2003 -0.6% 12.1% 7.5%

2000-2004 -2.3% 16.0% 12.7%

2001-2005 0.5% 15.4% 10.5%

2002-2006 6.2% 16.0% 12.2%

2003-2007 12.8% 15.8% 12.9%

2004-2008 -2.2% -2.6% -2.5%

2005-2009 0.4% 4.0% 1.4%

2006-2010 2.3% 4.5% 3.3%

8 INVESTMENT PHILOSOPHY

10-Year U.S. Treasury Yield

5-Year Periods

Top 20% of S&P 500 by Yield

Annualized Returns

5-Year Periods

Top 20% of S&P 500

by Yield

Annualized Returns

1971-1975 10.82% 1981-1985 22.62%

1972-1976 16.52% 1982-1986 23.12%

1973-1977 14.63% 1983-1987 16.58%

1974-1978 17.67% 1984-1988 15.15%

1975-1979 24.76% 1985-1989 18.35%

1976-1980 16.54% 1986-1990 8.17%

1977-1981 11.72% 1987-1991 12.48%

Average Return 16.09%

Average Return 16.64%

Average Return for S&P

5007.13%

Average Return for S&P

50013.10%

The performance data quoted represents past performance, which is no guarantee of future results.Source: CCM Research.

19621966 1970 1974 1978 1982 1986 1990 1994 1998 2002

0

2

4

6

8

10

12

14

18

16

4% 4%

16%

Rising RateEnvironment(1967-1981)

Falling RateEnvironment(1981-2003)

Yield %

INVESTMENT PHILOSOPHY9

S&P 500 Stock Prices and Recessions

Recession Period

5 Year Return

(Year before recession started)

Annualised Return

(For 5-year periods)

1969-1970 1968-1972 8.68 %

1973-1974 1972-1976 16.52 %

1981-1983 1980-1984 20.28 %

1991 1990-1994 10.48 %

2001 2000-2004 12.68 %

The performance data quoted represents past performance, which is no guarantee of future results.Source: S&P 500 / CCM 31/12/10.

5-Year Annualized Returns Starting One Year Before The Recession Began(5-Year Periods / High Dividend Yield Discipline)

Blue lines denote recessionary periods

Year

Price (S&P 500)

1969-70 73-74 81-83 91 2001 2008

1,550

1,000

500

1,550

1,000

500

INVESTMENT PHILOSOPHY10

NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY STRATEGY

11

North American High Dividend Value Equity StrategyFundamental Research


Attractive Valuations P/E < 12x EPS P/B < 2.5x BVPS LT EPS Growth > 10% EV/EBITDA < 10x Strong Operating & Free Cash

Flow Low Debt/Cap, High ROE Net Cash Balances

Superior Dividend Policies Minimum Yield of 3% Long, Consistent Record of Increasing Dividends Strong DPS Growth Adequate Pay-Out Ratios Management Committed to Policy High, Sustainable Yields Special Dividends & Large, Frequent Payments

Dominant Company Characteristics Leading Market Shares Simple, Defensive Business

Models Competitive Advantages Recurring Cash Flows Strong Managements Commitments to Shareholder

Value

Catalysts for Price & EPS Appreciation New Markets New Products Restructuring Capital Management Initiatives Market Share Gains Pricing Power Acquisition Potential Hidden Asset Value

12

North American High Dividend Value Equity StrategyInvestment Process

Begin with largest 2,000 publicly traded equities

Dividend yield of 3% or greater

Screen for stocks in bottom quintile according to P/E and P/B basis

Typical market capitalization > $5 B

Sector and Industry Inflection Points

Screening InvestableUniverse

Fundamental /

Qualitative /

Credit Research

Portfolio Constructio

n

Sell Discipline

Seek low debt to equity and high returns on investable capital

Search for catalyst that can drive earnings and dividends, including:

New markets

New products

Strong managements with clear vision and commitment to shareholder value

Approximately 25-35 holdings

Diversification across 15-20 industries

No more than 5% in any one stock at cost

No more than 15% in any one industry at cost

No more than 30% in any one sector at cost

Typically equally weighted positions

Top 10 holdings typically represent 35 – 40%

Typically 20% international exposure (ADR) at cost

Price objectives reached

Earnings/Dividend growth not realized

Deteriorating fundamentals

Decline of 25% - investment thesis reassured

Cuts in dividend policy

NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY STRATEGY13

Cullen North American High Dividend Value Equity FundPortfolio as of May 31st, 2011

The Portfolio is actively managed and current holdings and characteristics may be different. The holdings listed should not be considered recommendations to buy or sell any particular security listed.

Sector Weights (%)

Source: CCM Research 31/5/11*This material is supplemental to (GIPS®), see the fully compliant presentation on the last slide of this presentation.

Top Ten Holdings (%)

14 NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY STRATEGY

Cullen North American High Dividend Value Equity FundPortfolio Characteristics

As of 31st May, 2011 Portfolio S&P 500 index

Price/Earnings Ratio (2011) 12.6 12.82

Dividend Yield 4.0 1.92

Long-Term Debt to Capital 33.9% 34.3%

5-Year EPS Growth 8.0 4.4

Average Market Cap ($ Billion) $95.5b $90.7b

15 NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY STRATEGY

Source: Bloomberg/Thompson Financial/CCM

North American High Dividend Value Equity Strategy

16

Strategy Composite Performance

Calendar Year Returns (%) YTD ‘10 ’09 ‘08 ‘07 ‘06 ‘0

5 ’04 ‘03 ‘02 ‘01 ‘00 ‘99 ‘98 ’97 ‘96 ‘95 ‘94

Strategy (Net) 8.7 10.4 12.4 -29.4 5.6 21.9 4.9 13.2 27.0 -5.6 2.0 16.7 - 6.3 8.8 29.6 19.6 32.5 4.2

S&P 500 TR USD 7.8 15.1 26.5 -37.0 5.5 15.8 4.9 10.9 28.7 -22.1 -11.9 -9.1 21.0 28.6 33.4 23.0 37.6 1.3

Cumulative Returns (%) – US$

As of May 31st, 2011 3 months YTD 1 yr 3 yrs 5 yrs 10 yrsInception

1/1/94

Strategy (Net) 4.22 8.69 24.52 -1.26 15.10 69.73 352.82

S&P 500 TR USD 1.84 7.82 25.95 2.76 17.73 29.74 301.21

UCITS Fund

NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY FUND

Annualized Standard Deviation (%) 3 years 5 years 10 years 15 years Inception 1/1/1994

Strategy (Net) 17.82 15.10 12.91 12.76 12.32

S&P 500 TR USD 21.79 17.85 15.83 16.39 15.82

Disclosure: Intended for 1-1 presentations and for Professional Investors only. Total return presented in US Dollars, NAV to NAV. Performance returns from 1st January 1994 through to 31st August 2003 are based on the Schafer Cullen Capital Management High Dividend Transaction Based Composite for Separately Managed Accounts. Net of Fee performance has been calculated by applying 1/12th of 1%, which is the Capped Total Expense Ratio of this Fund’s institutional share classes per annum, to gross monthly returns. Performance returns from 1st September 2003 onwards are based on the Retail Share Class (CHDEX) of the Cullen High Dividend Equity Fund, a U.S. Mutual Fund which is a series of the Cullen Funds Trust, a U.S. SEC registered investment company. Therefore, Net of Fees performance for each month reported above is based on a minimum Total Expense Ratio of 1% per annum. The performance data quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate, and shares, when redeemed, may be worth more or less than their original cost. Source: Cullen Capital Management and Lipper, a Thomson Reuters Company.The Standard & Poor's 500 Index is the commonly used measure of the broad U.S. stock market

10 year Strategy Risk/Return vs Indices

17

Source: Lipper, a Thomson Reuters company. Total return in US Dollars. 31/12/1999 to 31/05/2011 and CCM Research 31/05/2011


Cullen North American High Dividend Value Equity Fund

Launch Date October 2010Administrator

RBC Dexia Investor Services Ireland

Fund Size $30.9m Custodian RBC Dexia Investor Services Bank S.A

StructureIrish OEIC – UCITS Status Dealing Line +353 1 440 6555

Minimum Investments

Institutional Shares: $1mRetail Shares: $1,000

Countries RFS and Tax Status

UK - reporting status

Other Countries – on demand

Base currency US DollarTotal Expense Ratio

Capped at 0.25% above Management Fee

Distributions Quarterly Liquidity DailyShare Class

Currency Type Management Fee

ISIN Code

A USD Accumulation Institutional 0.75% IE00B4Y3VK99

B USD Distribution Institutional 0.75% IE00B4YB8D55

E GBP (Hedged) Accumulation Institutional 0.75% IE00B4YC4G39

F GBP (Hedged) Distribution Institutional 0.75% IE00B4VFKM36

I EUR (Hedged) Accumulation Institutional 0.75% IE00B4XN3T34

J EUR (Hedged) Distribution Institutional 0.75% TBA Retail Share classes also available with the same range of currencies as above: Management fee of 1.5%

Fund Details

18NORTH AMERICAN HIGH DIVIDEND VALUE EQUITY FUND

Summary

Strategy Historic studies show that investing in high dividend, low P/E stocks

gives investors an edge over time

Timeliness We believe this strategy is timely in the present economic and stock

market environment

Experience We have been managing value investment strategies for over 25 years

and have maintained a successful long-term track record working with this strategy

Low Risk The key to the strategy for long-term investors is its risk-adjusted

performance

19 SUMMARY

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