investment edge q4 2010

Volume 3 Quarter 4 2010

Investment Edge

Canada Life is a leading provider of life, pensions and investments with over 100 years’ experience serving the financial planning needs of our customers in the Irish market. We receive consistently high financial ratings from the independent rating agencies including a AA* rating from Standard & Poor’s.

We only partner with the best investment managers to offer a broad range of choice to Irish investors. And we are backed by strength. Our parent is Great-West Life, one of the world’s leading life assurance companies, making us one of the largest and strongest life and pension companies operating in the Irish market today.

* The financial rating shown for the Canada Life Assurance Company is provided by Standard & Poor’s. Standard & Poor’s is a rating agency which provides ratings on the financial strength of companies. This information is correct at the time of going to print.

Welcome to the fourth quarter 2010 edition of Investment Edge. The fourth quarter was a very positive one as the MSCI World Index rose 10.9%, and despite a number of challenges during 2010, posted a very healthy return of 19.5% in euro terms for the year.

The main issue weighing on markets throughout the year was the euro sovereign debt crisis, which eventually led to a bailout of Greece and later Ireland, and worries over other peripheral euro countries’ debt levels. In the first half of the year there were ongoing concerns about the possibility of a double dip recession and the effect of increased

regulation in the US and elsewhere of the financial sector. The second half of the year saw fundamentals reassert themselves as better-than-expected economic data, along with improving corporate earnings, drove markets on.

Despite the ongoing weakness of Irish bank shares, the ISEQ almost recorded a positive return for the year and rallied strongly in the fourth quarter as its non-financial stocks participated in the global rally. Meanwhile, the price of oil rose above US$90 per barrel for the first time in over two years and other commodity prices continued to push higher.

The strong final quarter was mainly attributable to heightened expectations amidst increased confidence that the global recovery was well on track and improving corporate profitability that reached record levels. At home the final quarter was dominated by turmoil on the political front and once again in the financial sector, as AIB, which had been the biggest stock in the ISEQ just three years ago, was effectively nationalised. In November the EU and IMF jointly agreed to an Irish bailout of õ67.5 billion. Also during the month a four-year national recovery plan to return the Irish economy to sustainable growth was announced with the intention of cutting our budget deficit to the official target of 3% of GDP by 2014.

The mid-term elections in the US delivered a resounding victory for the Republicans. The extension of the Bush-era tax cuts by President Obama and further quantitative easing would later act as another stimulus for the US economy. Market gains in December were among the strongest of the year. The US S&P 500 Index rose to its highest level in over two years and the FTSE 100 Index closed above 6,000 for the first time since June 2008.

As we look to 2011 many of the same themes will remain centre stage. The eurozone sovereign debt crisis is likely to remain a major influence in 2011 as markets seem unconvinced that these issues have been solved. Global growth is again expected to be positive at about 4.2%, fed in large parts by the emerging markets.

Interest rate policy will likely remain relaxed in most parts of the world with the expectation that interest rates will remain at, or near, historic lows. However, rates may come under pressure in the latter stages of 2011 if growth continues as expected. Equities still look attractive and remain reasonably valued, particularly in relation to bonds and deposit rates. Corporate profits are expected to continue their advance, albeit at lower levels of growth than in 2010. We may also see an increase in dividend payouts this year as companies put their surplus cash to work.

In the Spotlight section of this issue we focus on the outstanding long-term performance from some of Canada Life/Setanta’s main funds.

We wish you all the best for 2011.

Michael HayesInvestment Development Manager

Warning: Past performance is not a reliable guide to future performance.The value of your investment may go down as well as up.

Canada Life Assurance (Ireland) Limited and The Canada Life Assurance Company are regulated by the Central Bank of Ireland.This quarterly publication is intended for Financial Advisors only.

Introduction

Index

Market Commentary 4

Spotlight - Canada Life fund performance outperforms the markets in 2010 6

Fund Fact Sheets 9Life Investment Funds 9Pension Funds 35

Fund Performance 62

Our Investment Partners 64

4

Market Commentary Q4 2010Global equities ended the year on a very positive note with the MSCI World Index returning +10.9% for quarter four, bringing the return for 2010 to +19.5%. The best performing sectors for the quarter were energy and industrials & materials and the weakest were healthcare and utilities.

Japan (Nikkei) and the US (S&P500) had very strong quarters, up 14.1% and 12.8% respectively. Investors shrugged off European sovereign debt concerns and higher unemployment figures and instead focused on a historic trend price/earnings ratio of 19 times and GDP growth. Following two very positive years, equities look reasonably valued at current levels. US equity markets also received a boost from the extension of tax breaks originally introduced by President Bush for two years. This measure resulted in a rise in economic growth forecasts for 2011, but also in a rise in US government bond yields on the expectation that borrowing will need to increase. The UK and the US continued with their programmes of quantitative easing during the quarter. Policymakers seem broadly determined to continue to support economic recovery via this exceptionally easy monetary policy approach for the foreseeable future, or until inflation becomes an inhibiting factor. Equities were also buoyed by strong global growth - double digit growth was recorded in Asia.

European equities (Europe ex-UK), generated a positive quarterly return for the first time in 2010 (+5.6%). European equities have been held back by concerns about debt levels on the balance sheets of some European banks and of peripheral European countries. Stock prices in Germany were strong for the quarter and for the year, reflecting strong German economic growth. The ISEQ index returned 8% for the quarter.

In a further effort to curb inflation, which is being driven primarily by rising food prices, the People’s Bank of China announced an interest rate hike of 0.25% on Christmas Day. Equity markets are beginning to tune into inflationary pressures in China and global inflation will become a focus point for equity investors in 2011, along with corporate earnings, dividend policy and monetary policy.

European bonds had a negative quarter; the Bank of America Merrill Lynch sovereign bond five-year index returned -5.7%. The European sovereign debt crisis was centre stage during the quarter and peripheral (Ireland, Greece, Portugal, Spain) bond yields continued to rise as the ongoing political debate about how best to contain and solve the crisis dragged on. Uncertainty over European sovereign debt will likely continue to impact equity and bonds over the medium term, until a comprehensive eurozone response is accepted by the markets. European corporate bonds fared better during the quarter, down -1.7%, and returning +6% for 2010 as a whole (Merrill Lynch EMU Corporate bond index).

Cash generated a low yield, reflecting the current low interest rate environment. The European Central Bank (ECB) left its main refinancing rate (refi) at 1% in line with market expectations. This is expected to remain unchanged during 2011. The euro weakened against the US dollar and sterling during the quarter by -1.9% and -1.0%, respectively. In overall terms, the euro fell by 8% against the US dollar during 2010, despite having strengthened against the US dollar for the first half of the year.

Brent oil rose again during the quarter and reached its highest level of $94.3/barrel since October 1st 2008 when it then peaked at $94.9/barrel. Growth in manufacturing together with the cold weather in Europe and the US helped to increase demand. The Dow Jones UBS Spot Commodity Index rose by 18.9% during the quarter, bringing the gains for the year to 26.4%.

MSCI World Q4. 2010

Source: MSCI Net Total Returns (in €) 01.10.2010 – 31.12.2010

5

Source: MSCI Regional Indices Total Return, ISEQ, (in €), 01.10.10 - 31.12.10

Asset Class Returns Q4. 2010

Source: MSCI World, Merrill Lynch (G7), Merrill Lynch (EMU +5yrs), Average Property Fund Mercer Survey, 3 Month Interbank Deposit (all in €) 01.10.10 – 31.12.10

Regional Returns Q4. 2010

Sector Returns Q4. 2010

Source: MSCI Global Sector Performances Total Return (in €), 01.10.10 – 31.12.10

6

Canada Life fund performance outperforms the markets in 2010

By Michael Hayes, Investment Development Manager, Canada Life

2010 was another good year for investors with many major markets recording significant gains to build on the very positive returns seen in 2009. Recent performance figures show that several of Canada Life’s investment funds outperformed their respective benchmarks in 2010 and over longer periods*.

While the 2010 performance figures are very welcome, the more relevant longer-term numbers are also very strong with several of our key funds showing significant outperformance against their relevant benchmarks and competitor funds. The Canada Life/Setanta Global Equity Fund, the Canada Life/Setanta Focus 15 Fund, the Canada Life/Setanta Irish Equity Fund and the Canada Life/Setanta Managed Fund have all outperformed their respective benchmarks over the more relevant three, five and 10-year periods.

Setanta has a strong conviction in value and quality investing, coupled with a diligent investment process. They also conduct their own fundamental research. This generates an in-depth understanding of the companies and the sectors in which they operate, benefiting investors in the Canada Life/Setanta Funds. The standout performer in 2010, as was the case in 2009, was the Canada Life/Setanta Focus 15 Fund. The fund increased by 26.5% last year, outperforming its benchmark, the MSCI World Index, by 7%. The fund is an actively managed, concentrated equity portfolio, which holds approximately 15 international stocks. The Canada Life/Setanta Focus 15 fund has been one of the best-performing funds in the Irish market over the last two years.

With industry single premium sales increasing by 30% in 2010, it is encouraging to note that people are moving back into investment funds and away from cash and deposits. We have now had two good years in a row, and this has certainly helped investor confidence. Some funds are showing gains of over 100% for the past two years. The positive trend into other asset classes that started in 2009 has gathered momentum, and we are delighted to see that it looks set to continue in 2011.

Canada Life is the strongest life assurance group in Ireland. Established in Ireland in 1903, the Canada Life Group has grown to be a modern and dynamic international financial services business. We are part of Great-West Life, one of the world’s leading life assurance companies, from a country ranked the most financially sound in the world**.

With a reputation for financial strength, stability and consistently high financial ratings from the independent rating agencies, Canada Life is the only life assurance group in Ireland to have a AA rating*** from Standard & Poor’s.

As part of the Great-West Life Assurance Company, we have access to a large pool of experience and expertise on a global scale, allowing us to continuously enhance our product and service offering.

7

For more information on Canada Life’s fund performance, please visit www.canadalife.ie

Warning: The value of your investment may go down as well as up. Past performance is not a reliable guide to future performance.

Canada Life Assurance (Ireland) Limited and The Canada Life Assurance Company are regulated by the Central Bank of Ireland.

This article does not constitute advice or an advertisement and does not form part of any contract.

* Performance Source: Pension Fund performance, Moneymate, Mercer Pooled Group Pension Managed Fund Survey. Fund performance for the calendar year 2010. These performance figures are net of management fees. The figures for the Canada Life/ Setanta Irish Equity Fund are for the life version of this fund and are also net of management fees.

** IMF Country Report for Canada, 2009

*** The financial rating shown for The Canada Life Assurance Company is provided by Standard & Poor’s. Standard & Poor’s is a rating agency which provides ratings on the financial strength of companies.

**** The Canada Life/Setanta Irish Equity Fund is an actively managed fund investing in Irish equities. The fund is a stock picking fund and does not attempt to replicate the performance of the ISEQ benchmark.

Canada Life Fund Benchmark5-yr Fund

Performance per annum (p.a.)

Outperformance vs benchmark

10-yr Fund Performance

Outperformance vs. benchmark

Canada Life/Setanta Global

Equity FundMSCI World Index +0.9% p.a. +1.1% p.a. +0.7% p.a. +1.9% p.a.

Canada Life/Setanta Focus 15

FundMSCI World Index +5.4% p.a. +5.6% p.a. -0.7% p.a. +0.5% p.a.

Canada Life/Setanta Irish Equity Fund

ISEQ**** -5.6% p.a. +9.3% p.a. 1.2% p.a. 5.5% p.a.

Canada Life/Setanta Pension Managed Fund

Mercer Managed Fund Average

+0.4% p.a. +1.2% p.a. +1.7% p.a 0.7% p.a.

9

Life Funds

10

Canada Life / Setanta Equity Dividend Fund Quarter 4, 2010

Fund Description

Important Information:This fact sheet does not form part of any contract. The information contained in this document is based on current legislation and is, therefore, subject to change. The contents are intended as a guideline only and should not be construed as an interpretation of the law. For full details of all our products, please refer to the specific product policy conditions. You should always seek advice of an appropriately qualified professional. Setanta Asset Management Limited is regulated by the Central Bank of Ireland. Canada Life Assurance (Ireland) Limited is regulated by the Central Bank of Ireland.

Warning: Past performance is not a reliable guide to future performance. The value of your investment may go down as well as up.

★ company debt must be ‘investment grade‘ (if rated)★ company gearing below 100%.

The ratio of debt to equity should be not more than 100%, except for utility companies (water, electricity etc.) where we use a hurdle of 200%, and for financial stocks, where no maximum is applied.

The maximum exposure to currencies other than the euro is capped at 10% of the value of the fund. The Equity Dividend Fund is managed by Setanta Asset Management Limited (“Setanta“) .

Top 10 Holdings Fund Performance* Q4 2010

The Equity Dividend Fund is an actively managed equity portfolio which aims to hold c. 40 stocks that pay above average dividends. The fund does not target high dividend payers indiscriminately; a set of desired criteria is applied when filtering potential candidates for the fund. The desired criteria are:

★ dividend yield 20% in excess of the MSCI World Index★ no cut in dividend in the last five years★ market capitalisation of at least ®500m (excluding Irish stocks)★ dividend must be less than 80% of earnings

Portfolio Financials Q4 2010

Dividend Yield 3.8%

P/E Ratio 12.9x

Equity Sectoral DistributionEquity Geographic DistributionAsset Distribution

*Source: Moneymate. Peer Group Average (High Yield Equity Funds from Bloxhams, AIB, Eagle Star, Aviva and Friends First.

Source: Bloomberg & individual company reports. These figures are based on last years dividend in some cases. The gross yield is before any withholding taxes on the individual shares. It is also before taking account of any exit tax that may apply.

Company Sector %

BP Energy 3.7

CRH Industrials/Materials 3.5

Sanofi-Aventis Healthcare 3.4

Fortum Telecoms/Utilities 3.0

Wincor Nixdorf Information Technology 2.7

Diageo Consumer Staples 2.6

Lockheed Martin Industrials/Materials 2.6

Svenska Handbanken Financials 2.6

Thai Beverage Public Consumer Staples 2.5

Nokia Information Technology 2.5

7.56.4

13.5

11.2

-2.3-3.8

-0.1

0.0

4.4 4.4

P

11

Canada Life / Setanta Balanced Fund Quarter 4, 2010

Fund Description



picked within a global sector framework, with an emphasis on the following key characteristics:

★ superior financial track record★ competitive advantage and a sustainable business model within their industry★ focused on profitability and can demonstrate an ability to earn cash flow returns in excess of their cost of capital over the business cycle★ do not carry excessive debt levels.

Top 10 Holdings Fund Performance to 31/12/10

The investment objective of the Balanced Fund is to secure long-term capital growth. The fund seeks to achieve its objective by investing primarily in a range of Irish and international equities and bonds. The asset distribution of this fund is more conservative than a managed fund, having a lower proportion of its assets invested in equities; the target equity content is less than 50%.

The fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies and builds the portfolio from the bottom up. Stocks are

Equity Sectoral Asset DistributionEquity Geographic DistributionAsset Distribution

Source: Moneymate. Performance is net of management fees.

P

Company Sector %

Exxon Mobil Energy 2.3

General Dynamics Industrials/Materials 2.0

Johnson & Johnson Healthcare 1.8

Pfizer Healthcare 1.8

BP Energy 1.7

Total Energy 1.7

Microsoft Information Technology 1.7

SCA ‘B’ Industrials/Materials 1.7

Everest RE GP Financials 1.5

Danaher Industrials/Materials 1.5

-0.3

1.7

0.7

5.15.8

-3.5

-1.9 -1.6

1.10.6

12

Canada Life / Setanta Balanced Dividend Fund Quarter 4, 2010

Fund Description



★ dividend must be less than 80% of earnings★ company debt must be ‘investment grade‘ (if rated)★ company gearing below 100%.

The ratio of debt to equity should be not more than 100%, except for utility companies (water, electricity etc.) where we use a hurdle of 200%, and for financials stock, where no maximum is applied.

The maximum exposure to currencies other than the euro is capped at 10% of the value of the fund. The Balanced Dividend Fund is managed by Setanta Asset Management Limited (“Setanta“) .

Top 10 Holdings Fund Performance* Q4 2010

The Balanced Dividend Fund is an actively managed balanced fund investing 66% in equities and 34% in fixed interest securities. The equity portion of the fund aims to hold c. 40 stocks that pay above average dividends. The fixed interest portion of the fund invests in EU government bonds.

The fund does not target high dividend payers indiscriminately for the equity securities; a set of desired criteria is applied when filtering potential candidates for the fund. The desired criteria are:

★ dividend yield 20% in excess of the MSCI World Index★ no cut in dividend in the last 5 years★ market capitalisation of at least ®500m (excluding Irish stocks)


*Source: Moneymate. Peer Group Average (High Yield Equity Funds from Bloxhams, AIB, Eagle Star, Aviva and Friends First.

P

Source: Bloomberg & individual company reports. These figures are based on last years dividend in some cases. The gross yield is before any withholding taxes on the individual shares. It is also before taking account of any exit tax that may apply.


Dividend Yield 3.8%

P/E Ratio 12.9x

Company Sector %

BP Energy 3.7










7.1

3.9

13.0

7.7

1.0

-3.2

1.60.4

4.4 4.5

13

Canada Life / Setanta European Equity Fund Quarter 4, 2010

Fund Description





The investment objective of the European Equity Fund is to secure long-term capital growth.

The fund seeks to achieve its objective by investing in a range of European equities.

It is an actively managed equity portfolio which holds c. 30-50 European stocks. The fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies and builds the portfolio from the bottom up. Stocks are picked within a global sector framework, with an emphasis on the following key characteristics:

Company Sector %

BP Energy 4.9

Axel Springer Consumer Discretionary 4.3



Kingspan Group Industrials/Materials 3.9

Novartis Healthcare 3.8

Vodafone Telecoms/Utilities 3.8

DCC Industrials/Materials 3.7

Glaxosmithkline Healthcare 3.7


Equity Geographic DistributionAsset Distribution


Equity Sectoral Distribution

P

7.89.0

6.9

15.3

-4.5-2.8

-0.9

0.9

-1.0 -0.6

14

Year Life

Gross Version Net Version

95 – 96 - -

96 – 97 - -

97 – 98 - -

98 – 99 - 6.5%

99 – 00 - 6.0%

00 – 01 6.0% 5.0%

01 – 02 6.0% 4.5%

02 – 03 5.0% 3.5%

03 – 04 2.0% 0.0%

04 – 05 1.0% 0.0%

05 – 06 1.0% 0.0%

06 – 07 1.0% 0.0%

07 - 08 1.0% 0.0%

08 - 09 0.5% 0.0%

09 - 10 0.0% 0.0%

10 - 11 0.0% 0.0%

Canada Life / Setanta Unitised With Profits Fund Quarter 4, 2010

Fund Description



Top 10 Holdings Annual Bonus History

Bonus rates are declared net of management charges

At maturity a terminal bonus may be applied if the underlying assets have outperformed the declared bonuses.

The Unitised With Profits Fund (UWP) operates like a unit-linked fund, except that investment return to policyholders is smoothed and guaranteed not to fall.

Returns are distributed in the form of a bonus rate declared by Canada Life based on various factors including the performance of the underlying assets.

Returns are smoothed to the investor in that the bonus rate will endeavour to reflect the performance of the assets over the long term, allowing the investor to avoid short-term volatility in the markets.


P

Company Sector %





BP Energy 1.6


Total Energy 1.6




15

Canada Life / Setanta Focus 15 Fund Quarter 4, 2010

Fund Description



★ focused on profitability and can demonstrate an ability to earn cash flow returns in excess of their cost of capital over the business cycle★ do not carry excessive debt levels.

Clearly, Focus 15 is likely to be more volatile than more broadly-based funds; it is therefore only suitable for those investors with experience of the stock market.

Fund Performance to 31/12/10

The Focus 15 Fund is an actively managed, concentrated equity portfolio, which holds c. 15 international (ex Ireland) stocks. The Focus 15 Fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies. Setanta builds the portfolio from the bottom up, using the stocks researched by the sector specialists, with an emphasis on the following key characteristics:

★ superior financial track record★ competitive advantage and a sustainable business model within their industry



Fund Holdings

P

Company Sector %

MI Developments Financials 9.1


Tidewater Energy 8.1


Astellas Pharmaceutical Healthcare 7.2


Steris Healthcare 6.6

NTT Docomo Telecoms/Utilities 6.4


Total Energy 6.2

Toyota Motor Consumer Discretionary 6.1

Sysco Consumer Staples 5.8


OPAP Consumer Discretionary 3.9

Belgacom Telecoms/Utilities 3.7

Cash 4.7

12.9

7.7

26.0

13.3

5.3

-4.0

4.4

-1.8 -1.7 -1.5

16

Canada Life / Setanta Irish Equity Fund Quarter 4, 2010

Fund Description




The Irish Equity Fund is a relatively concentrated equity fund with exposure to stocks from only one country and is likely to be more volatile than more broadly-based funds.


The Irish Equity Fund is an actively managed equity portfolio which aims to hold stocks quoted on the Irish stock exchange. The fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies. Setanta builds the portfolio from the bottom up, picking stocks within a sector framework, with an emphasis on the following key characteristics:


Equity Geographic DistributionAsset Distribution



Company Sector %



Kingspan Industrials/Materials 9.1

Dragon Oil Energy 7.8

Irish Continental Industrials/Materials 7.6

Total Produce Consumer Staples 7.6

Abbey Industrials/Materials 7.0

Ryanair Industrials/Materials 6.8

Kerry Group Consumer Staples 6.3

Grafton Group Industrials/Materials 6.3

P

13.4

7.9

18.6

-0.7

-10.8

-22.1

-5.6

-15.4

1.2

-4.5

17

Canada Life / Setanta Property Fund Quarter 4, 2010

Fund Description



The Property Fund is suitable for investors who wish to gain investment exposure to the commercial property sector. Investors should understand that property investment is by its nature less liquid than other asset classes.

Sample Property Holdings Fund Performance to 31/12/10

This fund invests in commercial properties - office, retail and warehousing. The fund is characterised by the quality of the property that makes up the portfolio and the tenants that occupy these properties.

Currently, all of the properties are located in Ireland.

OFFICE

Block C, Earlsfort Centre

Tenant - Office of Public Works

Fund Weighting - 13.2%

RETAIL

45/46 Patrick Street, Cork

Tenant - C&J Clarke International


INDUSTRIAL/WAREHOUSE

Swords Business Campus

Tenants - Air France, Client Logic, Eastern Health Board


Geographic DistributionAsset Distribution



P

-3.0

2.1

-2.1

12.8

-22.9

-11.9-10.2

-5.8

-0.7

1.5

18

Canada Life / Setanta Strategic Growth Fund Quarter 4, 2010

Fund Description





The investment objective of the Strategic Growth Fund is to secure long-term capital growth. The fund seeks to achieve its objective by investing primarily in a range of Irish and international equities and bonds. The fund will hold between 50-80% of its assets in equities with the balance consisting of bonds, property and cash

The fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies. Setanta builds the portfolio from the bottom up, picking stocks within a global sector framework, with an emphasis on the following key characteristics:



Company Sector %






BP Energy 1.3

Svenska Cellulosa Industrials/Materials 1.2

Total Energy 1.2



P

3.7

5.8

8.2

-2.7-3.8

11.4

-1.0 -0.9-0.1

0.4

19

Canada Life / Setanta Global Opportunity Fund Quarter 4, 2010

Fund Description




The Global Opportunity Fund is an actively managed equity portfolio, which holds c. 100-140 global stocks. The investment objective of the Global Opportunity Fund is to secure long-term capital growth by investing in a range of Irish and international equities.

The fund is managed by Setanta Asset Management Limited (“Setanta“). The fund is the cornerstone of Setanta‘s investment process. Setanta is a value investor in quality companies and builds the portfolio from the bottom up. Stocks are picked within a global sector framework, with an emphasis on the following key characteristics:



P


Company Sector %





BP Energy 1.7

Total Energy 1.7





-1.8

8.0 7.7

14.013.3

-2.1

-4.0

0.2

-1.5-0.1

20

Canada Life Quadrivium Fund Quarter 4, 2010

Fund Description



Fund Composition

The investment objective of the Canada Life Quadrivium Fund is to secure long-term capital growth.

The fund seeks to achieve its objective by investing in four different asset classes – equities, bonds, property and commodities. By investing in Quadrivium investors can gain access to a diversified portfolio invested across these four asset classes. The fund provides exposure to international shares, Irish & European commercial property, commodities and fixed interest assets, all within one fund.

Asset Distribution

The Quadrivium Fund invests in the following four asset classes:

High-Yield EquitiesThe Canada Life Dividend Fund is an equity fund that specifically targets stable blue chip quality companies with the ability to pay consistently strong dividends. The Dividend Fund is a pure equity portfolio of actively managed companies with an average of 40 holdings.

PropertyIrish Commercial PropertyThe Canada Life Property Fund invests in a range of commercial properties. The fund is currently fully invested in Irish commercial properties but will seek opportunities outside Ireland where appropriate. The fund is managed by a team of property specialists at Canada Life European Real Estate, who have over 20 years of property experience and manage over €1.7 billion in property assets.

European PropertyThe Canada Life/Morgan Stanley European Property Fund invests in a professionally managed portfolio of European property companies, and is managed by a team of property experts at Morgan Stanley with over 40 years of collective experience of real estate markets. The fund invests in quoted European property companies through buying real estate securities. Real Estate securities are indirect investments in property whose long-term returns depend on the underlying real estate market.

CommoditiesThe commodities allocation in the Quadrivium fund invests in an Exchange Traded Fund (ETF) issued by ETF Securities. The ETFs All Commodities DJ-AIGCI is designed to track the Dow Jones-AIG Commodity sub-index. The Dow Jones-AIG Commodity sub-index invests in a broadly diversified index that allows investors to track commodity futures returns through a single fund. No related group of commodities (e.g energy, precious metals, livestock or grains) may constitute more than 33% of the index and no single commodity may constitute less than 2% or more than 15% of the index. Commodities tend to behave differently to all other asset classes and for this reason are used as a good diversifier in multi-asset portfolios. The ETFs are issued by ETF Securities. ETF Securities invest the assets backing the ETF with AIG.

Fixed InterestThe Canada Life Fixed Interest Fund invests in government gilts predominantly from eurozone countries. Gilts, or bonds are essentially a form of debt. Governments and large corporations use them to raise money for capital expenditure.

Asset Class CurrentAllocation

Expected Range

Dividend Fund 44.7% 20% - 50%

Irish Property 9.4% 10% - 25%

Morgan Stanley Euro Property Fund 20.0% 10% - 25%

Commodities 16.7% 0% - 25%

Fixed Interest 9.2% 0% - 25%

Fund Performance

Source: Moneymate. Performance is net of management fees.This fund was launched on 22/10/07

P

5.0 5.3

9.3

12.7 12.311.5

-3.3

-5.5

21

Canada Life / Setanta Cash Fund Quarter 4, 2010

Fund Description



The Cash Fund seeks to provide modest returns in exchange for relative capital security. The fund may invest in:

i) Euro denominated short-dated term deposits with banks and/or eligible credit institutions on Canada Life‘s approved short-term borrowers list which have a minimum credit rating of P-1 and which are authorised to carry on a banking business in the State under Section 9 of the Central Bank Act, 1971 and/or

(ii) Euro denominated bonds issued by governments or corporates subject to a minimum average credit rating of

The European Central Bank (ECB) left its main refinancing rate (refi) at 1% in line with market expectations. This is expected to remain unchanged during 2011. EONIA (overnight rate) averaged 0.58% over the quarter while 3m Euribor averaged just over 1%, showing signs of normalization back to the main refinancing rate. Liquidity in the euro system remained plentiful and this is keeping EONIA at low levels in relation to the main refinancing rate.

The final quarter of the year saw a couple of key announcements from the ECB. Namely there will be an extension of the full allotment in open market operations. At the moment full allotment will remain in place in the first quarter of 2011, with a further announcement on this expected at the ECB March meeting.

There was also a tightening of collateral at the ECB, a sign they are becoming concerned with the quality of collateral they are holding. This will increase the haircuts applied to lower quality or illiquid collateral meaning that banks will need to provide more collateral to secure funds.

The main development of the quarter was the ECB becoming vocal about their worries on how banks, mainly in peripheral countries, have become “addicted” to using the ECB lending facilities for liquidity. As stated above the ECB did extend full allotment into 2011, but this was agreed by consensus and not unanimously, despite the worsening sovereign debt crisis, a clear sign the ECB are intent on returning to normal market conditions as soon as they can.

However, there is no easy solution to this problem as these banks can’t fund themselves elsewhere and are using ECB as a lender of last resort. Full allotment will keep excess liquidity in the system, thus overnight rates will remain below the main refinancing rate.

In the quarter, the Fund reduced its exposure to Irish banks and has increased its exposure to short-dated government or government backed bonds.Source: Moneymate. Performance is net of management fees.

Counterparty Exposure

Counterparty exposures (G) are covered by the Irish Government guarantee. Other counterparty/credit exposures are covered by either other European National Government Guarantees or have individually strong credit ratings.

Issuer % of Fund

National Irish Bank 20.8

Ulster Bank 15.4

Allied Irish Bank (G) 10.9

ACC Bank 10.0

BNP 8.9

French Treasury Bill 6.6

KBC Bank Ireland 6.1

Irish Life & Permanent (G) 6.0

Dutch Treasury Bill 3.3

P

individual securities of ‘A‘ and for the portfolio an average rating of ‘AA‘.

The maximum average duration of the fund is 4.5 months, and the maximum duration of any one asset is one year. The fund has a diversified exposure, with no more than 30% credit exposure to any one entity.

The fund is actively managed and consideration is given to the underlying credit worthiness of the financial institution, the return and the tenure of the deposit.

Fund Commentary


Issuer % of Fund

German Treasury Bill 3.3

Bank of Ireland (G) 2.3

EBS Building Society (G) 1.7

European Investment Bank 1.6

SPGB 1.2

SGLT 1.0

KFW Bank 0.6

Cash 0.4

1.71.7

1.0

-0.5

-0.1

0.3

1.4 1.4

1.7

1.4

22

Canada Life / Setanta Fixed Interest Fund Quarter 4, 2010

Fund Description



The fund has a minimum ‘A‘ credit rating investment level for individual securities. The minimum average credit rating for the full portfolio is ‘AA‘. The duration of the portfolio can be between +/- two years of the index.

Returns are likely to be modest and can be negative. However, they are significantly less volatile than equity returns.


The Fixed Interest Fund invests predominantly in eurozone government bonds. It may also hold corporate bonds and bonds from non-eurozone countries. The fund is managed by Setanta Asset Management Limited (“Setanta“).

Setanta‘s general philosophy in relation to fixed income is that performance in bond markets is primarily driven by the directional (duration) calls and yield curve positioning. The fund takes relatively small currency or credit risk.


Asset Distribution

Company Country %

Depfa ACS Bank Ireland 4.7

Buoni Poliennali Del Tes Italy 3.7

Netherlands Government Netherlands 3.5

EBS Mortgage Finance Ireland 3.3

Irish Life & Permanent Ireland 3.2

Caisse D’Amort Dette Soc France 3.2

Treasury 5% 2020 Ireland 3.1


Treasury 4.6% 2016 Ireland 2.6

Landswirtsch. Rentenbank Greece 2.6

P

Country Weighting Strategy

Duration: Short of benchmark duration. Curve: Yield curve should flatten curve over the next year with a change in interest rate cycle.

Intramarket: Reduce overweight in peripheral markets, targeting core agency spreads.

Inflation: Inflation data may start to surprise, look to add inflation linked bonds as insurance.

Credit: Exposure to government guaranteed debt, covered bonds and agency debt to add yield but with little additional credit risk.

Currency: Strong performance in the Scandi currencies over the year, look to take profit. Position in Polish Zloty on valuation grounds and leveraged to German growth.

2.1

-6.1

-3.7 -3.8

2.4

3.8

0.5

4.0

3.0

1.9

23

Canada Life / SEI Manager-of-Managers Fund Quarter 4, 2010

CL SEI Global Balanced Fund

Investment Objective and Strategy

The SEI Global Balanced Fund aims to provide long term growth of capital with a moderate level of income by investing in a range of SEI multi-manager equity and fixed income funds. The fund is a globally diversified fund with approximately 70% invested in top tier equity funds and the remaining 30% invested in top tier fixed income funds.

Top 10 Holdings %

Fund Performance

P

Asset Allocation

Q4 10 1 Yr 2 Yr p.a 3 Yr p.a 4 Yr p.a 5 Yr p.a

7.0% 14.9% 17.5% -1.0% -1.9% -0.5%

Equities 70%

US Large Cap 28.00

Global Developed Markets 14.00

Europe Ex-UK 10.00

UK 6.00

Japan 5.00

Pacific Basin Ex-Japan 3.50

Emerging Markets 3.50

Fixed Income 30%

Global 15.00

Global Opportunistic 15.00

Total 100%

Apple 1.47

Microsoft Corp. 1.15

JPMorgan Chase 1.07

Wells Fargo 1.06

Qualcomm 1.05

Cisco Systems 1.01

Chevron 0.92

AT&T 0.79

Procter & Gamble 0.77

ConocoPhillips 0.70

Total 9.99

List of Managers %

US Large Companies Equities 28.00

Analytic Investors Inc. 3.36

Aronson, Johnson, Ortiz 4.20

Delaware Investment Advisors 2.52

Enhanced Investment Technologies 3.36

Legg Mason - Growth Equity 1.12

Legg Mason - Core Equity 1.96

LSV Asset Management 3.64

Neuberger Berman 2.52

Quantitative Management Associates 3.64

Global Developed Markets Equities 14.00

Acadian Asset Management 1.54

Tradewinds 1.12


Janus Capital Group 2.80

Principal Global Investors 4.48


Wellington Managament Co. Int. Value 2.80

Europe Ex-UK Equities 10.00


BlackRock International 2.20

JPMorgan Asset Management 2.60

TT International 2.20

UK Equities 6.00

Jupiter Investment Managers 0.18

Invesco Quantatitive Strategies 1.20

Investec Asset Management 0.72

L.A. Capital Management 1.50

Mirabaud Asset Management 1.20

Standard Life Investments 1.20

Japanese Equities 5.00



Capital International 1.90


Pacific Basin Ex-Japan Equities 3.50

Axa Rosenberg Investment Management 0.93


Lloyd George Investment Management 1.23

Maple-Brown Abbott Limited 0.53

Emerging Markets Equities 3.50

Alliance Bernstein 0.53

Artisan Partners 0.53


PanAgora Asset Management 0.53

Rexiter Capital Management 0.53

The Boston Company Asset Management 0.61

Fixed Income Managers %

First International Advisors 5.70

UBS Currency 12.75

DB Advisors 3.06

Jennison Associates 2.19

Schroders Investment Management 2.64

Wellington GRV 3.78

TCW Group 3.33

24


CL SEI Global Developed Markets Equity Fund


The investment objective of the Global Developed Markets Equity Fund is to achieve capital appreciation by investing primarily in equity securities of issuers located in developed countries. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI World Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %

Financials 15.3

Industrials 14.3

Consumer Discretionary 13.3

Information Technology 11.2

Energy 10.0

Healthcare 9.8

Materials 9.8

Consumer Staples 7.6

Telecoms 5.4

Utilities 3.3

Intech Investment Management 17.5

Janus Capital Management 16.5

Principle Global Investors 15.5

Tradewinds Global Investors 12.4

Wellington Management Company International Value 17.5

SEI Investments Management 20.6

Fund Total 100.00

Market Capitalisation Breakdown (USD) Weight (%)

Greater than 50 Billion 26.0

Between 20 and 50 Billion 20.6



Less than 1 Billion 1.8

Microsoft 1.2

General Electric 1.1

Exxon 1.0

Pfizer 1.0

HSBC 0.8

Newmont Mining Corp. 0.8

Apple 0.8

Cisco Systems 0.8

Wal-Mart Stores 0.7

Merck & Co. 0.7

Total 8.9

Q4 10 1 Yr 2 Yr p.a 3 Yr p.a 4 Yr p.a

10.5% 17.9% 19.2% -8.5% -8.7%

Country Allocation %

United States 45.3

Japan 10.1

United Kingdom 10.0

Canada 4.8

Germany 3.5

Switzerland 3.5

France 3.4

Brazil 1.9

Australia 1.6

Sweden 1.5

Other 14.5

25


CL SEI European (Ex-UK) Equity Fund


The fund aims to achieve long-term capital growth and income by investing in a broadly diversified portfolio of European equity securities. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI Europe EX-UK index

Top 10 Holdings %


Underlying Managers

France 26.8

Germany 20.2

Switzerland 12.9

Italy 7.6

Sweden 7.0

Netherlands 5.9

Spain 3.7

Norway 3.6

Denmark 3.3

Finland 2.6

Other 6.5

Fund Performance

P

Sector Weighting %

Industrials 21.0


Financials 15.6


Materials 9.3

Healthcare 8.0


Energy 4.3

Telecoms 3.6

Utilities 1.9


Metropole Gestion 17.4


Wellington Management Company 20.4

Fund Total 100.00







BNP Paribas 2.4

Compagnie Financiere Richemont 1.9

Novartis 1.6

Sanofi-Aventis 1.6

BASF 1.5

Daimler 1.4

Total 1.3

SAP 1.2

Heineken 1.2

Nestle 1.1

Total 15.1


8.3% 9.1% 17.5% -9.1% -6.6%

26


CL SEI US Equity Fund


The SEI US Large Companies Fund aims to provide long-term capital growth and income by investing primarily in a broadly diversified portfolio of US equity securities of large companies. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

Russell 1000 Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %


Financials 15.9

Healthcare 14.3


Industrials 10.0

Energy 9.3


Utilities 3.4

Materials 2.9

Telecoms 2.6

Brown Investment Advisory 10.2

Aronson, Johnson & Ortiz 16.3



Legg Mason - Value Equity 8.2




WestEnd Advisors 6.1

Fund Total 100.00







Apple 2.5

JPMorgan Chase 1.8

Wells Fargo & Co. 1.8

Microsoft 1.7

Qualcomm 1.6

Chevron 1.6

Cisco Systems 1.3


Texas Instruments Incorporated 1.2

Conocophillips 1.2

Total 16.1


11.7% 18.3% 17.9% -2.6% -4.0%

27


CL SEI UK Equity Fund


The SEI UK Equity Fund aims to achieve long-term capital growth and income by investing primarily in a broadly diversified portfolio of UK equity securities. Following a manager-of managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

FTSE All Share Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %

Financials 19.1

Industrials 14.7


Materials 12.5

Energy 12.2


Healthcare 6.8

Telecoms 4.6


Utilities 2.2

Invesco Asset Management 19.4


Jupiter Asset Management 20.4

LA Capital Magaement 17.9



Fund Total 100.00







Vodafone 3.6

Rio Tinto 3.5

BP 2.9

Glaxosmithkline 2.8

BHP Billiton 2.6

Royal Dutch Shell (Cl B) 2.5

HSBC 2.5

Astrazeneca 2.4

British American Tobacco 2.2

BG Group 1.8

Total 26.8


7.5% 15.5% 25.5% -6.9% -8.5%

28


CL SEI Pacific Basin (Ex-Japan) Equity Fund


The SEI Pacific Basin (ex-Japan) Equity Fund aims to achieve long-term growth of capital and income by investing primarily in a broadly diversified portfolio of Pacific Basin (ex-Japan) equity securities. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI Pacific ex Japan Index

Top 10 Holdings %


Underlying Managers

Australia 56.1

Hong Kong 23.8

Singapore 8.9

China 4.0

United Kingdom 2.3

Korea 2.1

Taiwan 1.8

Thailand 0.5

Malaysia 0.3

New Zealand 0.2

Fund Performance

P

Sector Weighting %

Financials 42.9

Materials 15.1

Industrials 9.9



Energy 5.7


Telecoms 3.3

Healthcare 2.4

Utilities 1.2


Lloyd George Investment Managers 40.00

Maple Brown Abbott 32.00

Fund Total 100.00








9.6% 21.0% 38.3% 2.4% 4.3%

BHP Billiton 7.5

Australia & New Zealand Banking Group 4.2

Wespac Banking 4.1

National Australia Bank 4.0

Rio Tinto 3.6

DBS Group Holdings 3.1

Commonwealth Bank of Australia 2.3

Wesfarmers 2.1

Telstra 2.0

Sun Hung Kai Properties 1.9

Total 34.7

29


CL SEI Japan Equity Fund


The investment objective of the SEI Japan Equity Fund is to achieve long-term growth of capital and income by investing primarily in a broadly diversified portfolio of Japanese equity securities. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

TOPIX

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %

Industrials 21.9


Financials 16.9


Materials 7.8

Healthcare 6.4

Telecoms 4.5


Utilities 3.0

Energy 2.5


Analytic Investors 20.4



Fund Total 100.00







Sumitomo Mitsui Financial Group 2.5

Toyota 2.4

Nissan 1.9

Nippon Telegraph & Telephone Corp. 1.9

Mizuho Financial Group 1.6

Sumitomo 1.5

Takeda Pharmaceutical 1.4

Softbank 1.4

Marubeni 1.4

JX Holdings 1.3

Total 17.2


15.7% 26.6% 9.6% -6.1% -8.1%

30


CL SEI Emerging Markets Equity Fund


The SEI Emerging Markets Equity Fund aims to achieve capital appreciation by investing primarily in securities of emerging market issuers. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI Emerging Markets Index

Top 10 Holdings %


Samsung Electronics 3.1

China Mobile 1.4

Taiwan Semicon. Man. 1.3

MTN Group 1.2

Petrobras Petroleo Brasileiro (ORD) 1.2

Gazprom 1.2

Cia Vale Do Rio Doce Ord 0.9

Petrobras Petroleo Brasileiro 0.9

HTC 0.7

Pacific Rubiales Energy 0.7

Total 12.6

Underlying Managers

Brazil 16.7

China 16.4

Korea 11.8

Taiwan 10.4

India 7.8

South Africa 7.5

Russia 6.2

Mexico 3.5

Indonesia 2.8

Turkey 2.6

Other 14.4


8.4% 23.6% 42.3% 0.9% 4.3%

Fund Performance

P

Sector Weighting %

Financials 22.0


Energy 13.0

Materials 12.9


Telecoms 8.5

Industrials 7.8


Healthcare 3.0

Utilities 2.4


JO Hambro Capital Management 6.1

Lazard Asset Management 14.3




Fund Total 100.00







31


CL SEI Global Fixed Income Fund


The SEI Global Fixed Income Fund aims to generate current income and exhibit principal volatility similar to that of the global developed fixed income market as a whole. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers

Fund Benchmark

Lehman Global Aggregate Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Quality Allocation %

Treasury 82.71

Agency 7.57

Credit 6.90

Cash 2.51

Collateralized 0.31

AllianceBernstein 32.00


UBS Global Asset Management 16.00


Fund Total 100.00

Quality Exposure %

Aaa and Treasury 54.21

Aa 33.04

A 5.05

Baa 4.34

Ba and below 3.37

Japan-86 0.6% 09/20/14 /JPY/ 2.04

Japan-112 2.1% 06/20/29 /JPY/ 1.82

Japan-113 2.1% 09/20/29 /JPY/ 1.66

US Treas NTS 3.5% 05/15/20 1.51

US Treas NTS 3.125% 05/15/19 1.47

Japan-79 0.7% 12/20/13 /JPY/ 1.39

Bundesrepub DEUT 3.50% 1/4/16 1.36

European IN 3.875% 10/15/16/EUR 1.27

Japan-304 1.3% 09/20/19 /JPY/ 1.26

United States TR 2% 02/28/15_ 1.22

Total 15.00


Euro 26.03

USA 24.98

Japan 24.08

UK 7.25

Canada 3.72

Other 13.94


-2.5% 3.9% 5.5% 0.7% 0.7%

32


CL SEI Global Opportunistic Fixed Income Fund


The SEI Global Opportunistic Fixed Income Fund aims to generate current income consistent with the preservation of capital by investing primarily in global fixed income markets. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

Lehman Global Aggregate Hedged Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Market Value Weighting %

Collateralized 39.19

Credit 34.78

Agency 16.00

Treasury 10.32

Cash -0.29

DB Advisors 20.20



TCW Investment Management Company 25.38


Fund Total 100.00

Quality Exposure %


Aa 13.91

A 17.57

Baa 11.72

Ba and below 2.93

FGLMC PA90761 4.50% 01/01/40 2.52

Freddie Mac Gold Pool 1.17

US Treas NTS 2.5% 01/31/15 1.02

FNMA PMA0023 5.00% 04/01/29 0.82

US T Bill ZCP 02/24/11 0.78

FGLMC PG12491 5.00% 01/01/22 0.75

Federal NATL MTG ASSN FR 2.625% 112014 0.73

US Treas NTS 3.625% 02/15/20 0.70

FNMA PAD0470 5.00% 02/01/49 0.69


Total 9.79


Euro 26.1

UK 6.55

Japan 2.31

Canada 2.30

USA 60.79

Other 1.95


-1.2% 5.3% 8.9% 2.6% 2.4%

33

Canada Life / Morgan Stanley European Property Fund Quarter 4, 2010

Fund Description

Important Information:This fact sheet does not form part of any contract. The information contained in this document is based on current legislation and is, therefore, subject to change. The contents are intended as a guideline only and should not be construed as an interpretation of the law. For full details of all our products, please refer to the specific product policy conditions. You should always seek advice of an appropriately qualified professional. Canada Life Assurance (Ireland) Limited is regulated by the Central Bank of Ireland.

Warning: Past performance is not a reliable guide to future performance. The value of your investment may go down as well as up. The Canada Life/Morgan Stanley European Property Fund was launched on 30/7/07.

provides a highly efficient and cost-effective way of gaining such exposure. As an asset class, real estate can provide important advantages to investors: historically low volatility relative to equities, attractive returns and a low correlation to other asset classes.


The Canada Life/Morgan Stanley European Property Fund allows investors to access the potential returns available from the European commercial property market in one diversified fund. The fund invests in a professionally managed portfolio of European property companies and is managed by a team of property experts at Morgan Stanley with over 40 years of collective experience of real estate markets.

Real estate securities are indirect investments in property whose long-term returns depend on the underlying real estate market. Broad geographic and sector diversification would be prohibitively expensive for a direct real estate investor. However, an indirect real estate portfolio structure

Q4 2010 1.5%

1 Year 11.2%

2 Year p.a 22.1%

3 Year p.a -8.9%

Equity Geographic Distribution


P

Company %

Unibail-Rodamco SE 9.95

Land Securities PLC 5.74

Klepierre 5.25

PSP Swiss Property AG 5.10

British Land Co. Ltd 4.93

Icade 4.78

Hammerson PLC 4.77

Beni Stabili SPA 3.19

Gecina 3.16

Corio NV 2.89

Total 49.76

34

Canada Life / Merrion Managed Fund Quarter 4, 2010

Fund Description

Important Information:This fact sheet does not form part of any contract. The information contained in this document is based on current legislation and is, therefore, subject to change. The contents are intended as a guideline only and should not be construed as an interpretation of the law. For full details of all our products, please refer to the specific product policy conditions. You should always seek advice of an appropriately qualified professional. Merrion Capital Investment Managers Limited (trading as Merrion Investment Managers is regulated by the Central Bank of Ireland. Canada Life Assurance (Ireland) Limited is regulated by the Central Bank of Ireland.



The Canada Life/Merrion Managed Fund is managed by Merrion Investment Managers. The fund is designed to provide balanced long-term growth by actively managing the distribution of the portfolio between cash, bonds, equities and property according to economic conditions.

The fund maintains an average market weight in property through its exposure to Canada Life’s Property Fund while the remainder of the fund is invested in Merrion Investment Manager’s Managed Fund thus providing broad diversificationin quality equities, bonds, property and cash.

Equity Sectoral DistributionEquity Geographic Distribution

The Canada Life/Merrion Managed Fund was launched on 1/10/07. Source: Moneymate. Performance is net of management fees.

Asset Distribution

P

Canada Life/Merrion Managed Fund %

iShares MSCI Emerging Markets 4.4

iShares MSCI World 3.4

Financial Select Sector SPDR 1.5

Ultra S&P500 ProShares 1.3

BP 1.3

iShares MSCI Japan 1.2

iShares MSCI Pacific ex Japan 1.2

Siemens 1.1

Microsoft 1.1

CRH 1.1

6.85.8

9.5

11.4

-2.7-3.8

35

Pension Funds

36

Canada Life / Setanta Pension Unitised With Profits Fund Quarter 4, 2010

Fund Description



Year Pension

95 – 96 9.0%

96 – 97 9.0%

97 – 98 9.0%

98 – 99 9.0%

99 – 00 8.0%

00 – 01 7.0%

01 – 02 6.25%

02 – 03 5.25%

03 – 04 3.75%

04 – 05 3.0%

05 – 06 3.0%

06 – 07 3.0%

07 - 08 3.0%

08 - 09 2.75%

09 - 10 1.0%

10 - 11 0.0%

Top 10 Holdings Annual Bonus History

Bonus rates are declared net of management charges

At maturity a terminal bonus may be applied if the underlying assets have outperformed the declared bonuses.

The With-Profits Fund is a low-risk fund.

The Unitised With Profits Fund (UWP) operates like a unit-linked fund, except that investment return to policyholders is smoothed and guaranteed not to fall.

Returns are distributed in the form of a bonus rate declared by Canada Life based on various factors including the performance of the underlying assets.

Returns are smoothed to the investor in that the bonus rate will endeavour to reflect the performance of the assets over the long term, allowing the investor to avoid short-term volatility in the markets.


P

Company Sector %





BP Energy 1.6


Total Energy 1.6




37

Canada Life / Setanta Pension Balanced Dividend Fund Quarter 4, 2010

Fund Description





Performance Source: Moneymate & Bloomberg (Benchmark).

P

★ dividend must be less than 80% of earnings★ company debt must be ‘investment grade‘ (if rated)★ company gearing below 100%.


The maximum exposure to currencies other than the euro is capped at 10% of the value of the fund. The Balanced Dividend Fund is managed by Setanta Asset Management Limited (“Setanta“) .

The Balanced Dividend Fund is an actively managed balanced fund investing 66% in equities and 34% in fixed interest securities. The equity portion of the fund aims to hold c. 40 stocks that pay above average dividends. The fixed interest portion of the fund invests in EU government bonds.

The fund does not target high dividend payers indiscriminately for the equity securities; a set of desired criteria is applied when filtering potential candidates for the fund. The desired criteria are:

★ dividend yield 20% in excess of the MSCI World Index★ no cut in dividend in the last 5 years★ market capitalisation of at least ®500m (excluding Irish stocks)


Dividend Yield 3.8%

P/E Ratio 12.9xSource: Bloomberg & individual company reports. These figures are based on last years dividend in some cases. The gross yield is before any withholding taxes on the individual shares. It is also before taking account of any exit tax that may apply.

Company Sector %

BP Energy 3.7










1.7

4.0 4.2

8.6

7.0

-5.3

2.4

0.5

38

Canada Life / Setanta Pension Global Equity Fund Quarter 4, 2010

Fund Description






P

The Global Equity Fund is an actively managed equity portfolio, which holds c. 100-140 global stocks. The investment objective of the Global Equity Fund is to secure long-term capital growth by investing in a range of Irish and international equities.

The fund is managed by Setanta Asset Management Limited (“Setanta“). The fund is the cornerstone of Setanta‘s investment process. Setanta is a value investor in quality companies and builds the portfolio from the bottom up. Stocks are picked within a global sector framework, with an emphasis on the following key characteristics:


Company Sector %





BP Energy 1.7

Total Energy 1.7





-0.2

8.2

10.9

14.8

19.5

-1.4-2.1

0.9

-1.2

0.7

39

Canada Life / Setanta Pension Equity Dividend Fund Quarter 4, 2010

Fund Description






P

12.1

6.7

4.2

7.0

-1.6

-5.3

0.6 0.5

★ company debt must be ‘investment grade‘ (if rated)★ company gearing below 100%.


The maximum exposure to currencies other than the euro is capped at 10% of the value of the fund. The Equity Dividend Fund is managed by Setanta Asset Management Limited (“Setanta“) .

The Equity Dividend Fund is an actively managed equity portfolio which aims to hold c. 40 stocks that pay above average dividends. The fund does not target high dividend payers indiscriminately; a set of desired criteria is applied when filtering potential candidates for the fund. The desired criteria are:

★ dividend yield 20% in excess of the MSCI World Index★ no cut in dividend in the last five years★ market capitalisation of at least ®500m (excluding Irish stocks)★ dividend must be less than 80% of earnings


Dividend Yield 3.8%

P/E Ratio 12.9xSource: Bloomberg & individual company reports. These figures are based on last years dividend in some cases. The gross yield is before any withholding taxes on the individual shares. It is also before taking account of any exit tax that may apply.

Company Sector %

BP Energy 3.7










40

Canada Life / Setanta Pension Focus 15 Fund Quarter 4, 2010

Fund Description



Fund Holdings Fund Performance to 31/12/10



P


Clearly, Focus 15 is likely to be more volatile than more broadly-based funds; it is therefore only suitable for those investors with experience of the stock market.

The Focus 15 Fund is an actively managed, concentrated equity portfolio, which holds c. 15 international (ex-Ireland) stocks. The Focus 15 Fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies. Setanta builds the portfolio from the bottom up, using the stocks researched by the sector specialists, who apply the following key characteristics:


Company Sector %

MI Developments Financials 9.1


Tidewater Energy 8.1


Astellas Pharmaceutical Healthcare 7.2


Steris Healthcare 6.6

NTT Docomo Telecoms/Utilities 6.4


Total Energy 6.2

Toyota Motor Consumer Discretionary 6.1

Sysco Consumer Staples 5.8


OPAP Consumer Discretionary 3.9

Belgacom Telecoms/Utilities 3.7

Cash 4.7

13.210.9

27.3

19.5

-2.1

6.2

-0.2

5.4

-1.2-0.8

41

Canada Life / Setanta Pension Irish Equity Fund Quarter 4, 2010

Fund Description




Equity Sectoral DistributionAsset Distribution

Performance Source: Unit prices from CLFIS UK Limited (Fund), MSCI (90% local, 10% Euro) & Bloomberg (Benchmark). Setanta fund returns are shown net of management charges. Valuation Statistics Source: Style Research. Performance is net of management fees.

P


The Irish Equity Fund is a relatively concentrated equity fund with exposure to stocks from only one country and is likely to be more volatile than more broadly-based funds.

The Irish Equity Fund is an actively managed equity portfolio which aims to hold stocks quoted on the Irish stock exchange. The fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies. Setanta builds the portfolio from the bottom up, picking stocks within a sector framework, with an emphasis on the following key characteristics:


Company Sector %



Kingspan Industrials/Materials 9.1

Dragon Oil Energy 7.8

Irish Continental Industrials/Materials 7.6

Total Produce Consumer Staples 7.6

Abbey Industrials/Materials 7.0

Ryanair Industrials/Materials 6.8

Kerry Group Consumer Staples 6.3

Grafton Group Industrials/Materials 6.3

13.4

8.0

19.6

-0.1

-10.0

-23.2

-4.7

-14.9

42

Canada Life / Setanta Pension Managed Fund Quarter 4, 2010

Fund Description





Performance Source: Mercer Managed Fund Survey.

P


The investment objective of the Pension Managed Fund is to secure long-term capital growth. The fund seeks to achieve its objective by investing primarily in a range of Irish and international equities and bonds. The fund will hold between 50-80% of its assets in equities with the balance consisting of bonds, property and cash

The fund is managed by Setanta Asset Management Limited (“Setanta“). Setanta is a value investor in quality companies. Setanta builds the portfolio from the bottom up, picking stocks within a global sector framework, with an emphasis on the following key characteristics:

Company Sector %






BP Energy 1.3

Svenska Cellulosa Industrials/Materials 1.2

Total Energy 1.2



3.9

5.9

8.9

11.3

-1.7

-3.9

0.4

1.7

-1.0

1.2

43

Canada Life / Setanta Passive Equity Fund Quarter 4, 2010

Fund Description




This fund invests in the shares of a large number of companies from around the world. The companies are chosen simply by reference to their size. There is no attempt to select the “winners”/avoid the “losers”, hence the description “passive”. Effectively the fund owns a slice of most of the companies quoted on the world’s major stock markets and its value will rise and fall in line with world share prices.

Company Sector %


Apple Information Technology 1.2


Nestle Consumer Staples 0.8

General Electric Industrials/Materials 0.8

IBM Information Technology 0.8

Chevron Industrials/Materials 0.8

Procter & Gamble Consumer Staples 0.8

HSBC Financials 0.7

AT&T Telecoms/Utilities 0.7

Top 10 Holdings


P


-2.9

11.110.0

18.1 18.4

-2.8

0.0

-1.2

44

Canada Life / Setanta Pension Property Fund Quarter 4, 2010

Fund Description



The Property Fund is suitable for investors who wish to gain investment exposure to the commercial property sector. Investors should understand that property investment is by its nature less liquid than other asset classes.

Sample Property Holdings Fund Performance to 31/12/10

This fund invests in commercial properties - office, retail and warehousing. The fund is characterised by the quality of the property that makes up the portfolio and the tenants that occupy these properties.

Currently, all of the properties are located in Ireland.

OFFICE

Block C, Earlsfort Centre

Tenant - Office of Public Works


RETAIL

45/46 Patrick Street, Cork

Tenant - C&J Clarke International


INDUSTRIAL/WAREHOUSE

Swords Business Campus

Tenants - Air France, Client Logic, Eastern Health Board


Source: Moneymate

Geographic DistributionAsset Distribution Equity Sectoral Distribution

P

-7.6

0.11.3

-2.8

0.8

-1.4

3.7

-22.1

-18.0

-9.4

45

Canada Life Pension Consensus Fund Quarter 4, 2010

Fund Description



The stock selection within each market is index stock selection which means the weighting in each stock represented within the relevant index is replicated.

The Consensus Fund is a medium-risk fund.


The investment objective of the Consensus Fund is to secure long-term capital growth. The fund is designed to eliminate individual manager selection risk while achieving average managed fund returns over the long term.

It seeks to achieve its objective by investing in accordance with the average asset distribution of Irish Investment Managers Group Pension Managed Funds.


Asset Distribution

Source: Moneymate & Mercer Pooled Fund Survey (Benchmark).

P

-4.1-4.7

-0.8-1.6

1.00.2

11.411.5

5.96.0

46

Canada Life Quadrivium Fund Quarter 4, 2010

Fund Description



Fund Composition

The investment objective of the Canada Life Quadrivium Fund is to secure long-term capital growth.

The fund seeks to achieve its objective by investing in four different asset classes – equities, bonds, property and commodities. By investing in Quadrivium investors can gain access to a diversified portfolio invested across these four asset classes. The fund provides exposure to international shares, Irish & European commercial property, commodities and fixed interest assets, all within one fund.

Asset Distribution

The Quadrivium Fund invests in the following four asset classes:

High-Yield EquitiesThe Canada Life Dividend Fund is an equity fund that specifically targets stable blue chip quality companies with the ability to pay consistently strong dividends. The Dividend Fund is a pure equity portfolio of actively managed companies with an average of 40 holdings.

PropertyIrish Commercial PropertyThe Canada Life Property Fund invests in a range of commercial properties. The fund is currently fully invested in Irish commercial properties but will seek opportunities outside Ireland where appropriate. The fund is managed by a team of property specialists at Canada Life European Real Estate, who have over 20 years of property experience and manage over €1.7 billion in property assets.

European PropertyThe Canada Life/Morgan Stanley European Property Fund invests in a professionally managed portfolio of European property companies, and is managed by a team of property experts at Morgan Stanley with over 40 years of collective experience of real estate markets. The fund invests in quoted European property companies through buying real estate securities. Real Estate securities are indirect investments in property whose long-term returns depend on the underlying real estate market.

CommoditiesThe commodities allocation in the Quadrivium fund invests in an Exchange Traded Fund (ETF) issued by ETF Securities. The ETFs All Commodities DJ-AIGCI is designed to track the Dow Jones-AIG Commodity sub-index. The Dow Jones-AIG Commodity sub-index invests in a broadly diversified index that allows investors to track commodity futures returns through a single fund. No related group of commodities (e.g energy, precious metals, livestock or grains) may constitute more than 33% of the index and no single commodity may constitute less than 2% or more than 15% of the index. Commodities tend to behave differently to all other asset classes and for this reason are used as a good diversifier in multi-asset portfolios. The ETFs are issued by ETF Securities. ETF Securities invest the assets backing the ETF with AIG.

Fixed InterestThe Canada Life Fixed Interest Fund invests in government gilts predominantly from eurozone countries. Gilts, or bonds are essentially a form of debt. Governments and large corporations use them to raise money for capital expenditure.

Fund Performance

Source: Moneymate. Performance is net of management fees.This fund was launched on 22/10/07

5.2 5.4

10.2

13.3 12.812.2

-2.8

-4.8

P

Asset Class CurrentAllocation

Expected Range

Dividend Fund 44.7% 20% - 50%

Irish Property 9.4% 10% - 25%

Morgan Stanley Euro Property Fund 20.0% 10% - 25%

Commodities 16.7% 0% - 25%

Fixed Interest 9.2% 0% - 25%

47

Canada Life / Setanta Pension Fixed Interest Fund Quarter 4, 2010

Fund Description




P

Asset Distribution Country Weighting Strategy

The fund has a minimum ‘A‘ credit rating investment level for individual securities. The minimum average credit rating for the full portfolio is ‘AA‘. The duration of the portfolio can be between +/- two years of the index.

Returns are likely to be modest and can be negative. However, they are significantly less volatile than equity returns.

The Fixed Interest Fund invests predominantly in eurozone government bonds. It may also hold corporate bonds and bonds from non-eurozone countries. The fund is managed by Setanta Asset Management Limited (“Setanta“).

Setanta‘s general philosophy in relation to fixed income is that performance in bond markets is primarily driven by the directional (duration) calls and yield curve positioning. The fund takes relatively small currency or credit risk.


Duration: Short of benchmark duration. Curve: Yield curve should flatten curve over the next year with a change in interest rate cycle.

Intramarket: Reduce overweight in peripheral markets, targeting core agency spreads.

Inflation: Inflation data may start to surprise, look to add inflation linked bonds as insurance.

Credit: Exposure to government guaranteed debt, covered bonds and agency debt to add yield but with little additional credit risk.

Currency: Strong performance in the Scandi currencies over the year, look to take profit. Position in Polish Zloty on valuation grounds and leveraged to German growth.

Company Country %

Depfa ACS Bank Ireland 4.7


Netherlands Government Netherlands 3.5

EBS Mortgage Finance Ireland 3.3

Irish Life & Permanent Ireland 3.2

Caisse D’Amort Dette Soc France 3.2

Treasury 5% 2020 Ireland 3.1


Treasury 4.6% 2016 Ireland 2.6

Landswirtsch. Rentenbank Greece 2.6 -5.9 -5.7

-3.1

0.9

2.7

5.1

1.3

2.7

48

Canada Life / Setanta Pension Cash Fund Quarter 4, 2010

Fund Description



The Cash Fund seeks to provide modest returns in exchange for relative capital security. The fund may invest in:

i) Euro denominated short-dated term deposits with banks and/or eligible credit institutions on Canada Life‘s approved short-term borrowers list which have a minimum credit rating of P-1 and which are authorised to carry on a banking business in the State under Section 9 of the Central Bank Act, 1971 and/or

(ii) Euro denominated bonds issued by governments or corporates subject to a minimum average credit rating of

Counterparty Exposure

P

individual securities of ‘A‘ and for the portfolio an average rating of ‘AA‘.

The maximum average duration of the fund is 4.5 months, and the maximum duration of any one asset is one year. The fund has a diversified exposure, with no more than 30% credit exposure to any one entity.

The fund is actively managed and consideration is given to the underlying credit worthiness of the financial institution, the return and the tenure of the deposit.

Fund Commentary


Counterparty exposures (G) are covered by the Irish Government guarantee. Other counterparty/credit exposures are covered by either other European National Government Guarantees or have individually strong credit ratings.

Issuer % of Fund

National Irish Bank 20.8

Ulster Bank 15.4

Allied Irish Bank (G) 10.9

ACC Bank 10.0

BNP 8.9

French Treasury Bill 6.6

KBC Bank Ireland 6.1

Irish Life & Permanent (G) 6.0

Dutch Treasury Bill 3.3


Issuer % of Fund

German Treasury Bill 3.3

Bank of Ireland (G) 2.3

EBS Building Society (G) 1.7

European Investment Bank 1.6

SPGB 1.2

SGLT 1.0

KFW Bank 0.6

Cash 0.4

2.6

0.8

0.20.1

0.2

1.7

2.9

2.2

The European Central Bank (ECB) left its main refinancing rate (refi) at 1% in line with market expectations. This is expected to remain unchanged during 2011. EONIA (overnight rate) averaged 0.58% over the quarter while 3m Euribor averaged just over 1%, showing signs of normalization back to the main refinancing rate. Liquidity in the euro system remained plentiful and this is keeping EONIA at low levels in relation to the main refinancing rate.

The final quarter of the year saw a couple of key announcements from the ECB. Namely there will be an extension of the full allotment in open market operations. At the moment full allotment will remain in place in the first quarter of 2011, with a further announcement on this expected at the ECB March meeting.

There was also a tightening of collateral at the ECB, a sign they are becoming concerned with the quality of collateral they are holding. This will increase the haircuts applied to lower quality or illiquid collateral meaning that banks will need to provide more collateral to secure funds.

The main development of the quarter was the ECB becoming vocal about their worries on how banks, mainly in peripheral countries, have become “addicted” to using the ECB lending facilities for liquidity. As stated above the ECB did extend full allotment into 2011, but this was agreed by consensus and not unanimously, despite the worsening sovereign debt crisis, a clear sign the ECB are intent on returning to normal market conditions as soon as they can.

However, there is no easy solution to this problem as these banks can’t fund themselves elsewhere and are using ECB as a lender of last resort. Full allotment will keep excess liquidity in the system, thus overnight rates will remain below the main refinancing rate.

In the quarter, the Fund reduced its exposure to Irish banks and has increased its exposure to short-dated government or government backed bonds.

49


CL SEI Global Balanced Fund


The SEI Global Balanced Fund aims to provide long term growth of capital with a moderate level of income by investing in a range of SEI multi-manager equity and fixed income funds. The fund is a globally diversified fund with approximately 70% invested in top tier equity funds and the remaining 30% invested in top tier fixed income funds.

Top 10 Holdings %

Fund Performance

Asset Allocation

Equities 70%

US Large Cap 28.00

Global Developed Markets 14.00

Europe Ex-UK 10.00

UK 6.00

Japan 5.00

Pacific Basin Ex-Japan 3.50

Emerging Markets 3.50

Fixed Income 30%

Global 15.00

Global Opportunistic 15.00

Total 100%

List of Managers %

US Large Companies Equities 28.00


Aronson, Johnson, Ortiz 4.20




Legg Mason - Core Equity 1.96




Global Developed Markets Equities 14.00


Tradewinds 1.12


Janus Capital Group 2.80

Principal Global Investors 4.48


Wellington Managament Co. Int. Value 2.80

Europe Ex-UK Equities 10.00


BlackRock International 2.20



UK Equities 6.00

Jupiter Investment Managers 0.18

Invesco Quantatitive Strategies 1.20


L.A. Capital Management 1.50



Japanese Equities 5.00





Pacific Basin Ex-Japan Equities 3.50



Lloyd George Investment Management 1.23

Maple-Brown Abbott Limited 0.53

Emerging Markets Equities 3.50

Alliance Bernstein 0.53




Rexiter Capital Management 0.53


Fixed Income Managers %

P


6.9% 14.5% 17.3% -1.8% -2.1%

Apple 1.47

Microsoft Corp. 1.15

JPMorgan Chase 1.07

Wells Fargo 1.06

Qualcomm 1.05

Cisco Systems 1.01

Chevron 0.92

AT&T 0.79


ConocoPhillips 0.70

Total 9.99


UBS Currency 12.75

DB Advisors 3.06



Wellington GRV 3.78

TCW Group 3.33

50


CL SEI Global Developed Markets Equity Fund


The investment objective of the Global Developed Markets Equity Fund is to achieve capital appreciation by investing primarily in equity securities of issuers located in developed countries. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI World Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %




10.6% 18.3% 19.7% -8.2% -8.3%

Financials 15.3

Industrials 14.3



Energy 10.0

Healthcare 9.8

Materials 9.8


Telecoms 5.4

Utilities 3.3

Intech Investment Management 17.5

Janus Capital Management 16.5

Principle Global Investors 15.5

Tradewinds Global Investors 12.4

Wellington Management Company International Value 17.5

SEI Investments Management 20.6

Fund Total 100.00






Microsoft 1.2

General Electric 1.1

Exxon 1.0

Pfizer 1.0

HSBC 0.8

Newmont Mining Corp. 0.8

Apple 0.8

Cisco Systems 0.8

Wal-Mart Stores 0.7

Merck & Co. 0.7

Total 8.9

United States 45.3

Japan 10.1

United Kingdom 10.0

Canada 4.8

Germany 3.5

Switzerland 3.5

France 3.4

Brazil 1.9

Australia 1.6

Sweden 1.5

Other 14.5

51


CL SEI European (Ex-UK) Equity Fund


The fund aims to achieve long-term capital growth and income by investing in a broadly diversified portfolio of European equity securities. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI Europe EX-UK index

Top 10 Holdings %


Underlying Managers

Fund Performance

P

Sector Weighting %



8.4% 9.6% 17.9% -9.0% -6.2%

France 26.8

Germany 20.2

Switzerland 12.9

Italy 7.6

Sweden 7.0

Netherlands 5.9

Spain 3.7

Norway 3.6

Denmark 3.3

Finland 2.6

Other 6.5

Industrials 21.0


Financials 15.6


Materials 9.3

Healthcare 8.0


Energy 4.3

Telecoms 3.6

Utilities 1.9


Metropole Gestion 17.4



Fund Total 100.00






BNP Paribas 2.4

Compagnie Financiere Richemont 1.9

Novartis 1.6

Sanofi-Aventis 1.6

BASF 1.5

Daimler 1.4

Total 1.3

SAP 1.2

Heineken 1.2

Nestle 1.1

Total 15.1

52


CL SEI US Equity Fund


The SEI US Large Companies Fund aims to provide long-term capital growth and income by investing primarily in a broadly diversified portfolio of US equity securities of large companies. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

Russell 1000 Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %



11.7% 18.8% 18.3% -2.3% -3.5%


Financials 15.9

Healthcare 14.3


Industrials 10.0

Energy 9.3


Utilities 3.4

Materials 2.9

Telecoms 2.6

Brown Investment Advisory 10.2

Aronson, Johnson & Ortiz 16.3



Legg Mason - Value Equity 8.2




WestEnd Advisors 6.1

Fund Total 100.00






Apple 2.5

JPMorgan Chase 1.8

Wells Fargo & Co. 1.8

Microsoft 1.7

Qualcomm 1.6

Chevron 1.6

Cisco Systems 1.3


Texas Instruments Incorporated 1.2

Conocophillips 1.2

Total 16.1

53


CL SEI UK Equity Fund


The SEI UK Equity Fund aims to achieve long-term capital growth and income by investing primarily in a broadly diversified portfolio of UK equity securities. Following a manager-of managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

FTSE All Share Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %



7.8% 16.1% 25.9% -6.5% -8.1%

Financials 19.1

Industrials 14.7


Materials 12.5

Energy 12.2


Healthcare 6.8

Telecoms 4.6


Utilities 2.2

Invesco Asset Management 19.4


Jupiter Asset Management 20.4

LA Capital Magaement 17.9



Fund Total 100.00






Vodafone 3.6

Rio Tinto 3.5

BP 2.9

Glaxosmithkline 2.8

BHP Billiton 2.6

Royal Dutch Shell (Cl B) 2.5

HSBC 2.5

Astrazeneca 2.4

British American Tobacco 2.2

BG Group 1.8

Total 26.8

54


CL SEI Pacific Basin (Ex-Japan) Equity Fund


The SEI Pacific Basin (ex-Japan) Equity Fund aims to achieve long-term growth of capital and income by investing primarily in a broadly diversified portfolio of Pacific Basin (ex-Japan) equity securities. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI Pacific ex Japan Index

Top 10 Holdings %


Underlying Managers

Fund Performance

P

Sector Weighting %



9.7% 21.5% 38.8% 2.5% 4.8%

Australia 56.1

Hong Kong 23.8

Singapore 8.9

China 4.0

United Kingdom 2.3

Korea 2.1

Taiwan 1.8

Thailand 0.5

Malaysia 0.3

New Zealand 0.2

Financials 42.9

Materials 15.1

Industrials 9.9



Energy 5.7


Telecoms 3.3

Healthcare 2.4

Utilities 1.2


Lloyd George Investment Managers 40.00

Maple Brown Abbott 32.00

Fund Total 100.00






BHP Billiton 7.5

Australia & New Zealand Banking Group 4.2

Wespac Banking 4.1

National Australia Bank 4.0

Rio Tinto 3.6

DBS Group Holdings 3.1

Commonwealth Bank of Australia 2.3

Wesfarmers 2.1

Telstra 2.0

Sun Hung Kai Properties 1.9

Total 34.7

55


CL SEI Japan Equity Fund


The investment objective of the SEI Japan Equity Fund is to achieve long-term growth of capital and income by investing primarily in a broadly diversified portfolio of Japanese equity securities. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

TOPIX

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Sector Weighting %



15.9% 27.2% 10.0% -5.6% -7.7%

Industrials 21.9


Financials 16.9


Materials 7.8

Healthcare 6.4

Telecoms 4.5


Utilities 3.0

Energy 2.5


Analytic Investors 20.4



Fund Total 100.00






Sumitomo Mitsui Financial Group 2.5

Toyota 2.4

Nissan 1.9

Nippon Telegraph & Telephone Corp. 1.9

Mizuho Financial Group 1.6

Sumitomo 1.5

Takeda Pharmaceutical 1.4

Softbank 1.4

Marubeni 1.4

JX Holdings 1.3

Total 17.2

56


CL SEI Emerging Markets Equity Fund


The SEI Emerging Markets Equity Fund aims to achieve capital appreciation by investing primarily in securities of emerging market issuers. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

MSCI Emerging Markets Index

Top 10 Holdings %


Underlying Managers

Fund Performance

P

Sector Weighting %



8.5% 24.0% 42.8% 1.1% 4.7%

Samsung Electronics 3.1

China Mobile 1.4

Taiwan Semicon. Man. 1.3

MTN Group 1.2

Petrobras Petroleo Brasileiro (ORD) 1.2

Gazprom 1.2

Cia Vale Do Rio Doce Ord 0.9

Petrobras Petroleo Brasileiro 0.9

HTC 0.7

Pacific Rubiales Energy 0.7

Total 12.6

Brazil 16.7

China 16.4

Korea 11.8

Taiwan 10.4

India 7.8

South Africa 7.5

Russia 6.2

Mexico 3.5

Indonesia 2.8

Turkey 2.6

Other 14.4

Financials 22.0


Energy 13.0

Materials 12.9


Telecoms 8.5

Industrials 7.8


Healthcare 3.0

Utilities 2.4


JO Hambro Capital Management 6.1

Lazard Asset Management 14.3




Fund Total 100.00






57


CL SEI Global Fixed Income Fund


The SEI Global Fixed Income Fund aims to generate current income and exhibit principal volatility similar to that of the global developed fixed income market as a whole. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers

Fund Benchmark

Lehman Global Aggregate Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Quality Allocation %

Quality Exposure %



-2.3% 4.4% 6.0% 1.2% 0.9%

Treasury 82.71

Agency 7.57

Credit 6.90

Cash 2.51

Collateralized 0.31

AllianceBernstein 32.00


UBS Global Asset Management 16.00


Fund Total 100.00


Aa 33.04

A 5.05

Baa 4.34

Ba and below 3.37

Japan-86 0.6% 09/20/14 /JPY/ 2.04

Japan-112 2.1% 06/20/29 /JPY/ 1.82

Japan-113 2.1% 09/20/29 /JPY/ 1.66

US Treas NTS 3.5% 05/15/20 1.51

US Treas NTS 3.125% 05/15/19 1.47

Japan-79 0.7% 12/20/13 /JPY/ 1.39


European IN 3.875% 10/15/16/EUR 1.27

Japan-304 1.3% 09/20/19 /JPY/ 1.26

United States TR 2% 02/28/15_ 1.22

Total 15.00

Euro 26.03

USA 24.98

Japan 24.08

UK 7.25

Canada 3.72

Other 13.94

58


CL SEI Global Opportunistic Fixed Income Fund


The SEI Global Opportunistic Fixed Income Fund aims to generate current income consistent with the preservation of capital by investing primarily in global fixed income markets. Following a manager-of-managers approach, the fund’s assets are diversified across specialist sub-advisers.

Fund Benchmark

Lehman Global Aggregate Hedged Index

Top 10 Holdings %

Underlying Managers

Fund Performance

P

Market Value Weighting %

Quality Exposure %



-1.1% 5.8% 9.4% 3.2% 2.9%

Collateralized 39.19

Credit 34.78

Agency 16.00

Treasury 10.32

Cash -0.29

DB Advisors 20.20



TCW Investment Management Company 25.38


Fund Total 100.00


Aa 13.91

A 17.57

Baa 11.72

Ba and below 2.93

FGLMC PA90761 4.50% 01/01/40 2.52

Freddie Mac Gold Pool 1.17

US Treas NTS 2.5% 01/31/15 1.02

FNMA PMA0023 5.00% 04/01/29 0.82

US T Bill ZCP 02/24/11 0.78

FGLMC PG12491 5.00% 01/01/22 0.75

Federal NATL MTG ASSN FR 2.625% 112014 0.73

US Treas NTS 3.625% 02/15/20 0.70

FNMA PAD0470 5.00% 02/01/49 0.69


Total 9.79

Euro 26.1

UK 6.55

Japan 2.31

Canada 2.30

USA 60.79

Other 1.95

59

Canada Life / Morgan Stanley Pension European Property Fund Quarter 4, 2010

Fund Description

Important Information:This fact sheet does not form part of any contract. The information contained in this document is based on current legislation and is, therefore, subject to change. The contents are intended as a guideline only and should not be construed as an interpretation of the law. For full details of all our products, please refer to the specific product policy conditions. You should always seek advice of an appropriately qualified professional. Canada Life Assurance (Ireland) Limited is regulated by the Central Bank of Ireland.

provides a highly efficient and cost-effective way of gaining such exposure. As an asset class, real estate can provide important advantages to investors: historically low volatility relative to equities, attractive returns and a low correlation to other asset classes.


The Canada Life/Morgan Stanley European Property Fund allows investors to access the potential returns available from the European commercial property market in one diversified fund. The fund invests in a professionally managed portfolio of European property companies and is managed by a team of property experts at Morgan Stanley with over 40 years of collective experience of real estate markets.

Real estate securities are indirect investments in property whose long-term returns depend on the underlying real estate market. Broad geographic and sector diversification would be prohibitively expensive for a direct real estate investor. However, an indirect real estate portfolio structure

Q4 2010 1.7%

1 Year 11.8%

2 Year p.a 22.7%

3 Year p.a -9.0%

Warning: Past performance is not a reliable guide to future performance. The value of your investment may go down as well as up. The Canada Life/Morgan Stanley European Property Fund was launched on 30/7/07.



P

Company %

Unibail-Rodamco SE 9.95

Land Securities PLC 5.74

Klepierre 5.25

PSP Swiss Property AG 5.10

British Land Co. Ltd 4.93

Icade 4.78

Hammerson PLC 4.77

Beni Stabili SPA 3.19

Gecina 3.16

Corio NV 2.89

Total 49.76

60

Company %

SPDR Gold Trust 2.0

US Treasury Note (OTR) 3.5% 15 May 2020 2.0

US Treasury Note 2.625% 15 Aug 2013 1.5

Exxon Mobil 1.1

UK Conv Gilt 4.75 03/07/2020 1.1

Apple 1.0

US Treasury Note 2.625% 13 Dec 2014 0.9

Brazil 10.0% 1 Jan 2021 0.8

Microsoft 0.8

US Treasury Note 2.375% 28 Feb 2015 0.8

Canada Life / BlackRock Pension Managed Fund Quarter 4, 2010

Fund Description

Important Information:This fact sheet does not form part of any contract. The information contained in this document is based on current legislation and is, therefore, subject to change. The contents are intended as a guideline only and should not be construed as an interpretation of the law. For full details of all our products, please refer to the specific product policy conditions. You should always seek advice of an appropriately qualified professional. BlackRock Investment Management (UK) Limited is authorised and regulated by the Financial Services Authority. Canada Life Assurance (Ireland) Limited is regulated by the Central Bank of Ireland.



The Canada Life/Blackrock Pensions Managed Fund invests in both bonds and equities worldwide. The fund follows an asset allocation policy, which seeks to maximise returns while managing the risk in euro terms. The Canada Life/Blackrock Pensions Managed Fund invests 100% in theBlackrock Global Allocation Fund, which is run by Blackrock Investment Managers. Blackrock Investment Managers is one of the world’s largest investment management organisations.

Equity Sectoral DistributionRegional DistributionAsset Distribution

P

The Global Allocation Fund seeks to maximise total return. The fund invests globally in equity, debt, and short-term securities of both corporate and governmental issuers, with no prescribed limits. The fund generally will seek to invest in securities that are, in the opinion of the investment advisor, undervalued. The fund may also invest in the equity securities of small and emerging growth companies. The fund may also invest a portion of its debt portfolio in high-yield fixed income transferable securities. Currency exposure is flexibly managed.

11.4

0.2

-4.1

4.7

-0.8

4.65.9

7.4

61

Canada Life / Merrion Managed Fund Quarter 4, 2010

Fund Description

Important Information:This fact sheet does not form part of any contract. The information contained in this document is based on current legislation and is, therefore, subject to change. The contents are intended as a guideline only and should not be construed as an interpretation of the law. For full details of all our products, please refer to the specific product policy conditions. You should always seek advice of an appropriately qualified professional. Merrion Capital Investment Managers Limited (trading as Merrion Investment Managers) is regulated by the Central Bank of Ireland. Canada Life Assurance (Ireland) Limited is regulated by the Central Bank of Ireland.




The Canada Life/Merrion Managed Fund was launched on 1/10/07. Source: Merrion & Mercer Pooled Fund Survey. Performance is net of management fees.

P

Canada Life/Merrion Managed Fund %

iShares MSCI Emerging Markets 4.4

iShares MSCI World 3.4

Financial Select Sector SPDR 1.5

Ultra S&P500 ProShares 1.3

BP 1.3

iShares MSCI Japan 1.2

iShares MSCI Pacific ex Japan 1.2

Siemens 1.1

Microsoft 1.1

CRH 1.1

The Canada Life/Merrion Managed Fund is managed by Merrion Investment Managers. The fund is designed to provide balanced long term growth by actively managing the distribution of the portfolio between cash, bonds, equities and property according to economic conditions.

The fund maintains an average market weight in property through its exposure to Canada Life’s Property Fund while the remainder of the fund is invested in Merrion Investment Managers’ Managed Fund thus providing broad diversificationin quality equities, bonds, property and cash.

6.95.9

10.111.4

-2.3

-4.1

62

Life Investment Funds (Gross Tax Basis)

December 2010 Fund Performance as of 31/12/10

These funds relate only to unit linked investment policies that commenced after 01/01/2001.

Life Investment Funds (Net Tax Basis)

Name 1 Month 3 Month 1 Year 3 yr p.a. 5 yr p.a. 7 yr p.a. 10 yr p.a.

Canada Life/Setanta Life UWP Fund 0.00% 0.00% 0.01% 0.26% 0.56% 0.72% 1.88%

Canada Life/SEI US Equity Fund 2.54% 11.73% 18.27% -2.65% -- -- --

Canada Life/SEI UK Equity Fund 4.58% 7.50% 15.48% -6.94% -- -- --

Canada Life/SEI Pacific Basin Equity Fund 3.49% 9.59% 20.97% 2.41% -- -- --

Canada Life/SEI Japan Equity Fund 5.15% 15.67% 26.64% -6.09% -- -- --

Canada Life/SEI Global Opportunistic Fixed Income Fund -0.62% -1.24% 5.29% 2.65% -- -- --

Canada Life/SEI Global Fixed Income Fund -0.57% -2.53% 3.90% 0.72% -- -- --

Canada Life/SEI Global Equity Fund 3.52% 10.50% 17.89% -8.52% -- -- --

Canada Life/SEI Global Balanced Fund 2.54% 7.01% 14.94% -0.97% -0.53% -- --

Canada Life/SEI European Equity Fund 6.05% 8.32% 9.05% -9.14% -- -- --

Canada Life/SEI Emerging Markets Equity Fund 2.92% 8.38% 23.59% 0.94% -- -- --

Canada Life Quadrivium Fund 4.99% 4.99% 9.33% -5.51% -- -- --

Canada Life/Morgan Stanley European Property Fund 7.39% 1.53% 11.19% -8.89% -- -- --

Canada Life/Merrion Managed Fund 4.87% 6.76% 9.47% -2.73% -- -- --

Canada Life/Setanta Equity Dividend Distributing Fund 6.18% 3.51% 6.54% -7.16% -4.79% -0.27% --

Canada Life/Setanta Equity Dividend Non Distributing Fund 6.12% 6.45% 11.23% -2.33% -0.13% 4.37% --

Canada Life/Setanta Balanced Dividend Non Distributing Fund 4.13% 3.86% 7.73% 1.03% 1.63% 4.38% --

Canada Life/Setanta Balanced Dividend Distributing Fund 4.17% 1.24% 3.42% -3.61% -2.80% -0.05% --

Canada Life/Setanta Strategic Growth Fund 2.96% 3.73% 8.21% -2.74% -0.98% 3.22% -0.10%

Canada Life Property Fund -0.34% -3.02% -2.06% -22.89% -10.18% -4.09% -0.66%

Canada Life/Setanta Irish Equity Fund 8.90% 13.38% 18.64% -10.78% -5.64% 0.96% 1.23%

Canada Life/Setanta Global Opportunity Fund 3.42% 8.01% 13.97% -2.09% 0.23% 4.80% -0.01%

Canada Life/Setanta Focus 15 Fund 6.20% 12.86% 25.98% 5.28% 4.38% 7.38% -1.73%

Canada Life/Setanta Fixed Interest Fund -0.12% -6.08% -3.81% 1.92% 0.47% 2.18% 2.98%

Canada Life/Setanta European Equity Fund 6.42% 7.84% 6.92% -4.47% -0.91% 4.43% -0.98%

Canada Life/Setanta Cash Fund 0.00% -0.14% -0.54% 1.00% 1.41% 1.18% 1.43%

Canada Life/Setanta Balanced Fund 1.58% 0.67% 5.13% -3.53% -1.61% 2.14% 0.59%

Name 1 Month 3 Month 1 Year 3 yr p.a. 5 yr p.a. 7 yr p.a. 10 yr p.a. 15 yr p.a.

Canada Life With Profit Fund 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.91% --

Canada Life Property Fund -0.23% -2.31% -2.21% -19.74% -8.16% -2.54% 0.02% 5.14%

Canada Life Pacific Equity Fund 3.42% 7.52% 22.96% 1.84% 5.91% 8.40% 5.26% 3.90%

Canada Life Money Fund 0.00% -0.05% -0.22% 1.06% 1.39% 1.20% 1.35% 1.77%

Canada Life Managed Fund 2.00% 3.68% 7.81% -2.03% -0.01% 3.19% 0.95% 5.08%

Canada Life Leading Companies Fund 2.73% 6.53% 12.01% -1.72% 0.27% 3.94% 0.22% 5.02%

Canada Life Irish Equity Fund 7.37% 11.11% 16.29% -8.78% -4.40% 1.43% 1.68% 6.08%

Canada Life International Equity Fund 2.91% 6.90% 13.08% -1.27% 0.71% 4.11% 0.08% 4.95%

Canada Life High Growth Managed Fund 2.73% 6.53% 12.07% -1.72% 0.26% 3.94% 0.22% 4.90%

Canada Life Growth Managed Fund 2.00% 3.68% 7.81% -2.03% -0.01% 3.19% 0.95% 5.07%

Canada Life Gilt Fund -0.08% -4.92% -2.67% 2.00% 0.69% 2.15% 2.80% 3.93%

Canada Life Gilt & Bond Fund -0.06% -4.92% -2.65% 2.00% 0.69% 2.15% 2.87% 4.01%

Canada Life Focus 15 Fund 5.05% 10.65% 21.38% 4.09% 3.38% 5.66% -1.34% --

Canada Life European Equity Fund 5.25% 6.48% 6.45% -3.61% -0.66% 3.46% -0.64% 5.02%

Canada Life Cash Fund 0.02% -0.02% -0.20% 1.06% 1.39% 1.21% 1.40% 1.81%

Canada Life BIAM Master Client Fund 2.82% 3.83% 7.38% -4.88% -2.27% 1.40% 0.61% 4.91%

Canada Life BIAM Managed Fund 2.81% 3.84% 7.37% -4.88% -2.27% 1.40% 0.61% 4.92%

Canada Life Balanced Equity Fund 2.73% 6.53% 12.11% -1.72% 0.26% 3.94% 0.22% 5.03%

63

Indices and Measures

December 2010 Fund Performance as of 31/12/10

All prices and performances are illustrated as at effective date 30th December 2010. Performance is illustrated on an offer-to-offer basis.

This document does not form part of any contract. E&OE. Canada Life Assurance (Ireland) Limited is regulated by the Central Bank of Ireland.

Warning: Past performance is not a reliable guide to future performance. The value of your investment may go down as well as up

Pension FundsName 1 Month 3 Month 1 Year 3 yr p.a. 5 yr p.a. 7 yr p.a. 10 yr p.a. 15 yr p.a.

Canada Life/Setanta MM Pension Overseas Fund 3.56% 8.54% 15.59% -0.38% 1.40% 5.41% -0.60% 5.74%

Canada Life/SEI US Equity Fund 2.60% 11.73% 18.77% -2.28% -- -- -- --

Canada Life/SEI UK Equity Fund 4.80% 7.84% 16.09% -6.51% -- -- -- --

Canada Life/SEI Pacific Basin Equity Fund 3.51% 9.67% 21.53% 2.52% -- -- -- --

Canada Life/SEI Japanese Equity Fund 5.21% 15.90% 27.16% -5.62% -- -- -- --

Canada Life/SEI Global Fixed Income Fund -0.57% -2.33% 4.38% 1.16% -- -- -- --

Canada Life/SEI Global Equity Fund 3.61% 10.63% 18.29% -8.17% -- -- -- --

Canada Life/SEI Global Balanced Fund 2.47% 6.88% 14.52% -1.79% -- -- -- --

Canada Life/SEI European Equity Fund 6.20% 8.44% 9.60% -8.96% -- -- -- --

Canada Life/SEI Emerging Markets Fund 2.87% 8.50% 24.04% 1.13% -- -- -- --

Canada Life Quadrivium Fund 5.11% 5.23% 10.21% -4.78% -- -- -- --

Canada Life/Morgan Stanley European Property Fund 7.42% 1.67% 11.77% -8.96% -- -- -- --

Canada Life/Merrion Managed Fund 4.79% 6.88% 10.06% -2.25% -- -- -- --

Canada Life/SEI Global Opportunistic Fixed Income Fund -0.53% -1.13% 5.78% 3.16%

Canada Life/Setanta With Profit Fund 0.00% 0.00% 0.24% 1.50% 2.09% 2.38% 3.26% 4.98%

Canada Life/Setanta Pension Money Fund 0.05% 0.08% 0.20% 1.74% 2.16% 1.93% 2.17% 2.79%

Canada Life/Setanta Pension Managed Fund 2.99% 3.91% 8.93% -1.72% 0.41% 4.49% 1.68% 6.32%

Canada Life/Setanta Pension Equity Fund 3.46% 8.19% 14.75% -1.39% 0.94% 5.57% 0.71% 6.16%

Canada Life/Setanta Pension Fixed Interest Fund -0.05% -5.91% -3.09% 2.73% 1.27% 2.96% 3.76% 5.24%

Canada Life/Setanta Consensus Fund 3.46% 6.03% 11.51% -4.72% -1.60% 2.93% 0.23% --

Canada Life/Setanta Pension Property Fund -0.33% -2.81% -1.37% -22.14% -9.39% -3.29% 0.14% 6.28%

Canada Life/Setanta Passive Equity Fund 3.83% 11.08% 18.05% -2.80% -1.17% 2.94% -- --

Canada Life/KBC Pension Managed Fund 3.29% 5.85% 11.36% -7.90% -2.47% 2.39% -0.84% --

Canada Life/Setanta Pension Focus 15 Fund 6.21% 13.15% 27.33% 6.20% 5.37% 8.42% -0.76% --

Canada Life/Setanta Equity Dividend Fund 6.20% 6.65% 12.14% -1.63% 0.62% 5.14% -- --

Canada Life/Setanta Balanced Dividend Fund 4.15% 4.02% 8.59% 1.74% 2.35% 5.12% -- --

Canada Life/Blackrock Pension Managed Fund 4.36% 4.60% 7.38% 0.21% 4.71% 6.28% -- --

Canada Life/BIAM Pension Managed Fund 3.80% 5.30% 9.99% -4.40% -2.37% 1.95% 0.63% 5.73%

Name 1 Month 3 Month 1 Year 3 yr p.a. 5 yr p.a. 7 yr p.a. 10 yr p.a. 15 yr p.a.

ISEQ Overall Return 7.11% 8.34% -4.01% -23.29% -15.11% -5.04% -4.18% 4.02%

Irish Inflation 0.00% 0.00% -0.16% -1.39% 1.05% 1.47% 2.14% 2.40%

FTSE 100 Share Index (TR) 6.62% 8.83% 12.97% 2.14% 4.82% 8.03% 3.21% 6.70%

DJ EURO STOXX(50) TR 4.54% 5.80% -2.76% -9.64% -1.92% 3.16% -2.53% 6.69%

S&P 500 TR 5.46% 12.27% 14.38% -1.25% 2.08% 4.04% 1.31% --

MSCI The World Index (Gross TR) 4.88% 10.14% 10.22% -3.36% 0.91% 4.79% 1.35% 5.74%

Japan NIKKEI 225 4.11% 10.84% -2.41% -10.88% -8.67% -0.38% -2.71% -4.46%

Hong K. Hang Seng Bank 1.80% 4.64% 8.46% -4.90% 9.26% 9.18% 4.50% 5.52%

64

Our Investment PartnersWe partner with only the best investment fund managers to provide a full range of investment options for our clients.

Setanta Asset ManagementSetanta Asset Management Limited (“Setanta”) is the primary asset manager for Canada Life in Ireland and other European countries. Setanta was established in Dublin in 1998 and has grown steadily since then, now managing €5.1bn (December 2010) in assets for the Great-West Lifeco Inc group of companies with clients in Ireland, Germany and Canada as well other third-party institutions.

Setanta specialises in active global equity management, investing in stocks on a fundamental basis, with a focus on value and quality. Setanta has an experienced investment team, who choose stocks within a global sector framework. The team has a strong track record in its core global equity style, and in other regional, country and specialist styles.

Setanta offers investment on a segregated and on a pooled basis. It is the investment manager for a range of unit-linked funds, which Canada Life policyholders in Ireland and Europe may invest in. In addition Setanta has a number of specialist mutual funds available for professional investors, offering a global equity, high-yield, covered call strategy, and a similar strategy which invests in companies which meet certain ethical restrictions.

www.setanta-asset.com

SEI Investments (SEI)In 2005, SEI partnered with Canada Life and together introduced the Manager-of-Managers concept in Ireland launching the SEI Manager-of-Manager Global Balanced Fund.

In 2006, Canada Life added another nine SEI Manager-of-Managers funds to our investment platform.

SEI Investments is a global leader in Manager-of-Managers with €129 billion (December 2010) under management worldwide. It is one of the world’s leading providers of multi manager investment products through their Manager-of-Managers offering, and has a strong track record of growth in Europe with a presence in the UK, Italy, Germany, The Netherlands and France.

The Manager-of-Managers concept is a sophisticated investment approach, which builds up a portfolio of the best specialist investment managers around the world, rather than a portfolio of individual stocks and bonds. The Manager-of-Managers, SEI, is responsible for the selection and performance of the investment managers.

Through this partnership, Canada Life can offer clients a greater chance of achieving more consistent long-term returns with controlled risk.

www.seic.com

Morgan StanleyMorgan Stanley Investment Management (MSIM) is a client-centric organisation dedicated to providing investment and risk-management solutions to investors worldwide. With over three decades of asset management experience, Morgan Stanley’s investment strategies span the risk/return spectrum across geographies, investment styles and asset classes, including equity, fixed income, alternatives and private markets. MSIM comprises a community of specialised investment boutiques, each with a unique talent pool of experienced investment professionals backed by the broad reach, access and resources of Morgan Stanley.

As of 30th September, 2010, MSIM had more than 740 investment professionals worldwide who managed and supervised US$265 billion in assets for institutional and intermediary investors around the globe. With 53 offices in 23 countries, Morgan Stanley is able to provide in-depth local knowledge and expertise while channelling the strengths of its global presence and resources to deliver targeted investment solutions.

www.morganstanley.com

Merrion Investment ManagersIn 2007, Canada Life announced the launch of the Canada Life/Merrion Managed fund and is delighted to welcome Merrion Investment Managers as a partner. Merrion Investment Managers, formerly Oppenheim Investment Managers, have built a reputation upon a proven approach to investment management that has delivered consistently strong performance - not only in years when markets have risen but also during periods when markets have fallen. Merrion Investment Managers’ focus is on controlling risk, while obtaining the maximum return available within the market.

Merrion Investment Managers’ only business is asset management meaning that they are totally focused on delivering exceptional investment returns to their clients.

www.merrion-investments.ie BlackRockBlackRock is one of the world’s preeminent asset management firms and a premier provider of global investment management, risk management and advisory services to institutional, intermediary and individual investors around the world. BlackRock offers a range of solutions - from rigorous fundamental and quantitative active management approaches aimed at maximizing outperformance to highly efficient indexing strategies designed to gain broad exposure to the world’s capital markets.

BlackRock is a truly global enterprise that combines the benefits of world-wide reach with localised service. Blackrock manages assets for clients in North and South America, Europe, Asia, Australia and the Middle East and Africa. Headquartered in New York, the firm employs more than 8,500 talented professionals and maintains offices in 24 countries around the world. Blackrock’s client base includes corporate, public, union and industry pension plans; insurance companies; third-party mutual funds; endowments; foundations; charities; corporations; official institutions; banks; and individuals worldwide.

As of 30th September, 2010, BlackRock’s assets under management total US$3.45 trillion across equity, fixed income, cash management, alternative investment, real estate and advisory strategies.

www.blackrock.co.uk

For further information on Canada Life investment products please contact:

Michael HayesInvestment Development Manager, Canada Life

Tel: 01 210 2757Email: [email protected]

This information is correct at the time of going to print. Canada Life Assurance (Ireland) Limited and The Canada Life Assurance Company are regulated by the Central Bank of Ireland.

Canada Life House, Temple Road, Blackrock, Co. Dublin.Tel: 01 210 2000 Fax: 01 210 2020 Web: www.canadalife.ie Email: [email protected]

investment edge q4 2010

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