PH&N Balanced Fund - Mutual Funds

1 Printed on September 19, 2018 2018. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete ortimely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. These pages are not complete without the Balanced FundInvestment ObjectiveTo provide long-term capital growth and income byinvesting primarily in a well-diversified, balancedportfolio of Canadian common stocks, bonds and moneymarket securities. This fund also holds a portion of itsassets in foreign common DetailsSeriesLoad StructureCurrencyFund CodeDNo LoadCADRBF1350 Inception DateSeptember 1991 Total fund Assets $Mil1, D NAV $ D MER % FTSE CanadaUniverse Bond Index30% S&P/TSX CappedComposite Total ReturnIndex26% MSCI World TotalReturn Net Index (CAD)4% MSCI EmergingMarkets Total Return NetIndex (CAD)2% FTSE Canada 30 DayTBill IndexIncome DistributionQuarterlyCapital Gains DistributionAnnuallySales StatusOpenMin.

2 Investment $500 Subsequent Investment $25 fund CategoryCanadian NeutralBalancedManagement CompanyRBC Global AssetManagement Analysisas of August 31, 2018 Asset Mix% StyleValueBlendGrowthLargeMidSmallStatis ticsP/B Mkt Cap. $ 5 Sectors% IncomeBreakdown%Govt. & Term tomaturity (Yrs) Duration(Yrs) to 10 Holdings% AssetsPH&N Bond Canadian Equity Underlying Global Equity Focus QUBE Global Equity Emerging Markets Equity Canadian Money Market % of Top 10 Number of Portfolio Holdings7 Total Number of Stock Holdings292 Total Number of Bond Holdings388 Total Number of Other Holdings181 Total Number of Underlying Holdings861 Performance Analysis as of August 31, 2018681012141618 Growth of $10,000 Series D$17, Returns %Series DFundQuartile1 Mth3 Mth6 Mth1 Yr3 Yr5 Yr10 YrSince Return % Quartile686675673658533433152 No.

3 Of Funds in CategoryPrinted on September 19, 2018 2018. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete ortimely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. These pages are not complete without the Balanced FundManagement OverviewManager BiosSarah RiopelleRBC Global Asset Management Riopelle is Vice President and Senior PortfolioManager, Investment Solutions. Sarah began herinvestment career in 1996. She is a member of the RBCI nvestment Strategy Committee and is responsible forthe firm's Portfolio Solutions.

4 Sarah has a Bachelor ofCommerce in Finance and International Managementfrom the University of Ottawa and is a CFA Analysis Cont'd as of August 31, 2018 Distributions ($)/UnitYTD*2017201620152014201320122011 201020092008 Total Gains Return Of Capital EndedEndedEndedEnded7-19977-19978-20001- 20052-20092-20092-20092-2009 Best/Worst Periods %1 Yr3 Yr5 Yr10 of Periods289265241181 Pct. * Distributions are characterized into income type at Commentary as at June 30, 2018 The second quarter of 2018 was marked byescalating trade tensions between the andmuch of the world as President Trump made goodon his promise to institute billions of dollars intariffs. Against this backdrop, economicgrowth accelerated while the expansion appearedto slow in Europe and emerging fund was neutrally positioned for most of thequarter, which had a negative impact onperformance.

5 Global government bonds weremixed, with Treasuries finishing the periodessentially flat while German and Japanese bondsrose. Canadian bonds posted modest gains duringthe period as the trade conflict and slowing globalgrowth capped yields on Government of Canadadebt. The fund s sole fixed-income holding, PH&NBond fund , had a positive impact on equity markets continued to fluctuate in thequarter as the trade conflict moved beyond the and China to engulf Europe and equity prices slumped while Canadianstocks rebounded, supported by rising oil fund s global and Canadian equity holdingshad a positive impact on returns while RBCE merging Markets Equity fund detracted growth slowed in the first half of 2018,but remains at its most solid since the financialcrisis amid fiscal stimulus and business andconsumer optimism.

6 The portfolio managerexpects continued expansion, encouraging centralbanks to nudge rates higher and acting as aheadwind for bond returns. As a result, the Fundrecently moved to an underweight position in fixedincome and an overweight position in equities asstocks offer more attractive on September 19, 2018 2018. Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete ortimely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results. These pages are not complete without the Balanced FundDisclosureRBC Funds , BlueBay Funds , PH&N Funds andRBC Corporate Class Funds are offered byRBC Global Asset Management Inc.

7 Anddistributed through authorized , trailing commissions,management fees and expenses all may beassociated with Mutual fund read the prospectus or fund Factsdocument before investing. Except asotherwise noted, the indicated rates of returnare the historical annual compounded totalreturns including changes in unit value andreinvestment of all distributions and do nottake into account sales, redemption,distribution or optional charges or incometaxes payable by any unitholder that wouldhave reduced returns. Mutual fund securitiesare not guaranteed or covered by the CanadaDeposit Insurance Corporation or by any othergovernment deposit insurer. For moneymarket Funds , there can be no assurancesthat the fund will be able to maintain its netasset value per unit at a constant amount orthat the full amount of your investment in thefund will be returned to you.

8 The value ofmutual Funds change frequently and pastperformance may not be , Hager & North InvestmentManagement (PH&N IM) is a division of RBCG lobal Asset Management Inc. (RBC GAM).RBC GAM is the fund manager and theprincipal portfolio adviser of PH&N principal distributor of PH&N Funds isPhillips, Hager & North Investment Funds Ltd.(PH&NIF), which uses the trade name PH&NInvestment Services. RBC GAM is an indirect,wholly-owned subsidiary of Royal Bank document has been compiled by RBCG lobal Asset Management Inc. (RBC GAM)from sources believed to be reliable, but norepresentations or warranty, express orimplied, are made by RBC GAM, its affiliatesor any other person as to its accuracy,completeness or correctness. All opinionsand estimates constitute RBC GAM'sjudgment as of the date of this document, aresubject to change without notice and areprovided in good faith but without legalresponsibility.

9 The Top Ten/25 Holdings maychange due to ongoing portfolio transactionswithin the fund . The Prospectus and otherinformation about the underlying investmentfunds are available at (%) for RBC Funds , PH&N Funds andBlueBay Funds is based on actual expensesfor the half-year period, January 1 to June30, 2018, expressed on an annualized (%) for RBC Corporate Class Funds isbased on actual expenses for the full yearperiod, April 1, 2017 to March 31, 2018. Series H and Series I are not available forpurchase by new investors. Existinginvestors who hold Series H or Series I unitscan continue to make additional investmentsinto the same series of the Funds they are only used to illustrate the effectsof the compound growth rate and do notreflect future values of any fund or returns oninvestment of any fund profile is provided for informationalpurposes only.

10 Particular investments and/ortrading strategies should be evaluatedrelative to each individual s investmentobjectives. The information contained in thefund profile is not, and should not beconstrued as, investment or tax advice. Youshould not act or rely on the informationcontained in the fund profile without seekingthe advice of an appropriate rankings are determined byMorningstar Research Inc., an independentresearch firm, based on categoriesmaintained by the Canadian InvestmentFunds Standards Committee (CIFSC). Quartilerankings are comparisons of the performanceof a fund to other Funds in a particularcategory and are subject to change quartiles divide the data into four equalsegments expressed in terms of rank (1, 2, 3or 4). This is the Morningstar quartile rankingof Series A and F units of the fund as of July31, 2018.