STANLIB Funds Limited

1 STANLIB Funds Limited Annual Report and Audited Financial Statements 31 December 2016 Company Number 646392 Copies of Annual and Interim Reports are available on and may be obtained at the Registered Office of the Company at Standard Bank House, 47 - 49 La Motte Street, St Helier, Jersey JE2 4SZ, Channel Islands. The financial statements must be read in conjunction with the detailed information contained in the and Administration5 Report of the Directors 8 Statement of Director s Responsibilities9 Statement of Manager s Responsibilities10 Statement of Custodian s Responsibilities11 Investment Manager s Report16 Report of the Independent Auditor18 Statement of Financial Position21 Statement of Comprehensive Income 24 Statement of Changes in Net Assets Attributable to Holders of Redeemable Participating Shares26 Statement of Cash Flows29 Notes to the Financial Statements93 Portfolio Statements261 Other Information (Unaudited)262 fund Statistics (Unaudited)4 Management and AdministrationDirectorsNeil Deacon * (British)Michael Farrow (Chairman) * (British)Sidney Place * (South African)Michael Mitchell (South African)

2 Manager STANLIB fund Managers Jersey LimitedStandard Bank House47-49 La Motte StreetSt Helier, Jersey JE2 4 SZChannel IslandsIndependent AuditorsPricewaterhouseCoopersChartered Accountants and Registered AuditorsOne Spencer DockNorth Wall QuayDublin 1 IrelandCustodianCapita Trust Company (Jersey) Limited12 Castle StreetSt Helier, Jersey JE2 3 RTChannel IslandsSub-Custodian and Bankers The Bank of New York Mellon SA/NV London Branch160 Queen Victoria StreetLondon EC4V 4 LAUnited KingdomAdministratorBNY Mellon fund Services (Ireland) Designated Activity Company*Guild House, Guild StreetInternational Financial Services Centre, Dublin 1 Ireland*BNY Mellon fund Services (Ireland) Limited converted to a Designated Activity Company under the Companies Act 2014 and changed its name to BNY Mellon fund Services (Ireland) Designated Activity Company on 27 January Manager, Promoter and DistributorSTANLIB Asset Management Limited17 Melrose BoulevardMelrose Arch 2196 Republic of South AfricaRegistered OfficeStandard Bank House47-49 La Motte StreetSt Helier, Jersey JE2 4 SZChannel Islands Sponsoring Broker J & E DavyDavy House49 Dawson StreetDublin 2 IrelandLegal AdvisersBedell Cristin26 New StreetSt Helier, Jersey JE2 3 RAChannel IslandsSole Representative in South AfricaSTANLIB Collective Investments (RF) Limited17 Melrose BoulevardMelrose Arch 2196 Republic of South Africa5 The Directors present their Annual Report and the Audited Financial Statements for the year ended 31 December 2016.

3 Incorporation STANLIB Funds Limited (the Company ) was incorporated in Jersey, Channel Islands on 18 March 1996 with an authorised share capital of USD 5,000,100 divided into 100 Founder Shares of USD 1 each and 5,000,000 Unclassified Shares of USD 1 each. Activities While the Company is registered in Jersey and thus complies with Jersey company law, some of its operations are carried on in Ireland and those elements comply with Irish Company is an open-ended investment company in that it may issue and redeem participating at 31 December 2016 participating Shares are offered in the Company as shares of the STANLIB Global Property fund , STANLIB Multi-Manager Global Bond fund , STANLIB Multi-Manager Global Equity fund , STANLIB High Alpha Global Equity fund , STANLIB Global Bond fund , STANLIB Global Emerging Markets fund , STANLIB Global Balanced fund , STANLIB Global Balanced Cautious fund and STANLIB European Equity fund (each a Class fund ).

4 The Company is an umbrella fund and where the assets of a Class fund are insufficient to meet that Class fund s liabilities, any liabilities which remain undischarged will revert to the Company as a whole and be allocated amongst other Class Funds . As at the date hereof, the Directors are not aware of any existing or contingent liability relating to a Class fund which could not be discharged out of the assets of that Class fund . The following Share Classes are listed on the Irish Stock Exchange: STANLIB Global Property fund B Class, STANLIB Multi-Manager Global Bond fund A Class, STANLIB Multi-Manager Global Equity fund A Class, STANLIB High Alpha Global Equity fund A Class, STANLIB High Alpha Global Equity fund B Class, STANLIB Global Bond fund A Class, STANLIB Global Emerging Markets fund B Class, STANLIB Global Balanced fund B Class, STANLIB Global Balanced Cautious fund B Class and STANLIB European Equity fund B Class.

5 Investment objectives and policy The objectives of the Class Funds are as follows: STANLIB Global Property fund The primary objective is to maximise long term total return, both capital and income growth, by investing in global property company shares and REITs. The Class fund s benchmark is the S&P Developed REIT Multi-Manager Global Bond fund The primary objective is to provide attractive investment returns from investing in major international bond markets. The Class fund s benchmark is the Barclays Capital Multiverse TR Multi-Manager Global Equity fund The objective is to maximise long term total return by investing in global equities. The investment objective is to generate annualised investment returns in excess of the benchmark. The Class fund s benchmark is the MSCI All Country World Investable Market High Alpha Global Equity fund The objective is to maximise long term total return by investing in global equities.

6 The Class fund s benchmark is the MSCI World All Country Index with Net Dividends Reinvested. Tracking error of the fund to the benchmark is expected to be in the region of 6-10%. STANLIB Global Bond fund The primary objective of this single manager fund is to provide attractive investment returns from investment in major international bond markets. The criteria for investment is the preservation of capital and appropriate weighted average credit rating. The Class fund s benchmark is the Barclays Capital Global Aggregate Bond TR Global Emerging Markets fund The primary objective of this single manager fund is to maximise long term total return by investing in emerging market equities. The Class fund s benchmark is the MSCI Emerging Markets Free Global Balanced fund The primary objective is to provide investors with long-term capital growth from a diversified and actively managed portfolio of equities, property company shares, bonds and cash.

7 The Class fund s composite benchmark is the MSCI AC World Index (60%), the Barclays Global Aggregate Bond Index (20%), the S&P Developed REIT Index (10%), the USD 1 month LIBID (5%), the EUR 1 month LIBID ( ) and the GBP 1 month LIBID ( ). STANLIB Global Balanced Cautious fund The primary objective is to adopt a conservative approach to investment from a diversified and actively managed portfolio Report of the Directors6of equities, property company shares, bonds and cash. The Class fund s benchmark is the MSCI AC World Index (30%), the Barclays Global Aggregate Bond Index (40%), the S&P Developed REIT Index (10%), the USD 1 month LIBID (10%), the EUR 1 month LIBID (5%) and the GBP 1 month LIBID (5%). STANLIB European Equity fund The objective is to maximise long-term capital growth by investing in an actively managed portfolio of primarily pan-European equities.

8 This Class fund s benchmark is the MSCI objectives shall be sought within the constraints of the investment restrictions and subject to the risks normally associated with a conservative and balanced approach to portfolio and DividendsThe results for the year are set out in the Statement of Comprehensive Income. Dividends may be declared on individual share classes from time to time in accordance with the provision of the Companies (Jersey) Law, 1991 (as amended). No dividends were declared for the valuesPlease see the Statement of Financial Position on pages 18 to 20 for each Class fund s net assets attributable to holders of redeemable participating Directors at 31 December 2016, all of whom have served as Directors for the whole year then ended unless otherwise stated, are listed below:Neil Deacon (independent)Michael Farrow (independent)Sidney Place (independent)Michael MitchellAll Directors act in a non-executive interestsThere were no material contracts or contracts for the provision of services existing during the year under review to which the Company was a party and in which any Director is, or was, materially Directors had no beneficial interest in the Shares of the Company at 31 December of Business Risks and UncertainitiesRefer to note 10, Financial Instruments and Associated Risks, for details of the risks and DevelopmentsPlease see the Investment Manager s reports on pages 9 to 15 for each Class fund s AuditorsPricewaterhouseCoopers Ireland indicated its willingness to continue in office.

9 A resolution to reappoint PricewaterhouseCoopers Ireland as independent auditors of the Company will be proposed at the Annual General The Secretary of the Company at 31 December 2016 was STANLIB fund Managers Jersey Limited , which was Secretary for the year then ended. Annual General Meeting The Annual General Meeting of the Company will be held on 5 June 2017. A copy of the Notice and Proxy Voting Form is attached and doesn t form part of these Financial Events During the YearOn 27 January 2016, the Administrator, BNY Mellon fund Services (Ireland) Limited converted to a Designated Activity Company under the Companies Act 2014 and changed its name to BNY Mellon fund Services (Ireland) Designated Activity were no other significant events during the year ended 31 December Statement of Financial Position EventsThere were no other significant events requiring disclosure in the financial officeStandard Bank House,47-49 La Motte StreetSt Helier, Jersey JE2 4 SZChannel IslandsBy order of the Board, STANLIB fund Managers Jersey LimitedSecretary8 May 20178 The Directors are responsible for preparing financial statements which shall be in accordance with International Financial Reporting Standards ( IFRS ) and show a true and fair view of the state of affairs of the Company and of the Statement of Comprehensive Income of the Company for the preparing the financial statements, the Directors should: Select suitable accounting policies and then apply them consistently.

10 Make judgments and estimates that are reasonable and prudent; State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and Prepare the financial statements on a going concern basis unless it is inappropriate to presume that the Company will continue in Directors are responsible for keeping accounting records which are sufficient to show and explain the Company s transactions and are such to disclose with reasonable accuracy, at any time, the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies (Jersey) Law 1991 and continuing obligations of the Irish Stock Exchange. They are also responsible for safeguarding the assets of the Company and hence for taking responsible steps for the prevention and detection of fraud, error and non-compliance with laws and regulations.