EFTA01389050

• mud I Date Founded 9/3/1993 US Equity % 97.65 Firm Assets (SB) 2.3 Non-US Equity % 0.00 Firm Employee Ownership (%) 100.00 US Bond % 0.00 Inception Date 4/3/2000 Non-US Bond % 0.00 Product AUM (50) 0.1 Cash% 2.35 Display Benchmark 1: S&P US REIT Inv Bin" Inception Date 4/3/2000 — Product AUM (50) 0.1 _ a of Holdings 35 157 Avg Market Cap (SB) 14.7 10.3 Portfolio Turnover (%) 47 — Div Yld 3.28 4.34 P/E 30.89 28 P/8 3.04 2.43.79 P/S 6.77 6.87 CF Growth 4.92 14.45 LT Earn Growth 6.78 5.73 Sales Growth 417 1.50 Mist Earn Growth 26.49 19.62 ROA % (1TM) 4.96 4.05 ROE % (TIM) 14.32 11.96 Debt to Capital % (trailing) 52.43 51.95 Net Margin % (trailing) 28.79 25.81 Adelante Capital Management Real Estate (REITs) As 030 2016 Adelante's investment philosophy is founded on the belief that the values of the underlying teal estate assets will 20.0 uksmately drive stock performance over the king term. In the short term, the stock's price may diverge from the 18.0 real estate operating value due to a variety of factors. including broader equity trends, interest rate measures and 16O corporate events. The portfolio management team attempts to take advantage of these arbitrage opportunities, buying at a discount to fall value and selling at a large premium. 14.0 0 0 0 YTD 1 12.0 10.0 Adelaide adheres to specilic investment guidelines to achieve pedormance objectives and to manage portfolio risk. 8.0 Adelaide maintains a preference for 'core' institutional real estate property typos (o.g. apartments, office, industrial 6.0 and retail), avoiding securities in narrovAy focused specialty real estate companies that they believe will not deliver adequate long-term returns in relation to the level of risk assumed. M a diversification measure, accounts must be 4.0 exposed to at least three property types. In addition, companies with a market capitalization of less than $100 milNon are screened out to avoid illiquid securities. E 2.0 a nvestment Selection Process Year 3 Years afitidelarde TRW/ (gross) iaitidelanto TRSW (n00 Quarter YTD Adelaide TRSW (gross) -1.0 7.3 Adelante TRSW (net) -1.6 5.3 S8P US REIT -1.3 11.8 2015 2014 Adel:into TRSW (gross) 5.9 33.7 la Adente TRSW (net) 3.3 30.4 S&P US REIT 2.5 30.3 I 5 Years I 0 Years - S&P US REIT 1 Year 3 Years 5 Years 10 Years 14.2 t5.0 16.1 5.3 11.3 12.2 13.2 2.7 19.6 14.0 15.8 6.1 2013 2012 2011 2010 2.8 17.1 9.7 29.6 0.3 14.2 7.0 26.4 24 18.0 8.5 28.5 Poor Group (1.100%). oA US REIT Top Quartile 3rd Quartile Bottom Quartile imu maw 2nd Quartile ii 25.0 30.0 E 20.0 a 9 15.0 ix 7! 10.0 '73 5.0 el 0.0 IS -5.0 OTD • Ad•Irl• 1RSVI Ina) •. YT0 1 Year 3 Yeats 5 Years 10 Years • Abrial• TARN • Otos) Performance d snoian both gross and net of fees Net of fee returns reflect deduction of the maximum 2 5% annual fee Data frequency is monthly and all performance data and analysis is for the pencil circling as of current quarter end unless OthOMISO indicated C'ettSche flank weans siaregement These documents are for use in one-on-one client presentations. Page 1 of 5 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) CONFIDENTIAL SDNY_GM_00239429 DB-SDNY-0093245 EFTA01389050