FOR US INSTITUTIONAL INVESTOR USE ONLY NOT FOR USE … · 2019-09-19 · FOR US INSTITUTIONAL...

FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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A Boat StoryBy Captain DeMoss

FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

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FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

Words matter…

It’s not what you say,

It’s what people hear.

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These words are shown for illustrative purposes only and do not constitute a recommendation of the suitability of any investment strategy for any particular investor.

How to have better conversations around complex investments (alternatives) withretail investors.

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Today’s presentation

Helping advisors get, keep and grow business

Maslansky + Partners word specialists

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Fox News CNN Meet the Press Hannity & Colmes Hardball The O’Reilly Factor

Research Methodology

Invesco Distributors, Inc. is not affiliated with Maslansky + Partners.

&

In-depthInterviews

Get conventional

language

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Research Methodology

25

Dial sessions

Instantaneous, anonymousand simultaneous

In-depthInterviews

Get conventional

language

Research Methodology

26

Dial sessions

Instantaneous, anonymousand simultaneous

In-depthInterviews

Get conventional

language

Research Methodology

For illustrative purposes only.

100908070605040302010

0

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Dial sessions

Instantaneous, anonymousand simultaneous

In-depthInterviews

Get conventional

language

Research Methodology

For illustrative purposes only.

100908070605040302010

0

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Dial sessions

Instantaneous, anonymousand simultaneous

In-depthInterviews

Get conventional

language

National Survey

Validate findings

Research Methodology

For illustrative purposes only.

Approach… adjustments make a difference

L anguage… replacement words

and complementary phrases

Talking point… the portfolio manager

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Today’s agenda

7 Cards

Words to use, facing up

Words to lose, facing down

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Card exercise

Card images shown are for illustrative purposes only.

Approach… adjustments make a difference

L anguage… replacement words

and complementary phrases

Talking point… the portfolio manager

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Today’s agenda

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Approach

Lead by acknowledging the client’s personal goals1.

Three key adjustments to approach

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Approach | Language | Talking Point

Dial session: Investors’ reaction

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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alternative investments

Approach | Language | Talking Point

Dial session: Investors’ reaction

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

enhance your portfolios

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

satellite

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

Long-short, real estate, commodities, market neutral,

unconstrained, arbitrage

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

alternatives

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Leading with

as an asset class…

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Approach | Language | Talking Point

Dial session: Investors’ reaction

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

you and your life

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

tailored to you

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach | Language | Talking Point

Dial session: Investors’ reaction

personalized as possible

For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

Begin with their goals

Approach | Language | Talking Point

A goals-based strategy

An outcomes-based strategy

A risk-based strategy

53%

34%

13%

A goals-based strategy

An outcomes-based strategy

A risk-based strategy

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor. Card images shown are for illustrative purposes only.

Which investment strategyis most appealing?

?

Not motivated by “treading water”

Approach | Language | Talking Point

Which would you rather invest in?An investment that helps…

22%

78%

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor. Card images shown are for illustrative purposes only.

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Approach

Lead by acknowledging the client’s personal goals1.

Three key adjustments to approach

The path to what’s new begins with what’s known…anchoring2.

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The Apple Experience

New or Known?

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53

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Approach | Language | Talking Point

Which would you rather invest in?

Anchor to the known, not the new

42%58%

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor. Card images shown are for illustrative purposes only.

Alternative mutual funds that are bought and sold like any other fund

Liquidalternatives

Alternative mutual funds that are bought and sold like any other fund

Liquidalternatives

Approach | Language | Talking Point

Which would you rather invest in?

77%

23%

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

An establishedinvestment

option newly available to

individual investors

An establishedinvestment

option newly available to

individual investors

A brand new, innovative type of investment

A brand new, innovative type of investment

Approach | Language | Talking Point

What kind of investment product would you be most interested in hearing more about? One that is…

79%

21%

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

Ultra-high net worth investors

Institutional investors such as large college endowments and pension funds

Sophisticated investors

25%

48%

27%

Ultra-high net worth investors

Institutional investors such as large college endowments and pension funds

Sophisticated investors

Approach | Language | Talking Point

Which is more compelling? That a new investmentproduct had previously been available only to…

Don’t want hand-me-downs from the 1%

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

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Approach

Lead by acknowledging the client’s personal goals1.

Three key adjustments to approach

The path to what’s new begins with what’s known…anchoring2.

The power of the “complement”3.

Replace some of the investmentsalready inyour portfolio

Complement the investments

already inyour portfolio

Replace some of the investmentsalready inyour portfolio

Complement the investments

already inyour portfolio

Complement, not replacement

Approach | Language | Talking Point

Which would you rather invest in? Newinvestments that are specifically designed to…

27%

73%

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

Complementary investments

Secondary investments

Satellite investments

64%

27%

9%

Complementary investments

Secondary investments

Satellite investments

Approach | Language | Talking Point

Which type of investments would you like tosupplement your core investments?

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

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Approach

Lead by acknowledging theclient’s personal goals1.

Three key adjustments to approach

The path to what’s new beginswith what’s known…anchoring2.

The power of the “complement”3.

Approach… adjustments make a difference

L anguage… replacement words

and complementary phrases

Talking point… the portfolio manager

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Today’s agenda

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Replacement words for industry jargon

These words are shown for illustrative purposes only and do not constitute a recommendation of the suitability of any investment strategy for any particular investor.

Historic volatility

Beta

Relative risk

35%

8%

57%

Historic volatility

Beta

Relative risk

Which is more important? The investment’s…

Approach | Language | Talking Point

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

Offset

Hedge

Balance

17%

9%

73%

Offset

Hedge

Balance

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor. Card images shown are for illustrative purposes only.

Approach | Language | Talking Point

Which is more compelling?__________ your risks

?

Behaves independently

Is not reliant

Is non-correlated

59%

23%

18%

Behaves independently

Is not reliant

Is non-correlated

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor. Card images shown are for illustrative purposes only.

Approach | Language | Talking Point

Which best describes an investment that does not rise and fall with the markets?An investment that…

?

Market engagement

Exposure to the market

Participation in the market

25%

21%

53%

Market engagement

Exposure to the market

Participation in the market

Exposure = risk

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor. Card images shown are for illustrative purposes only.

Approach | Language | Talking Point

Which would you most be interested in?

?

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Invesco Roundtable with the High Net Worth

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor.

Approach | Language | Talking Point

40%60%

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For illustrative purposes only. This does not constitute a recommendation of any investment strategy for any particular investor. Card images shown are for illustrative purposes only.

Which word is preferable? The manager whodivides the investment into different…

Take a negative position in a stock

Profit from a stock’s price decline

Short a stock or security

11%

65%

24%

Take a negative position in a stock

Profit from a stock’s price decline

Short a stock or security

Approach | Language | Talking Point

Which is more important in reducing the impactof falling markets on your portfolio?

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

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Complementary phrases for alternative strategies

These words are shown for illustrative purposes only and do not constitute a recommendation of the suitability of any investment strategy for any particular investor.

Portfolio complements

Non-traditional investments

Alternative investments

Goal-directed investments

37%

4%

9%

50%

Portfolio complements

Non-traditional investments

Alternative investments

Goal-directed investments

Approach | Language | Talking Point

Which would you rather invest in?

Offer clarity with complement phrases

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

Equity funds that give up a little on the upside toget more protection on the downside

Funds that focus on more consistent returns

Long-short equity funds

25%

11%

Equity funds that give up a little on the upside toget more protection on the downside

Funds that focus on more consistent returns

Long-short equity funds

64%

Approach | Language | Talking Point

Which would you rather invest in?

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

Unconstrained fixed-income funds

Go anywhere fixed-income funds

Fixed-income funds that allow managers more flexibility in how they invest

14%

68%

Unconstrained fixed-income funds

Go anywhere fixed-income funds

Fixed-income funds that allow managers more flexibility in how they invest

19%

Approach | Language | Talking Point

Which would you rather invest in?

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

77FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

For illustrated purposes only.

Funds made up of multiple unique anddifferentiated strategies

A diversified portfolio of alternative funds

Multi-alternative funds

32%

14%

Funds made up of multiple unique anddifferentiated strategies

A diversified portfolio of alternative funds

Multi-alternative funds

54%

Approach | Language | Talking Point

Which would you rather invest in?

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

Approach… adjustments make a difference

L anguage… replacement words

and complementary phrases

Talking point… the portfolio manager

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Today’s agenda

Selection

Specialty

Success

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Approach | Language | Talking Point

The Power of Alternatives

Selection

Specialty

Success

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Approach | Language | Talking Point

The Power of Alternatives

Approach | Language | Talking Point

If your advisor asked you to choose between the following alternative funds, which would you prefer? The alternativefund run by a team…

Carefully selectedfrom a well-researched list

Carefully handpicked

by me asyour advisor

64%

36%

Carefully selectedfrom a well-researched list

Carefully handpicked

by me asyour advisor

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

Selection

Specialty

Success

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Approach | Language | Talking Point

The Power of Alternatives

A firm with more than 3000 investment professionals

A firm that specializes in

managing alternatives

A firm with more than 3000 investment professionals

A firm that specializes in

managing alternatives

Approach | Language | Talking Point

Which alternative fund would you rather invest in?The alternative fund run by…

27%

73%

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

Selection

Specialty

Success

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Approach | Language | Talking Point

The Power of Alternatives

A team recognizedas pioneersin alternatives

A team recognizedas industry

leaders in alternatives

A team recognizedas pioneersin alternatives

A team recognizedas industry

leaders in alternatives

Approach | Language | Talking Point

Which alternative fund would you rather invest in?The alternative fund run by…

22%

78%

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

That has over 900 million dollars under management

That is well-known

With a long track record in alternatives

13%

16%

71%

That has over 900 million dollars under management

That is well-known

With a long track record in alternatives

Approach | Language | Talking Point

Which of the following teams would you most want towork with? An alternative fund managed by a team…

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For illustrative purposes only. This does not constitute a recommendation of any investment recommendation of any investment strategy for any particular investor.

Selection

Specialty

Success

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Talking Point

Approach… adjustments make a difference

L anguage… replacement words

and complementary phrases

Talking point… the portfolio manager

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Today’s agenda

FOR US INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE PUBLIC

The opinions expressed are those of the author and are subject to change without notice. These opinions may differ from thoseof other Invesco investment professionals.

All data created and produced by Invesco Consulting unless otherwise noted.

Diversification does not guarantee a profit or eliminate the risk of loss.

Alternative products typically hold more non-traditional investments and employ more complex trading strategies, including hedging and leveraging through derivatives, short selling and opportunistic strategies that change with market conditions. Investors considering alternatives should be aware of their unique characteristics and additional risks from the strategies theyuse. Like all investments, performance will fluctuate. You can lose money.

“The Power of Alternatives" is an evolution of Invesco Consulting's ”New Word Order” program, which is based on our firm's ongoing research with Maslansky + Partners. Invesco Distributors, Inc. is not affiliated with Maslansky + Partners.

This material is for illustrative, informational and educational purposes only. If the illustrations herein are used outside of the designated audience, it is the respective user's responsibility to ensure that such material complies with all applicable regulations and is filed with the appropriate regulatory bodies if so required. We make no guarantee that participation in thisprogram or utilization of any of its content will result in increased business. It does not constitute a recommendation of the suitability of any investment strategy for a particular investor.

This is not to be construed as an offer to buy or sell any financial instruments and should not be relied upon as the sole factor in an investment- making decision. As with all investments, there are associated inherent risks. Please obtain and review all financial material carefully before investing.

Invesco Consulting (I•C), wholly owned by Invesco, specializes in unique and creative ideas for financial professionals. Each ofour 25 compelling programs -- based on leading-edge research and organized into 5 sales consulting disciplines --are designed to help you turn your biggest challenges into opportunities. Whether you need to improve your communication skills with clients and prospects, build and maintain your high-net-worth client base, or master today's fast-changing retirement landscape, we have multiple programs tailored to fit your needs.

Our staff of 12 presenters, developers and support staff is dedicated to finding actionable answers to the unique challenges within financial services. Founded in 1998, I•C has helped more than 500,904 financial advisors, high net worth teams, variable annuity producers, retirement specialists and home office managers to get, keep and grow business through our speaking engagements from December 2001-December 2014.

Invesco Distributors, Inc. is not affiliated with Apple Inc.

Invesco Distributors, Inc.

FOR US INSTITUTIONAL INVESTOR USE ONLY — NOT FOR USE WITH THE PUBLIC

NOT FDIC INSURED | MAY LOSE VALUE | NO BANK GUARANTEE

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