Polar capitals presentation

This presentation is for one-on-one use with non-US professional investors only

www.polarcapital.co.uk

Polar Capital Healthcare Opportunities Fund

October 2012

“Finding the growth opportunities in a changing healthcare world”

For non-US professional investor use only. Please refer to the Important Information at the end of this presentation. 2

We See A Compelling Opportunity In Healthcare

• The resurgence of the healthcare sector has been unsung and largely unnoticed

– Healthcare has been an unloved sector – drug patent expirations, healthcare reform and government austerity have

together led investors to question the growth opportunities – recent interest has focused on defensive growth

• Underlying fundamentals have not changed and are still positive

– An aging population in the developed world will demand more healthcare and GDP growth is set to drive increased

healthcare spending in emerging markets

• We think healthcare systems across the world have begun a process of major structural change

– Technological innovation is the catalyst for what we think will be a “once in a generation” transformation

• Government austerity plans accelerate the need to reform the 20th century infrastructure

– Companies with products or services that deliver better healthcare for less will be able to grow despite a difficult

macroeconomic environment

• To take advantage of the investment opportunities we think you need to have a broad investment universe

– Healthcare investing is not about big drug stocks, our investment universe covers the entire value chain


40 Years of Relevant Healthcare Experience

Daniel Mahony Ph.D. – Fund Manager

Daniel joined Polar Capital to set up the healthcare team in 2007. He has more than 13 years’ investment experience in the

healthcare sector, with over 4 years as a Portfolio Manager and 9 years as a sell-side analyst. Prior to joining Polar Capital, he was

head of the European healthcare research team at Morgan Stanley, covering the European biotechnology, medical technology and

healthcare services sectors. He also previously worked in New York for ING Barings Furman Selz following the US biotechnology

sector. Before working in the investment field, Daniel worked as a research scientist for 7 years with the majority of his time at

Schering Plough Corporation in California. Daniel received his PhD from Cambridge University in 1995 and a first class honours

degree in biochemistry from Oxford University in 1991.

Gareth Powell CFA – Fund Manager

Gareth joined Polar Capital in 2007 to set up the healthcare team. He has over 12 years’ investment experience in the healthcare

sector, with 10 years as a portfolio manager. He joined Framlington in 1999 becoming a portfolio manager on the Framlington health

fund. In 2002, he helped launch and then run the Framlington biotech fund. Gareth became a CFA charter holder in 2003. Gareth

studied biochemistry at Oxford from 1995 to 1999 and during that time worked at Astellas, the Sir William Dunn School of Pathology,

the Wolfson Institute for Biomedical Research and the Oxford Business School.

Anna Sizova MBA – Analyst

Anna joined Polar Capital in February 2008 as an analyst for the healthcare team. She has over 5 year’s investment experience in

the healthcare sector that started with her time at Morgan Stanley as a healthcare analyst covering the European medical technology

sector. Prior to working in investment, she spent 5 years at Johnson & Johnson, working in both the marketing and finance

departments. Anna holds an MBA degree from the London Business School and a degree in Theoretical and Applied Linguistics

from Moscow State University.


Healthcare Fundamentals A long-term secular growth sector


Aging Populations Point To A Key Inflection Point

• The first of the US baby-boomers reached retirement age last year

– The baby boomers expect a higher quality of life than their parents’ generation

• Developed markets will witness strong growth in demand for at least a decade

– We expect to see a large increase in chronic conditions associated with old age

Comparison of demographic trends Old-age dependency ratios (in percent)

We are in the middle of a significant change in demographics

Source: United Nations (2009), hhtp://esa.un.org/unpp.


• As developing nations get richer, healthcare becomes a spending priority

– We expect healthcare spending by the BRICS to increase from 4-6% to 7-9% of GDP over the next decade

Source: World Market Monitor, IMS, AstraZeneca.

Emerging Markets Are A Second Growth Driver

US (off scale) GDP/cap 47,369

Pharma spend/cap 954

Ph

arm

a s

pe

nd

pe

r

cap

ita

, U

S$

, 2

00

8

GDP per capita, US$, 2008

EM spending on healthcare is far below the developed world


Controlling Costs Is A Long-Term Issue

• OECD health spending has been increasing well above GDP growth for the last decade

– We believe that this is unsustainable but an aging population creates upward pressure on budgets

• It would be politically “difficult” for a Western government to cut its healthcare budget

– But governments can change the way money is spent and we see a focus on improving efficiency

Governments need to manage the growth of health spending

Note: Social Security and Medicare projections based on the intermediate assumptions of the 2005 Trustees’ Reports. Medicaid projections based on CBO’s January 2004 short-term Medicaid estimates and CBO’s

December 2003 long-term Medicaid projections under mid-range assumptions.

Source: GAO unless otherwise stated. GAO analysis based on data from the Office of the Chief Actuary, Social Security Administration, Office of the Actuary, Centers for Medicare and Medicaid Services, and the

Congressional Budget Office.


Innovation Is A Key Part Of Healthcare Investing

• Delaying the onset of Alzheimer’s by 5 years could save $447 billion by 2050

– We expect data on three new Alzheimer’s treatments over the next 18 months

Innovation is the only solution to long-term cost containment

Impact of treatment to delay AD onset on medical costs

Pro

jec

ted

me

dic

al s

pe

nd

ing

(in

Bil

lio

ns

)

Source: Alzheimer’s Association, “Changing the Trajectory of Alzheimer’s Disease: A National Imperative,” 2010 and innovation.org.


Source: Centers for Medicare and Medicaid Services.

The Investment Strategy Has to Change

• Healthcare used to be about growing the size of the pie with little regard to cost

‒ We think less will be spent on people and buildings and more allocated to drugs, devices and technology

We think the mix of healthcare spending will change

6%

1960 2010

$29 billion $2,600 billion

9.5% CAGR 3 – 4% CAGR

10%

Drug spending Medical device spending

US Healthcare spending – greater use of innovative technology can reduce cost escalation


Source: Polar Capital.

Major Structural Change Seems Inevitable

Transitioning to a 21st century healthcare system

Advances in Information Technology

Better understanding of

disease Devices with improved

functionality Healthcare IT

New drugs New

diagnostics

Improved

patient

management

Doctor/nurse

“in

the pocket”

Consumer

-isation

of healthcare

Productivity

in the

hospital

Technology helps move healthcare out of the hospital into cheaper cost settings


Healthcare Investing The Polar approach to healthcare investing


Source: Polar Capital and Bloomberg, 31 August 2012. Past performance is not indicative or a guarantee of future results. Performance is quoted net of fees.


Growth portfolio

100%

Portfolio of 40 - 45 stocks

Projected portfolio

weighting 20 - 40% 20 - 60% 20 - 40%

Market cap US$1 - 5 billion >US$5 billion <US$1 billion

• The Polar Capital Healthcare Opportunities Fund (HOF) is an open-ended UCITS IV fund

– The sterling share class has delivered a 52.7% return from inception in December 2007 to 31 August 2012

• The Fund invests across healthcare sub-sectors, geographies and market capitalisations

– The investment style for the HOF is best described as Growth At a Reasonable Price (GARP)


• In the US, changes in healthcare insurance have made individuals more cost-conscious

– In particular, annual deductibles and co-pays have risen significantly over the last decade

• Even in Europe, some parts of healthcare are discretionary

– Most dental procedures are out-of-pocket and cosmetic procedures are more like luxury goods

Healthcare Universe And The Economic Cycle

Certain sub-sectors are more sensitive to the economic cycle

Cyclical Defensive

Discretionary

Cosmetic surgery

Dental

LASIK

Botox

Senior living

Elective

Hip implant

Sports medicine

Imaging

Diagnostics

Vaccinations

Acute/chronic

Diabetes

Heart surgery

Trauma

Oncology

Respiratory

Life science tools & services

Healthcare facilities

Managed care Medical devices

Pharmaceuticals

Biotechnology

Medical supplies

Healthcare distributors

Healthcare IT

Source: Polar Capital. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all recommendations made within the

immediately preceding 12 months is available up on request.


• Healthcare companies have to show that their products/services deliver value

– Companies can maintain pricing power if they add real value but the era of “me too” drugs and modest technical

improvements seems to have come to an end

• Inefficiency is a major problem in healthcare systems across the world

– Most healthcare systems reward volume not quality – we think reimbursement systems are beginning to change

• Innovation is the best way to improve quality and reduce costs

– We look to invest in companies with new drugs or technologies that can change the way medicine is practised or target

unmet medical needs

• Infrastructure is critical in both emerging markets and developed countries

– Countries such as China are at the start of building an integrated healthcare system while developed countries, such as

Germany, look to the private sector to cut costs

Value means improving outcomes and cutting costs

The Growth Drivers For Healthcare

The three “I”s of healthcare – addressing inefficiency

through innovation and infrastructure


Healthcare Investing Identifying the near-term catalysts


Source: Royal Bank of Canada, August 2012.

Healthcare Is Cheap And Has Rebounded

• Historically, healthcare has traded at a premium to the market

‒ The two exceptions are related to the election of a Democrat as US President

• Slowing top-line growth for pharmaceutical companies has not helped

‒ However, we believe that the catalysts are in place for a sector recovery

Price to book value: Healthcare/S&P 500 Index Price to forward earnings: Healthcare/S&P 500 Index

Long-term data suggest the potential for multiple expansion

1.0

1.5

2.0

2.5

3.0

3.5

Jan-80 Jan-83 Jan-86 Jan-89 Jan-92 Jan-95 Jan-98 Jan-01 Jan-04 Jan-07 Jan-10

Price-to-Book Value: Health Care / S&P500

Long-term Average

+1 STD

-1 STD

0.6

0.8

1.0

1.2

1.4

1.6

1.8

Jan-80 Jan-83 Jan-86 Jan-89 Jan-92 Jan-95 Jan-98 Jan-01 Jan-04 Jan-07 Jan-10

Price-to-Forward Earnings: Health Care / S&P500

Long-term +1 STD

-1 STD


Source: Bloomberg, 27 September 2012. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all recommendations

made within the immediately preceding 12 months is available up on request.

• Healthcare has been in a consolidating pattern for 15 years and is now breaking out

– We think the technical analysis is indicative of the major structural change that we see occurring

The Sector Is Breaking Out To New Highs

The healthcare resurgence has been unsung and unnoticed


20

30

40

50

60

70

80

Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12

Obama

Republican

• If President Obama is re-elected then the expansion of healthcare provision will remain on track

– This will be a positive for hospitals and Medicaid managed care stocks

• The composition of the Senate is less certain but is critical for fiscal cliff discussions in 2013

– The concern is that healthcare spending may come under pressure when the fiscal deficit is addressed

US Election Will Be Important for 2013

Intrade odds for the US presidential election

President Obama is leading but Senate races are closer

Source: Intrade, Strategas, US Census Bureau, CBO, and WellPoint Investor Presentation.

Obamacare will extend healthcare coverage


Healthcare Sector Drivers The return of the pharmaceutical industry


• The focus on cost control creates an opportunity for operating leverage

– Management teams have started to eliminate waste and streamline their businesses

• The patent cliff may not be as deep as was initially feared

– Pfizer should deliver modest EPS growth as it passes through its patent cliff

Pharma May Exit The Patent Cliff In Better Shape

Consensus estimates suggest margin expansion Pfizer’s EPS trough is not that deep

-3.0%

-2.0%

-1.0%

0.0%

1.0%

2.0%

3.0%

4.0%

5.0%

6.0%

7.0%

2011E 2012E 2013E 2014E 2015E

Average Global Pharma

Y-Y EPS Growth

Average Global Pharma

Y-Y Sales Growth

Managements have prepared for upcoming patent expirations

$2.00

$2.10

$2.20

$2.30

$2.40

$2.50

$2.60

54

56

58

60

62

64

66

68

70

2011 2012E 2013E 2014E 2015E

Revenues EPS

Source: Bloomberg. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all recommendations made within the



1.Source: Liberum Capital and Bank of America Merrill Lynch.

R&D Productivity May Be Starting To Improve

• We think that we may be at the beginning of a new wave of drugs

– We think the low level of productivity seen over the last decade may be a function of the innovation cycle – similar to the

fallow period seen in the 1970s

New

tri

als

sta

rted

in

a y

ear

0

200

400

600

800

1,000

1,200

1,400

2005 2006 2007 2008 2009 2010

Number of new phase I clinical trials starting per year (2005-10)1 Clinical development activity is increasing

Current valuations attribute little value to drug pipelines


• Technology is the driver – it is now possible to sequence a human genome for $1,000

– The first human genome sequence cost over $1 billion back in 1999/2000

• After a decade of basic research, there is now a more detailed understanding of disease at the molecular level

– This means scientists have found new, and potentially better, ways of targeting disease

• The biotechnology sector is leading the way but pharmaceutical companies are not far behind

– Some made significant advances have been made in rare genetic diseases, cancer and inflammatory disease

• Diagnostics tests will be an essential of this new era of medicine

– Nearly all drug development programmes now incorporate a biomarker strategy to either select the right patients,

monitor drug activity or identify potential safety issues

• Companion diagnostics are already here – the era of personalised medicine has begun

– Qiagen launched two tests this year that determine whether a colorectal cancer patient is eligible to receive an

expensive cancer drug – saving money by targeting the right drug to the right patient

Genomics research is having a meaningful impact

A New Era of Drug Discovery And Development


• We are seeing the benefits of increased R&D investment over the last few years

– We believe that innovation can provide companies with pricing power and reduce healthcare costs over the long term

• 2011 saw the launch of 12 new biotechnology blockbuster products

– We expect each of these to have a sales potential of >$500 million

The biotechnology sector is beginning to deliver on its promise

Biotechnology Is The Drug Discovery Engine

It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all recommendations made within the immediately preceding

12 months is available up on request.


Prostate Cancer – Treatment Is Changing

A number of new prostate cancer drugs are now available New drugs are expected to be used earlier in the progression of the disease

Source: William Blair.


Source: Bloomberg, 4 September 2012. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all recommendations

made within the immediately preceding 12 months is available up on request.

• Bristol Myers’ clinical pipeline success has been rewarded

– In our view, Bristol Myers is the only pharma stock with significant pipeline value

The Promise Of Growth Is Being Rekindled

Positive pipeline news can still drive stock performance


Healthcare Sector Drivers The key themes for growth


Improving Efficiency In The Service Sector

• Accountable care and evidence-based medicine are the new buzz words

– We are seeing similar trends across all developed and developing markets

• These changes have a massive impact for the entire healthcare value chain

– All companies, whether they sell products or services, will need to focus on delivering value

Reimbursement systems will reward quality and not volume

Source: UnitedHealth and ACO management. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all

recommendations made within the immediately preceding 12 months is available up on request.


Source: Edwards LifeSciences and Polar Capital. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all

recommendations made within the immediately preceding 12 months is available up on request.

Innovation Can Change Medical Practice

• The move to minimally invasive surgery eliminates significant hospitalisation costs

– After only three years, we expect European sales to reach $250 million in 2012

Edwards has pioneered a novel approach for heart valves

Edwards’ SAPIEN eliminates the need for open heart surgery


Source: Cerner and CMS. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all recommendations made within the


• As part of the 2010 stimulus package, the US will spend $36 billion from 2010-2015 on healthcare IT

– The US is a long way behind the rest of the world but looks set to overtake in the hospital setting

• IT will enable not only better cost management but also the “consumerisation” of healthcare

– There are many “easy” gains to be made from implementing IT systems – i.e. on-line booking of appointments

– Ultimately, we see the potential for making individuals more responsible for their own care

Healthcare IT is a critical driver of change in healthcare

The Healthcare IT Era Has Just Begun

http://www.hpm4drs.com/


• We see smaller medical device companies as the engine of innovation

– New technologies target niche markets and provide pricing power and growth opportunities

• We are seeing a transition towards products that help doctors manage and not just treat disease

– This could mean new sources of revenue and erect new barriers to entry

The Device Industry Continues To Innovate

Advances in chip technology drive new types of innovation




Source: CMS and Barclays Capital. It should not be assumed that recommendations made in the future will be profitable or will equal the performance of securities in this document. A list of all recommendations made

within the immediately preceding 12 months is available up on request.

• Medicare Advantage programme began under President Bush but penetration is still low

– We see Humana and UnitedHealth as the best-positioned to take advantage of this move from fee for service to

managed care

• Moreover, the so-called dual eligibles are expensive to treat and could create a huge market opportunity

– This could be a $300 billion opportunity compared to the current health insurance market of $600 billion

The US Govt is using commercial health insurers to save cash

Managed Care Is A Solution

Various revenue opportunities in managed care (as of 30 Jan 2012 $bn)

$bn




Portfolio As Of 31 August 2012

Biotechnology

(24%)

Large-cap Small-cap Mid-cap

Pharmaceuticals

(24%)

Medical Devices

(24%)

Services

(27%)



Allergan

Astellas

Johnson & Johnson

Pfizer

Jazz

UCB

Alexion

Biogen Idec

Celgene

Gilead

Actelion

Biomarin

Cubist

Incyte

Medivation

Onyx

Threshold

Agilent

Covidien

Edwards Lifesciences

Cooper

Heartware

Perkinelmer

Asahi Intecc

Cyberonics

Dexcom

Endologix

Insulet

Spectranetics

Express Scripts

UnitedHealth

Advisory Board

Air Methods

AmerisourceBergen

Brookdale Senior Living

Catamaran Corp

HMS Holdings

Wellcare

Acadia Healthcare

AmSurg

Synergy Healthcare


Investment Process – Filter / Due Diligence / Risk

US Europe RoW

Pharmaceuticals

Biotechnology

Medical Devices

Services

> 2,900 global healthcare companies

70 potential stock ideas

Industry contacts

Industry periodicals

Company meetings

Broker contacts

Identify companies

that meet our

opportunity criteria

Gareth Powell

Daniel Mahony

Anna Sizova


1. The operating leverage impact of new products can be underestimated

– Detailed financial modelling can reveal the effect of a new product on operating margins and is also important when assessing

the potential negative impact of competition

2. A longer investment horizon to exploit the time-value proposition of healthcare

– Given the long development times and product cycles in the drug and device industry, product candidates in early

development are often under-valued

3. Specialist or niche markets are regularly overlooked by investors

– Small markets can create a significant commercial opportunity for a mid-sized company

4. M&A activity is often under-rated by the market

– M&A has been shown to drive long-term value for some healthcare companies but is often not reflected in the initial stock

reaction to the news

5. New technologies can generate significant investor returns

– Healthcare relies on innovation and so keeping abreast of new breakthroughs creates an opportunity to profit from increased

awareness of a new drug, device or technology

6. Geographical and sector anomalies in valuation

– US healthcare companies are often priced at a premium to global peers, especially in sectors such as biotechnology

Investment opportunities

Stage 1 – Primary Filter


Stage 2 – Due Diligence – Stock Picking

Physician and consultant network

Company meetings and site visits

Investor conferences

Medical meetings

45 candidates for the portfolio

Valuation

• We have developed proprietary valuation

algorithms for biotechnology companies

• We prefer fundamental valuation approaches

such as DCF and residual income

• We use peer group analysis – such as P/E,

PEG and EV/EBITDA – to help identify good

entry and exit points

Detailed financial models

• We build detailed market models when

appropriate – the physician network is critical

for gaining insights here

• Sensitivity analysis is important for stress

testing assumptions

• We maintain our own P&L, Balance sheet and

cash flow models

70 potential stock ideas


We will manage the risk/reward profile of the portfolio • Our multi-cap approach should generate superior risk-adjusted returns versus the healthcare index

– The portfolio comprises three “conceptual buckets” based on the expected holding period

– We want to exploit the long-term upside potential of small-cap stocks but risk and volatility are high

– Mid and large-cap stocks have greater liquidity but anomalies in valuation tend to be shorter duration

Stage 3 – Risk Management

Portfolio of c. 45 stocks

Expected holding

period 12 – 24 months 3 – 12 months 1 – 5 years

Market cap US$1 - 5 billion >US$5 billion <US$1 billion

Estimated portfolio

weighting 20 - 40% 20 - 60% 20 - 40%

Potential reward

Risk

Market Capitalisation

Liquidity


• Overview

– Number of holdings 40-45 stocks

– Top 10 holdings c. 40% of portfolio

– Benchmark MSCI World AC Healthcare

– Max. position size 10% of NAV

– Geographic Exposure Global

– Use of derivatives Tactical Protection

• Independent risk control process managed by Chief Risk Officer

– Independent of portfolio managers

– Risk profile of each fund assessed at a monthly Risk Management Committee

– Ensures risk managed relative to the investment objectives of Polar Capital’s clients

Portfolio Construction


Polar Capital was

established in 2001 and

has $5.1bn AUM, with

85 employees.

The Firm was listed on

the London Stock

Exchange (AIM) in

February 2007. The

Firm offers managers a

level of infrastructure

and corporate

governance normally

found in much larger

organisations.

As at 29 June 2012

Polar Capital Overview

Ownership

Business infrastructure

• Distribution and marketing

• Operational support

• Risk management

• Compliance

• Technology

• Finance

Management

Tom Bartlam

Non-Executive Chairman

Tim Woolley

CEO/Co-Founder

John Mansell

Chief Operating Officer

42%

10%

14%

34%

$5.1bn

Polar Capital

XL

Caledonia

Free Float

Total assets under

management Strategies Fund managers AUM

Technology Ben Rogoff

Nick Evans

2 funds

$1,309m

Japan James Salter

Gerard Cawley

$1,533m

UK Philip Hardy 2 funds

$257.2m

European Robert Gurner

Andrew Marsh

2 funds

$612.1m

Healthcare Dan Mahony

Gareth Powell

2 funds

$384.3m

Financials John Yakas

Alec Foster

Nick Brind

4 funds

$494.0m

Emerging Market

William Calvert 2 funds

$165.9m

Convertibles David Keetley

Stephen McCormick

$38.7m

North American Andrew Holliman

Richard Wilson

$260.6m

European MN Ton Tjia

2 funds

$26.3m Source: Polar Capital.


House View

This document has been produced based on Polar Capital research and analysis and represents our house view. All sources are Polar Capital unless otherwise stated.

Important Information

The information provided in this presentation is for the sole use of those attending the presentation it shall not and does not constitute an offer or solicitation of an offer to make an investment into any fund managed

by Polar Capital. It may not be reproduced in any form without the express permission of Polar Capital and is not intended for private investors.

This presentation is only made available to professional clients and eligible counterparties. Shares in the fund should only be purchased by professional investors. Any other person who receives this presentation

should not rely upon it. The law restricts distribution of this document in certain jurisdictions, therefore, persons into whose possession this document comes should inform themselves about and observe any such

restrictions.

This document does not provide all information material to an investor’s decision to invest in the Polar Capital Funds Plc – Healthcare Opportunities Fund, including, but not limited to, risk factors. For more

information, please refer to the fund’s offer document and read it carefully before you invest.

Statements/Opinions/Views

All opinions and estimates in this report constitute the best judgment of Polar Capital as of the date hereof, but are subject to change without notice, and do not necessarily represent the views of Polar Capital. Polar

Capital is not rendering legal or accounting advice through this material; readers should contact their legal and accounting professionals for such information.

Third-party Data

Some information contained herein has been obtained from other third party sources and has not been independently verified by Polar Capital. Polar Capital makes no representations as to the accuracy or the

completeness of any of the information herein. Neither Polar Capital nor any other party involved in or related to compiling, computing or creating the data makes any express or implied warranties or representations

with respect to such data (or the results to be obtained by the use thereof), and all such parties hereby expressly disclaim all warranties of originality, accuracy, completeness, merchantability or fitness for a particular

purpose with respect to any of such data.

Holdings

This portfolio data is “as of” the date indicated and should not be relied upon as a complete or current listing of the holdings (or top holdings) of the fund. The holdings may represent only a small percentage of the

aggregate portfolio holdings, are subject to change without notice, and may not represent current or future portfolio composition. Information on particular holdings may be withheld if it is in the fund’s best interest to

do so. A complete list of the portfolio holdings may be made available upon request. It should not be assumed that any of the securities transactions or holdings discussed was or will prove to be profitable, or that

the investment recommendations or decisions we make in the future will be profitable or will equal the investment performance of the securities discussed herein. The information provided in this document should

not be considered a recommendation to purchase or sell any particular security.

Benchmarks

The following benchmark index is used: MSCI All Country World Index/Healthcare. These benchmarks are generally considered to be representative of the Global Healthcare market universe. These benchmarks are

broad-based indices which are used for comparative/illustrative purposes only and have been selected as they are well known and are easily recognizable by investors. Please refer to www.mscibarra.com for further

information on these indices.Comparisons to benchmarks have limitations because benchmarks have volatility and other material characteristics that may differ from the fund. For example, investments made for the

fund may differ significantly in terms of security holdings, industry weightings and asset allocation from those of the benchmark. Accordingly, investment results and volatility of the fund may differ from those of the

benchmark. Also, the indices noted in this presentation are unmanaged, are not available for direct investment, and are not subject to management fees, transaction costs or other types of expenses that the fund

may incur. In addition, the performance of the indices reflects reinvestment of dividends and, where applicable, capital gain distributions. Therefore, investors should carefully consider these limitations and differences

when evaluating the comparative benchmark data performance. The information regarding the indices are included merely to show the general trends in the periods indicated and is not intended to imply that the fund

was similar to any of the indices in composition or risk.

Polar Capital

4 Matthew Parker Street

London SW1H 9NP

Important Information


Regulatory Status

This document is Issued in the UK by Polar Capital.

Polar Capital LLP is a limited liability partnership number OC314700. It is authorised and regulated by the UK Financial Services Authority (”FSA”) and is registered as an investment adviser with the US Securities &

Exchange Commission (“SEC”). A list of members is open to inspection at the registered office, 4 Matthew Parker Street, London SW1H 9NP.

Information Subject to Change

The information contained herein is subject to change, without notice, at the discretion of Polar Capital and Polar Capital does not undertake to revise or update this information in any way.

Forecasts

References to future returns are not promises or even estimates of actual returns Polar Capital may achieve, and should not be relied upon. The forecasts contained herein are for illustrative purposes only and are

not to be relied upon as advice or interpreted as a recommendation. In addition, the forecasts are based upon subjective estimates and assumptions about circumstances and events that may not yet have taken

place and may never do so.

Performance

Performance is shown net of fees and expenses and includes the reinvestment of dividends and capital gain distributions. Many factors affect fund performance including changes in market conditions and interest

rates and in response to other economic, political, or financial developments. Investment return and principal value of your investment will fluctuate, so that when your investment is sold, the amount you receive could

be less than what you originally invested. Past performance is not a guide to or indicative of future results. Future returns are not guaranteed and a loss of principal may occur. Investments are not insured by the

FDIC (or any other state or federal agency), are not guaranteed by any bank, and may lose value.

Investment Process - Risk

No investment process or strategy is free of risk and there is no guarantee that the investment process or strategy described herein will be profitable. Investors may lose all of their investments.

Allocations

The strategy allocation percentages set forth in this document are estimates and actual percentages may vary from time-to-time. The types of investments presented herein will not always have the same comparable

risks and returns. Please see the private placement memorandum for a description of the investment allocations as well as the risks associated therewith. Please note that the fund may elect to invest assets in

different investment sectors from those depicted herein, which may entail additional and/or different risks. The actual performance of the fund will depend on the Investment Manager’s ability to identify and access

appropriate investments, and balance assets to maximize return to the fund while minimizing its risk. The actual investments in the fund may or may not be the same or in the same proportion as those shown herein.

Polar Capital

4 Matthew Parker Street

London SW1H 9NP

Important Information Cont.

Documents

Polar capitals presentation