STRATEGY GUIDE

Brandywine Enhanced Strategies
A smarter way to invest

SEEK TO OUTPERFORM BENCHMARKS OVER A FULL CYCLE &LIMIT BEAR MARKET LOSSES
MAINTAIN DOWNSIDE PROTECTION 100% OF THE TIME

This Brandywine Strategy Guide is designed to help investors
understand why and how the Brandywine Enhanced Strategies work,and how Brandywine’s innovation of “Risk Replacement”
provides investors with “a smarter way to invest.”

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What are Brandywine Enhanced Strategies?
Brandywine Enhanced Strategies hold 100% exposure
to each of their benchmarks, but protect the downsideusing Brandywine’s innovation of “Risk Replacement.”
Risk Replacement is insurance you get paid to hold.
It’s like fire insurance for your home but with two huge
differences:
Fire Insurance:
Fire insurance costs you money every year
It doesn’t prevent the fire

It is far more rational to protect yourportfolio than to insure your home

100%

Probability of Occurring
within 10 Years

80%

Equity BearMarket60%
40%
20%
0%House Fire

Brandywine Enhanced Strategies:
Potential to pay you with greater returns
Prevent your portfolio from burning.

Source: Brandywine Asset Management. For illustrative purposes
only and not representative of an actual portfolio that Brandywine
manages. Past performance is not indicative of future performance.
There is the risk of loss as well as the opportunity for gain wheninvesting with Brandywine.

3 STRATEGY GUIDE

Questions? Schedule a call or 610.361.1000 x102

BRANDYWINE ENHANCED STRATEGIESWhy are Brandywine Enhanced Strategies“a smarter way to invest?”

Bear markets cause both:
Emotional distress
Reduced long-term performance
If downside risk can be protected, that 50% bear market
loss could be reduced by 1/3 or more. As a result,instead of requiring a 100% return “just to get back toeven”, that same 100% return can provide investors with
30% or more in “new profits”.

$16,000

Value of Ini�al $10,000

Investment professionals have long touted the benefit oflong-term buy and hold investing. But to do so, investors
must suffer through sizable bear market losses of up to50% or more.

Reduced Loss =Increased Returns
With Protec�onWithout Protec�on$10,000$4,000Start

50% Bear Market

Recovery

Source: Brandywine Asset Management. For illustrative purposes
only and not representative of an actual portfolio that Brandywine
manages. Past performance is not indicative of future performance.
There is the risk of loss as well as the opportunity for gain wheninvesting with Brandywine.

Brandywine protects your downside so you can sleep
easier and your money can grow faster.
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How do Brandywine Enhanced
Strategies work?
Risk of 20% Loss isDrama�cally Reduced

Brandywine employs its innovation of“Risk Replacement”
Holds 100% long position in a benchmark index

100%

Buys put options to offset the risk of holding
the benchmark & protect against significant loss

80%

Pays for those put options with a lower risk
portfolio diversified across multiple markets andReturn Drivers“The high risk of the unprotected benchmark is replacedwith the lower risk diversified portfolio AND 100% of theupside potential of holding the benchmark is retained.”

This simply exploits the benefits, long touted byacademics, of modern portfolio theory.
5 STRATEGY GUIDEBRANDYWINE ENHANCED STRATEGIES

Unprotected
S&P 500

60%

High Probability

40%

Without
Protec�on

20%
0%A�er Risk
Replacement

WithRisk Replacement

Source: Brandywine Asset Management. For illustrative purposes
only and not representative of an actual portfolio that Brandywine
manages. Chart shows probability of 20% bear market occurring inthe S&P 500 over any 10 year period. Past performance is notindicative of future performance. There is the risk of loss as well as
the opportunity for gain when investing with Brandywine.

Questions? Schedule a call or 610.361.1000 x102

Your Decision Today Affects Your
Retirement Tomorrow
Brandywine Enhanced Strategies provide you with the potential to avoid dramatic bear market losses,
which leads to greater portfolio growth, as recoveries start from higher levels.
Same Initial Investment
every $10,000$10,000

Value at Bear Market Low
Protected investment
preserves account value

Value in 30 YearsProtected value may be more than
50% greater than unprotected$250,000

Unprotected
Investment

PROTECTED
Investment$7,000$7,500PROTECTED
Investment$6,000$5,000$200,000$150,000$5,000

Unprotected
Investment$2,500$4,000PROTECTED
Investment

Unprotected
Investment$100,000

Source: Brandywine Asset Management. For illustrative purposes only and not representative of an actual portfolio that Brandywine manages. Assumes $10,000
initial account size and downside protection and similar bull market performance between the Unprotected and Protected investments. Past performance is notindicative of future performance. There is the risk of loss as well as the opportunity for gain when iinvesting with Brandywine.

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How do Brandywine Enhanced Strategies
fit into your portfolio?
Brandywine Enhanced Strategies were developed to serve as replacements for today’s unprotectedpassive and active equity and fixed income funds. In fact, with downside protection, you are able toinvest more in equities than you had previously invested in unprotected equity funds.
Brandywine Enhanced Strategies could benefit investors looking to:
Reduce theoverall risk of theirequity portfolio
while remaining
fully invested

Potentially
increase theirportfolio returns

Mitigate large
losses of capitalduring periods offinancial distress

Simply put, replacing your current investment in unprotected equity and fixed income funds with
Brandywine Enhanced Strategies gives you the potential to both “sleep easy” and earn more.

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About Brandywine
Brandywine Asset Management was founded in 1982 and has a long history ofinvestment research, innovation and fund management.
Brandywine’s founder wrote a best-selling investment book that introduced the Return
Driver investing concept that is key to Brandywine’s innovation of Risk Replacement,
which is instrumantal to the success of Brandywine Enhanced Strategies.
While Brandywine’s approach is backed by extensive research and supported byacademic studies, it is based on actual experience. Brandywine’s senior management
has been managing complex hedge fund strategies since the early 1980s. We
recognize the difference between theory and reality.
Perhaps most importantly, Brandywine is not reliant on ‘star’ portfolio managers. Overthe decades, our team of researchers has followed a disciplined systematic andrepeatable approach to both research and investing. Brandywine Enhanced
Strategies are built on that 40 years of accumulated research and investing
experience.

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Disclosures
All graphs are for illustrative purposes only and not representative of an actual portfolio that Brandywine manages.
The value of the fund may fall or fail to rise over extended periods of time for a variety of reasons, including
general economic, political, or financial market conditions; investor sentiment and market perceptions; government
actions; geopolitical events or changes; and factors related to a specific issuer, geography, industry, or sector.
These and other factors may lead to increased volatility and reduced liquidity in the fund’s portfolio holdings. The
risk replacement strategy employed by the fund may not succeed in preventing significant losses in the fund’svalue and may not reduce risk. We, or the fund’s other service providers, may experience disruptions or operating
errors that could have a negative effect on the fund. You can lose money by investing in the fund.
This material is a general communication for informational and educational purposes only. The material was notprepared, and is not intended, to address the needs, circumstances, and objectives of any specific institution, plan,or individual(s). Brandywine is not providing advice in a fiduciary capacity under applicable law in providing thismaterial, which should not be viewed as impartial, because it is provided as part of the general marketing andadvertising activities of Brandywine, which earns fees when clients select its products and services.
PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE PERFORMANCE. THERE IS THE RISK OF LOSS AS WELL
AS THE OPPORTUNITY FOR GAIN WHEN INVESTING WITH BRANDYWINE.

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Brandywine Asset Management, Inc
The Mill, 381 Brinton Lake Road
Thornton, PA 19373

P: 610.361.1000
e-mail: info@brandywine.com
Website: www.brandywine.com