BNY Mellon Asset Servicing Announces CAPS Pooled Pension Fund Update for May 2009

LONDON - All equity markets post positive returns with North American equity the only exception

BNY Mellon Asset Servicing, the global leader in securities servicing, has today announced the CAPS pooled pension funds performance results in the UK for May 2009.

Balanced pooled funds produced positive returns during May 2009 with a median return of 2.2%, turning the year to date returns to April from negative to positive, for the period ending May. The year to date median return for Balanced Pooled funds was 0.6%.

Over one, three and five years to May 2009, Balanced pooled funds returned -17.4%, -2.0% p.a. and 5.1% p.a. respectively. Over 10 years to May 2009 these funds have returned 2.0% p.a.

Active UK Equity managers returned 3.7%, net of fees, for the month. This was 0.5% below the return of the FTSE All-Share index. However UK Equities posted a positive return of 4.1% from the start of the year to May 2009 which matched the return on the FTSE All-Share index.

Net median performance against index performance for May 2009 is detailed below.

Universe Name Net Median Return Index Return (%) (%) Balanced 2.2 - UK Smaller Companies 2.7 3.5 UK Equity Standard 3.7 4.2 Overseas Equity 0.9 1.0 Global Equity 2.0 1.3 North American Equity -2.9 -2.1 European ex UK Equity 2.4 2.7 Pan European Equity* - 3.3 Japanese Equity 1.8 1.4 Pacific Basin (ex Japan) Equity 4.8 5.8 Emerging Market Equity 8.3 7.6 UK Bonds Standard 2.1 -1.0 UK Bonds Long Term 1.8 -2.1 International Bond -5.0 -5.6 Index Linked 1.6 1.2 Cash 0.1 0.0 Property -0.2 -1.5

*Please note there were not enough funds in the Pan European Equity sector to calculate a median

Markets - Apart from North American Equity, which posted a return of -2.1%, all the other major equity markets posted positive returns during May. The Emerging Market Equity posted the highest return of 7.6%. - The overall picture shows that returns are down compared to April but other higher performing equities for the period were Pacific Basin (ex Japan) Equity with 5.8% and UK Equity Standard with 4.2%. - In comparison, after the North American Equity, the weakest equity performances came from Overseas Equity, Global Equity & Japanese Equity with returns of 1.0%, 1.3% and 1.4% respectively. - The weakest returns were posted by International Bonds with -5.6%; UK bonds also posted a negative return of -1.0% during May 2009. - Cash provided a 0.0% return while Property posted a negative return of -1.5%.

Balanced fund asset distributions - When compared to April, UK Equity weightings rose by 0.4% in May to 37.6%; this can be mainly attributed relative performance. - Overseas Equities weightings have also continued to rise, by 0.7% in this period, with the weighting moving from 38.9% in April to 39.6% in May. - The largest weighting movement was in UK bonds which fell by 0.8% to 9.8% in May. However, the weighting of International Bonds was stable, remaining at 3.6%. - The weightings adjusted slightly for Index-Linked Gilts, rising 0.1% to 0.5%, while Property remained static, also with a 0.5% weighting.

Survey size

BNY Mellon Asset Servicing’s Pooled Pension Fund Database covers the largest and most representative sample available to UK pension funds’ trustees. BNY Mellon Asset Servicing currently covers 69 separate asset managers who manage over 341 billion pounds sterling in pooled funds, both balanced and specialist.

Notes to editors

The performance analysis and other information in this (report and/or press release) are based on historical data and are intended for informational purposes only. Past performance is not a guarantee of future performance. This (report and/or press release) does not constitute investment advice, nor is it an offer or recommendation of any security, investment product, service or firm.

BNY Mellon Asset Servicing offers clients worldwide a broad spectrum of specialised asset servicing capabilities, including custody and fund services, securities lending, performance and analytics, and execution services. BNY Mellon Asset Servicing offers its products and services through The Bank of New York Mellon and other subsidiaries of The Bank of New York Mellon Corporation.

The Bank of New York Mellon Corporation is a global financial services company focused on helping clients manage and service their financial assets, operating in 34 countries and serving more than 100 markets. The company is a leading provider of financial services for institutions, corporations and high-net-worth individuals, providing superior asset management and wealth management, asset servicing, issuer services, clearing services and treasury services through a worldwide client-focused team. It has $19.5 trillion in assets under custody and administration, $881 billion in assets under management, services more than $11 trillion in outstanding debt and processes global payments averaging $1.8 trillion a day. Additional information is available at www.bnymellon.com

Source: BNY Mellon Asset Servicing

Louisa Bartoszek of BNY Mellon Asset Servicing, +44-20-7163-2826, louisa.bartoszek at bnymellon.com