ENVIRONMENTAL. SOCIAL. GOVERNANCE. IMPACT. - RBC GAM

ENVIRONMENTAL.SOCIAL.GOVERNANCE.IMPACT.A Commitment to Responsible InvestingIt is increasingly recognized that being activeand engaged asset owners empowers investorsto enhance the long-term, sustainableperformance of their portfolios. Manyinstitutions now recognize that the rights theyhave as large, global investors include theopportunity to actively use those rights in aresponsible way.Impact investing is another approach toresponsible investing. Impact investing offersinvestors the ability to earn a return while alsotargeting social causes and directing theirinvestments towards those select causes.Investments may be made in areas such ascommunity development, healthcare, educationand small business creation.Responsible investing has many differentinterpretations. One approach to mental, social and governance (ESG)risks and opportunities taken by the companiesor countries in which institutions invest. Manyasset managers integrate ESG factors intotheir investment process as it is recognizedthat doing so may have a material impact oninvestment risk and/or return.ESG integration and impact investing arejust two approaches to the ever wideninguniverse of responsible investment; both arecomprehensive and thoughtful approaches thathave their own merits.AnESG approach can beintegrated into the investmentprocess as a way to highlightfactors that may positivelyimpact shareholder value.Impact investing can beviewed as part of the latestiteration of a long-standingbelief among some investorsthat they can and should usetheir capital to do more thanmaximize returns.

Environmental.Social.Governance.Impact.RBC GAM is committed to responsible investing; consideration of ESG factors andESG Definedanalysis of the impact investment landscape are important to both our managementteam and like-minded investors. Responsible investing can take many different forms,including integration of ESG factors in the investment process, and impact investing,where both financial and social returns are sought. These are two very differentinvestment approaches that fall under the umbrella of responsible investing and eachappeals to different groups of investors. This is why our diverse investment platformincludes options that incorporate ESG and impact considerations into the investmentdecision making process. As the methods for incorporating these considerations varywidely across our platform, it is up to the investor to decide which approach is bestfor them.Exhibit 1ESG & Impact Focused Investment Capabilities*ESG refers to environmental, socialand governance factors that may havea material impact on an investment.Environmental analysis looks at howa company performs as a stewardof the natural environment. Socialanalysis examines how a companymanages relationships with itsemployees, suppliers, customers andthe communities where it operates.Governance analysis deals with acompany’s leadership, executivepay, audits and internal controls, andshareholder rights.Impact DefinedGlobal CreditStrategies Convertibles Emerging Markets Investment Grade Leveraged Finance Multi-Asset*Available in the USImpactInvesting Access CapitalCommunityInvestingGlobal &InternationalEquity Strategies Global Equity InternationalEquity Fossil Fuel FreeGlobal EquityEmerging MarketsEquity Strategies Emerging MarketsEquity Emerging MarketsSmall Cap EquityImpact investing is the process bywhich funds are allocated not onlyto earn a financial return but alsoto advance social goals. Impactinvesting encompasses a vast range ofinvestments, from alternative energyprojects to micro-finance and fromaffordable housing to organic farming.

IncorporatingESG FACTORS intothe INVESTMENT PROCESS

6,211 million as of 6.30.17Global/International EquityTeam Size and ExperiencenTeam makes an explicit judgment on management and ESG as part of its assessment of eachportfolio holding.nIndustry specialists measure ESG factors as part of their research process. Specialists usemultiple sources of ESG-related data.nNegative assessment on a company’s ESG policies would preclude that company frompotential investment.nApproach facilitates engagement and ensures ESG risks and opportunities can be incorporatedinto the fundamental and valuation process rather than an overlay.nEvery proxy voting proposal is examined in line with the team’s ownership mind-set andfiduciary duty.Assets Under Management11 investment professionals with anaverage of 20 years industry experienceStrategy Implementation DateSeptember 1, 2006Team CapabilityGlobal and International EquitiesFossil Fuel Free Global Equity 4,661 million as of 6.30.17Emerging Markets EquityTeam Size and ExperiencenTeam integrates ESG factors into fundamental and bottom-up stock selection process.nTeam reviews how companies deal with ESG factors and integrates that assessment into theinvestment process.nKey data source is their proprietary checklist, which includes questions on franchise strengthand sustainability, management quality and corporate governance.nChecklist is integral in eliminating potential mistakes, determining whether a company will beincluded in the portfolio and establishing our conviction level and weighting in the company.Assets Under Management8 investment professionals with an averageof 14 years industry experienceStrategy Implementation DateApril 1, 2010Team CapabilityEmerging Markets EquityEmerging Markets Small Cap 53,789 million as of 6.30.17Global CreditTeam Size and ExperiencenBlueBay Asset Management believes that ESG factors can potentially have a material impacton an issuer’s long-term financial performance.nBlueBay employs an ESG investment risk management overlay across all of their fixed incomeinvestment strategies.Team CapabilitynGlobal Convertible BondsEmerging Market DebtGlobal Leveraged FinanceGlobal Investment Grade CreditMulti-AssetThe primary approach of ESG integration involves the identification and assessment ofmaterial ESG risk factors.nTeam complements traditional financial analysis by reviewing credit relevant ESG risk factorssuch as corporate governance and ethical conduct.Assets Under Management117 investment professionals with anaverage of 14 years industry experienceStrategy Implementation DateSeptember 1, 2002

966 million as of 6.30.17Access Capital Impact InvestingTeam Size and ExperiencenStrategy aims to deliver the “double bottom line” outcomes of competitive risk-adjustedreturns and social betterment.nImpact investments focused on high grade economically-targeted fixed income securities.nStrategy offers investors the ability to invest in underserved communities in geographicallytargeted locations that hold special meaning to investors.*nTeam seeks competitive risk-adjusted returns by investing in high quality, highly liquidsecurities backed by various US government agencies or municipalities.Assets Under Management6 investment professionals with an averageof 33 years industry experienceStrategy Implementation DateJuly 1, 1998Team CapabilityImpact Investing (US Fixed Income)*Subject to minimum investment and availability of investmentsResponsible Investment CommitmentsRBC GAM is a signatory to the UN Principlesof Responsible Investing (UN PRI). Weare committed to putting the UN PRI’s sixprinciples of responsible investment intopractice and believe that they are alignedwith our existing approach to responsibleinvestment.We are also a signatory to:nCarbonDisclosureProject,whichincentivizes companies and cities tomeasure and disclose their environmentalinformation by putting this informationat the heart of business, investment andpolicy decision making.Additionally, RBC GAM is a signatory tothe UK Stewardship Code, which aims toenhance the quality of engagement betweenasset managers and companies to helpimprove long-term risk-adjusted returns toshareholders. We update our StewardshipCode Statement annually.nUN PRI Statement on ESG in creditratings, an effort for credit rating agenciesto consider ESG factors as part of theiranalysis of issuers’ credit worthiness.nCeres’ Statement of Investor Expectationsfor the Green Bond Market, which supportsconsistency in standards and proceduresthat serve to produce a common frameworkfor investors, issuers and underwriters ofgreen bonds.

For more information on how RBC Global Asset Management can serve you, please contact us:Tom HeflinJanet QuarbergTim MaulGerald Cosgrove, CFAInstitutional Sales, West225 Franklin Street, Suite 2700Boston, MA 02110Tel: 206-949-3437tom.heflin@rbc.comInstitutional Sales, Midwest50 South Sixth Street, Suite 2350Minneapolis, MN 55402Tel: 612-376-7156janet.quarberg@rbc.comInstitutional Sales, Northeast225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4727tim.maul@rbc.comHead of Consultant Relations - US225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4701gerry.cosgrove@rbc.comLinh Pham DiPippaDonald Sanya, CFAChristopher Powers, CFAMike PorembaInstitutional Sales, West225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4761linhpham.dipippa@rbc.comInstitutional Sales, Southeast225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4725donald.sanya@rbc.comInstitutional Sales, Northeast225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4713christopher.powers@rbc.comSr. Consultant Relations Manager225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4762michael.poremba@rbc.comMike RefojoCatherine BanatRonald A. HomerKimberly JacksonHead of Institutional Sales - US225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4740mike.refojo@rbc.comInstitutional Portfolio Manager1211 Avenue of the Americas,29th FloorNew York, NY 10036Tel: 212-703-6229catherine.banat@rbc.comInstitutional Portfolio Manager225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-236-7314ron.homer@rbc.comConsultant Relations Manager225 Franklin Street, Suite 2700Boston, MA 02110Tel: 617-722-4748kimberly.jackson@rbc.comThis document is intended for distribution only to institutional investors and financial professionals based in the US and is not for distribution to retail clients or the public. All material presented is compiled fromsources believed to be reliable and current, but accuracy cannot be guaranteed. Investment advisory services provided by RBC Global Asset Management (U.S.) Inc. (RBC GAM-US), a federally registered investmentadviser founded in 1983. This is not to be construed as an offer to buy or sell any financial instruments. It is not our intention to state, indicate or imply in any manner that the current or past results are indicative offuture profitability or expectations. The views expressed herein reflect the RBC GAM-US as of 6.30.17. Views are subject to change at any time based on market or other conditions.RBC Global Asset Management (U.S.) Inc. (“RBC Global Asset Management - US” or “RBC GAM-US”) is a federally registered investment adviser founded in 1983. RBC Global Asset Management (RBC GAM) is theasset management division of Royal Bank of Canada (RBC) and comprises the following affiliates, all of which are indirect wholly owned subsidiaries of RBC: RBC Global Asset Management (U.S.) Inc. (RBC GAM-US),RBC Global Asset Management Inc., RBC Global Asset Management (UK) Limited (RBC GAM-UK), BlueBay Asset Management LLP, BlueBay Asset Management USA LLC and the asset management division of RBCInvestment Management (Asia) Limited. / Trademark(s) of Royal Bank of Canada. Used under license. 2017 RBC Global Asset Management (U.S.) Inc.us.rbcgam.com

The views expressed herein reflect the RBC GAM-US as of 6.30.17. Views are subject to change at any time based on market or other conditions. RBC Global Asset Management (U.S.) Inc. (“RBC Global Asset Management - US” or “RBC GAM-US”) is a federally registered investment adviser founded in 1983. RBC Global Asset Management (RBC GAM) is the