Allianz RCM BRIC Stars

Just as the US emerged in the late 19th Century and Japan in the 1960s and 1970s, the stage is set for the BRIC economies - Brazil, Russia, India and China - to challenge the world order in global economics in the first half of the 21st Century.

• Brazil, Russia, India and China - the BRIC economies - are amongst the largest and fastest growing markets in the world*.
• Already the BRIC economies have recorded significantly higher growth rates than the western G6 industrial nations in recent years*.
• By 2050, only the US and Japan may be among the six largest economies in US dollar terms*.
• The emergence of these super economies is well publicised; whether its Brazil and China uniting on trade or Russian companies queuing up to list on the London Stock Exchange, the rise of these countries is hitting the headlines.
• The rationale for investing in these countries is persuasive. Each of them offers a unique investment proposition: Brazil is benefiting from the increase in global demand for its base materials such as iron ore whereas Russia, with its huge oil and gas reserves, is profiting from the global shortage of energy sources. India is emerging as a clear winner in the global outsourcing trend whilst China’s growth is driven by its industrial might.

Macro statistics should be treated with caution and stock markets do not necessarily reflect economic production. Nevertheless, we believe the case for BRICs is compelling as they continue to generate headlines amongst leading economists and the mainstream press.

*Source; Goldman Sachs, 2003, Dreaming with BRICs: The Path to 2050

	Brazil   one of the world's largest commodity exporters home to the largest iron ore supplies exports also include coffee and soya   Russia   home to the largest supply of natural gas 15% of the world's crude oil reserves country debt awarded investment-grade rating in 2005   India   highly skilled workforce key centre for international companies looking to outsource large infrastructure programmes   China   5th largest exporter of merchandise huge domestic consumption 2008 Olympic Games

The markets in which this fund invests may be highly volatile and carry a higher risk both in terms of market and currency volatility which may result in dramatic fluctuations from time to time. Risks might also include dealing difficulties, settlement and custody practices and the market for some of the securities may be less liquid. Investments in emerging markets include investment in Russia. You should be aware that although the Russian Registrar Companies, that provide share registration services to issuers of Russian securities, are appropriately licensed in Russia, they may not be subject to the same stringent controls, as in other, more developed countries. This may mean that investors may not secure good title to the Russian securities held by the local Depositary. Hence, because of the potential for even greater volatility in such markets, there is a consequently greater risk of you not receiving back all/or any of your investment allocated to this market. The Fund will hold typically around 60 stocks. Lower diversification and active stock selection can result in greater than average investment in individual countries, companies or market sectors. Such concentration can give rise to more risk than where investments are spread over a larger number of countries, companies or market sectors. Whilst this may increase the potential gains, this concentration of exposure and lack of diversification may also substantially increase the risk of loss in the Fund. Past performance is no guide to future performance and the value of an investment and the income from it can fall as well as rise. Issued by Allianz Global Investors (UK) Ltd. Authorised and regulated by the Financial Services Authority, registration number 122218. Registered office: 155 Bishopsgate, London, EC2M 3AD. Registered number: 1963362.