GIF Select IncomePlusLike your own personal pension plan

Stéphane R. Dieujuste, CIM

District Vice President, Manulife Investments

GIF Select IncomePlus

Defined ContributionPension Plan

Defined BenefitPension Plan

Pre-defined contributions throughout working years

Pre-defined benefitin retirement

Typically, investor hasfund choice

No fund choice allowedby investors

Not inflation protected Often provides inflation protection

Investor is responsible for turning savings into income

The plan generates income in retirement

Income for as long as thesavings last Income for life

The right fit for your portfolio

Guaranteed Lifetime Income Sources

Non-Guaranteed Income Sources

Product Categories

QPP & OAS Defined Benefit (DB) Pensions

Annuities

GMWB – Guaranteed Minimum Withdrawal Benefit

SWP Defined Contribution

Pensions Mutual Funds Segregated Fund Contracts Stocks Bonds Bank or insurance GICs*

Income Protection

Protected Protected & Variable

Variable

Participation in Markets

Non-Participating

Participating Participating

Retirement risks and challenges

INFLATION

Decrease buying power of savings

LONGEVITY

Outlive life savings

VOLATILITY

Poor market returns

HEALTH CONCERNS

Can you afford to become ill?

The Retirement Risk Zone –5 to 10 years before and after retirement

ACCUMULATION(SAVINGS)

RETIREMENTDATE

RETIREMENT(PAYOUT)

RETIREMENTRISK ZONE

The period of time where you are most vulnerable to market downturns

Affects how much you retire with and how long it will last

Create your own sustainable retirement income

GIF Select IncomePlus

IncomePlus Provides predictable, sustainable income that will last for life

(5%) or the lives of two spouses (4.5%) Allows access to the market value of the investments in the

case of an emergency

ALSO Any residual benefit can be passed to beneficiaries Income not reduced on death of first spouse (for the Joint

Life payout option) Potential resets on every 3 year anniversary date

The Joint Life must be the spouse (as defined by the Income Tax Act (Canada) ) of the annuitant. Exceeding the withdrawal thresholds may have a negative impact on future income payments. Maturity and Death Benefit Guarantees reduced proportionally for withdrawals. Maturity Guarantee available on December 31st of the annuitant’s 100th year or earlier where required by legislation. Withdrawals may be subject to fees.

GuaranteedWithdrawal

Benefit (GWB) Benefit Base

LifetimeWithdrawal

Amount(LWA)

Terms to know

IncomeBonus

Lifetime Withdrawal Amount –Payout Percentages

Annuitant Age(on Dec 31st)

Single Life LWA

Joint LifeLWA*

55 - 64 4% 3.5%

65 - 74 5% 4.5%

75 + 6% 5.5%

*Based on the age of annuitant, or younger of annuitant and Joint Life (if applicable)

Available on January 1st of the year you turn age 55

An amount based on the GWB Benefit Base annually and the elected payout percentage

not eligible to continue after your death

Exceeding the withdrawal thresholds and/or withdrawals taken prior to the Election of LWA (Lifetime Withdrawal Amount) may have a negative impact on future income payments. The LWA becomes available for election on January 1st of the year the annuitant or the younger of the annuitant and the Joint Life (if applicable) turns age 55. Other conditions may apply.

Lifetime Withdrawal Amount – Single Life Payout Option

Available on January 1st of the year the younger of you or your spouse turns age 55

An amount based on the GWB Benefit Base annually and the elected payout percentage

Exceeding the withdrawal thresholds and/or withdrawals taken prior to the Election of LWA (Lifetime Withdrawal Amount) may have a negative impact on future income payments.The Lifetime Withdrawal Amount becomes available January 1st of the year the annuitant or the younger of the annuitant and the Joint Life (if applicable) turns age 55. The Joint Life must be the spouse [as defined by the Income Tax Act (Canada)] of the annuitant at the time of election of the Joint Life Payout option. Only one person can be named as the Joint Life and may not be changed. Other conditions may apply.

Lifetime Withdrawal Amount – Joint Life Payout Option

Lifetime Withdrawal Amount (LWA)

Single Life(5%)

Joint Life *(4.5%)

Lifetime Withdrawal Amount $10,000 $9,000

Income Eligibility Age

Annuitant must be 55 to begin LWA

Both spouses must be 55 to begin LWA

Latest Age to Deposit

Deposits to age 80 of the annuitant

Deposits to age 80 of the oldest spouse

Income Continuation

Upon death – death benefit proceeds to

beneficiary

Upon 1st death - $9,000 LWA continues to

surviving spouse*The Joint Life must be the spouse or common-law partner (as defined by the Income Tax Act (Canada)) of the annuitant at the time of election of the Joint Life Payout Option. Only one person can be named as the Joint Life and may not be changed

Example: $200,000 deposit at age 65, a 5% Single Life Payout option and a 4.5% Joint Life payout option

5% Income bonus added to your guaranteed income, for ANY year income is not taken

Bonuses are not cash deposits, they increase the amount that is basis for calculating the guaranteed income amounts.

Income bonus

Retirement Age / Payout Rate

Income Bonuses

GWB Benefit Base

Annual Lifetime

Withdrawal Amount

Percentage of Initial

Investment

55 years old / 4% payout rate $0 $200,000 $8,000 4%

65 years old /5% payout rate $100,000 $300,000 $15,000 7.5%

75 years old /6% payout rate $200,000 $400,000 $24,000 12%

Power of Income Bonuses and deferring Income Example: $200,000 initial investment

Assumes a down or flat market and no withdrawals have been taken. Assumes that Single life payout option and initial investment at age 55

Guarantees named beneficiaries 100% of deposit value

Reduced proportionally by withdrawals

Can potentially be increased

Resets to GWB and Death Benefit guarantee only occur when market value is higher than the existing guarantee. Resets to the death benefit guarantee end at age 80.

Death Benefit Guarantee

Automatically resets the: Death Benefit Guarantee

GWB Benefit Base and

GWB Bonus Base

to the market value, if higher, every third anniversary

Resets only occur when market value is higher than the existing guarantee. Resets to the Death Benefit Guarantee end at age 80.

IncomePlus Reset

Diversified investment choice

Your IncomePlus statement will show:

how your IncomePlus funds are performing

the guaranteed income available

the description and the values of all your contract guarantees

Easy to understand client statements

IncomePlus in action –Case studies

GIF Select IncomePlus – Income Later

IncomePlus was the first product of its kind in Canada

Features that could benefit pre-retirees: 5% Income bonus

Automatic resets to lock-in market gains every 3 years

100% Death Benefit Guarantee (proportionally reduced by withdrawals)

The bonus is available each year following the initial deposit to the IncomePlus Series, provided no withdrawals are taken. Bonuses are not cash deposits, they increase the basis for calculating the guaranteed income.

GIF Select IncomePlus – Income Later

Income Later – How it worksIncome Later – How it works

Carol, age 45

20 years away from retirement

$200,000 in non-registered assets

Assumes a Single Life Payout Option

Income later

Income later: Up market scenario

For illustration purposes only. Hypothetical portfolio consists of 60% Globe Canadian Equity Peer Index and 40% Globe Canadian Bond Peer Index. Calendar year returns from 1989 to 2008. Returns have been adjusted for an annual IncomePlus Fee of 0.65%. Performance histories are not indicative of future performance. Assumes a Single Life Payout Option.

Portfolio Market Value

GWB Income bonus GWB Benefit Base

IncomePlus Reset

$42,048 minimum guaranteed income

for life5% x

$840,954

20Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 After year

20

$10,000Bonuses

$840,954

$200,000 $231,266

$314,670

$417,917

$498,677

$582,414

$731,265

$11,563Bonuses

$15,733Bonuses

$20,896Bonuses

$24,934Bonuses

$29,121Bonuses

$36,563Bonuses

Income later: Down market scenario

For illustration purposes only. Assumes a Single Life Payout opton Portfolio markets values are hypothetical and not indicative of future performance.

20Year 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 After year

20

$20,000LWA

Portfolio Market Value$10,000 Income bonus GWB Benefit Base

$400,000

5% Bonuses for 20 years

$200,000

GIF Select IncomePlus – Income now

Income Now – How it works

Income Now – How it works

IncomePlus and RRIFs

RRIF Minimum Schedule 2010

Age General

71** 7.38%

75 7.85%

80 8.75%

85 10.33%

90 13.62%

94 or older 20.00%

Source: Canada Revenue Agency** To calculate minimum annual withdrawals for below age 71, use the formula 1/(90–age).

Example: IncomePlus inside a RRIF

Amount

Deposit $500,000

Income bonus added December 31 $25,000

Lifetime Withdrawal Amount (LWA) $26,250 for life

Client aged 65 decides to invest his RRSP in IncomePlus and convert it to a RRIF in the following year and begin withdrawals

Based on a Single Life Payout Option

IncomePlus: RRIF income for life

For illustration purposes only. In the years where the RRIF minimum remains below the guaranteed income, the LWA continues to be paid at an annual 5% withdrawal rate. Results may vary with market conditions and resets. Exceeding the IncomePlus withdrawal and RRIF minimum thresholds may have a negative impact on future payments. *Used in the calculation to determine RRIF minimum. Assumes a Single Life Payout and assumes the elected LWA payout percentage is 5% Assumes no withdrawal is made in the first year and that a full 5% bonus is applied in the first year.,.

RRIF Minimum

$40,700(MV of $550,00 X 7.4% RRIF

Minimum at 72)

$26,250(5% LWA of

$500,000+ 5% Income Bonus)

Age 72Age 65

Market value*

LWA (5%)Income stream (greater of LWA or RRIF minimum)

Advantage of IncomePlus in a RRIF

Age 80Age 72 Age 80

Why Manulife? Strength & Security

Choosing a financial partner is important Manulife Financial offers:

Financial strength Prudent risk management practices Diverse business platform High quality investment portfolio

Segregated fund industry leader

* Investor Economics Insight, January 2010

Questions?

Important information

Bonuses are not cash deposits; they increase the basis for calculating guaranteed income. The bonus is available each year following the initial deposit to the IncomePlus Series, provided no withdrawals are taken. For all deposits to IncomePlus in the first calendar year, the bonus is pro-rated based on the month of the initial deposit.

Exceeding the withdrawal thresholds may have a negative impact on future income payments. The Lifetime Withdrawal Amount (LWA) becomes available on January 1st of the year the annuitant or the younger of the annuitant and the Joint Life (if applicable) turns age 65. The Joint Life must be the spouse (as defined by the Income Tax Act (Canada)) of the annuitant at the time of election of the Joint Life Payout Option. Only one person can be named as the Joint Life and may not be changed.

Withdrawals proportionally decrease Maturity and Death Benefit Guarantees. Withdrawals in excess of the LWA or prior to the LWA eligibility date will reduce the GWB Benefit Base proportionally. Other conditions may apply.

The Manufacturers Life Insurance Company is the issuer of the Manulife GIF Select insurance contract which offers the IncomePlus, EstatePlus and InvestmentPlus Series and the guarantor of any guarantee provisions therein. InvestmentPlus and EstatePlus are trademarks, GIF Select IncomePlus, Manulife and the block design are registered service marks and trademarks of The Manufacturers Life Insurance Company and are used by it and its affiliates including Manulife Financial Corporation.

Thank you