Exhibit 100: Average Annual Gold Prices

Exhibit 100: Average Annual Gold Prices Gold remains expensive relative to its inflation-adjusted long-term average price. 2016 US $/Ounce 2,000 Annual Average Price Long-Term Average 1,788 se Post Bretton Woods Average ae 1,600 1,200 12/31/16 800 5 7 7 7 822 ‘ ™~ 0 1871 1885 1899 1913 1927 1941 1955 1969 1983 1997 2011 Data through December 31, 2016. Source: Investment Strategy Group, Bloomberg. The same could be said of continued outflows from gold exchange-traded funds (ETFs). We estimate that a net 280 tonnes of gold ETF holdings—an amount even larger than the 210 tonnes of ETF outflows that pressured gold prices in late 2016—were purchased over the past year at levels above today’s price. Absent a rebound in gold prices, these ETF holders might prefer to realize their losses and rotate into instruments with a yield component. Value-minded investors should also consider that gold prices remains well above their long-term average (see Exhibit 100). Despite this challenging outlook, a number of factors could still buoy gold prices in the year ahead. Emerging market central banks have continued to buy gold to diversify their reserves. Moreover, the stronger global growth we expect could lift jewelry demand, particularly in gold’s two largest end markets—China and India. Finally, gold’s allure as an inflation hedge could come back into focus if the market begins to worry about economic overheating in the US, although this is not our base case. In light of these crosscurrents, we are tactically neutral on gold at this time. Outlook | Investment Strategy Group 77 HOUSE_OVERSIGHT_014610