Wealth W Advisory Services September 2009

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Wealth Advisory Services

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Wealth Advisory Services

WL’s approach to wealth management

WL s approach to wealth management

Century

Family relationships that extend across five generations, and

An objective, premier financial services company that has served clients since 1903

Century-strong Long-term relationships Industry leader

professionals who have worked with the same families for

more than 35 years

Specializing in served clients since 1903

Global reach

Clients throughout the United States and in 35 other countries worldwide

tax-advantaged strategies for wealth preservation, growth, and transfer

•

Focus on clients with liquid assets of $10 million or more

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Highly regarded by estate attorneys, tax planners, and other influencers

•

Comprehensive asset management, fiduciary, and family office services

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Competitive advantages

What differentiates Wealth Advisory Services

Experience and reputation

•

Founded in 1903 by du Pont family members

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Recognized as a premier trustee and fiduciary by trust and estate attorneys and

Holistic approach

tax advisors throughout the United States

•

Comprehensive planning and investment management services

Objective investment advice

•

Combination of in-house and third-party investment managers

In-depth knowledge of Delaware’s legal and tax advantages

p

g

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Non-Delaware residents who establish trusts in Delaware benefit from legal and tax advantages not available for trusts governed by the laws of other states

Long-term relationships

•

Focus on building relationships, not selling products

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Where HNW clients are

43% of the HNW market (≥ $25mm) is in 7 cities

Boston 1,253 San Francisco 2,186 New York 4,546 Chicago 1,391 Los Angeles 2,290 2,186 Philadelphia 1,093

West Palm Beach 1,131

Source: IXI Corporation.

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Where Wilmington Trust is

Clients in all 50 states; presence in key markets

Boston

5 WAS offices in

eastern Pennsylvania New York Stamford

Princeton New Jersey Boston

B l Hill

Baltimore Atlanta

3 WAS offices in Delaware Princeton, New Jersey

Beverly Hills Los Angeles

Costa Mesa _{North Palm Beach}

Palm Beach Stuart

V B h

Vero Beach

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WAS market niches

We focus on 3 high-net-worth market niches

We focus on 3 high net worth market niches

Mid-Atlantic

business owners

• HNW clients

• nationwide

Family

wealth

• Business and

professional clients

in the mid-Atlantic

• High-net-worth clients

throughout the United

States with up to

• Ultra-high-net-worth

clients throughout

the United States with

region with up to

$25 million

in liquid assets

• Leverages mid Atlantic

$25 million in

liquid assets

• Clients served from

Delaware and key

≥ $25 million

in liquid assets

• Relationships managed

by Wilmington Family

• Leverages mid-Atlantic

commercial banking

relationships

Delaware and key

HNW markets

by Wilmington Family

Office and GTBA

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Wealth Advisory Services

Steady growth in Wealth Advisory revenue

$40.1 $45.5 1600 $200 $250 $19.2 $17.8 $20.2 $21.4 _$27.2 $16 0 $21.0 $25.4 $30.4 $35.3 $40.1 800 1200 $150 $200 $88.8 $98.1 _$82.8 _$80.8 $90.1 $97.8 $111.0 $123.9 $136.5 $158.6 _$152.0 $12.7 $18.2 $20.8 $21.6 $19.2 $9.0 $10.6 $16.0 400 $50 $100 $82.8 $80.8 0 $0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

Trust/investment advisory Mutual fund Planning/other services S&P 500

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Wealth Advisory Services

Volatile equity markets mask WAS growth

Percent change from prior year Wealth Advisory Services revenue 2009 YTD 2008 YTD

Volatile equity markets mask WAS growth

Trust and investment advisory revenue $62.8 $79.5 (21)% Planning and other services revenue $21.2 $21.3 (1)%

Mutual fund revenue $12.7 $12.8 (1)%

Total Wealth Advisory revenue $96.7 $113.6 (15)%

S&P 500 at 30 June 2009 vs. 2008 was down 28%

•

Trust and investment advisory fees are tied to financial market valuations

•

Investment mix of managed assets: 36% equities, 37% fixed income, 27% other

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Most mutual fund fees are tied to money market valuationsy

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Planning fees are based on the complexity of services provided, not asset valuations

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Wealth Advisory expansion

Wealth Advisory sales double in 10 years

1998 sales $10.9 million

2008 sales: $24.9 million

California Delaware Florida Georgia FL: 9% MA: 3% NJ: 1% CA: 5% DE: 8% Georgia Maryland Massachusetts DE: 86%

PA: 5% Family Office: 45%

FL: 9% GA: 5%

Pennsylvania New York

New Jersey NY: 9%

PA: 12% MD: 3%

Family Office

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Comprehensive services

Comprehensive services for HNW clients

Complete Asset Management

SM

A

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d

tf li

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ti

t t k i ki

Fiduciary services

• Asset allocation and portfolio construction, not stock-picking

• Combination of third-party and in-house managers

Fiduciary services

• Strategic planning for wealth generation, preservation, and transfer

• Trust, tax, private banking, and administrative services

Family office services

• 70 professionals in 5 offices on East and West Coasts

• Specialists in inherited wealth LLCs and LLPs executive compensation

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Complete

Asset Management

SM

Three critical investment decisions

Risk

Higher

Lower

r

Highe

r

Because no single institution excels in all investment categories

Find and combine

skilled managers

3. Return

Because misvaluations and

accurate forecasting present profit opportunities

Shift between asset

classes and styles

2.

w

er

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Complete

Asset Management

SM

Focus on asset allocation not selling product

Focus on asset allocation, not selling product

• Managing risk vs. increasing return

• A

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t

• Asset allocation determines return

• Forward-looking asset allocation

• Portfolio construction, not stock-picking

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• All asset classes and styles

• Mix of active and index strategies

• In-house fixed income and core equity expertise

• Independent, third-party managers for other asset classes and styles

• Consistent strategies regardless of account size

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Complete

Asset Management

SM

Recent investment management accolades

• Best-in-category for five years ended 12/31/08, as ranked by Lipper:

• Wilmington Short/Intermediate-Term Bond Fund in Short-Intermediate

g

Investment Grade Debt Funds category

• Wilmington Multi-Manager Real Asset Fund (Institutional Shares) in

Mixed-Asset Target Allocation Conservative Funds

• Best 2008 taxable bond fund in Lipper/Barron’s Fund Survey, February 2009

• Wall Street Journal

Wall Street Journal

Category Kings for 2008:

• Short-term bond fund (#2 out of 10)

• Intermediate bond fund (#8 out of 10)

• L

l

f d (#10

t f 10)

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Fiduciary services

106 years of fiduciary expertise

• Strategic planning for wealth generation, preservation, and transfer

• Expertise leverages legal and trust advantages available in

Delaware and other jurisdictions

• Financial, estate, retirement, and succession planning

• Trust and administrative services

• Tax services

• Private banking and custom lending

• Philanthropic services

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Family office services

Family office practice offers specialty services

• Family governance and succession planning

• Estate investment and philanthropic goal alignment

Family office practice

Estate, investment, and philanthropic goal alignment

• Tax, estate, and financial planning

• Risk assessment and mitigation

• Foundation and trust administration

East Coast presence Specialties:

•

Inherited wealth

Wilmington Family Office

Foundation and trust administration

• Insurance oversight

• Real estate acquisition/disposition

• Some concierge services

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Inherited wealth

•

Corporate executives

•

LLPs & LLCs

Grant Tani

B h & Alt

• Some concierge services

Barash & Altman

West Coast presence Specialties:

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Entertainment industry

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Fees are based on services provided, not client assets

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Clients may or may not use asset management services

Entertainment industry

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Market segmentation

Wealth management market segmentation

FOs

Family offices: ≥ 3000 (Clients with ≥ $100mm)

Wealth advisory firms and trust

MFOs

Multifamily offices and

wealth advisory firms: ≥ 600 (Clients with $20mm - $100mm)

companies

Wealth management firms and private banks

Advisors: ≥ 12,000 (Cli t ith

Investment advisory firms

I t t d b k

(Clients with $1mm - $20mm)

Source: Family Office Exchange.

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WAS market positioning

How we serve these markets

FOs

Family offices: ≥ 3000 (Clients with ≥ $100mm)

We have relationships with ≥ 200 family offices

Wealth advisory firms and trust

MFOs

Multifamily offices and

wealth advisory firms: ≥ 600 (Clients with $20mm - $100mm)

We focus CT, DE, MA, NY, CA, and family office services on these segments

companies

Wealth management firms and private banks

Advisors: ≥ 12,000 (Cli t ith

Main focus of WAS in FL, GA, MD, NJ, PA

Wilmington

Investment advisory firms

I t t d b k (Clients with $1mm - $20mm) Wilmington Brokerage Services and offices in DE & FL

Source: Family Office Exchange.

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WAS growth plans

Our plans to grow the WAS business

Strategy

Objectives

Goal

• Be our clients' most trusted advisor by providing:

• Invest in products, markets, and technology to grow and improve leverage within the business

R it d t i i d t l d i • Be recognized as the

provider of choice for comprehensive, multigenerational • Objective advice, guidance, and seamless execution on a comprehensive array of wealth

• Recruit and retain industry leaders in trust, investment management,

planning, and family office services • Provide competitive investment

offerings grounded in an institutional multigenerational

wealth management services among:

• High-net-worth

individuals and array of wealth advisory services • Services that grow,

protect, and transfer wealth across

offerings grounded in an institutional quality approach

• Achieve the majority of new business from markets beyond Delaware

T t li t ith li id t individuals and

families in the U.S. • The legal, tax, and

financial experts

who advise them wealth across

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