A portfolio of strongest ideas driven by quantitative and qualitative research

LONDON, February 11, 2008 — BNY Mellon Asset Management has boosted its Dublin-domiciled Mellon Global Funds (MGF) range with the launch of the Mellon Dynamic Europe Equity Fund. The Fund is managed by WestLB Mellon Asset Management (WMAM), one of BNY Mellon Asset Management's specialist active asset managers focused on European and emerging markets*.

The Mellon Dynamic Europe Equity Fund incorporates the strongest ideas from a team of 16 experienced investment professionals to create a focused portfolio of 40-60 stocks and a balanced risk/reward profile, and seeks long term capital appreciation through selecting undervalued stocks.

Essentially a 'best ideas' Fund, it combines three proven European strategies already implemented across WMAM's Compass Fund Range: Emerging Europe, Pan Europe and Small Cap. WMAM will utilise fundamental-driven bottom up stock selection and quantitative analysis to identify mispriced investment opportunities with long-term value. Risk management is controlled by a proprietary system that optimises the balance between the risk and reward of the best ideas that have been identified. Based on simulated data, a Fund with this combined strategy would have outperformed the MSCI All Country Europe Index over 1,2 and 3 years**.

Commenting on the new launch, Piers Hillier, Head of European Equities at WMAM, said: "We believe European equities represent an attractive opportunity for 2008. With 10-year yields under 4% in the US and at 4.6% in Europe, bond investors don't fear inflation and in an environment of dented confidence, neither should interest rate policy makers. Meanwhile, even though earnings growth has begun to slow, equity valuations are very attractive. We are confident that our stock selection approach focusing on structurally resilient earnings and attractive valuations should provide attractive rewards in these conditions."

Alan Mearns, chief executive officer of BNY Mellon Asset Management International, added: "WestLB Mellon's strengths in managing focused European portfolios, the Fund's attractive risk/reward profile and the lack of benchmark constraint makes this a compelling option for investors seeking long-term capital growth from three proven European strategies."

The Bank of New York Mellon Corporation is a global financial services company focused on helping clients manage and service their financial assets, operating in 34 countries and serving more than 100 markets. The company is a leading provider of financial services for institutions, corporations and high-net-worth individuals, providing superior asset management and wealth management, asset servicing, issuer services, clearing services and treasury services through a worldwide client-focused team. It has more than $20 trillion in assets under custody and administration, more than $1.1 trillion in assets under management and services $11 trillion in outstanding debt. Additional information is available at bnymellon.com.

WestLB Mellon Asset Management is a 50:50 joint venture between WestLB AG and The Bank of New York Mellon, a partnership formed in April 2006. WMAM has US$4.3 billion in assets under management in European equities. WMAM manage a number of European centric funds within their WMAM Compass Fund Range, a Luxembourg domiciled umbrella UCITS III fund range with 26 sub funds, principally with a European focus.

Source: *WMAM is a 50:50 Joint Venture between WestLB and The Bank of New York Mellon. **BNY Mellon Asset Management as at 31 Oct 2007. Data for the Mellon Dynamic European Equity Fund is simulated and net of 1% annual management fees in Euros. Simulated performance is not GIPS compliant and is provided for illustrative purposes only. The numbers are based on a simulation of three existing WMAM European Strategies, Pan, Small Cap and Emerging Europe. Simulated performance results have certain inherent limitations. Unlike an actual performance record, simulated results do not represent actual trading. Also since the trades have not actually been executed, the results may have been under or over-compensated for the impact, if any, of certain factors, such as lack of liquidity. Simulated trading programs in general are also subject to the fact that they are designed with the benefit of hindsight. No representation is being made that any account will or is likely to achieve profits or losses similar to those shown.

All information source BNY Mellon Asset Management International Limited as at 30 December 2007 unless otherwise stated. This press release is issued by BNY Mellon Asset Management International Limited to members of the financial press and media and the information contained herein should not be construed as investment advice. Past performance is not a guide to future performance. Registered office: The Bank of New York Mellon Centre, 160 Queen Victoria Street, London, EC4V 4LA. Registered in England no. 1118580.
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