HomeMy WebLinkAbout2009 10 27 Regular 601 Bogdahn Consulting Investment Review ReportDate: October 27, 2009
This document was distributed to the Board of
Trustees at the October 27, 2009 Regular
Meeting during Regular Agenda Item 601.
City of Winter Springs
General Employees General Plan
and Trust
3rd Quarter 2009
1 l
WWW.BOGDAHNC,' ROURCOM
THE
BOGDAHN
GROUP
simplifying your investment raid fiduciary decisions
The Market Environment
Major Market Index Performance
Period Ended: September 30, 2009
Domestic Equity
Both equity and fixed income markets posted strong results for the quarter ended
September 30, 2009. However, evidence of the recent financial crisis is still very
visible in the 1 -year performance of the domestic equity indices. Domestic smaller
capitalization issues, represented by the Russell 2000 +19.3 and Russell MidCap
+20.6 indices, respectively, exceeded large cap issues for the quarter. However,
the dominance of small and midcap indices reflected in the 3rd quarter performance
diverges over the 1 -year period. During this timeframe, the Russell 2000 posted the
weakest domestic equity index performance -9.5 while the Russell MidCap index
posted the strongest -3.5 relative result. Led by the continued recovery in
financial issues, value indices outpaced their growth counterparts by 5.4% on
average for the 3rd quarter. The financial sector, which represented more than 25%
of each of the Russell value indices at the end of the quarter, was the largest
contributor to value index outperformance.
Large cap stock performance was positive across all ten GICS (global industry
classification standard) sectors with five of the index's ten sectors outpacing the
+16.1% return of the Russell 1000. The financial sector returned of +24.9% for the
quarter, which was the strongest sector of the Russell 1000 index. This was the
second consecutive quarter of top performance for the financial sector.
International Equity
Outside of the United States, emerging markets once again outpaced developed
markets during the quarter. While the performance differential for the quarter is small
+1.5 the 1 -year differential of +15.6% is substantial. As the United States tries to
bolster the domestic economy through its various stimulus programs, the value of the
USD (U.S. dollars) continues to weaken across the globe. This USD depreciation is
evident in the performance differentials of both the broad (EAFE: 4.6 and regional
segments (Pacific: 7.8 of the international indices.
Fixed Income
The Barclays aggregate return of +3.7% for the quarter was dominated by the
continued recovery in credit as the Barclays Corporate Investment Grade index
returned an impressive +8.1 For the trailing 1 -year period, the Barclays Aggregate
posted a strong +10.6% return, which easily outpaced the majority of both domestic
and international equity indices.
Government +2.0 and mortgage- backed +2.3 results were relatively mild,
but positive for the quarter. In contrast, corporate issues in all quality segments
posted stronger results that were more than double the performance of the
government or mortgage- backed sectors for the quarter. The outsized 1 -year
performance of the corporate indices, particularly high yield, are a function of the
strong 3rd quarter 2009 results that were added +14.8 and weak 3rd quarter 2008
results -9.5 that were dropped from the trailing calculation.
Portfolio Attribution
(Reference pages 12, 13, 15, 18, 19, and 25 of the Bogdahn Group Sept 2009 Report)
Investment results for the plan were again significantly positive for the quarter with
equities continuing the rebound that began late in the first quarter. The fund's over
allocation to corporate and mortgage- backed fixed income sectors provided for
sustained outperformance into the 3rd quarter. The conservative allocation to equities
(55.7% vs. 65% policy), especially to international equity (11.5% vs. 15 was a drag
on performance again during the 3rd quarter. Foreign equity significantly outperformed
the benchmark (27% vs. 19.52 Voyageur has gained 51.18% year to date.
The fund's fiscal year results improved significantly finishing in positive territory
after a dismal 3rd quarter 2008 dropped off the return. The fund significantly
outperformed it's benchmark for the period (2.16% vs. .7%). Peer group ranking
continues to improve moving from the 56th percentile to the 43rd percentile. Total fund
performance still lags the three -1.34% vs. -.99 and five (2.85% vs. 3.28 year
numbers, but is still strong since inception (2.65% vs. 1.62 Total fund down market
capture is still slightly above the benchmark for the 3 year (104.26 and 5 year
(103.66 time periods. Snow's significant underperformance during 2008 and early
2009 will continue to be a drag on the calculation of long term performance.
What helped?
Active management to equity mandates provided strong relative returns outpacing
the benchmark by 2.46 (18.07% vs. 15.61
Significant returns from international equities, in part due to a continuing drop in the
dollar valuation, was boosted by the active management effort by Voyageur (27% vs.
19.52
Over allocation to Lateef, which beat the Russell 1000 Growth by 1.37% (15.34%
vs. 13.97
Under allocation to real estate, which performed poorly as an asset class -7.41%
benchmark return)
Active management in fixed income. Galliard continues to outperform, beating the
index this quarter by 2.01%.
What hurt?
Continued under allocation to equity (54.1 relative to the policy (60 and
current target (65
Dalton, Greiner, Hartman, Maher Co. underperformed by 2.33% (16.26% vs.
18.59%) M IL
PIN� BOGDAHN
GROUP
The Market Environment
Major Market Index Performance
Period Ended: September 30, 2009
Quarter Performance
Both equity and fixed in(
results for the quarter E
However, evidence of the
very visible in the 1 -year
equity indices.
:ome markets posted strong
MSCI ACWxUS
nded September 30 2009. MSCI EAFE
recent financial crisis is still MSCI Emerg. Mkts.
performance of the domestic
Outside of the United States, emerging markets once
again outpaced developed markets during the quarter.
While the performance differential for the quarter is small
+1.5 the 1 -year differential of +15.6% is substantial.
Domestic smaller capitalization issues, represented by
the Russell 2000 +19.3 and Russell MidCap
+20.6 indices, respectively, exceeded large cap
issues for the quarter. However, the dominance of small
and midcap indices reflected in the 3rd quarter
performance diverges over the 1 -year period. During this
timeframe, the Russell 2000 posted the weakest
domestic equity index performance -9.5 while the
Russell MidCap index posted the strongest -3.5
relative result.
The Barclays aggregate return of +3.7% for the quarter
was dominated by the continued recovery in credit as the
Barclays Corporate Investment Grade index returned an
impressive +8.1 For the trailing 1 -year period, the
Barclays Aggregate posted a strong +10.6% return,
which easily outpaced the majority of both domestic and
international equity indices.
Source: Barclays Capital, MSCI Capital Markets, Russell Investments
S &P 500
Russell 3000
Russell 1000
Russell MidCap
Russell 2000
Barclays US Agg. 3.7%
Barclays US Gov. 2.0%
Barclays MBS Fixed 2.3%
Barclays Corp IG 8.1%
3mos. T -Bill 0.0%
15.6
16.3%
16.1%
19.8%
19.5%
721.0
J 20.6
19.3%
0.0% 5.0% 10.0% 15.0% 20.0% 25.0%
one Year Performance
MSCI ACWxUS 6.4%
MSCI EAFE 3.8i
MSCI Emerg. Mkts. 1 19.4/
S &P 500 6.9i
Russell 3000 6.4%
Russell 1000 s.1
Russell MidCap 3.5%
Russel 12000 9.5%
Barclays US Agg. 10.6/
Barclays US Gov. 6.�°
Barclays MBS Fixed 9.9%
Barclays Corp IG 21.8/
3mos. T -Bill 0.4%
-20.0% -10.0% 0.0% 10.0% 20.0% 30.0%
THE
BOGDAHN
2
GROUP
The Market Environment
Domestic Equity Style Index Performance
Period Ended: September 30, 2009
Quarter Performance
Led by the continued recovery in financial issues, value
indices outpaced their growth counterparts by 5.4% on
average for the 3rd quarter. The financial sector, which
represented more than 25% of each of the Russell value
indices at the end of the quarter, was the largest
contributor to value index outperformance.
The 5.4% average differential between value and growth
index results for the 3rd quarter were much larger than
the 1.5% average experienced between the style indices
during the 2nd quarter. However, regardless of a
portfolio's particular style allocation, much like last
quarter, the 3rd quarter's domestic equity performance
represented a welcome relief to portfolios that continue
to rebuild from a historically difficult period for long -term
investors.
The strength of value indices that is evident in the 3rd
quarter's results disappears and reverses in the 1 -year
performance of the value benchmarks. This weakness in
the 1 -year results is the impact of the market crisis,
particularly in the financial sector, and is visible across
the capitalization spectrum in the value index returns.
3000 Value
3000 Index
3000 Growth
1000 Value
1000 Index
1000 Growth
MidCap Value
MidCap Index
MidCap Growth
2000 Value
2000 Index
2000 Growth
3000 Value
3000 Index
3000 Growth
1000 Value
1000 Index
1000 Growth
MidCap Value
MidCap Index
MidCap Growth
2000 Value
2000 Index
2000 Growth
One Year Performance
-10.8
-6.a
-2.2
-10.6
-6.1
-1.9
-7.1
5%
-12.6
-9.5
-6.3
-20.0% -15.0% -10.0% -5.0% 0.0%
Source: Russell Investments l BQGDAHN
3
GROUP
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0%
The Market Environment
GICS Sector Performance (Quarter -End Sector Weight)
Period Ended September 30, 2009
Large cap stock performance was positive across all ten
GICS (global industry classification standard) sectors
with five of the index's ten sectors outpacing the +16.1
return of the Russell 1000.
The financial sector returned of +24.9% for the quarter,
which was the strongest sector of the Russell 1000
index. This was the second consecutive quarter of top
performance for the financial sector, which is now up
more than 50% over the last 6- months. However, the
financial sector's steep decline is still evident in the 1-
year sector performance of 22.3
The strength of 3rd quarter returns in the consumer
discretionary +20.5 and information technology
+17.2 sectors were enough to push the trailing 1 -year
results of both sectors into positive territory.
Small cap stock performance was also positive across all
ten GICS sectors with the energy +27.9 materials
+36.1 and consumer discretionary +26.4 sectors
finishing well ahead of the +19.3% return of the Russell
2000 index.
The combination of a strong 3rd quarter of 2009 being
added and a weak 3rd quarter of 2008 falling off resulted
in the performance of the materials +5.0 and
information technology (+9.1%) sectors of the Russell
2000 index turning positive for the 1 -year period.
Source: Thompson Financial
■QTR Russell 1000
o1 -Year
Energy (11.3
Materials (4.0
Industrials (10.4 1 /6)
Consumer Disc (10.0
Consumer Staples (10.7
Health Care (12.9
Financials (15.3
Info Technology (18.4
Telecom Services (3.1
Utilities (3.9
11.3%
-14.1
22.1
3.6
21.7%
-11.6
20.5
1.1
11.4%
-4.3
9.8%
-2.8
24.9°Y
-22.3
17.2%
-1 ]t&7%
-5.7
-30.0% -20.0% -10.0%
7. QTR Russe112000
o1 -Year
Energy (4.9
Materials (4.4
Industrials (15.8
Consumer Disc (13.8
Consumer Staples (3.3
Health Care (14.3
Financials (19.8
Info Technology (19.3
Telecom Services (1.2
Utilities (3.2
0.0% 10.0% 20.0% 30.0%
27.9%
-32.6%
36.1%
5.0%
17.8%
-15.9%
26.4%
-1.4%
11.7%
-2.2%
13.7%
-5.
18.1%
-23.5%
20.3%
9.1%
8.5%
11.0%
.0%
-7.3°
-50.0% -30.0% -10.0% 10.0% 30.0%
THE
BOGDAHN
4
GROUP
The Market Environment
Quality Rankings* Breakdown by Weight and Quarterly Performance
Period Ended: September 30, 2009
Within the Russell 1000 index, the performance by each
of the quality segments was more equally distributed
than the 2nd quarter where lower quality issues
dominated performance. The only rating segment of the
index to show noticeably weaker results than the broad
index return of +16.1% during the current quarter was
stocks in the "A category, which returned +9.2%
Unlike the large cap index, the "performance by quality"
of the small cap Russell 2000 index continued to be led
by lower quality issues. Stocks rated "C" and "D" within
the index returned +30.7% and +75.7% ,respectively, for
the 3rd quarter.
Russell 000 Quality Breakdo
A+
10.4%
17.9%
A
10.5%
14.9%
A-
14.7%
9.2%
B+
17.3%
18.1%
B
5.8%
19.4%
B-
28.4%
16.7%
C
2.1
16.3%
D
0.0%
0.0%
Not Rated
10.8%
18.3%
N/A
Russell 000 Index
0.0%
100
13.9%
Russell 000 Quality Breakdo
A+
3.1
12.4%
A
5.1
13.9%
A-
0.8%
12.7%
B+
17.8%
18.0%
B
20.2%
22.3%
B-
12.3%
14.3%
C
10.7%
30.7%
D
0.1%
75.7%
Not Rated
29.3%
17.7%
N/A
Russell 000 Index
0.6%
100
26.9%
Quality Rankings Table
Highest I High I Above Average I Average I Below Average I Lower I Lowest I In Reorganization
*Standard and Poor's rankings are generated by a computerized system and are based on per share earnings and dividend records of the most recent 10 years. October 2005 report THE
Source: Thompson Financial l BQGDAHN
5
GROUP
The Market Environment
International and Regional Market Index Performance Countries)
Period Ended: September 30, 2009
As the United States tries to bolster the domestic
economy through its various stimulus programs, the
value of the USD (U.S. dollars) continues to weaken
across the globe. This USD depreciation is evident in
the performance differentials of both the broad (EAFE:
4.6 and regional segments (Pacific: 7.8 of the
international indices.
International Markets posted strong results for the 3rd
quarter, 2009 in both local currency and USD. The
MSCI -EAFE (Europe, Australasia Far East), which
represents the world's 21 developed markets (excluding
Canada), returned +19.5% in USD +14.9% local). The
MSCI -EM (22 emerging market countries) returned a
stronger +21.0% in USD +16.9% local). As a result, 3rd
quarter results of international portfolios with emerging
market holdings should benefit relative to those with
holdings limited to developed market countries.
■QTR (USD)
❑QTR (Local)
AC World x US (44)
WORLD x US (22)
EAFE (21)
Europe (16)
Pacific (5)
Emerging Mkt (22)
EM Europe (5)
EM Asia (8)
EM Latin Amer (7)
Frontier (25)
1 -Year (USD)
1 -Year (Local)
AC World x US (44)
WORLD x US (22)
EAFE (21)
Europe(16)
Pacific (5)
Emerging Mkt (22)
EM Europe (5)
EM Asia (8)
EM Latin Amer (7)
Frontier (25)
L Quarte Performance
The "one- sided" currency effect that is clearly visible in
the 3rd quarter's results is not as linear when reviewing
the 1 -year performance. In fact, the European region of
the developed markets actually show dollar strength in
the 1 -year period with a return of +2.3% in USD vs.
+2.7% in local currency.
Source: MSC/ Capital Markets
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0%
One -Year Performance
9.0%
-1.8%
17.1
/o
17.6%
15.0%
19.5%
-1.6%
14.9%
-3.9%
230%
20.3%
13.2
5.4%
-1.2%
21.0%
16.9
to
9.4%
2.3%
4.0%
19.8%
16.9 To
24.8%
7.1%
17.
10.9%
-7.3%
10.5%
The "one- sided" currency effect that is clearly visible in
the 3rd quarter's results is not as linear when reviewing
the 1 -year performance. In fact, the European region of
the developed markets actually show dollar strength in
the 1 -year period with a return of +2.3% in USD vs.
+2.7% in local currency.
Source: MSC/ Capital Markets
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0%
One -Year Performance
-40.0% -30.0% -20.0% -10.0% 0.0% 10.0% 20.0% 30.0% 40.0% THE
7 51,11 BOGDAHN
6
GROUP
-1.8%
-2.1
-1.6%
-3.9%
3.8°
-1.2%
2.3%
2.7%
7.1%
-7.3%
19.4%
18.5%
-8.4°/
-6.6%
8.1%
27.9%
19.8%
8.4%
-26.8'/o
-21.6%
-40.0% -30.0% -20.0% -10.0% 0.0% 10.0% 20.0% 30.0% 40.0% THE
7 51,11 BOGDAHN
6
GROUP
The Market Environment
Country Index Performance in U.S. Dollars
Period Ended: September 30, 2009
Quarter
Developed Market Countries
111 -Year
USA -6.716
Canada C
Singapore
New Zealand
Japan -0.4%
Hong Kong
Australia
United Kingdom 1.3%
Switzerland
Sweden
Spain
Portugal
Norway 6%
Netherlands
Italy
Ireland 30.7
Greece -4.r
Germany -2.0%
France
Finland -6.7%
Denmark
Belgium -1.7%
Austria -8.9%
15.6%
1 18.5%
1 19.4 °6
16.9%
25.6%
33.2%
23.6%
18.5%
1 22J%
X2.4%
19.9°
7.5%
19.0%
20.2°
0
.5%
A 31.3%
lll� 27.1
1 19.3%
32.8%
23.2%
6.7%
12.8%
0 18.0%
28.8%
29.2%
Quarter
Developing Market Countries
1 -Year
South Africa 1 .4%
20.8%
Morocco -6.6%
-1).9% 22.6%
Egypt 1.1
Turkey o 32.5%
13.8 /o
Russia 9.7% 27.1%
Poland _23.1% 34.4%
Israel 10.4%
6.7 /o
Hungary o 42.0%
-8.5%
Czech Republic o 23.0%
-5.6%
Peru 44.0%
44.2%
Mexico 18.1%
-3.6%
Colombia 35.9%
53
Chile 5.6%
20.1
Brazil 27.5%
27.1%
Thailand 20.0% o
28.4 /o
Taiwan 23.2% 27.1%
Philippines 13.. 7%
1
Malaysia 14.8% o
23.8 /o
Korea 34.5%
23.6%
Indonesia .1%
43.7%
India 19.6%
32.0%
China 7.9%
32.5%
-50.0% -30.0% -10.0% 10.0% 30.0% 50.0% -40.0% -20.0% 0.0% 20.0% 40.0% 60.0%
Source: MSC/ Capital Markets Ti -[F,
7 BOGDAHN
GROUP
The Market Environment
Domestic Credit Sector Broad Market Maturity Performance
Period Ended: September 30, 2009
Quarter Performance
Much like the 2nd quarter, the broad market index results,
which consist of government, mortgage- backed and
corporate securities, mask a much wider performance
disparity within the fixed income market's three
segments.
Government +2.0 and mortgage- backed +2.3
results were relatively mild, but positive for the quarter. In
contrast, corporate issues in all quality segments posted
stronger results that were more than double the
performance of the government or mortgage- backed
sectors for the quarter. The outsized 1 -year performance
of the corporate indices, particularly high yield, are a
function of the strong 3rd quarter 2009 results that were
added +14.8 and weak 3rd quarter 2008 results
9.5%) that were dropped from the trailing calculation.
Although the 1 -year performance of the fixed income
indices in the graph appear to make a strong argument
for both lower quality +22.4 and longer maturity
+17.4 issues within a fixed income portfolio, one must
consider where we were just 1 -year ago. Memories of
the volatility and fear associated with the recent crisis
should remind investors that such "black and white"
conclusions are rarely beneficial to long -term investors.
While it is clear that fixed income investors with an
appetite for risk have benefited over the last year, the
performance of lower quality issues tends to be very
cyclical.
AAA
AA
A
BBB
<BBB
Govt
Mort
1 -3yr G /M /C
1 -5yr G /M /C
1 -10yr G /M /C
10 +yrG /M /C
AAA
AA
A
BBB
<BBB
Govt
Mort
1 -3yr..
1 -5yr..
1- 10yr..
10 +yr..
4.8
t 7.9
9.9
14.8
2.0
2.3%
G /M /C Broad Market (Government Mortgage Corporate)
1.8%
2.2
2.9%
8.3
0.0% 5.0% 10.0%
One Year Performance
10.8
8.7
9.7%
7.0
8.1
19.7%
0.0% 5.0% 10.0% 15.0% 20.0% 25.0%
15.0% 20.0%
15.5
19.5%
22.1
22.4
17.4%
Source: Merrill Lynch Index System l BQGDAHN
8
GROUP
The Market Environment
Market Rate Yield Curve Comparison
Period Ended: September 30, 2009
2009 Market Rates
The Fed left rates unchanged during the quarter as
economic conditions, although still quite weak, continued
to improve. The Fed also continued to reassure market
participants that economic conditions would likely
warrant exceptionally low rates for an extended period of
time.
As a result of the general stability of the financial markets
during the quarter, many of the market's spread levels
and "fear" gauges continued to contract from historically
wide levels.
The Treasury yield curve declined moderately across the
maturity spectrum during the third quarter. The
benchmark 10 -year Treasury finished the quarter with a
yield of 3.31 This yield represented a decline of 22
basis points from the yield at the end of the 2nd quarter
(3.53
The last day of the 3rd quarter marked the start of the
much anticipated PPIP (Pubic- Private Investment
Program). The program to purchase the legacy
(troubled) mortgage- backed assets of banks started with
an initial value of $4.5 billion, 25% of which came from
private investors.
7.00
6.00
5.00
4.00
3.00
2.00
1.00
6.00
5.00
4.00
3.00
2.00
1.00
0.00
Fed Funds Rate —TED Spread —3 -Month Libor
BAA /10yrSpread 10yrTreasury 10yrTIPs
0.00
Jan -09 Feb -09 Mar -09 Apr -09 May -09 Jun -09 Jul -09 Aug -09 Sep -09
Treasury Yield Curve
Source: Mortgage -X.com US Department of Treasury St. Louis Fed Ti [F,
9 BOGDAHN
GROUP
1 mo 3 mo 6 mo 1 yr 2 yr 3 yr 5 yr 7 yr 10 yr 20 yr 30 yr
The Market Environment
Assessing the Impact of the S &P 500 Decline the "Cruelty of Math"
Period Ended: September 30, 2009
The SPX Index measures the daily price change in the 1,600
S &P 500 (excluding dividends). The CBOE Volatility 1,500
Index (VIX) is a measure of market expectations of near- 1,400
term volatility conveyed by S &P 500 stock index option
1,300
prices. It acts as a barometer of investor sentiment and
market volatility. 1,200
1,100
After reaching a peak of 1,565.15 on 10/9/07, the SPX 1,000
fell to a low of 676.53 on 3/9/09. This drop of 888 points
900
on the index represented a loss of 56.8% from its peak.
This decline, particularly as the financial crisis reached 800
its crescendo, included a significant increase in market 700
volatility as measured by the VIX. 600
From the 676.53 low on 3/9/09, the SPX index rose to
1,057.08 by the close of the 3rd quarter. This 380 point
gain from the low represented a return of 56.3 As
would be expected, this equity market gain was coupled
with a reduction in investor pessimism as the VIX
decreased to a more historical level.
Despite a more than 50% gain since its low, the index
remains 580 points or 48.1% below its peak level. We
call this phenomenon the "cruelty of math" in that a drop
of 50% in value requires a gain of 100% to reach its
original level.
60%
50%
40%
30%
20%
10%
In order to put the magnitude of the market's decline in
perspective, the lower table illustrates the annualized 0%
return that the SPX will be required to post from its
9/30/09 level to the previous peak of 1,565.15.
Source: Yahoo Finance, CBOE
IN
SPX (S &P 500) Index Level VIX Index Level
Annualized SPX return required to reach 10/9/07 index peak
21.7%
14.0%
10.3%
8.2
6.8% 5.8% 5.0% 4.5% 4.0%
A -11 a1"
ti h 1` i
100
90
80
70
60
50
1,057.08
40
30
20
10
0
THE
BOGDAHN
GROUP
111 4`1
The Market Environment
How Quickly Can the Economy Recover from a Recession?
Period Ended: September 30, 2009
16,000
The Gross Domestic Product (GDP) of the United States 14,000
is measured by the combination of personal consumption
expenditures, gross private (business) investment, 12,000
government consumption expenditures investment 10,000
and net exports. While the National Bureau of Economic 8,000
Research (NBER) defines the official beginning and end
of an economic recession* based on several factors, a 6,000
recessionary period is commonly defined as two 4,000
consecutive quarters of negative GDP growth. 2.000
The decline in housing values, the tightening of
consumer credit conditions, the reduction in household -2,000
wealth, and a deteriorating employment outlook have all
combined to cause a reduction in personal consumption.
While the Government can provide temporary boost to 10.0
GDP through various relief programs or direct stimulus, it
is clear than personal consumption (70.7 is the main 8.0
driver of economic growth. 6 0
Although the NBER has not declared the recession 4.0
officially over, many experts, including Fed chairman 2.0
Bernanke, have stated that the current recession has 0.0
passed. However, given the length and magnitude of this
recession, combined with high unemployment, low 2 0
capacity utilization and various other factors, it is likely -4.0
that the ultimate recovery in economic growth will be
-6.0
measured.
-8.0
In December of 2008, the NBER officially declared that
the current recession began in December of 2007.
Q2 -2009- Total GDP and its components ($Billions)
$14,151.2
$9,999.3
$1,561.5
-2.4%
70.7% 11.0% -$339.1 20.7%
Gross domestic Personal Gross private Net exports of Government
product (GDP) consumption domestic goods and consumption
expenditures investment services expenditures and
gross investment
Quarterly GDP percent change
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Source: Bureau of Economic Analysis TI [F,
11 BOGDAHN
GROUP
Total Fund Portfolio
September 30, 2009
June 30, 2009 $15,284,676
September 30, 2009 $17,322,166
Segments
Market Value
Allocation
Segments
Market Value
Allocation
(S)
(S)
Domestic Equity
6,516,654
42.6
Domestic Equity
7,849,480
45.3
International Equity
1,762,078
11.5
E International Equity
2,318,143
13.4
Domestic Fixed Income
5,837,351
38.2
Domestic Fixed Income
6,163,134
35.6
Real Estate
714,964
4.7
Real Estate
639,006
3.7
Cash Equivalent
453,630
3.0
Cash Equivalent
352,402
2.0
12
BOGDAHN
GROUP
Total Fund Portfolio
September 30, 2009
June 30, 2009 $15,284,676
Galliard Core Fixed Portfolio
Lateef Asset Mgmt.Equity
Dalton, Greiner, Hartman, Maher Co
Voyageur Asset Mgmt. International
Galliard TIPS
American Stable Value Fund REIT
R &D Account Cash
September 30, 2009 $17,322,166
Market Value
Allocation
Market Value
Allocation
(S)
(S)
4,813,261
31.5
Galliard Core Fixed Portfolio
5,089,040
29.4
3,781,399
24.7
Lateef Asset Mgmt.Equity
4,480,407
25.9
2,985,975
19.5
Dalton, Greiner, Hartman, Maher Co.
3,596,107
20.8
1,762,078
11.5
Voyageur Asset Mgmt. International
2,318,143
13.4
1,080,442
7.1
Galliard TIPS
1,116,517
6.4
714,964
4.7
American Stable Value Fund REIT
639,006
3.7
146,556
1.0
R &D Account Cash
82,946
0.5
13
BOGDAHN
GROUP
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Asset Allocation
As of September 30, 2009
Asset Allocation
Domestic Equity Portfolio
Snow Capital Mgmt. Equity
Dalton, Greiner, Hartman, Maher Co
Lateef Asset Mgmt.Equity
International Equity Portfolio
Voyageur Asset Mgmt. International
Total Fixed Portfolio
Galliard Core Fixed Portfolio
Galliard TIPS
American Stable Value Fund REIT
R &D Account Cash
Total Fund Portfolio
8,076,514 46.63
3,596,107
20.76
4,480,407
25.87
2,318,143
13.38
2,318,143
13.38
6,205,557
35.82
5,089,040
29.38
1,116,517
6.45
639,006
3.69
82,946
0.48
17,322,166
100.00
6,767,374 44.28
2,985,975
19.54
3,781,399
24.74
1,762,078
11.53
1,762,078
11.53
5,893,704
38.56
4,813,261
31.49
1,080,442
7.07
714,964
4.68
146,556
0.96
15,284,676
100.00
5,528,248 41.38
2,336,270 17.49
3,191,977 23.90
1,277,678 9.56
1,277,678 9.56
5,532,936 41.42
4,481,961 33.55
1,050,975 7.87
785,600 5.88
233,801 1.75
13,358,262 100.00
5,822,074
42.75
2,519,390
18.50
3,302,683
24.25
1,353,407
9.94
1,353,407
9.94
5,296,491
38.89
4,304,428
31.60
992,062
7.28
904,042
6.64
244,265
1.79
13,620,278
100.00
7,422,820
47.70
3,423,440
22.00
3,999,380
25.70
1,745,816
11.22
1,745,816
11.22
5,248,864
33.73
4,242,774
27.27
1,006,091
6.47
988,399
6.35
154,683
0.99
15,560,582
100.00
Histoncal Asset Allocation
100.
80.
O_
60.
0
U
2 40.
d
20.
0.
9/08 10/08 11/08 12108 1/09 2/09 3/09 4/09 5/09 6/09 7/09
Domestic Equity 0 International Equity 0 Domestic Fixed Income 0 Real Estate
8/09 9/09
Cash Equivalent
14
BOGDAHN
GROUP
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Financial Reconciliation
As of September 30, 2009
Financial Reconciliation Ouarter
Domestic Equity Portfolio
6,767,374
246,400
14,621
-875
25,904
1,052,332
8,076,514
Lateef Asset Mgmt.Equity
3,781,399
123,200
-9,453
-489
11,642
574,109
4,480,407
Snow Capital Mgmt. Equity
Dalton, Greiner, Hartman, Maher Co.
2,985,975
123,200
-5,168
-386
14,262
478,223
3,596,107
International Equity Portfolio
1,762,078
80,992
-3,992
479,065
2,318,143
Voyageur Asset Mgmt. International
1,762,078
80,992
-3,992
479,065
2,318,143
Total Fixed Portfolio
5,893,704
32,898
-3,398
-527
5,732
277,147
6,205,557
Galliard Core Fixed Portfolio
4,813,261
27,598
-3,398
-395
251,974
5,089,040
Galliard TIPS
1,080,442
5,300
-132
5,732
25,174
1,116,517
American Stable Value Fund
714,964
-5,434
-1,716
68,808
639,006
R &D Account Cash
146,556
360,291
475,885
171,275
-7,946
17
82,946
Total Fund Portfolio
15,284,676
475,885
176,709
23,728
-9,348
31,653
1,739,737
17,322,166
Financial Reconciliation Fiscal Year to Date
Market Value
As of
Net
Capital
Market Vah
9/30/2008
9/30/2009
Domestic Equity Portfolio
7,422,820
872,000
61,444
-3,002
109,839
263,700
8,1176,514
Lateef Asset Mgmt.Equity
3,999,380
436,000
45,447
-1,689
45,369
46,795
4,480,407
Snow Capital Mgmt. Equity
3,423,440
2,482,585
10,829
-697
36,922
966,251
Dalton, Greiner, Hartman, Maher Co.
2,918,585
-5,168
-616
27,549
655,757
3,596,107
International Equity Portfolio
1,745,816
243,436
36,100
14,736
-125
4,431
303,222
2,318,143
Voyageur Asset Mgmt. International
1,745,816
243,436
36,100
14,736
-125
4,431
303,222
2,318,143
Total Fixed Portfolio
5,248,864
383,498
X 5 ,468
-5,363
12,626
-2,508
22,180
566,044
6,205,557
Galliard Core Fixed Portfolio
4,242,774
315,398
2,786
-5,363
-8,801
-2,009
112
544,142
5,089,040
Galliard TIPS
1,006,091
68,100
2,682
-3,825
-500
22,068
21,901
1,116,517
American Stable Value Fund
988,399
12,670
12,879
-8,234
315,610
639,006
R &D Account Cash
154,683
1,486,265
2,090,399
656,160
-3,909
17,387
1,585
82,946
Total Fund Portfolio
15,560,582
2,131,967
674,402
100,949
23,022
138,035
289,955
17,322,166
15
BOGDAHN
GROUP
Defined Benefit Plan Trust for the Employees of the City of Winter Springs
Comparative Performance
As of September 30, 2009
Total Fund Portfolio (Net)
11.36 (43)
0.73 (61)
0.73 (61)
-1.80 (91)
0.54 (88)
2.49 N/A 11/01/2000
Total Fund Policy
10.55 (48)
0.33 (64)
0.33 (64)
0.42 (71)
1.98 (52)
1.84 N/A
Difference
0.81
0.40
0.40
1.38
1.44
0.65
All Public Plans Total Fund Median
10.48
1.34
1.34
0.32
1.99
N/A
Total Fund Portfolio (Gross)
11.53
1.44
1.44
1.17
1.19
3.19 11/01/2000
Total Fund Policy
10.55
0.33
0.33
0.42
1.98
1.84
Difference
0.98
1.11
1.11
-0.75
-0.79
1.35
Total Fund Portfolio (Net)
11.36 (43)
0.73 (61)
0.73 (61)
-1.80 (91)
0.54 (88)
2.49 N/A 11/01/2000
Total Fund Policy Target Allocations
11.32 (43)
0.12 (69)
0.12 (69)
0.83 (80)
1.59 (66)
1.66 N/A
Difference
0.04
0.85
0.85
0.97
1.05
0.83
All Public Plans Total Fund Median
10.48
1.34
1.34
0.32
1.99
N/A
Total Fund Portfolio (Gross)
11.53
1.44
1.44
1.17
1.19
3.19 11/01/2000
Total Fund Policy Target Allocations
11.32
0.12
0.12
0.83
1.59
1.66
Difference
0.21
1.56
1.56
-0.34
-0.40
1.53
Returns for periods greater than one year are annualized. Rem ms are expressed as percentages. Total Fund Policy Target Allocations 50% S &P500, 15% MSCI
EAFE, 30% LB Int. Aggregate, 5% NCREIF. Total Fund Policy 60% S &P 500, and 40% LB Int. Aggregate. NCREIF estimated for Q3 '09 using NCREIF B G �AHN
OEDC estimate. 16
GROUP
Defined Benefit Plan Trust for the Employees of the City of Winter Springs
Comparative Performance
As of September 30, 2009
tal Fund Portfolio (Net)
11.36 (43)
0.73 (61)
0.73 (61)
-8.47 N/A 10/01/2007
al Fund Policy
10.55 (48)
0.33 (64)
0.33 (64)
6.10 N/A
ference
0.81
0.40
0.40
2.37
Public Plans Total Fund Median
10.48
1.34
1.34
N/A
tal Fund Portfolio (Gross)
11.53
1.44
1.44
7.94 10/01/2007
al Fund Policy
10.55
0.33
0.33
6.10
ference
0.98
1.11
1.11
-1.84
'otal Fund Portfolio (Net)
11.36 (43)
0.73 (61)
0.73 (61)
-8.47 N/A 10/01/2007
otal Fund Policy Target Allocations
11.32 (43)
0.12 (69)
0.12 (69)
7.66 N/A
lifference
0.04
0.85
0.85
0.81
11 Public Plans Total Fund Median
10.48
1.34
1.34
N/A
otal Fund Portfolio (Gross)
11.53
1.44
1.44
7.94 10/01/2007
otal Fund Policy Target Allocations
11.32
0.12
0.12
7.66
lifference
0.21
1.56
1.56
-0.28
Returns for periods greater than one year are annualized. Retums are expressed as percentages. Total Fund Policy Target Allocations 50% S &P500, 15% MSCI
EAFE, 30% LB Int. Aggregate, 5% NCREIF. Total Fund Policy 60% S &P 500, and 40% LB Int. Aggregate. NCREIF estimated for Q3 '09 using NCREIF B G �AHN
OEDC estimate. 17
GROUP
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Comparative Performance Trailing Returns
As of September 30, 2009
otal Equity Portfolio
otal Equity Policy
otal Equity Portfolio
otal Equity Policy Target Allocations
omestic Equity Portfolio
4_'P 500
ifference
S Core /Large Cap Equity (SA +CF) Median
ateef Asset Mgmt.Equity
ussell 1000 Growth Index
ifference
S Growth/Large Cap Equity (SA +CF) Median
alton, Greiner, Hartman, Maher Co.
ussell 3000 Value Index
ifference
S All Cap Value Equity (SA +CF) Median
iternational Equity Portfolio
[SCI EAFE Index
ifference
iternational Active Value Equity (SA +CF) Median
oyageur Asset Mgmt. International
[SCI EAFE Index
ifference
iternational Active Value Eauitv (SA +CF) Median
18.07
-1.09
-1.09
-4.46
-0.85
15.61
-6.91
-6.91
-5.43
-1.23
2.46
5.82
5.82
0.97
0.38
18.07
-1.09
-1.09
-4.46
-0.85
16.38
-4.78
-4.78
-4.91
-0.94
1.69
3.69
3.69
0.45
0.09
15.75 (31)
-4.29 (27)
-4.29 (27)
-4.11 (38)
-0.92 (46)
15.61 (37)
-6.91 (59)
-6.91 (59)
-5.43 (70)
-1.61 (70)
0.14
2.62
2.62
1.32
0.69
15.25
-6.48
-6.48
-4.78
-1.15
15.34
(27)
0.53
(19)
0.53
(19)
1397
(53)
-1.85
(33)
-1.85
(33)
1.37
(56)
2.38
N/A 11/01/2000
2.38
(83)
14.02
N
-3.29
-3.29
16.26
(63)
N/A
N/A
18.59
(44)
-10.79
(95)
-10.79
(95)
-2.33
N/A
N/A
17.80
-3.63
-3.63
N/A 05/01/2009
27.00
(1)
11.87
(20)
11.87
(20)
19.52
(45)
3.80
(57)
3.80
(57)
7.48
(91)
8.07
N/A 11/01/2000
8.07
(78)
19.19
N/A
4.88
4.88
27.00
(1)
11.87
(20)
11.87
(20)
19.52
(45)
3.80
(57)
3.80
(57)
7.48
8.07
8.07
19.19
4.88
4.88
N/A
2.50 (49)
N/A
2.63
N/A
-7.78 (86)
N/A
-3.44
-5.80 (91)
-3.12 (76)
-2.68
-1.49
N/A
-3.12 (76)
N/A
-1.49
N/A
-0.43 (52)
NA
-0.41
N/A
2.64 (82)
N/A
0.50
0.05 (92)
2.13 (74)
2.08
3.31
N/A
2.13 (74)
N/A
3.31
2.21 1.58 01/01/2001
1.69 -0.15
0.52 1.73
2.21
1.58
01/01/2001
1.94
-0.01
0.27
1.59
1.85
(56)
1.14
N/A 11/01/2000
1.02
(83)
-1.51
N
0.83
2.65
2.02
N/A
N/A
-7.63
N/A 10/01/2007
1.86
(66)
-11.88
N/A
N/A
4.25
2.46
N/A
N/A
24.34
N/A 05/01/2009
0.96
(85)
24.64
N/A
N/A
-0.30
3.12
N/A
4.91
(91)
3.16
N/A 11/01/2000
6.57
(78)
3.22
N/A
-1.66
-0.06
7.66
N/A
N/A
-17.77
N/A 10/01/2007
6.57
(78)
-14.84
N/A
N/A
-2.93
7.66
N/A
Returns for periods greater than one year are annualized. Returns are expressed as percentages. Total Fund Policy= 50% S &P 500, 15% MSCI EAFE, 30% LB Int.
Aggregate, 5% NCREIF. Total Equity Policy= 80% S &P 500, 20% MSCI EAFE. Total Fixed Policy= 85% LB Int. Agg, 15% Tips. NCREIF estimated for
Q3 '09 using NCREIF OEDC estimate. 18
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Comparative Performance Trailing Returns
As of September 30, 2009
otal Fixed Portfolio 4.78 111.53 10.53 15.30 4.39 5.88 11/01/2000
otal Fixed Policy 9.69 6.37 5.66 5.08 6.18
lifference 1.57 0.84 0.84 -1.07 -0.87 -0.69 -0.30
otal Fixed Portfolio
4.78
10.53
10.53
5.30
4.79
4.39
5.88
11/01/2000
otal Fixed Policy Target Allocations
3.18
8._
8.87
6.29
5.60
5.04
6.15
lifference
1.60
1.66
1.66
-0.99
-0.81
-0.65
-0.27
Halliard Core Fixed Portfolio
5.22
(21)
12.08
(43)
12.08
(43)
N/A
N/A
N/A
4.98
N/A 10/01/2007
arclays Capital Intermediate Aggregate
3.21
(75)
9.69
(83)
9.69
(83)
6.37
(63)
5.73
(63)
5.02
(63)
6.89
N/A
lifference
2.01
2.39
2.39
N/A
N/A
N/A
-1.91
S Intermediate Fixed Income (SA +CF) Median
3.90
11.54
11.54
6.70
5.99
5.20
N/A
Halliard TIPS
2.85
(88)
3.98
(92)
3.98
(92)
N/A
N/A
N/A
5.83
N/A 10/01/2007
arclays Capital U.S. Treasury Inflation Notes: 1-
2.98
(65)
4.02
(92)
4.02
(92)
5.73
(61)
4.86
(63)
4.66
(93)
5.94
N/A
lifference
-0.13
-0.04
-0.04
N/A
N/A
N/A
-0.11
S TIPS (SA +CF) Median
3.08
6.42
6.42
5.98
4.96
5.07
N/A
merican Stable Value Fund
-9.62
(63)
-32.42
(51)
-32.42
(51)
N/A
-15.88
N/A 10/01/2007
CREIF Property Index
-7.41
(52)
-25.39
(14)
-25.39
(14)
-2.69
(12)
2.03
(14)
5.25
(2)
-11.38
N/A
lifference
-2.21
-7.03
-7.03
N/A
N/A
N/A
-4.50
S Private Real Estate -Open End (SA +CF) Median
-7.30
-31.00
-31.00
-8.85
-0.13
3.90
N/A
Returns for periods greater than one year are annualized. Returns are expressed as percentages. Total Fund Policy= 50% S &P 500, 15% MSCI EAFE, 30% LB Int.
Aggregate, 5% NCREIF. Total Equity Policy= 80% S &P 500, 20% MSCI EAFE. Total Fixed Policy= 85% LB Int. Agg, 15% Tips. NCREIF estimated for
Q3 '09 using NCREIF OEDC estimate. 19
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Comparative Performance Fiscal Year Returns
As of September 30, 2009
otal Fund Portfolio(Net)
otal Fund Policy
lifference
11 Public Plans -Total Fund Median
otal Fund Portfolio
otal Fund Policy Target Allocations
otal Fund Portfolio(Net) Ir
otal Fund Policy
lifference
11 Public Plans -Total Fund Median
0.73
(61)
-16.82
(94)
13.03
(74)
7.89
(86)
11.07
(88)
12.18
(63)
0.33
(63)
-12.11
(34)
11.97
(87)
9.55
(52)
10.76
(91)
11.65
(72)
0.40
-4.71
1.06
-1.66
0.31
0.53
1.34
-13.16
14.36
9.59
14.15
12.67
1.44
-16.46
13.92
8.62
11.82
13.05
0.12
-14.63
14.40
9.19
10.76
11.65
1.56
-1.83
-0.48
-0.57
1.06
1.40
0.73
(61)
-16.82
(94)
13.03
(74)
7.89
(86)
11.07
(88)
12.18
(63)
0.33
(63)
-12.11
(34)
11.97
(87)
9.55
(52)
10.76
(91)
11.65
(72)
0.40
-4.71
1.06
-1.66
0.31
0.53
1.34
-13.16
14.36
9.59
14.15
12.67
12.49 (94)
18.84 (40)
-6.35
18.22
13.34
18.84
-5.50
18.84 (40)
-6.35
18.22
otal Fund Portfolio
otal Fund Policy Target Allocations
1.44 -16.46 13.92 8.62 11.82 13.05
-0.12 -14.63 14.40 9.19 10.76 11.65
1.56 -1.83 -0.48 -0.57 1.06 1.40
13.34
18.84
-5.50
Returns for periods greater than one year are annualized. Returns are expressed as percentages. Total Fund Policy= 50% S &P 500, 15% MSCI EAFE, 30% LB Int.
Aggregate, 5% NCREIF. Total Equity Policy= 80% S &P 500, 20% MSCI EAFE. Total Fixed Policy= 85% LB Int. Agg, 15% Tips. NCREIF estimated for
Q3 '09 using NCREIF OEDC estimate. 20
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Comparative Performance Fiscal Year Returns
As of September 30, 2009
otal Equity Portfolio
otal Equity Policy
otal Equity Portfolio
otal Equity Policy Target Allocations
omestic Equity Portfolio
4- 500
ifference
S Core /Large Cap Equity (SA +CF) Median
ateef Asset Mgmt.Equity
ussell 1000 Growth Index
ifference
S Growth/Large Cap Equity (SA +CF) Median
alton, Greiner, Hartman, Maher Co.
ussell 3000 Value Index
ifference
S All Cap Value Equity (SA +CF) Median
iternational Equity Portfolio
[SCI EAFE Index
ifference
iternational Active Value Equity (SA +CF) Median
oyageur Asset Mgmt. International
[SCI EAFE Index
ifference
iternational Active Value Eauitv (SA +CF) Median
-1.09 -25.61 18.52 10.83 15.40
-6.91 -21.98 16.44 12.51 14.30 15.14 24.64
5.82 -3.63 2.08 -1.68 1.10 2.46 -5.88
-1.09
-25.61
18.52
10.83
15.40
17.60
18.76
-4.78
-23.61
18.21
11.99
14.30
15.14
24.64
3.69
-2.00
0.31
-1.16
1.10
2.46
-5.88
-4.29 (27)
-21.66 (55)
17.58 (36)
9.29 (74)
13.77 (59)
16.77 (20)
17.81 (91)
-6.91 (59)
-21.98 (64)
16.44 (58)
10.79 (50)
12.25 (81)
13.87 (59)
24.40 (43)
2.62
0.32
1.14
-1.50
1.52
2.90
-6.59
-6.48
-21.32
16.64
10.78
14.39
14.27
24.01
0.53 (19)
-15.13 (14)
N/A
N/A
N/A
N/A
N/A
1.85 (-13)
-20.88 (51)
19.35 (55)
6.04 (58)
11.60 (71)
7.51 (74)
25.92 (27)
2.38
5.75
N/A
N/A
N/A
N/A
N/A
3.29
-20.76
19.88
6.79
14.04
10.05
22.40
N/A
N/A
N/A
N/A
N/A
N/A
N/A
-10.79
(95)
-22.70
(70)
13.73
(68)
14.55
(8)
16.78
(61)
20.89
(56)
24.89
(73)
N/A
N/A
N/A
N/A
N/A
N A
N/A
-3.63
-20.42
16.13
10.17
20.02
21.13
28.58
11.87
(20)
-39.55
(100)
23.63
(60)
19.84
(68)
26.83
(53)
22.94
(78)
27.32
(71)
3.80
(57)
-30.13
(76)
25.38
(45)
19.65
(70)
26.32
(59)
22.52
(79)
26.54
(75)
8.07
-9.42
-1.75
0.19
0.51
0.42
0.78
4.88
-27.10
24.71
20.92
27.00
25.43
30.08
11.87
(20)
-39.55
(100)
N/A
N/A
N/A
N/A
N/A
3.80
(57)
-30.13
(76)
25.38
(45)
19.65
(70)
26.32
(59)
22.52
(79)
26.54
(75)
8.07
-9.42
N/A
N/A
N/A
N/A
N/A
4.88
-27.10
24.71
20.92
27.00
25.43
30.08
Returns for periods greater than one year are annualized. Returns are expressed as percentages. Total Fund Policy= 50% S &P 500, 15% MSCI EAFE, 30% LB Int.
Aggregate, 5% NCREIF. Total Equity Policy= 80% S &P 500, 20% MSCI EAFE. Total Fixed Policy= 85% LB Int. Agg, 15% Tips. NCREIF estimated for
Q3 '09 using NCREIF OEDC estimate. 21
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Comparative Performance Fiscal Year Returns
As of September 30, 2009
otal Fixed Portfolio 10.53 0.64 4.96 3.27 2.81 i 2.68 M 5.24 i
otal Fixed Policy 9.69 4.16 5.33 3.55 2.80 3.68 5.40
lifference 0.84 -3.52 -0.37 -0.28 0.01 -1.00 -0.16
otal Fixed Portfolio
10.53
0.64
4.96
3.27
2.81
2.68
5.24
otal Fixed Policy Target Allocations
8.87
4.73
5.33
3.55
2.80
3.68
5.40
lifference
1.66
-4.09
-0.37
-0.28
0.01
-1.00
-0.16
Halliard Core Fixed Portfolio
12.08
(43)
-1.68
(95)
N/A
N/A
N/A
N/A
N/A
arclays Capital Intermediate Aggregate
9.69
(83)
4.16
(32)
5.33
(66)
3.84
(56)
2.23
(41)
3.39
(26)
4.94
(65)
lifference
2.39
-5.84
N/A
N/A
N/A
N/A
N/A
S Intermediate Fixed Income (SA +CF) Median
11.54
3.17
5.46
3.90
2.08
2.87
5.50
Halliard TIPS
3.98
(92)
7.72
(14)
N/A
N/A
N/A
N/A
N/A
arclays Capital U.S. Treasury Inflation Notes: 1-
4.02
(92)
7.89
(11)
5.32
(23)
2.28
(34)
3.84
(92)
5.75
(95)
7.25
(76)
lifference
-0.04
-0.17
N/A
N/A
N/A
N/A
N/A
S TIPS (SA +CF) Median
6.42
6.35
4.98
2.08
5.36
7.50
7.42
merican Stable Value Fund 0
-32.42
(51)
4.72
(38)
N /A=
CREIF Property Index
-25.39
(14)
5.27
(29)
17.31
(66)
17.62
(51)
19.19
(66)
12.41
(50)
7.83
(82)
lifference
-7.03
-0.55
N/A
N/A
N/A
N/A
N/A
S Private Real Estate -Open End (SA +CF) Median
-31.00
3.23
18.34
17.77
19.75
12.35
9.60
Returns for periods greater than one year are annualized. Returns are expressed as percentages. Total Fund Policy= 50% S &P 500, 15% MSCI EAFE, 30% LB Int.
Aggregate, 5% NCREIF. Total Equity Policy= 80% S &P 500, 20% MSCI EAFE. Total Fixed Policy= 85% LB Int. Agg, 15% Tips. NCREIF estimated for
Q3 '09 using NCREIF OEDC estimate. 22
23
Winter Springs General Employees
Total Fund (Net)
September 30, 2009
Financial Reconciliation
Market Value
Market Value
Net
Capital
As of
Contributions
Distributions
Fees
Expenses
Income
As of
6/30/2009
Transfers
Apprec.// Deprec.
9/30/2009
Total Fund (Net)
15,285
476
-177
-24
-9
32
1,740
17,322
Financial Reconciliation
Oct11'
00: To
September 30, 2009
Market Value
Market Value
Net
Capital
As of
Contributions
Distributions
Fees
Expenses
Income
As of
9/30/2008
Transfers
Apprec.// Deprec.
9/30/2009
Total Fund (Net)
15,561
2,132
-674
-101
23
13S
290
17,322
Peer Group
Public
Plans-To Plans-Total
Fund
Cummulative
Performance
;n nn
10.00
e
a
L
0.00
a
-10.00
-2000
$145.0
$130.0
4
$115.0
$100.0
1 Oct -2008 1 2 3 4 5 $85.0
Quarter To Year Years Years Years Years
Sep -2009
Total Fund (Net) 11.36 (43) 0.73 (61) 0.73 (61) -8.47 (88) -1.80 (92) 0.54 (90) 2.56 (91)
Total Fund Policy 10.55 (48) 0.33 (64) 0.33 (64) -6.10 (56) -0.42 (74) 1.98 (55) 3.68 (60) $70.0
12/00 9/02 6/04 3/06 12/07 9/09
Median 10.48 1.34 1.34 -5.87 0.35 2.12 3.94 -Total Fund (Net) Total Fund Policy
Comparative Performance
1 1 1 1 1 1
Quarter Quarter Quarter Quarter Quarter Quarter
Ending Ending Ending Ending Ending Ending
Jun -2009 Mar -2009 Dec -2008 Sep -2008 Jun -2008 Mar -2008
Total Fund (Net) 11.59 (21) -4.27 (27) -15.33 (87) -6.59 (31) -4.79 (100) -4.35 (24)
Total Fund Policy 10.13 (36) -6.14 (62) -12.19 (44) -5.08 (7) -1.90 (93) -4.81 (40)
All Public Plans -Total Fund Median 9.34 -5.59 -12.45 -7.56 -0.74 -5.04
24
BOGDAHN
GROU
Winter Springs General Employees
Total Fund (Net)
September 30, 2009
_IV.V
20.0
10.0
z 0.0
w -10.0
R
0
F -20.0
Over
P erforman ce
Under
Performance
20.0 30.0
-qo-- Sep -2009
-20.0 -10.0 0.0 10.0
Total Fund Policy
-W Over Performance -W Under Performance Dec -2004
8.00
6.00
4.00
2.00
L 0.00
a -z.00
-4.00
0
0.00
c 25.00
5.00
10 00
15.00
R
a
5.00 7.50
10.00
50.00
11 y 1'1 V
Risk (Standard Deviation
Risk (Standard Deviation
75.00
j
LA
Return
Standard Deviation
Total Fund (Net)
a
12.99
Total Fund (Net)
100.00
10.69
Total Fund Policy
12104
12/05
12/06
Total Fund Policy
Total Period
5 -25
25- Median
Median
Count
Count
Total Fund (Net)
20
0 (0
3 (15
Total Fund Policv
20
0 (0
9 (45
9.00
7.50
6.00
4.50
3.00
a
1.50
0.00
12/07 12/08 9/09
Median -75 75 -95
Count Count
9 (45 8 (40
10 (50 1 (5
0
0.00
5.00
10 00
15.00
20.00
0.00 2.50
5.00 7.50
10.00
12.50 15.00
Risk (Standard Deviation
Risk (Standard Deviation
Return Standard Deviation
Return
Standard Deviation
Total Fund (Net)
-1.80
12.99
Total Fund (Net)
2.56
10.69
Total Fund Policy
-0.42
12.10
Total Fund Policy
3.68
9.99
Median
0.35
12.04
Median
3.94
9.94
Hist
Up
Down
Tracking
Sharpe
Downside
Error
Market
Market
Alpha
IR
Ratio
Beta
Risk
Capture
Capture
Total Fund (Net)
3 C
96.30
104.26
-1.28
-0.35
-0.28
1.03
10.52
Total Fetid Policv
100.00
100.00
0.00
N/A
-0.20
1.00
9.56
Hist
Up
Down
Tracking
Sharpe
Downside
Error
Market
Market
Alpha
IR
Ratio
Beta
Risk
Capture
Capture
Total Fund (Net)
2.92
95.99
103.66
-1.13
-0.34
0.01
1.03
8.30
Total Fund Policy
0.00
100.00
100.00
0.00
N/A
0.11
1.00
7.57
25
t� BOGDAHN
GROUP
Winter Springs General Employees
Domestic Equity Portfolio
September 30, 2009
Financial Reconciliation
0.00
a
L
$80.0
Market Value
-10.00
Oct -2008
-20.00
2
-3000
4
Market Value
Net
Quarter
To
Year
Capital
Years
Years
As of
Contributions Distributions
Fees
Expenses
Income
Sep -2009
As of
6/30/2009
Transfers
Apprec./Deprec.
9/30/2009
Domestic Equity Portfolio
6,767
246
-15
-1
26
1,052
8,077
Financial Reconciliation
Oct11'
00: To September
30, 2009
-14.77 (69)
-5.43 (70)
-1.61 (70)
1.02 (83)
$60.0
Market Value
12/07 9/09
Median
15.25
-6.48
-6.48
-14.05
Market Value
-1.15
2.02
Net
Comparative Performance
Capital
As of
Contributions Distributions
Fees
Expenses
Income
1
As of
1
9/30/2008
Transfers
1 1
1
ApprecJ Deprec.
9/30/2009
Domestic Equity Portfolio
7,423
872
Quarter
-61
-3
110
-264
8,077
Peer Group
Core/Large
Cap Equity (SA+CF)
Ending
Cumulative
Performance
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008 Jun -2008
Mar -2008
Domestic Equity Portfolio
17.93
(14)
-7.99 (22)
-23.80 (87)
-4.69 (8) -6.34 (99)
30.00
20.00
$140.0
$120.0
I
$111.8
$1 00.0
$94.3
10.00
0.00
a
L
$80.0
a
-10.00
Oct -2008
-20.00
2
-3000
$140.0
$120.0
I
$111.8
$1 00.0
$94.3
$80.0
1
Oct -2008
1
2
3
4
5
Quarter
To
Year
Years
Years
Years
Years
Sep -2009
Domestic Equity Portfolio
15.75 (31)
-4.29 (27)
-4.29 (27)
-13.41 (39)
-4.11 (38)
-0.92 (46)
1.85 (56)
S &P 500
15.61 (37)
-6.91 (59)
-6.91 (59)
-14.77 (69)
-5.43 (70)
-1.61 (70)
1.02 (83)
$60.0
12/00 9/02 6/04 3/06
12/07 9/09
Median
15.25
-6.48
-6.48
-14.05
-4.78
-1.15
2.02
-Domestic Equity Portfolio -S &P500
Comparative Performance
1
1
1
1 1
1
Quarter
Quarter
Quarter
Quarter Quarter
Quarter
Ending
Ending
Ending
Ending Ending
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008 Jun -2008
Mar -2008
Domestic Equity Portfolio
17.93
(14)
-7.99 (22)
-23.80 (87)
-4.69 (8) -6.34 (99)
-9.30 (42)
S &P 500
15.93
(40)
-11.01 (69)
-21.94 (60)
-8.37 (40) -2.73 (82)
-9.44 (49)
US Core/Large Cap Equity (SA +CF)
Median
15.52
-10.47
-21.67
-8.99 -1.19
-9.46
26
BOGDAHN
GROU
Winter Springs General Employees
Domestic Equity Portfolio
September 30, 2009
30.0
Over
10.00
0.00
30.00
40.00
5.00 10.00
15.00 20.00 25.00
Performance
Risk (Standard Deviation
18.0
c
25.00-
Return
Standard Deviation
F
0 6.0
a
Return
Standard Deviation
Domestic Equity Portfolio
-4.11
21.96
50.00-
0
0 0
S &P 500
-6.0
a
75.00-
19
9 9,9
c 18.0
Median
21.18
Median
W
Under a
Hist
Up
Performance
100.00
Tracking
-30.0
12/04
12/05
12/06 12/07
12/08 9/09
o -30.0 -18.0 -6.0 6.0
q
18.0 30.0
Market
Total Period 5 -25
25- Median
Median -75 75 -95
S &P500(
Beta
Risk
Count
Count
Count Count
Domestic Equity Portfolio
20
0 (0
7 (35
7 (35 6 (30
f Under Performance f Over Performance Dec -2004
-0- Sep -2009 S &P 500
96.18
20
0 (0
0 (0
13 (65 7 (35
10.00
0.00
-10.00
a
L
-20.00
a
-30.00
15.00
10.00
5.00
0.00
L
-5.00
a
10.00
0.00
10.00
20.00
30.00
40.00
5.00 10.00
15.00 20.00 25.00
30.00
Risk (Standard Deviation
Risk (Standard Deviation
Return
Standard Deviation
Return
Standard Deviation
Domestic Equity Portfolio
-4.11
21.96
Domestic Equity Portfolio
1.85
17.93
S &P 500
-5.43
21.28
S &P 500
1.02
17.43
Median
-4.78
21.18
Median
2.02
17.37
Hist
Up
Down
Tracking
Sharpe
Downside
Error
Market
Market
Alpha
IR
Ratio
Beta
Risk
Capture
Capture
Domestic Equity Portfolio
102.17
96.18
1.60
0.28
-0.24
1.01
16.11
S &P 500
0 00
100.00
100.00
0.00
N/A
-0.33
1.00
15.81
Hist
Up
Down
Tracking
Sharpe
Downside
Error
Market
Market
Alpha
IR
Ratio
Beta
Risk
Capture
Capture
Domestic Equity Portfolio
43.94
138.16
96.70
8.86
0.20
0.17
0.92
23.81
S &P 500
0.00
100.00
100.00
0.00
N/A
-0.04
1.00
12.45
27
BOGDAHN
t GROUP
Winter Springs General Employees
Lateef Asset Mgmt.Equity
September 30, 2009
Financial Reconciliation 1 Q uarter
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Apprec.// Deprec. As of
6/30/2009 9/30/2009
Lateef Asset Mgmt.Equity
3,781
1 -9
12
574
4,480
Financial Reconciliation
October
00: To September 30, 2009
a
-10.00
Quarter
-20.00
Year
-3000
Years
Years
Market Value
Net
Capital
Market Value
Sep -2009
As of
Transfers Contributions Distributions Fees
Expenses Income
Apprec.// Deprec.
As of
9/30/2008
Lateef Asset Mgmt.Equity
15.34 (27)
9/30/2009
Lateef Asset Mgmt.Equity
3,999
436 -45
-2 4�
47
4,480
Peer Group
Growth/Large
Cap Equity
Perfo
-1.85 (33)
-1.85 (33)
-11.88 (43) -2.50 (49)
-0.43 (52)
1.86 (66)
$50.0
$1100
30.00
20.00
$100.0
$90.0
$853
$80.0
77.7
$70.0
10.00
Oct -2008
1
2 3
0.00
a
L
$60.0
7
a
-10.00
Quarter
-20.00
Year
-3000
$100.0
$90.0
$853
$80.0
77.7
$70.0
1
Oct -2008
1
2 3
4
5
$60.0
Quarter
To
Year
Years Years
Years
Years
Sep -2009
Lateef Asset Mgmt.Equity
15.34 (27)
0.53 (19)
0.53 (19)
-7.63 (6) N/A
N/A
N/A
Russell 1000 Growth Index
13.97 (53)
-1.85 (33)
-1.85 (33)
-11.88 (43) -2.50 (49)
-0.43 (52)
1.86 (66)
$50.0
9/07
3/08 9/08 3/09 9/09
I ledian
14.02
-3.29
-3.29
-12.21 -2.63
-0.41
2.46
-LateefAsset
Mgmt.Equity
Russell 1000 Growth Index
C omparative Perfo
1
1
1
1
1
1
Quarter
Quarter
Quarter
Quarter
Quarter
Quarter
Ending
Ending
Ending
Ending
Ending
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008
Jun -2008
Mar -2008
Lateef AssetMgmt.Equity
14.76
(53)
-5.85 (64)
-19.33 (10)
-0.50 (4)
-7.28
(99) -9.70 (36)
Russell 1000 Growth Index
16.32
(33)
-4.12 (43)
-22.79 (56)
-12.33 (47)
1.25
(55) -10.18 (42)
US Growth/Large Cap Equity (SA
+CF) Median
14.99
-4.71
-22.51
-12.51
1.47
-10.68
2a
BOGDAHN
GROUP
Winter Springs General Employees
Dalton, Greiner, Hartman, Maher Co.
September 30, 2009
Financial Reconciliation
1 Oct -2008
1 2
3
4
Market Value
Market Value
Net
Year Years
Capital
Years
As of
Contributions Distributions Fees
Expenses Income
As of
6/30/2009
Transfers
Apprec.// Deprec.
9/30/2009
Dalton, Greiner, Hartman, Maher Co. 2,986
1
-5
14 478
3,596
Financial Reconciliation Oct11' To
September 30,
2009
N/A
N/A
N/A
$100.0
Market Value
18.59 (44) -10.79 (95)
-10.79 (95) -16.96 (89)
-7.78 (86)
Market Value
0.96 (85)
Net
6/09
Capital
9/09
As of
Contributions Distributions Fees
Expenses Income
As of
9/30/2008
Transfers
Dalton, Greiner, Hartman, Maher
Apprec.// Deprec.
9/30/2009
Dalton, Greiner, Hartman, Maher Co. 2,919 -5 -1 28 656 3,596
Peer Group Analysis US All Cap Value Equity (SA +CF) Cumulative Performance
L
0.00
a
-15.00
-3000
$115.0
$110.0
$105.0
1 Oct -2008
1 2
3
4
5
Quarter To
Year Years
Years
Years
Years
Sep -2009
Dalton, Greiner, Hartman, Maher Co.
16.26 (63) N/A
N/A N/A
N/A
N/A
N/A
$100.0
Russell 3000 Value Index
18.59 (44) -10.79 (95)
-10.79 (95) -16.96 (89)
-7.78 (86)
-2.64 (82)
0.96 (85)
6/09
9/09
Dalton, Greiner, Hartman, Maher
Co.
Median
17.80 -3.63
-3.63 -12.60
-3.44
-0.50
3.12
-Russell 3000 Value Index
Comparative Performance
1
1
1
1
1
1
Quarter
Quarter
Quarter
Quarter
Quarter
Quarter
Ending
Ending
Ending
Ending
Ending
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008
Jun -2008
Mar -2008
Dalton, Greiner, Hartman, Maher Co.
N/A
N/A
N/A
N/A
N/A
N/A
Russell 3000 Value Index
16.81 (79)
-17.00 (100)
-22.41 (49)
-5.26
(22) -5.17
(94)
-8.55 (52)
US All Cap Value Equity (SA +CF) Median
18.03
-10.25
-22.53
-7.85
-0.85
-8.37
29
BOGDAHN
GROU
Winter Springs General Employees
International Equity Portfolio
September 30, 2009
Financial Reconciliation 1 Quarter
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Apprec.// Deprec. As of
6/30/2009 9/30/2009
International Equity Portfolio
1,762
81 -4
479
2,318
Financial Reconciliation
October
To September 30, 2009
Market Value
Market Value
Net
Capital
As of
Contributions Distributions Fees
Expenses Income
As of
9/30/2008
Transfers
Apprec.// Deprec.
9/30/2009
International Equity Portfolio
1,746
243 3C -15
4 303
2,318
Peer Group
1
1
Performance
;il ilil
15.00
e
a
0.00
a
-15.00
-3000
$150.0
$133.0
127.0
$100.0
1 Oct -2008 1 2 3 4 5
Quarter To Year Years Years Years Years
Sep -2009
International Equity Portfolio 27.00 (1) 11.87 (20) 11.87 (20) -17.77 (90) -5.80 (91) 0.05 (92) 4.91 (91)
MSCI EAFE Index 19.52 (45) 3.80 (57) 3.80 (57) -14.84 (80) -3.12 (76) 2.13 (74) 6.57 (78) $50.0
12/00 9/02 6/04 3/06 12/07 9/09
Median 19.19 4.88 4.88 -12.84 -1.49 3.31 7.66 International Equity Portfolio -MSCI EAFE Index
Comparative Performance
1 1 1 1 1 1
Quarter Quarter Quarter Quarter Quarter Quarter
Ending Ending Ending Ending Ending Ending
Jun -2009 Mar -2009 Dec -2008 Sep -2008 Jun -2008 Mar -2008
International Equity Portfolio 31.73 (8) -9.63 (20) -26.00 (98) -24.28 (93) -10.94 (100) -0.22 (3)
MSCIEAFE Index 25.85 (28) -13.85 (60) -19.90 (58) -20.50 (80) -1.93 (38) -8.82 (66)
International Active Value Equity (SA +CF) Median 23.56 -12.97 -19.33 -17.02 -2.87 -8.04
30 BOGDAHN
GROUP
Winter Springs General Employees
International Equity Portfolio
September 30, 2009
50.0
Over
P erformancc
30.0
c 10.0
0. -10.0
W -30.0
R
0
R -50.0
Under
Performance
30.0 50.0
-qo-- Sep -2009
L -50.0 -30.0 -10.0 10.0
MSCI EAFE Index(
-W Over Performance f Under Performance Dec -2004
10.00
5.00
0.00
-5.00
-10.00
a
-15.00
0
0.00
c 25.00
a
50.00
a
75.00
a
100.00
12 04 1' (15
Total Period
International Equity Portfolio I0
MSCI EAFE Index �0
15.00
12.50
10.00
7.50
5.00
a
2.50
�J
0
15.00 20.00
25.00
30.00
35.00
40.00
10.00 15.00
20.00
25.00
30.00
Risk (Standard Deviation
Risk (Standard
Deviation
Return
Standard Deviation
Return
Standard Deviation
International Equity Portfolio
-5.80
34.19
International Equity Portfolio
4.91
28.11
MSCI EAFE Index
-3.12
27.79
MSCI EAFE Index
6.57
23.16
Median
-1.49
26.25
Median
7.66
22.06
Hist
Up
Down
Tracking
Sharpe
Downside
Error
Market
Market
Alpha
IR
Ratio
Beta
Risk
Capture
Capture
International Equity Portfolio
104.26
109.37
-1.60
-0.19
-0.16
1.12
21.95
MSCI EAFE Index
0 00
100.00
100.00
0.00
N/A
-0.12
1.00
18.65
Hist
Up
Down
Tracking
Sharpe
Downside
Error
Market
Market
Alpha
IR
Ratio
Beta
Risk
Capture
Capture
International Equity Portfolio
6.78
103.38
108.62
-1.76
-0.12
0.20
1.11
17.23
MSCI EAFE Index
0.00
100.00
100.00
0.00
N/A
0.27
1.00
14.70
ca
BOGDAHN
GROUP
12/06 12/07 12/08 9/09
5 -25 25- Median Median -75 75 -95
Count Count Count Count
0 (0 0 (0 9 (45 11 (55
0 (0 1 (5 12 (60 7 (35
Winter Springs General Employees
Voyageur Asset Mgmt. International
September 30, 2009
Financial Reconciliation 1 Quarter
Market Value Capital Market Value
Net al
As of Transfers Contributions Distributions Fees Expenses Income App Capi eprec. As of
6/30/2009 9/30/2009
Voyageur Asset Mgmt. International 1,762
81 -4
479
2,318
Financial Reconciliation October 0: To
September 30, 2009
Market Value
Market Value
Net
Capital
1
As of
Contributions Distributions Fees
Expenses Income
As of
9/30/2008
Transfers
Apprec.// Deprec.
9/30/2009
Voyageur Asset Mgmt. International 1,746 243 36 -15 4 303 2,318
Peer Group Analysis International Active Value Equity (SA +CF) Cumulative Performance
e
a
0.00
-15.00
-3000
$100.0
$85.0
$72.5
$70.0- 67.6
$55.0
$40.0-
1
Oct -2008
1
2
3
4
5
Quarter
To
Year
Years
Years
Years
Years
Sep -2009
Voyageur Asset Mgmt. International
27.00 (1)
11.87 (20)
11.87 (20)
-17.77 (90)
N/A
N/A
N/A
$25.0
MSCI EAFE Index
19.52 (45)
3.80 (57)
3.80 (57)
-14.84 (80)
-3.12 (76)
2.13 (74)
6.57 (78)
9/07 3/08
9/08
3/09 9/09
Voyageur Asset Mgmt. International
Median
19.19
4.88
4.88
-12.84
-1.49
3.31
7.66
-MSCI EAFE Index
Comparative Performance
1
1
1
1
1
1
Quarter
Quarter
Quarter
Quarter
Quarter
Quarter
Ending
Ending
Ending
Ending
Ending
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008
Jun -2008
Mar -2008
Voyageur Asset Mgmt. International
31.73
(8)
-9.63 (20)
-26.00 (98)
-24.28 (93)
-10.94 (100)
-0.22 (3)
MSCIEAFE Index
25.85
(28)
-13.85 (60)
-19.90 (58)
-20.50 (80)
-1.93 (38)
-8.82 (66)
International Active Value Equity (SA +CF) Median
23.56
-12.97
-19.33
-17.02
-2.87
-8.04
32
BOGDAHN
GROU
Winter Springs General Employees
Galliard Core Fixed Portfolio
September 30, 2009
Financial Reconciliation
14.00
Oct -2008
1
2
Market Value
a
L
5
7
Market Value
Net
Quarter
Capital
Year
As of
Years
Contributions Distributions Fees
Expenses Income
As of
6/30/2009
Transfers
Apprec.// Deprec.
9/30/2009
Galliard Core Fixed Portfolio 4,813
28
-3
252
5,089
Financial Reconciliation Oct11'
To September
30, 2009
Galliard Core Fixed Portfolio
5.22 (21)
12.08 (43)
12.08 (43)
4.98 (88)
N/A
N/A
Market Value
$95.0
Market Value
3.21 (75)
Net
9.69 (83)
Capital
6.37 (63)
As of
5.02 (63)
Contributions Distributions Fees
Expenses Income
As of
9/30/2008
Transfers
Apprec.// Deprec.
9/30/2009
Galliard Core Fixed Portfolio 4,243 115 -9 -2 544 5,089
Peer Group Analysis US Intermediate Fixed Income (SA +CF) Cumulative Performance
$110.2
$110.0
$105.0
$100.0
14.00
Oct -2008
1
2
10.50
a
L
5
7
7.00
Quarter
3.50
Year
000
$110.2
$110.0
$105.0
$100.0
1
Oct -2008
1
2
3
4
5
Quarter
To
Year
Years
Years
Years
Years
Sep -2009
Galliard Core Fixed Portfolio
5.22 (21)
12.08 (43)
12.08 (43)
4.98 (88)
N/A
N/A
N/A
$95.0
Barclays Capital Intermediate Aggregate
3.21 (75)
9.69 (83)
9.69 (83)
6.89 (63)
6.37 (63)
5.73 (63)
5.02 (63)
9/07 3/08 9/08
3/09 9/09
Galliard Core Fixed Portfolio
Median
3.90
11.54
11.54
7.34
6.70
5.99
5.20
-Barclays Capital Intermediate Aggregate
Comparative Performance
1
1
1
1 1
1
Quarter
Quarter
Quarter
Quarter Quarter
Quarter
Ending
Ending
Ending
Ending Ending
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008 Jun -2008
Mar -2008
Galliard Core Fixed Portfolio
4.80 (17)
2.34 (3)
-0.68 (90)
-3.02 (85) -0.61 (20)
0.20 (96)
Barclays Capital Intermediate Aggregate
1.68 (77)
0.91 (36)
3.58 (58)
-0.13 (20) -0.96 (42)
2.35 (59)
US Intermediate Fixed Income (SA +CF) Median
2.75
0.73
4.11
-1.18 -1.03
2.61
33
BOGDAHN
GROU
Winter Springs General Employees
Galliard TIPS
September 30, 2009
Financial Reconciliation
8.00
F
3
Market Value
5
Market Value
Net
Capital
Quarter To
As of
Contributions Distributions Fees
Expenses Income
As of
6/30/2009
Transfers
Apprec.// Deprec.
9/30/2009
Galliard TIPS 1,080
5
6 25
1,117
Financial Reconciliation Oct11'
0: To September 30, 2009
Galliard TIPS
2.85 (88) 3.98 (92)
Market Value
N/A
N/A
Market Value
$100.0
Net
Capital
As of
Contributions Distributions Fees
Expenses Income
As of
9/30/2008
Transfers
Apprec.// Deprec.
9/30/2009
Galliard TIPS 1,006 68 3 -4 22 1,117
Peer Group Analysis US TIPS (SA +CF) Cumulative Performance
1H6
$110.0
$105.0
8.00
F
3
L
5
6.00
a
Quarter To
Year Years
4.00
Years
200
1H6
$110.0
$105.0
1 Oct -2008
1 2
3
4
5
Quarter To
Year Years
Years
Years
Years
Sep -2009
Galliard TIPS
2.85 (88) 3.98 (92)
3.98 (92) 5.83 (85)
N/A
N/A
N/A
$100.0
Barclays Capital U.S. Treasury Inflation Notes: 1 -10 Year
2.98 (65) 4.02 (92)
4.02 (92) 5.94 (70)
5.73 (61)
4.86 (63)
4.66 (93)
9/07 3/08
9/08
3/09 9/09
Galliard TIPS
D ledian
3.08 6.42
6.42 6.35
5.98
4.96
5.07
Barclays Capital U.S. Treasury Inflation Notes: 1 -10 Year
Comparative Performance
1
1
1
1
1
1
Quarter
Quarter
Quarter
Quarter
Quarter
Quarter
Ending
Ending
Ending
Ending
Ending
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008
Jun -2008
Mar -2008
Galliard TIPS
0.48 (90)
4.16 (84)
-3.40
(72)
-2.89 (20)
0.03 (26)
5.67 (21)
Barclays Capital U.S. Treasury Inflation Notes: 1 -10 Year
0.57 (79)
5.89 (12)
-5.15
(98)
-2.90 (20)
0.23 (16)
5.70 (19)
US TIPS (SA +CF) Median
0.68
4.95
-2.68
-3.51
-0.24
5.36
34
BOGDAHN
GROU
Winter Springs General Employees
American Stable Value Fund
September 30, 2009
Financial Reconciliation I tl
Market Value
$70.0
Market Value
Net
Oct -2008 1
2
Capital
4
As of
Contributions Distributions
Fees
Expenses Income
As of
6/30/2009
Transfers
To Year
Years
Apprec./Deprec.
9/30/2009
American Stable Value Fund 715
-2
-69
639
Financial Reconciliation Oct11'
To September
30, 2009
Market Value
-9.62 (63)
-32.42 (51) -32.42 (51)
-15.88 (45)
N/A
Market Value
N/A
Net
Capital
As of
-7.41 (52)
Contributions Distributions
Fees
Expenses Income
As of
9/30/2008
Transfers
ApprecJ Deprec.
9/30/2009
American Stable Value Fund 988
-13
-13
-8
-316
639
$1100
100
15.00
e
a
L
-30.00
a
-45.00
-6000
$100.0
$90.0
$80.0- $78.5
$70 8
$70.0
1
Oct -2008 1
2
3
4
5
Quarter
To Year
Years
Years
Years
Years
Sep -2009
American Stable Value Fund
-9.62 (63)
-32.42 (51) -32.42 (51)
-15.88 (45)
N/A
N/A
N/A
NCREIF Property Index
-7.41 (52)
-25.39 (14) -25.39 (14)
-11.38 (12)
-2.69 (12)
2.03 (14)
5.25 (2)
$60.0
9/07
3/08 9/08
3/09 9/09
Median
-7.30
-31.00 -31.00
-16.99
-8.85
-0.13
3.90
American
Stable Value Fund NCREIF
Property Index
Comparative Performance
1
1
1
1
1
1
Quarter
Quarter
Quarter
Quarter
Quarter
Quarter
Ending
Ending
Ending
Ending
Ending
Ending
Jun -2009
Mar -2009
Dec -2008
Sep -2008
Jun -2008
Mar -2008
American Stable Value Fund
-7.20 (53)
-12.86
(38)
-7.53
(25)
-0.30 (45)
1.52
(23)
1.85 (22)
NCREIF Property Index
-5.20 (19)
-7.33
(13)
-8.29
(27)
-0.17 (38)
0.56
(59)
1.60 (33)
US Private Real Estate -Open End (SA +CF) Median
-7.19
-14.11
-9.99
-0.36
0.74
1.24
35
BOGDAHN
GROU
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Benchmark History
As of September 30, 2009
Benchmark Policv Total Find
Effective Date: Nov -2000
S &P 500 Index 65.00
Barclays Capital Aggregate 30.00
MSCI EAFE 5.00
Effective Date: Oct -2003
S &P 500 Index 60.00
Barclays Capital Aggregate 30.00
MSCI EAFE 10.00
Effective Date: Sep -2006
S &P 500 Index 60.00
Barclays Capital Intermediate Aggregate 40.00
t� BOGDAHN
GROUP
Defined Benefit Plan Trust for Employees of the City of Winter Springs
Benchmark History Target Allocations
As of September 30, 2009
Benchmark Policv Total Equity Asset Allocations
Effective Date: Nov -2000
S &P 500 Index 90.00
MSCI EAFE 10.00
Effective Date: Oct -2003
S &P 500 Index 85.00
MSCI EAFE 15.00
Effective Date: Sep -2006
S &P 500 Index 80.00
MSCI EAFE 20.00
Benchmark Policv Total Fixed Tartet Allocations
Effective Date: Nov -2000
Barclays Capital Aggregate 100.00
Effective Date: Sep -2006
Barclays Capital Intermediate Aggregate 100.00
Effective Date: Oct -2007
Barclays Capital Intermediate Aggregate 85.00
Barclays Capital U.S. Treasury Inflation Notes: 1 -10 Year 15.00
37
BOGDAHN
GRoUP
Statistics Definitions
Statistics
Description
Return
Compounded rate of return for the period.
Standard Deviation
A statistical measure of the range of a portfolio's performance, the variability of a return around its average return over a
specified time period.
Sharpe Ratio
Represents the excess rate of return over the risk free return divided by the standard deviation of the excess return. The result is
the absolute rate of return per unit of risk. The higher the value, the better the product's historical risk- adjusted performance.
Alpha
A measure of the difference between a portfolio's actual returns and its expected performance, given its level of risk as measured
by beta. It is a measure of the portfolio's historical performance not explained by movements of the market, or a portfolio's
non systematic return.
Beta
A measure of the sensitivity of a portfolio to the movements in the market. It is a measure of a portfolio's non diversifiable or
systematic risk.
R- Squared
The percentage of a portfolio's performance explained by the behavior of the appropriate benchmark. High R- Square means a
higher correlation of the portfolio's performance to the appropriate benchmark.
Treynor Ratio
Similar to Sharpe ratio, but focuses on beta rather than excess risk (standard deviation). Represents the excess rate of return over
the risk free rate divided by the beta. The result is the absolute rate of return per unit of risk. The higher the value, the better the
product's historical risk- adjusted performance.
Downside Risk
A measure similar to standard deviation, but focuses only on the negative movements of the return series. It is calculated by
taking the standard deviation of the negative quarterly set of returns. The higher the factor, the riskier the product.
Tracking Error
A measure of the standard deviation of a portfolio's performance relative to the performance of an appropriate market
benchmark.
Information Ratio
Measured by dividing the active rate of return by the tracking error. The higher the Information Ratio, the more value -added
contribution by the manager.
Consistency
The percentage of quarters that a product achieved a rate of return higher than that of its benchmark. The higher the consistency
figure, the more value a manager has contributed to the product's performance.
Excess Return
Arithmetic difference between the managers return and the risk -free return over a specified time period.
Active Return
Arithmetic difference between the managers return and the benchmark return over a specified time period.
Excess Risk
A measure of the standard deviation of a portfolio's performance relative to the risk free return.
Market Capture The ratio of average portfolio return over the benchmark during periods of positive benchmark return. Higher values indicate
better product performance.
;vn Market Capture The ratio of average portfolio return over the benchmark during periods of negative benchmark return. Lower values indicate
better product performance.
Calculation based on monthly periodicity.
38
BOGDAHN
GROUP
City of Winter Springs General Employee Retirement System
Compliance Checklist as of September 30, 2009
1. The Total Plan return equaled or exceeded the 8% actuarial earnings assumption over the trailing three and five year periods.
2. The Total Plan return equaled or exceeded the total plan benchmark over the trailing three and five year periods.
3. The Total Plan return ranked within the top 40th percentile of its peer group over the trailing three and five year periods.
4. The Total Plan standard deviation was equal to or less than 120% of the total plan benchmark over the trailing three and five year periods.
1. Total equity returns meet or exceed the benchmark over the trailing three and five year periods.
2. Total equity returns ranked within the top 40th percentile of its peer group over the trailing three and five year periods.
3. The total equity allocation was less than 75% of the total plan assets at market.
4. Total foreign equity was less than 20% of the total plan assets at cost.
1. Total fixed income returns meet or exceed the benchmark over the trailing three and five year periods.
2. Total fixed income returns ranked within the top 40th percentile of its peer group over the trailing three and five year periods.
3. The quality of the fixed portfolio was investment grade or better.
4. The duration of the fixed income portfolio was within 125% of the policy benchmark.
1. Manager outperformed the index over the trailing three and five year periods.
2. Manager ranked within the top 40th percentile over trailing three and five year periods.
3. Less than four consecutive quarters of under performance relative to the benchmark.
4. Three -year down market capture ratio less than the index.
5. Standard deviation 150% of the index over the trailing three and five year periods.
P IVA
fes No N/
fes No N/
0
K7
City of Winter Springs General Employee Retirement System
Compliance Checklist as of September 30, 2009
1. Manager outperformed the index over the trailing three and five year periods.
2. Manager ranked within the top 50th percentile over trailing three and five year periods.
3. Less than four consecutive quarters of under performance relative to the benchmark.
4. Three -year down market capture ratio less than the index.
5. Standard deviation 150% of the index over the trailing three and five year periods.
40
Z£6L'Ot7Z'998
Z0Z£S uisuo3srA� `333int,�e11W
0081 wins and utsuo3sim '3 OSZ
aalnP Al, iiW
118Z£ 12 ptiolj `opu eijp
009 wins `peo'H pueIaatA 106b
OPUL)IJO
suoassaapmanpr� pup �uarugsa�ui cno�CSuai1ducas
dflox�
NHVaDOU
JH,L
1,
S 09 stouttlI `atttAU
OOZ alms pi ppijutAk OZ£V
OB -C 3tua
Winter Springs General Fee Table
American Stable Value
'F =,162.53
Dalton, Greiner, Hartman, Maher*
5,168.18
Galliard Core
4,481,960.91
2,786.11
Galliard TIPS
393.65
6/10/2009 Qtly In Arrears 0.15% Yes
3,191,977.18
7,979.001
Voyageur
2,953.10
Irotal
21,442■I
785,599.85
N/A ��_3/31/2009 At fund 1.10% Yes
2,986,057.83
7/8/2009
7/16/2009 Qtly In Arrears 0.75% Yes
4,481,960.91
4/21/2009
k/10/2009 Qtly In Arrea 0.25% Yes
1,050,974.87
4/21/2009
6/10/2009 Qtly In Arrears 0.15% Yes
3,191,977.18
4/20/2009
5/12/2009 Qtly In Ar�p 1.00% Yes
1,277,677.64
4/13/2009
5/14/2009 Qtly In Arrears 0.92% Yes
13,774,248.28
0.64%
*Prorated for 84/91 days. Bill based on 6/30 Market Value
Winter Springs General Asset Allocation
Account
American SV
Dalton...
Securities
639,006.49
3,472,648.80
Cash
155,382.75
639,006.49
3,628,031.55
4%
21%
Target
5%
25%
800,000.00
4%
25%
Upda
9/30/200
10/26/2009
Galliard Core
5,089,039.91
5,089,039.91
29%
24%
(850,000.00)
24%
9/30/2009
Galliard TIPS
1,078,970.62
38,877.57
1,117,848.19
6%
5%
(175,000.00)
5%
10/26/2009
Latee
4,366,025.12
161,677.17
4,527,702.29
26%
25%
(125,000.00)
25%
10/26/200
R &D
Voyageur
2,318,143.26
95,453.18
95,453.18 1%
2,318,143.26 13%
1%
15%
350,000.00
1%
15%
10/26/2009
9/30/2009
Totals
16,963,834.20
451,390.67
17,415,224.87
100.00%
100.00%
100.00%
Asset Allocation By Manager
Now
4%
13%
26%
6%
Asset Allocation By Manager After
15%
1%
American SV
Dalton...
Galliard Core
Galliard TIPS
Lateef 25%
R &D
Voyageur
5%
4%
26%
American SV
Dalton...
Galliard Core
Galliard TIPS
Lateef
R &D
Voyageur
24%