HomeMy WebLinkAbout2011 02 08 Other Winter Springs General Employees Pension Plan - Investment Manager Evaluation Large Cap Growth Date: February 8, 2011
The attached document was provided to the Board
Of Trustees by Mr. David West, The Bogdahn
Group and discussed during the Regular Agenda
Item "602" at the February 8, 2011 Regular Meeting.
City of Winter Springs General
Employees' Pension Plan
Investment Manager Evaluation
Large Cap Growth
Presented
January 25, 2011
Dave West, CFA
1
THE
BOGDAHN
GROUP
W W W. B O G D A H N G R O U P. C O M simplifying yore- investment andfiduciary decisions
C o Win Sp ring s Ge Em ployees ' P ensio n Plan
Alger has been committed to a growth style of investing since the firm was founded in 1964. They believe that investing in companies undergoing positive dynamic change offers their clients the best investment opportunities
over the long -term. Intensive, fundamental, proprietary research is the key to this strategy. They seek companies with high unit volume growth and a positive life cycle change. Each analyst develops comprehensive financial
models for each company they follow internally. Meeting with management is very important, and they follow company changes and updates with a proprietary Alger Psych line, a way to quantify the subjective. Portfolios
are diversified with 90 -120 stocks with sector allocation driven by stock selection.
Brown Advisory's philosophy is based on the belief that disciplined, bottom -up research leads to superior investment performance. The firm takes a "private company approach" to public company investing- seeking to own
businesses that are industry leaders or hold a proprietary advantage over their competition. Qualitative assessment is applied to find companies with a large and /or growing addressable market, a sustainable competitive
advantage, the potential for above average future growth and returns, and a shareholder - friendly, capable management team with a clear easily understood strategy. They will typically visit the company's headquarters to
assess management and the organization's culture. If they feel management if fully capable of executing its mission, the investment team will leverage the firm's network of private equity and venture capital contacts, to
better understand long -term market trends and evaluate the competitive landscape. The portfolio is constructed of approximately 50 large- and mid -cap names, with annual turnover around 25% to 40%.
DSM manages a bottom -up, idea - driven, growth portfolio with an intermediate to long -term investment horizon. While DSM is cognizant of "macro" trends in the US and world economy, as well as business trends in the
broad sectors of the economy (top -down analysis), investment decisions are primarily based on company fundamentals. DSM focuses on companies with solid fundamentals, such as, long -term expected growth in the
company's markets, structure and extent of competitions, "barriers to entry ", capital required, strong profitability, and a successful track - record and management team. Analysts do historical valuations of investor sentiment
regarding each company's shares to determine typical P/E ratios when the company is in favor or out of favor. In addition, analysts study the effect of past and current interest rates on the P/E ratio of each company's shares,
and project these effects going forward. Portfolios normally consist of 25 to 35 growth company stocks with annual turnover of roughly 50%.
Thomas Ogner and the growth team seek to identify those companies that have upward revisions in revenue and earnings. They believe that growth stock performance is driven by company performance vs. market
expectations, and that market expectations adjust slowly to new information. The team attempts to find opportunities before the market fully adjusts. This is truly an All -Cap strategy, with screens initially run on all
companies' greater than $100 million in market capitalization. Management focuses on roughly 400 companies, and puts strong emphasis on company visits and meeting with management. They will "reverse engineer" the
growth rate of a stock from what the market is telling them, then focus on those companies where there is a significant gap between there assumptions of the growth rate and the current growth rate priced in at the market.
The portfolio will usually contain between 90 -100 names.
Winslow invests in three types of earnings growth: long -term sustainable earnings growth, cyclical growth, and newer industries with rapid growth. Overtime each of these averages one -third of the portfolio. They seek
companies they believe can deliver future annual earnings growth of at least 12% with a rising return on invested capital. Winslow's investment philosophy is founded on fundamental research. Their analysis emphasizes
competitive advantage in determining whether a company meets their definition of a high - quality growth company. The team's active analysis of approximately 100 companies includes detailed review of income statements,
cash flow and balance sheet projections, and their own estimation of the companies' future earnings. They also generally have monthly discussions with management. Investment decisions are made as a team, with the
portfolio typically holding 55 -65 stocks.
Lateef takes an ownership interest within the businesses they invest in, evident by their low turnover ( annually) and their concentrated, high conviction portfolio (15 -20 names). They seek to own companies with
sustainable, high returns on capital and open ended growth, but will only buy these companies at a "value" price. They put heavy emphasis on bottom -up research, including intensive on -site company visits and interview
with a prospective company's management, clients and competitors. They limit price risk by patiently waiting for good companies, whose stock prices are temporarily out of favor, offering an opportunity for them to pay a
P/E at a discount to its intrinsic value. All companies have discounted cash flow (DCF) models ran on a 3 -5 year basis using a 10% cost of capital. After estimating the intrinsic value using these methods, they apply at least a
10% discount to the value to derive their "buy point," enhancing their margin of safety.
City of Winter Springs General Employees' Pension Plan
Manager
Alger Capital Appreciation Composite
Proposed Vehicle
Mutual Fund
Manager
Tenure
6.25
Strategy
Assets
5,373.30
# of Holdings
105
%Asset in
ToplO
Holdings
25.2
Turnover
Ratio %
286
Average
Market Cap
(mil)
57,049.00
1st
Management
Fee/CAC (
0.95
Brown Inv Advisory Inst Large -Cap Growth
Separate Account
14.75
2,059.35
33
36.74
16.21
41,519.00
0.8
DSM Capital U.S. Equity Large Cap Growth
Separate Account
9.33
2,352.62
31
47.67
33.4
56,116.00
1
Wells Capital Heritage Al Cap Growth Eq
Separate Account
11.5
2,240.70
105
26.92
144
33,780.00
0.8
Winslow Capital Mgt Lg -Cap Gr
Collective Trust
14.58
13,603.00
63
31.69
75
54,070.00
0.6
LateefAll Cap GARP
Russell 1000 Growth TR USID
Incumbent
12
2,152.00
17
625
66.6
24.94
25
32,550.00
74,707.00
1
■
City of Winter Springs General Employees' Pension Plan
GICS Sector Allocation %@ 9130110
Alger Capital Appreciation Composite
Energy
Materials
Industrials
Consumer
Discretionary
Consumer
Staples
Healthcare
Financials
Information
Technology
Telecom
Services
Utilities
Brown InvANsory Inst Large-Cap Growth
DSM Capital U.S. Equity Large Cap Growth
Wells Capital Heritage All Cap Growth Eq
Winslow Capital Mgt Lg-Cap Gr
Lateef All Cap GARP
Russell 1000 Growth TR USD
9.96
4.96
13.15
14.67
10.07
10.13
4.63
31.41
0.93
0.09
C o Win Sp ring s Ge Em ployees ' P ensio n Plan
AJger Capital Appreciation Composite
Hewlett- Packard Co.
Porffolio
Weighting %
4.54
Apple, Inc.
4.52
Google, Inc.
2.38
PepsiCo, Inc.
2.17
Focus Media Holding Ltd. ADS
2.00
Chevron Corp.
1.88
Covidien PLC
1.84
Qualcomm, Inc.
1.78
GSI Commerce, Inc.
1.63
Marvell Technology Group Ltd.
1.54
Wells Capital Heritage AM Cap Growth Eq
Apple, Inc.
Porffolio
Weighting %
4.43
Alexion Pharmaceuticals, Inc.
3.51
Google, Inc.
3.17
Priceline.com, Inc.
3.06
Mettler - Toledo International, Inc.
2.56
Cisco Systems, Inc.
2.47
Tractor Supply
1.98
Praxair, Inc.
1.96
Cognizant Technology Solutions Corporation A
1.91
NII Holdings, Inc.
1.86
Apple, Inc.
Porffolio
4.62
Google, Inc.
4.28
Qualcomm, Inc.
3.78
Allergan, Inc.
3.71
Covance, Inc.
3.64
Costco Wholesale Corp.
3.48
Schlumberger Ltd.
3.47
Mastercard, Inc.
3.42
Cognizant Technology Solutions
3.37
NetApp, Inc.
3.27
Oracle Corporation
Weighting %
3.53
Google, Inc.
3.35
Microsoft Corporation
2.33
US Treasury Note 3.5%
1.64
Apple, Inc.
1.64
Union Pacific Corporation
1.33
J.P. Morgan Chase & Co.
1.31
Philip Morris International Inc
1.26
Merck & Cc Inc
1.2
Corning Inc.
1.13
IDSM Capital U.S. Equity Large Cap Growth
Celgene
Porffolio
Weig hting %
7.07
Apple, Inc.
6.11
Google, Inc.
5.12
Cognizant Technology Solutions
4.81
Expeditors International
4.61
NetApp
4.52
Varian Medical Systems
3.90
Priceline.com
3.73
Schlumberger Ltd.
3.53
Target
3.53
Aflac, Inc.
Weighting
10.35
Qualcomm, Inc.
8.52
Teradata Corporation
8.24
Accenture PLC
6.85
Suncor Energy, Inc.
6.68
Affiliated Managers Group, Inc.
5.49
EMC Corporation
5.34
Scripps Networks Interactive, Inc.
5.22
Rockwell Collins, Inc.
5.01
Colgate - Palmolive Company
4.92
V,NN
City of Winter Springs General Employees' Pension Plan
Trailing Performance: Return through December2010
Zephyr StyleADVISOR: The Bogdahn Group, LLC
a
- - - - - -- ----------------------------------------------------------------
a)
Ix
10% - ]N� - - - - -- ----------- - - - - -- s 10 -------- FIA -------- %A , --------- - - - - --
1 quarter 1 year 2 years 3 years 5 years 7 years 8 years
❑ Alger: Capital Appreciation ■ Brown: Large Cap Growth ❑ DSM: Large Cap Growth
WeIlsCap: Heritage All Cap Growth ❑ Winslow: Large Cap Growth Lateef: All Cap GARP
Russell 1000 Growth
Trailing Performance ( %): Return through December 2010
10 years
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
a
1 quarter
YTD
1 year
2 years
3 years
5 years
7 years
8 years
10 years
Alger: Capital Appreciation
12.35
14.42
14.42
31.69
-1.02
9.21
10.11
13.10
4.40
Brow n: Large Cap Growth
11.89
25.50
25.50
38.92
7.29
9.92
8.65
11.03
4.52
DSM: Large Cap Growth
10.68
24.02
24.02
24.71
-1.12
5.41
7.27
9.56
N/A
WeIlsCap: Heritage All Cap Growth
13.81
27.79
27.79
38.12
4.88
10.28
12.22
14.98
6.16
Winslow: Large Cap Growth
11.62
17.22
17.22
28.58
0.50
6.05
7.95
10.49
3.20
Lateef: All Cap GARP
9.91
15.97
15.97
21.65
-1.49
3.57
7.03
9.83
7.62
Russell 1000 Growth
11.83
16.71
16.71
26.54
-0.47
3.75
4.33
7.21
0.02
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
a
City of Winter Springs General Employees' Pension Plan
Calendar Year Performance: As of December 2010
E
a�
ry
60%
40%
20%
0%
-20%
-40%
Zephyr StyleADVISOR: The Bogdahn Group, LLC
2010 2009 2008 2007 2006 2005 2004 2003 2002 2001
❑ Alger: Capital Appreciation ■ Brow n: Large Cap Growth ❑ DSM: Large Cap Growth
■ WellsCap: Heritage All Cap Growth ❑ Winslow: Large Cap Growth ❑ Lateef: All Cap GARP
■ Russell 1000 Growth
Calendar Year Performance ( %): As of December 2010
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
Alger: Capital Appreciation
14.42
51.56
-44.09
33.90
19.65
15.63
9.27
36.44
-33.39
-13.76
Brow n: Large Cap Growth
25.50
53.77
-35.99
12.25
15.71
5.18
5.88
29.29
-26.36
-8.54
DSM: Large Cap Growth
24.02
25.41
-37.85
20.81
11.43
13.06
11.04
27.09
-16.47
N/A
Wells Cap: Heritage All Cap Growth
27.79
49.27
-39.52
29.25
9.36
14.55
19.98
36.27
-22.72
-23.00
Winslow: Large Cap Growth
17.22
41.03
-38.61
22.30
8.04
10.91
14.87
30.03
-27.74
-14.66
Lateef: All Cap GARP
15.97
27.61
-35.41
13.74
9.61
15.13
17.25
31.65
-3.22
1.72
Russell 1000 Growth
16.71
37.21
-38.44
11.81
9.07
5.26
6.30
29.75
-27.88
-20.42
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
City of Winter Springs General Employees' Pension Plan
Zephyr Sty eADMSOR: The Bogdahn Group, LLC
Manager Risk /Return
Longest Concurrent Timeframe: 9 Years Ended December 2010
10%
5%
L
of 0c/C
-5%
•
O
•
•
Beta
Alpha
(%)
RSquared
(R2)
Sharpe
Ratio
0% 5% 10% 15% 20% 25% 30%
Standard Deviation
O Alger: Capital Appreciation • Brown: Large Cap Growth O DSM: Large Cap Growth
• Wells Cap: Heritage All Cap Growth O Winslow: Large Cap Growth O Lateef: All Cap GARP
Russell 1000 Growth
Risk - Return Table
Longest Concurrent Timeframe: 9 Years Ended December 2010
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
a
Return
(%)
Std Dev
(%)
Downside
Risk ( %)
Beta
Alpha
(%)
RSquared
(R2)
Sharpe
Ratio
Tracking
Error
Alger: Capital Appreciation
6.64
21.39
16.58
1.10
4.12
90.32
0.21
6.89
Brow n: Large Cap Growth
6.08
19.38
14.44
1.02
3.45
96.16
0.21
3.82
DSM: Large Cap Growth
6.31
17.43
13.75
0.87
4.05
84.91
0.24
7.21
Wells Cap: Heritage All Cap Growth
10.01
19.86
15.15
1.03
7.38
92.25
0.40
5.55
Winslow: Large Cap Growth
5.40
19.06
14.92
1.00
2.85
94.90
0.18
4.30
Lateef: All Cap GARP
8.30
16.84
12.71
0.77
6.27
72.23
0.37
9.84
Russell 1000 Growth
2.59
18.56
14.26
1.00
0.00
100.00
0.03
0.00
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
a
C o Win Sp ring s Ge Em ployees ' P ensio n Plan
E
3
N
Manager Risk /Return
Late Mutually - Exclusive Timeframe: 5 Years Ended December2010
1o°/0 •••
5%
0%
-5%
Zephyr StyleADMSOR: The Bogdahn Group. LLC
Manager Risk /Return
Early Mutually - Exclusive Timeframe: 4 Years Ended December 2005
O
3
N
•
0% 5% 10 0 /0 15% 20% 25% 30% 0% 5% 10 0 /0 15% 20% 25% 30%
Standard Deviation Standard Deviation
• Alger: Capital Appreciation • Brown: Large Cap Growth O DSM: Large Cap Growth
• WellsCap: Heritage All Cap Growth O Winslow: Large Cap Growth D Lateef: All Cap GARP
1 Russell 1000 Growth
Risk - Return Table Risk - Return Table
Late Mutually- Exclusive Timeframe: 5 Years Ended December 2010 Earlv Mutuallv - Exclusive Timeframe: 4 Years Ended December 2005
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
Return
( %)
Std Dev
( %)
Beta
Alpha
( %)
R2
( %)
Sharpe
Ratio
Return
( %)
Std Dev
( %)
Beta
Alpha
( %)
R2
( %)
Sharpe
Ratio
Alger: Capital Appreciation
9.21
23.65
1.15
5.28
93.53
0.29
Alger: Capital Appreciation
3.52
18.79
1.00
2.56
85.22
0.09
Brown: Large Cap Growth
9.92
20.79
1.02
6.01
96.65
0.37
Brown: Large Cap Growth
1.48
17.83
1.01
0.35
96.65
-0.02
DSM: Large Cap Growth
5.41
20.97
1.01
1.78
92.89
0.15
DSM: Large Cap Growth
7.44
12.32
0.62
6.50
75.67
0.46
WellsCap: Heritage All Cap Growth
10.28
22.23
1.08
6.36
93.38
0.36
WellsCap: Heritage All Cap Growth
9.69
17.16
0.95
8.52
91.04
0.46
Winslow: Large Cap Growth
6.05
21.15
1.04
2.28
95.86
0.18
Winslow: Large Cap Growth
4.60
16.72
0.94
3.47
93.66
0.17
Lateef: All Cap GARP
3.57
19.36
0.87
0.41
80.19
0.07
Lateef: All Cap GARP
14.52
13.19
0.62
13.61
66.53
0.97
Russell 1000 Growth
3.75
19.94
1.00
0.00
100.00
0.07
Russell 1000 Growth
1.15
17.28
1.00
0.00
100.00
-0.03
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
City of Winter Springs General Employees' Pension Plan
Upside vs. Downside Capture
Late Mutually - Exclusive Timeframe: 5 Years Ended December 2010
150
140
130
120
110
100
90
80
Zephyr StyleADVISOR: The Bogdahn Group, LLC
Upside vs. Downside Capture
Early Mutually - Exclusive Timeframe: 4 Years Ended December 2005
150
140
130
120
T
110
100
90
AF 90 95 100 105 80
•
•
•
•
•
O
O
•
O
O
Zephyr StyleADVISOR: The Bogdahn Group, LLC
Upside vs. Downside Capture
Early Mutually - Exclusive Timeframe: 4 Years Ended December 2005
150
140
130
120
T
110
100
90
AF 90 95 100 105 80
20 40 60 80 100
Dovmside% Dovmside%
Single Computation Single Computation
Alger: Capital Appreciation • Brown: Large Cap Growth O DSM: Large Cap Growth
• Wells Cap: Heritage All Cap Growth O Winslow: Large Cap Growth O Lateef: All Cap GARP
Russell 1000 Growth
Upside vs. Downside Capture
9 Years Ended December 2010
14C
13C
y
12C
Q
D
11C
10C
•
•
•
•
O
O
O
20 40 60 80 100
Dovmside% Dovmside%
Single Computation Single Computation
Alger: Capital Appreciation • Brown: Large Cap Growth O DSM: Large Cap Growth
• Wells Cap: Heritage All Cap Growth O Winslow: Large Cap Growth O Lateef: All Cap GARP
Russell 1000 Growth
Upside vs. Downside Capture
9 Years Ended December 2010
14C
13C
y
12C
Q
D
11C
10C
60 70 80 90 100
Dovmside%
Single Computation
i-, ti I
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
•
•
•
O
O
•
60 70 80 90 100
Dovmside%
Single Computation
i-, ti I
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
City of Winter Springs General Employees' Pension Plan
Multi Statistic Graph: 9 Years Ended December 2010
Zephyr Sty eADVISOR: The Bogdahn Group, LLC
Multi Statistic Graph: 9 Years Ended December 2010
Excess Return Information
❑ Alger: Capital Appreciation ■ Brown: Large Cap Growth
WelIsCap: Heritage All Cap Growth ❑ Winslow: Large Cap Growth
Russell 1000 Growth
Ratio
❑ DSM: Large Cap Growth
El Lateef: All Cap GARP
Multi- statistics Summary Table: 9 Years Ended December2010
Treynor Alpha
Ratio
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
Batting Up Capture Down Capture Maximum
Av erage Ratio Ratio Drawdown
Batting
Average
# of Up
Periods
Up Capture
Ratio
# of Down
Periods
Down Capt.
Ratio
Maximum
Drawdown
Excess
Return
Information
Ratio
Treynor
Ratio
alpha
Alger: Capital Appreciation
69.44%
24
130.15%
12
101.64%
- 44.78%
4.05%
0.59
4.21
4.12%
Brow n: Large Cap Growth
72.22%
23
115.17%
13
92.35%
- 37.88%
3.49%
0.91
3.93
3.45%
DSM: Large Cap Growth
58.33%
23
102.80%
13
79.78%
- 41.22%
3.72%
0.52
4.93
4.05%
WelIsCap: Heritage All Cap Growth
86.11%
23
139.35%
13
89.80%
- 41.29%
7.42%
1.34
7.74
7.38%
Winslow: Large Cap Growth
58.33%
25
112.84%
11
94.40%
- 38.86%
2.81%
0.65
3.35
2.85%
Lateef: All Cap GARP
61.11%
25
98.29%
11
62.53%
- 41.95%
5.71%
0.58
8.08
6.27%
Russell 1000 Growth
0.00%
23
100.00%
13
100.00%
- 41.42%
0.00%
0.00
0.54
0.00%
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
Batting Up Capture Down Capture Maximum
Av erage Ratio Ratio Drawdown
City of Winter Springs General Employees' Pension Plan
Rolling Excess Returns:
Russell 1000 Growth
8- Quarter Moving Windows, Computed Quarterly
35%
30%
25%
20%
L
15%
ry
Cn
Cn
10%
X
Lu
5%
0%
-5%
-10%
Q3 2002
O Alger: Capital Appreciation • Brown: Large Cap Growth
• WellsCap: Heritage All Cap Growth O Winslow: Large Cap Growth
♦ Russell 1000 Growth
Zephyr StyleADVISOR: The Bogdahn Group, LLC
O DSM: Large Cap Growth
O Lateef: All Cap GARP
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
Q4 2003 Q4 2004 Q4 2005 Q4 2006 Q4 2007 Q4 2008 Q4 2009 Q3 2010
City of Winter Springs General Employees' Pension Plan
Rolling Correlations:
DGHM: All Cap Value
8- Quarter Moving Windows, Computed Quarterly
1
M:
0
0.6
2
CU
L
L
•
LJ
� II
)WA
0
Q4 2002
Zephyr StyleADVISOR: The Bogdahn Group, LLC
Q4 2003 Q4 2004 Q4 2005 Q4 2006 Q4 2007 Q4 2008 Q4 2009 Q4 2010
O Alger: Capital Appreciation • Brown: Large Cap Growth
• WellsCap: Heritage All Cap Growth O Winslow: Large Cap Growth
♦ DGHM: All Cap Value
O DSM: Large Cap Growth
O Lateef: All Cap GARP
r N
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
City of Winter Springs General Employees' Pension Plan
Zephyr StyleADMSOR: The Bogdahn Group, LLC
Correlation Matrix: Returns vs. Russell 1000 Growth
January 2003 - December 2010
1) Alger: Capital Appreciation
2) Brown: Large Cap Growth
3) DSM: Large Cap Growth
4) WellsCap: Heritage All Cap Growth
5) Winslow: Large Cap Growth
5) Lateef: All Cap GARP
7) DGHM: All Cap Value
8) Russell 1000 Growth
(1) (2) (3) (4) (5) (6) (7) (8)
1.00
0.93 1.00
0.93 0.92 1.00
0.96 0.94 0.93 1.00
0.96 0.94 0.96 0.96 1.00
0.82 0.89 0.83 0.89 0.85 1.00
0.83 0.90 0.84 0.88 0.86 0.89 1.00
0.96 0.98 0.94 0.97 0.98 0.89 0.91 1.00
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
City of Winter Springs General Employees' Pension Plan
Statistics
Descri
A measure of the difference between a portfolio's actual returns and its expected performance, given its level of risk as measured by
Alpha
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.
Batting Average
The batting average of the manager vs. a benchmark is the ratio between the number of periods where the manager outperforms the
benchmark and the total number of periods.
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.
Down Market Capture
The ratio of average portfolio return over the benchmark during periods of negative benchmark return. Lower values indicate better
product 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.
Excess Return
Arithmetic difference between the managers return and the risk -free return over a specified time period.
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.
Return
Compounded rate of return for the 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.
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.
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.
Tracking Error
A measure of the standard deviation of a portfolio's performance relative to the performance of an appropriate market benchmark.
Similar to Sharpe ratio, but focuses on beta rather than excess risk (standard deviation). Represents the excess rate of return over the
Treynor Ratio
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.
Up Market Capture
The ratio of average portfolio return over the benchmark during periods of positive benchmark return. Higher values indicate better
product performance.
Created with Zephyr StyleADVISOR. Manager returns supplied by: eVestment Alliance
rrea Alger rvranagemem, uu. 1 Alger 1 nas neen commitcea to a growuz sryie or investing since me tirm was rounaea in iyo4. r ney neueve chat investing in companies undergoing
positive dynamic change offers their clients the best investment opportunities over the long -term. They believe that the way to uncover and evaluate such companies is through
intensive, fundamental, proprietary investment research. They seek dynamic companies in two categories: 1. High Unit Volume Growth - Companies that: • Generate high organic
revenue growth; • Have a strong business model; • Dominate their market or market niche; • Generate free cash flow. 2. Positive Life Cycle Change - Companies experiencing a major
change that is expected to produce advantageous results (typically in a less "growthy" industry), such as: • New product innovation; • New regulations that will favor the company;
New management team; • A good, strategic acquisition. To discover these opportunities early - before the rest of the market recognizes them- - they employ their own comprehensive
internal research process.
'1 he investment process begins with in- depth, fundamental, bottom -up research conducted by their staff of seasoned analysts. Each analyst develops comprehensive financial model
for each company they follow internally. These models include historical financial data and projections based on the analysts' research. Factors the analysts consider include projectic
for unit volume growth, revenue growth, profit margins, earnings projections and rate of earnings growth on quarterly, annual, and five -year time horizons, financial strength of the
company, quality of management, competitive strength, and product dominance and market niche. Purchase and sale decisions take into consideration the expected price appreciati
for a stock based on internal estimates for earnings, expected p/e level, and relative p /e. When presenting a new stock for initial purchase, each analyst will provide a target P/E
multiple that they believe the stock can attain over the next twelve months. They evaluate the potential stock purchase by examining its potential appreciation should it attain the tarp
multiple.
Alger s Uapital Appreciation portfolios are well diversified and typically will contain between NIUL12U stocks. In order to maintain liquidity and diversity, when purchasing a stock
limit the initial position to 2-3% and they scale back a position when it reaches 4-5% of a portfolio. The firm generally limits sector exposure to 40% of a portfolio (cost basis), with
industry concentration limited to 20%. Within these guidelines, the portfolio weighting in an industry or an economic sector is the result of individual stock selection, and based on
their perception of the best investment opportunities. To ensure adequate diversification across company names and industries, they monitor portfolios closely.
Product AUM ($M) 5,373
SA min. ($M) 10
Fee (bps) 65
Accts. Gained 1YR (# /$M) 20 958
Accts. Loss 1YR (# /$M) 0 0
Annual Turnover ( %)
223.0
Current Cash ( %)
4.6
% in ADRs
2.7
Max Sector ( %)
40.0
Max Cash ( %)
10.0
Bench
I Russell 1000 Growth
9/30/2010 1 Strategy I Bench
Weighted Avg. Mkt. Cap ($M)
Med. Mkt. Cap ($M)
Dividend Yield %
Current P/B
Current P/E (12 me. Trailing)
Current P/E (12 me. Forward)
Growth in earnings (next 5Y) %
Growth in earnings (past 5Y) %
57,049
74,707
17,819
5,346
1.1
1.5
2.8
3.5
18.2
17.9
14.7
13.9
13.7
11.8
6.2
13.5
Breakdown
Strategy I
Bench
Greater than $50 Billion
36.7
41.0
$15 Billion - $50 Billion
26.3
30.6
$7.5 Billion - $15 Billion
11.9
11.4
$1.5 Billion - $7.5 Billion
22.6
16.8
Less than $1.5 Billion
2.5
0.2
9/30/2010
MRQ
YTD
1 -Year
3-Year
5 -Year
7 -Year
10 -Year
CY 2009
CY 2008
CY 2007
Strategy
Bench
9/30/2010
Cons. Discret.
Cons. Staples
Energy
Financials
Health Care
Industrials
Information Tech.
Materials
Telecom. Services
Utilities
Strategy
Bench
# of PMs 1
Avg. Yrs. Experience 12
Avg. Yrs. With firm 11
PMs gained /loss 0 0
# of analyst 23
Avg. Yrs. Experience 9
Avg. Yrs. With firm 5
Analyst gained /loss 0 1
CFA Charterholders 18
Year Firm Founded 1964
GIPS Compliant Yes
Firm Assets ($M) 13,667
% Publicly Owned 0.0
% Employee Owned 10.0
% Other Owned 0.0
% Parent Owned 90.0
Parent Name
[Alger Associates, I
12.2
13.0
12.5
14.7
9.5
4.4
5.5
10.1
9.5
12.7
9.4
10.0
-3.2
-4.4
6.2
4.6
7.7
2.1
12.2
10.1
9.8
4.1
16.0
13.1
0.9
-3.4
32.5
31.4
51.6
37.2
5.7
5.0
-44.1
-38.4
0.0
0.9
33.9
11.8
0.0
0.1
Note: Information provided by e Vestment Alliance and proprietary research "� + 111F
J BOGDAHN
GROUP
Brown Advisory's Large -Cap Growth philosophy is based on the belief that disciplined, bottom -up research leads to superior investment performance. Rigorous res
is utilized to gain a better understanding of a company's growth potential and a framework for its present and future value. The firm takes a "private company appr
to public company investing - seeking to own businesses that are industry leaders or hold a proprietary advantage over their competition. Over time, concentrated
portfolios of fundamentally strong businesses should generate returns in excess of the portfolio's index and the broad market, with an acceptable level of risk.
The investment process begins with a quantitative screening of the Pactbet Universe of U.S. Large -C:ap equities to exclude companies with market capitalizations of less than $2 billion and elimina
low growth/ momentum companies (deep cyclicals, commodity -led, etc.). A qualitative assessment of the remaining list of names is applied, including the existence of a large and /or growing
addressable market, a sustainable competitive advantage, the potential for above average future growth and returns, and a shareholder- friendly, capable management team with a clear, easily
understood strategy. Assuming the opportunity is a natural fit with their investment philosophy and strategy, they will typically visit the company's headquarters to assess management and the
organization's culture. If they feel management is fully capable of executing on its mission, the investment team will leverage the firms network of private equity and venture capital contacts, to
better understand long -term market trends and evaluate the competitive landscape. They then identify the primary value drivers for the organization and construct a detailed financial model and
engage in scenario analysis.
brown Advisory s Large -1-p Growth strategy is a concentrated portfolio of approximately 3u large- and nud- capitalization holdmgs. Individual position weightings range from 1.5;6 of the porttol
to 7%. An upside /downside price target methodology is employed to determine position size. Stocks with the greatest upside and least downside tend to be the largest positions in the portfolio.
Other determinants of position size include growth rate and appreciation for the liquidity of the underlying stock They do not own more than five percent of outstanding shares in any one compai
and they tend not to own more than three percent in mid -cap holdings due to liquidity constraints. They do not have any prescribed sector weighting limitations or guidelines relative to the
benchmark. Historically, the maximum position in particular sector has been no more than 35%. The typical portfolio turnover for the Large -Cap Growth strategy ranges from 25 to 40%. However,
the average company holding period is four and a half years. Brown Advisory defines risk as the ratio of the position- weighted upside of the portfolios stock holdings relative to the downside. The
firm seeks to maximize upside price potential while limiting downside risk.
9/30/2010
Weighted Avg. Mkt. Cap ($M)
Med. Mkt. Cap ($M)
Dividend Yield %
Current P/B
Current P/E (12 mo. Trailing)
Current P/E (12 mo. Forward)
Growth in earnings (Past 5Y) %
Growth in earnings (Next 5Y) %
Strategy
Bench
32.8
41,519
74,707
15,558
5,346
0.5
1.5
4.7
3.5
28.7
17.9
2`3.1
13.9
13.8
11.8
15.9
13.5
Breakdown
Greater than $50 Billion
$15 Billion - $50 Billion
$7.5 Billion - $15 Billion
$1.5 Billion - $7.5 Billion
Strategy
19.1
32.8
17.2
28.2
Less than $1.5 Billion
Product AUM ($M)
SA min. ($M)
Fee (bps)
Accts. Gained 1YR (# /$M)
Accts. Loss 1YR (# /$M)
Annual Turnover ( %)
Current Cash ( %)
% in ADRs
Max Sector ( %)
Max Cash ( %)
Bench I Russell 1000
2,059
9/30/2010
MRQ
YTD
1 -Year
3 -Year
5 -Year
7 -Year
10 -Year
CY 2009
CY 2008
CY 2007
Strategy
Bench
9/30/2010
Cons. Discret.
Cons. Staples
Energy
Financials
Health Care
Industrials
Information Tech.
Materials
Telecom. Services
Utilities
Strategy
Bench
# of PMs 1
Avg. Yrs. Experience 2
Avg. Yrs. With firm 14
PMs gained /loss 0 0
# of analyst 17
Avg. Yrs. Experience 9
Avg. Yrs. With firm 5
Analyst gained /loss 0 0
CFA Charterholders 14
5
15.1
13.0
6.4
14.7
80
22.2
4.4
6.6
10.1
6
65
22.2
12.7
9.4
10.0
2
1
2.3
-4.4
3.9
4.6
44.7
7.9
2.1
15.7
10.1
2.8
8.4
4.1
18.1
13.1
- --
2.9
-3.4
39.9
31.4
- --
53.8
37.2
0.0
5.0
7 . 0
-36.0
-38.4
1
0.0
0.9
Growth
12.3
11.8
0.0
0.1
Year Firm Founded
GIPS Compliant
Firm Assets ($M)
% Publicly Owned
% Employee Owned
Other Owned
% Parent Owned
Bench
41.0
30.6
11.4
16.8
0.2
1993
Yes
5,640
70.0
30.0
Parent Name Brown Advisory
Management, LLC
Note: Information provided by eVestment Alliance and proprietary research DE
BOGIDAHN
`r/
GROUP
DSM Capital Partners ( "DSM ") manages a "bottom -up ", idea- driven, growth portfolio with an intermediate to long -term investment horizon. While DSM is cognizant of
"macro" trends in the US and world economy, as well as business trends in the broad sectors of the economy (so- called "top- down" analysis), investment decisions are 9/30/2010 Strateg
Bench
primarily based on company fundamentals. DSM focuses on companies with solid fundamentals, such as, long -term expected growth in the company's markets, structure
and extent of competition, "barriers to entry ", capital required, strong profitability, and a successful track - record and management team. Normally, a business with these Weighted Avg. Mkt. Cap ($M) 56,116
74,707
fundamentals will have projected revenue and earnings growth of at least 10% per annum, and will often have higher returns on equity and assets than the average S &P Med. Mkt. Cap ($M) 20,459
500 business. In addition, the financial returns of these businesses will typically be stable or rising, driven by improving business fundamentals.
5,346
Dividend Yield % 0.8
1.5
Current P/B 4.3
3.5
Pr Screening Current P/E (12 mo. Trailing) 26.7
17.9
Current P/E (12 mo. Forward) 18.1
DSM is research - driven. Candidate businesses are identified based on each company's detailed financial and operational history, as well as on proprietary projections of
13.9
future company results. These projections are based on thorough modeling of the candidate company, discussions with the management of the company and of its Growth in earnings (Past 5Y) % 15.9
11.8
competitors, a study of the candidates industry and the significant factors that drive industry growth. Using several databases, DSM screens over a thousand companies. °
Growth in earnings (Next 5Y) /° 25.1
The investment team also gets ideas from Wall Street and news sources. Ideas of interest are monitored on an ongoing basis, and companies whose fundamentals are seen
13.5
as attractive are watched continuously for buying opportunities.
Market •
Breakdown Str ateQ T
Bench
P ortfolio • • • • • Greater than $50 Billion 34.1
41.0
DSM incorporates several proprietary analytical methods to support investment decisions regarding the price and timing of purchases and sales of shares as well as the $15 Billion - $50 Billion 37.5
size of positions. One such method involves a historical evaluation of investor sentiment regarding each company's shares to determine typical P/E ratios when the
30.6
company is in favor or out of favor. In addition, analysts study the effect of past and current interest rates on the P/E ratio of each company's shares, and project these $7.5 Billion - $15 Billion 23.0
11.4
effects going forward. Portfolios normally consist of 25 to 35 growth company stocks with market capitalizations primarily in excess of $2 billion. DSM generally targets
$1.5 Billion - $7.5 Billion 5.4
3.0% positions and tend to sell down positions approaching 7.0%. The firm does not have maximum sector weights as sub - sectors can be diverse, e.g. in healthcare. Risk is
16.8
measured by developing downside earnings and P/E models for each company and stock on an absolute basis. Less than $1.5 Billion
0.2
Pr oduct
•
%
Sector Breakdown
%
Team Descriptio
Other Informatio
Product AUM ($M)
2,353
9/30/2010
Strateg
Bench
9/30/2010
Strateg
Bench
# of PMs 2
Year Firm Founded
2001
1
17.5
13.0
12.9
14.7
SA min. ($M)
MRQ
Cons. Discret.
Avg. Yrs. Experience 2
GIPS Compliant
Yes
88
17.3
4.4
9.4
10.1
Fee (bps)
YTD
Cons. Staples
Avg. Yrs. With firm 10
Firm Assets ($M)
2,530
1
17.3
12.7
3.6
10.0
Accts. Gained 1YR (# /$M)
1 -Year
Energy
PMs gained /loss 0 0
% Publicly Owned
- --
Accts. Loss 1YR (# /$M)
3 -Year
-4.6
1 -4.4
Financials
4.9
4.6
# of analyst 7
% Employee Owned
100.0
62.3
4.4
2.1
22.5
10.1
Annual Turnover ( %)
5-Year
Health Care
Avg. Yrs. Experience 16
% Other Owned
- --
1.6
6.9
4.1
12.2
13.1
Current Cash ( %)
7 -Year
Industrials
Avg. Yrs. With firm 6
% Parent Owned
% in ADRs
6.1
10 -Year
- --
-3.4
Information Tech.
31.7
31.4
Analyst gained /loss 1 0
Parent Name
---
25.4
37.2
2.9
5.0
Max Sector ( %)
CY 2009
Materials
CFA Charterholders
- --
-37.9
-38.4
0.0
0.9
Max Cash ( %)
CY 2008
Telecom. Services
Growth
20.8
11.8
0.0
0.1
Bench Russell 1000
CY 2007
Utilities
Note: Information provided by eVestment Alliance and proprietary research 0""\ fwe
BIOGDAHN
�/ GROUP
The teams investment philosophy is based on the following beliefs:
1) Investment opportunities arise when the market under appreciates a company's future growth rate or the sustainability of the future growth rate, 2. the best subset of these investment 9/30/2010 Str
Bench
opportunities include companies that have robust and sustainable growth, 3. the market can be slow to adjust to new information - both positive and negative - which creates opportunities to
capture alpha, and 4. a team structure is critical to exploiting situations where the market is slow to adjust to new information Weighted Avg. Mkt. Cap ($M) 51 ,460
68,748
Med. Mkt. Cap ($M) 19,060
882
Dividend Yield % 0.9
1.5
Current P/B 3.5
3.5
Pr Screening Current P/E (12 me. Trailing) 20.5
18.9
Current P/E (12 me. Forward) 16.8
14.2
The team's investment process has been in place for more than three decades. In summary, the team invests in companies where growth is robust, sustainable and underappreciated by the market. It
does this through all cap research and continuous risk management. The result has been an ability to capture alpha, in a volatility controlled manner, in many different market environments. Growth in earnings (Past 5Y) % - --
11.7
A company's growth most be robust, sustainable and underappreciated in order for it to be considered for investment. Robust growth is defined as above - average growth, taking into consideration
the company's industry and market cap. Sustainable growth is defined as growth that will continue over a long period of time. And underappreciated growth implies the market is underestimating Growth in earnings (Next 5Y) % 17-,
the growth rate or the sustainability of the growth rate. It is important to note that the requirement of growth having all three attributes - robust, sustainable and underappreciated - significantly
narrows the universe of stocks the team will potentially research
Market •
Breakdown Str ategy
Bench
P ortfolio • • • • • Greater than $50 Billion 29.1
37.7
In addition to fundamental, bottom -up research, continuous risk management is an important part of the investment process. The primary components are: regular stress test of a company's growth
rate and sustainability of growth, the team constantly monitors the gap between their expectations for growth and consensus expectations for growth, the team runs a weekly quant screen on their $15 Billion - $50 BllhOri 39.4
28.1
investable universe of stocks to assist in identifying companies that could fall short of investor expectations, and the sell discipline, which is the mirror image of the buy discipline; a sell decision is $7. Billion - $15 Billion 20.9
triggered when the team's all cap research reveals a company's growth no longer has all three of the required characteristics. At the portfolio level, the team has various guidelines regarding
10.5
position size and the number of securities in the portfolio. Individual positions are limited to no more than 5% at cost and no more than 7% following purchase. Sector diversification guidelines vary $1.5 Billion - $7.5 Billion 10.7
17.7
by the sector. For the three largest sectors, weights are limited to between 0.5x and 2.Ox the benchmark weight. For all other sectors, weights are limited to between O.Ox and 5.Ox benchmark weight. A
typical portfolio will own between 90 and 110 stocks. Less than $1.5 Billion -
6.0
Product Summary
Performance
%
Sector Breakdown
%
Team Descriptio
Other Information
Product AUM ($M)
1,565
9/30/2010
Strategy
Bench
9/30/2010
Strategy
Bench
# of PMs 3
Year Firm Founded
1981
10
13.8
13.0
19.9
14.9
SA min. ($M)
MRQ
Cons. Discret.
Avg. Yrs. Experience 20
GIPS Compliant
Yes
Fee (bps)
75
YTD
13.4
4.8
Cons. Staples
2.9
9.5
Avg. Yrs. With firm 15
Firm Assets ($M)
353,708
H
0
13.4
12.8
6.6
9.5
Accts. Gained 1YR (# /$M)
1 -Year
Energy
PMs gained /loss 0 0
% Publicly Owned
- --
Accts. Loss 1YR (# /$M)
0
3 -Year
-3.4
1 -4.3
Financials
3.7
4.6
# of analyst 3
% Employee Owned
0.0
65.0
3.3
2.1
13.8
10.9
Annual Turnover ( %)
5-Year
Health Care
Avg. Yrs. Experience 13
% Other Owned
- --
1.4
5.9
4.3
12.2
13.4
Current Cash ( %)
7 -Year
Industrials
Avg. Yrs. With firm 2
% Parent Owned
100.0
- --
-2.9
-3.2
36.2
31.1
% in ADRs
10 -Year
Information Tech.
Analyst gained /loss 0 0
Parent Name Wells
Fargo &
Max Sector ( %)
CY 2009
Materials
CFA Charterholders 5
Company
200.0
37.0
37.0
3.8
5.0
10.0
-38.1
-38.4
1.0
1.0
Max Cash ( %)
CY 2008
Telecom. Services
Growth
19.8
11.4
0.0
0.1
Bench Russell 3000
CY 2007
Utilities
Note: Information provided by eVestment Alliance and proprietary research "'�
a0EiU1l
'GROUP
The Large Cap Growth team believes that investing in companies with above - average earnings growth provides the best opportunity for achieving superior portfolio returns over the long term
Valuation relative to their estimated earnings growth rate is also important in selecting a stock and they invest in companies they believe can deliver future annual earnings growth of at least 12% 9/30/2010 Str
Bench
with a rising return on invested capital. They invest in three types of earnings growth long -term sustainable earnings growth, cyclical growth in the right part of the cycle and newer industries with
rapid growth. Over time each of these averages one -third of the portfolio. Winslow Capital's investment philosophy is founded on fundamental research All of the investment principals have had Weighted Avg. Mkt. Cap ($M) 54,070
74,707
many years of research experience. They are "bottom-up" stock pickers and position the portfolio decision - makers as close as possible to the flow and source of fundamental information -- directly
from a company, its suppliers and competitors. This hands -on research process eliminates "information filtering." Med. Mkt. Cap ($M) 15,280
5,346
Dividend Yield % 0.5
1.5
Current P/B 3.5
3.5
Pr Screening Current P/E (12 mo. Trailing) 21.1
17.9
Current P/E (12 mo. Forward) 16.9
13.9
In order to identify investment candidates the investment team begins by using a quantitative screen of the companies in the Russell 1000 index with market caps exceeding $4 billion, complemented
with a limited number of companies that are either not in the index and /or are below the $4 billion market cap limit. They screen for factors such as revenue and earnings growth, return on invested Growth in earnings (Past 5Y) % 16.4
11.8
capital, earnings consistency, earnings revisions, low financial leverage and high free cash flow rates relative to net income. This process narrows the list of about 700 companies to approximately
300. Their analysis emphasizes competitive advantage in determining whether a company meets their definition of a high - quality growth company, and narrows the list to approximately 100 Growth in earnings (Next 5Y) % 19.3
13.5
companies that they actively analyze. The team's active analysis of the 100 companies includes detailed review of income statements, cash flow and balance sheet projections, and their own
estimation of the companies' future earnings. They also generally have monthly discussions with management.
Breakdown Str ateQ T
Bench
P ortfolio • • • • • Greater than $50 Billion 32.7
41.0
The investment process focuses on the narrowed list of approximately 100 actively analyzed stocks. This process includes constructing and maintaining income statements, cash flow and balance
sheet projections and generally holding monthly discussions with management. The valuation approach is P/E driven relative to: (i) the Russell 1000 Growth index, (ii) sector peers, (iii) the $15 Billion - $50 Billion 33.9
30.6
company's sustainable future gro wth rate, and (iv) the company's ROIC. They generally own position sizes of 1 -3% and hold 55 -65 stocks (common stock only) in the portfolio. Also, they diversify $7. Billion - $15 Billion 20.5
the portfolio in respect to companies' earnings growth rates, market capitalizations and price /earnings ratios. Investment decisions are made as a team. They seek to understand and control both
11.4
absolute and relative benchmark risk They also examine benchmark sector weightings, building portfolios primarily " Uottom-up" without deviating from the sector weight by more than + / -10 $1.5 Billion - $7.5 Billion 9.5
16.8
percentage points to control benchmark risk Maximum individual stock position is 5% of the portfolio at market price. A stock holding is reviewed completely if it declines 20% from cost or 20%
from a recent high Less than $1.5 Billion -
0.2
Product Summary
Performance
%
Sector Breakdown
%
Team Descriptio
Other Information
Product AUM ($M)
13,603
9/30/2010
Strateg
Bench
9/30/2010
Strateg
Bench
# of PMs 3
Year Firm Founded
1992
25
16.4
13.0
13.6
14.7
SA min. ($M)
MRQ
Cons. Discret.
Avg. Yrs. Experience 30
GIPS Compliant
Yes
60
13.8
4.4
4.4
10.1
Fee (bps)
YTD
Cons. Staples
Avg. Yrs. With firm 14
Firm Assets ($M)
13,603
13.8
12.7
7.6
10.0
Accts. Gained 1YR (# /$M)
1 -Year
Energy
PMs gained /loss 0 0
% Publicly Owned
0.0
Accts. Loss 1YR (# /$M)
Lai
3-Year
-2.3
1 -4.4
Financials
8.3
4.6
# of analyst 3
% Employee Owned
0.0
78.0
4.6
2.1
9.4
10.1
Annual Turnover ( %)
5 -Year
Health Care
Avg. Yrs. Experience 20
% Other Owned
0.0
2.1
7.8
4.1
14.9
13.1
Current Cash ( %)
7 -Year
Industrials
Avg. Yrs. With firm 3
% Parent Owned
100.0
% in ADRs
7.4
10 -Year
0.3
-3.4
Information Tech.
36.1
31.4
Analyst gained /loss 1 0
Parent Name Nuveen Investments
Max Sector ( %)
CY 2009
Materials
CFA Charterholders 6
Inc.
10.0
41.0
37.2
2.5
5.0
10.0
-38.6
-38.4
3.3
0.9
Max Cash ( %)
CY 2008
Telecom. Services
Growth
22.3
11.8
0.0
0.1
Bench Russell 1000
CY 2007
Utilities
Note: Information provided by eVestment Alliance and proprietary research 0""\ fwe
BIOGDAHN
�/ GROUP
Chicago
4320 Winfield Road Suite 200
Warrenville, Illinois 60555
THE
BOGDAHN
G Df — % UP
simplifying your investment and fiduciary decisions
Orlando
4901 Vineland Road, Suite 600
Orlando, Florida 32811
866.240.7932
Cleveland
6133 Rockside Road
Rockside Square II, Suite 303
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