City of Milwaukee Employes Retirement System

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1 September 30, 2015 City of Milwaukee Employes Retirement System Investment Measurement Service Quarterly Review The following report was prepared by Callan Associates Inc. ("CAI") using information from sources that include the following: fund trustee(s); fund custodian(s); investment manager(s); CAI computer software; CAI investment manager and fund sponsor database; third party data vendors; and other outside sources as directed by the client. CAI assumes no responsibility for the accuracy or completeness of the information provided, or methodologies employed, by any information providers external to CAI. Reasonable care has been taken to assure the accuracy of the CAI database and computer software. Callan does not provide advice regarding, nor shall Callan be responsible for, the purchase, sale, hedge or holding of individual securities, including, without limitation securities of the client (i.e., company stock) or derivatives in the client s accounts. In preparing the following report, CAI has not reviewed the risks of individual security holdings or the conformity of individual security holdings with the client s investment policies and guidelines, nor has it assumed any responsibility to do so. Advice pertaining to the merits of individual securities and derivatives should be discussed with a third party securities expert. Copyright 2015 by Callan Associates Inc.

2 Table of Contents September 30, 2015 Capital Markets Review 1 Total Fund Investment Manager Asset Allocation 8 Actual vs. Target Asset Allocation 9 Total Fund vs. Total Public Fund Database 11 Quarterly Total Fund Attribution 14 Cumulative Total Fund Attribution 15 Investment Manager Returns - Gross of Fee 16 Investment Manager Returns - Net of Fee 20 Asset Class Rankings 22 Callan Research/Education 23 Disclosures 26

3 Capital Markets Review Capital Markets Review

4 ΧΑΛΛΑΝ ΙΝςΕΣΤΜΕΝΤΣ ΙΝΣΤΙΤΥΤΕ ΧΜΡ Πρεϖιεω Τηιρδ Θυαρτερ 2015 This Preview contains excerpts from the upcoming Χαπιταλ Μαρκετ Ρεϖιεω (CMR) newsletter, which will be published at the end of the month. Νοσεδιϖε Υ.Σ. ΕΘΥΙΤΨ Λαυρεν Ματηιασ, ΧΦΑ The irst negative quarter for U.S. equities since 2012 had a seemingly solid start, but took a nosedive through August and September. Macroeconomic issues drove the sullen results, including China s weakening economy, the Fed s delay of inter est rate increases, and commodity price declines. The U.S. econ omy is exhibiting some vigor consumer conidence remained high and fueled spending; employment showed strength with record-low jobless claims; and housing appeared solid with new home sales at healthy levels. Energy prices impacted the envi ronment negatively and positively commodity-related compa nies felt pain while consumers felt wealthier. Χοντινυεδ ον πγ. 2 Στυmβλινγ Dραγον ΝΟΝ Υ.Σ. ΕΘΥΙΤΨ Kevin Nagy Non-U.S. markets were pummeled in the third quarter (ΜΣΧΙ ΑΧWΙ εξ ΥΣΑ Ινδεξ: %), as concerns over China s growth convinced many investors to take a risk off approach. Fears about China s slowdown came to a head in August when Chinese monetary authorities unexpectedly devalued the renminbi. Attempts to dampen the ensuing volatility were not enough to prevent knock-on effects spreading throughout the world. The pain was felt by both developed (ΜΣΧΙ Wορλδ εξ ΥΣΑ Ινδεξ: %) and emerging markets (ΜΣΧΙ Εmεργινγ Βροαδ Μαρκετ Θυαρτερλψ Ρετυρνσ -7.25% % U.S. Fixed (Barclays Aggregate) Non-U.S. Fixed (Citi Non-U.S.) Cash (90-Day T-Bills) U.S. Equity (Russell 3000) Non-U.S. Equity (MSCI ACWI ex USA) 1.23% 1.71% 0.01% Sources: Barclays, Citigroup, Merrill Lynch, MSCI, Russell Investment Group Α Λιττλε Λονγερ το Λιφτοφφ Υ.Σ. ΦΙΞΕD ΙΝΧΟΜΕ Kevin Machiz, CFA, FRM Interest rates moved lower in the third quarter amid a broadbased light to quality apprehension over China s economy and commodity prices appeared to be the primary sources of con cern. The yield curve lattened signiicantly as yield spreads wid ened across non-treasury sectors and the Βαρχλαψσ Αγγρεγατε Ινδεξ rose 1.23%. Χοντινυεδ ον πγ. 4 Ρεδ Σχαρε ΝΟΝ Υ.Σ. ΦΙΞΕD ΙΝΧΟΜΕ Kyle Fekete Developed sovereign bonds performed well relative to U.S. bonds as interest rates fell due to mounting concerns over a slowing global economy. The Χιτι Νον Υ.Σ. Wορλδ Γοϖερνmεντ Βονδ Ινδεξ earned 1.71% for the quarter, but is down 4.22% year-to-date. Hedged in U.S. dollars, the Index is up 2.01%, out performing the unhedged investors primarily due to broad-based weakness against the U.S. dollar. The safe-haven German bund gained nearly 2% with the yield inishing at 0.58%. Energyrelated currency weakness in Canada and Australia translated into disappointing returns on an unhedged basis (both down Χοντινυεδ ον πγ. 3 Χοντινυεδ ον πγ. 5 Κνοωλεδγε. Εξπεριενχε. Ιντεγριτψ.

5 Υ.Σ. Εθυιτψ: Νοσεδιϖε Χοντινυεδ φροm πγ. 1 Θυαρτερλψ Περφορmανχε οφ Σελεχτ Σεχτορσ Russell 1000 Russell 2000 Underlying U.S. fundamentals were impacted by tough global 10% 4.68% markets. The strong U.S. dollar challenged domestic compa nies ability to grow, negatively affecting earnings and expec tations going forward. Volatility of stocks, as measured by the daily VIX, peaked for the year in August and remained elevated throughout the quarter. At the same time, stock cor relations also increased to almost two times their long-term average, making it more challenging for active management to navigate the decline. Asset lows continued to show a pref erence for passive, which remains a sizable portion of U.S. equity assets under management. 0% -10% -20% -30% -40% -0.30% -0.80% -4.78% Utilities Consumer Staples Source: Russell Investment Group % % Materials % % Energy Large and small cap stocks showed strong divergence in returns (Ρυσσελλ 2000 Ινδεξ: % and Ρυσσελλ 1000 Ινδεξ: -6.83%) while mid cap fell in between (Ρυσσελλ Μιδ Χαπ Ινδεξ: -8.01%). Growth maintained its lead over value in most capitalizations, but small cap stocks were an exception (Ρυσσελλ 2000 Γροωτη Ινδεξ: % and Ρυσσελλ 2000 ςαλυε Ινδεξ: %). Micro caps fared the worst (Ρυσσελλ Μιχροχαπ Ινδεξ: %). Underlying sector results varied and dictated which style ended up on top large cap Materials and Energy sectors declined, and both small and large cap Health Care trailed. The magni tude of Health Care underperformance was stronger in small cap due to biotechnology, resulting in small cap growth trailing value; the opposite was true in large cap. In general, defensive areas of the market held up as investors shifted to a risk-off mentality. Commodity price declines and slow global growth were major factors behind Materials and Energy results. As is typical in high-volatility periods, large cap outperformed small and high quality beat low. The U.S. equity market experienced an incredibly dificult quar ter, but a few positive glimmers shone through: second-quarter GDP was revised up to 3.9%, consumer spending increased, Ρολλινγ Ονε Ψεαρ Ρελατιϖε Ρετυρνσ (vs. Russell 1000) 30% 20% 10% 0% -10% -20% Russell 1000 Growth Russell 1000 Value Russell % Source: Russell Investment Group and unemployment was at its lowest level since Though active management struggled versus the benchmarks, year-todate results are favorable. U.S. equity continues to be the best house in the global economy s neighborhood. 2

6 Νον Υ.Σ. Εθυιτψ: Στυmβλινγ Dραγον Χοντινυεδ φροm πγ. 1 Μαρκετσ Ινδεξ: %). Value lagged growth as the ΜΣΧΙ ΑΧWΙ εξ ΥΣΑ Γροωτη (-10.77%) bested the ΜΣΧΙ ΑΧWΙ εξ ΥΣΑ ςαλυε (-13.60%). Small cap stocks rode the wave of vola tility better than large cap due to less exposure to Energy, but were still deep in the red (ΜΣΧΙ ΑΧWΙ εξ ΥΣΑ Σmαλλ Χαπ Ινδεξ: %). In developed countries defensive sectors fared best, with Consumer Staples (-1.49%), Utilities (-4.23%), and Health Care (-5.26%) providing the most protection. Materials (-19.67%) and Energy (-16.83%), bludgeoned by falling commodity prices, were the worst performers. European stocks regressed (ΜΣΧΙ Ευροπε Ινδεξ: -8.69%) as hand wringing over a possible Grexit abated only to be replaced by turmoil in China. Denmark (-2.41%) did best, due primarily to strong domestic performance from Consumer Discretionary (+8.54%). Nearby Norway was crippled by fall ing oil prices and posted the largest loss (-19.13%). European sectors mirrored the story in the rest of the developed world, with Energy and Materials (-15.80% and %, respec tively) suffering the biggest losses. Southeast Asia and the Paciic (MSCI Paciic Index ex Japan: %) trailed Europe and rest of the world. Singapore (-19.48%), Australia (-15.33%), and Hong Kong (-15.33%) felt the full force of China s volatility. Australian Energy irms were hit hard by falling oil prices and sagging demand in China. Japan s economy shrunk by 1.2% on an annualized basis in the second quarter and inlation remained well below the Bank of Japan s two percent target (MSCI Japan: %). Ρεγιοναλ Θυαρτερλψ Περφορmανχε % % Source: MSCI -8.69% % % % MSCI Europe MSCI World ex USA MSCI Japan MSCI ACWI ex USA MSCI Pacific ex Japan MSCI Emerging Markets (U.S. Dollar) Ρολλινγ Ονε Ψεαρ Ρελατιϖε Ρετυρνσ (vs. MSCI World ex USA U.S. Dollar) 40% 30% 20% 10% 0% -10% -20% -30% -40% Source: MSCI MSCI Pacific Japanese carmakers were hurt by reports of slowing sales in China; a massive explosion at the port of Tianjin in August tem porarily shut down Toyota s largest Chinese production facil ity. Energy and Materials were laggard sectors in the Index (-28.24% and %, respectively). Financials (-17.73%) followed as Japanese banks were battered by large losses in their equity portfolios. MSCI Europe MSCI World ex USA Emerging markets were hit hardest in this broad downturn, with the ΜΣΧΙ Εmεργινγ Μαρκετ Ινδεξ dropping 17.78%. China was the main story for much of the quarter after a sur prise devaluation of the renminbi in August sparked fears that the slowdown in growth was worse than expected. China s central bank tried to curb the ensuing market turbulence by cutting interest rates, but met limited success. Only the Telecomm (-9.20%) sector avoided double-digit losses; Energy (-31.19%), Materials (-27.11%), and Financials (-26.92%) all lost more than a quarter of their value. The ripple effects were felt throughout Asia: Indonesia (-24.19%), Malaysia (-18.23%), and Thailand (-17.51%) all declined sharply. A strong devalu ation of local currencies contributed to the general slowdown, as the Malaysian ringgit and Indonesian rupiah both fell to their lowest levels versus the dollar in more than 15 years. Emerging countries outside of Asia were also affected by the strengthen ing U.S. dollar and falling commodity prices. Brazilian equities lost over 30% (ΜΣΧΙ Βραζιλ: %) amid a corruption scan dal involving the state-run energy company Petrobras, a 22% devaluation of the real, and a downgrade of the country s credit rating to below investment grade by Standard & Poor s. Κνοωλεδγε. Εξπεριενχε. Ιντεγριτψ. 3

7 Υ.Σ. Φιξεδ Ινχοmε: Α Λιττλε Λονγερ το Λιφτοφφ Χοντινυεδ φροm πγ. 1 The U.S. economy expanded at a moderate pace with the sup port of ixed investment by businesses, household spending, and the jobs market. Inlation nevertheless remained below the Fed s two percent target. While many market participants previously pointed to the Fed s September meeting as a likely date for interest rate hikes, the Fed once again pegged the federal funds and discount rates at 0.00% 0.25% and 0.75%, respectively. The Fed cited global economic and inancial developments as a concern. The Fed mentioned, and Chair ellen reiterated in a subsequent speech, that market-based measures of inlation expectations had declined. The 10-year U.S. Treasury yield decreased 32 bps. ields on longer-term bonds decreased by a similar amount. The market s expectation for the irst hike in the fed funds rate was pushed back to March The breakeven inlation rate (the differ ence between nominal and real yields) on the 10-year Treasury decreased signiicantly (47 bps) to 1.43%, as Treasury Inlation- Protected Securities underperformed nominal Treasuries. Non-Treasury sectors broadly underperformed like-dura tion Treasuries. Credit was among the worst as Financials, Industrials, and Utilities lagged by 0.30%, 2.14%, and 1.01% respectively. Within Industrials, Energy and Metals & Mining companies were hit hardest, trailing like-duration Treasuries by 4.97% and 9.45% respectively. Mortgage-backed securities (MBS) (-0.22%) and Commercial MBS (-0.05%) also struggled. Asset-backed securities were the lone outperformer, beating like-duration Treasuries by 0.16%. High yield corporate bonds also performed poorly. The Βαρχλαψσ Χορπορατε Ηιγη Ψιελδ Ινδεξ ended in the red (-4.86%). New issue activity is on pace with the previous three calendar years. ear-to-date, there was approximately $224 billion in new issu ance of high yield bonds, down from $246 billion over the same period in Ηιστοριχαλ 10 Ψεαρ Ψιελδσ U.S. 10-ear Treasury ield 10-ear TIPS ield Breakeven Inflation Rate 6% 5% 4% 3% 2% 1% 0% -1% Source: Bloomberg Υ.Σ. Τρεασυρψ Ψιελδ Χυρϖεσ September 30, 2015 June 30, 2015 September 30, Φιξεδ Ινχοmε Ινδεξ Θυαρτερλψ Ρετυρνσ 4 Barclays Aggregate Barclays Treasury Barclays Agencies Barclays CMBS Absolute Return 1.23% 1.76% 1.06% 1.54% 3 2 Barclays ABS 0.74% 1 Barclays MBS 1.30% Barclays Credit Barclays Corp. High ield Source: Barclays -4.86% 0.53% Source: Bloomberg Maturity (ears)

8 Νον Υ.Σ. Φιξεδ Ινχοmε: Ρεδ Σχαρε Χοντινυεδ φροm πγ. 1 6%). The Canadian economy shrank for two straight quarters oficially a recession. Italy was the best performer in the Index, expanding more than 4% on both a hedged and unhedged basis. Εmεργινγ Σπρεαδσ Οϖερ Dεϖελοπεδ Emerging Americas Emerging EMEA (Europe, Middle East, Africa) 800 bps 600 bps (By Region) Emerging Asia In August, China s surprise change in exchange-rate policy heightened risk aversion and piled onto the already strong head winds facing emerging market bonds. Slowing demand from China, falling commodity prices, capital outlows, and worries over a Fed hike all contributed to poor performance. The JPM EMBI Global Diversiied Index slipped by 1.71%. Emerging market currencies were particularly hard hit, as the local cur rency-denominated JPM GBI-EM Global Diversiied Index sank 10.54% the worst quarterly performance since late The emerging Americas exhibited the highest increase in yields. Brazil, suffering from the sharp drop in oil prices, as well as iscal and political challenges, was downgraded by S&P to junk status; the country has seen its currency decline by roughly 40% over the past year. Brazil (-9.97%) was the most notable underperformer in the dollar-denominated Global Diversiied Index. Ukraine surged % following an agree ment with creditors whereby bondholders would take a 20% haircut in return for a portion of future GDP growth, subject to a set formula. Among local currency bonds, pain was wide spread. Brazil (-24.66%), Colombia (-18.05%), Indonesia (-14.15%), Malaysia (-14.48%), Russia (-13.19%), and Turkey (-14.76%) all suffered double-digit declines. The yield on the GBI-EM Global Diversiied Index was 7% as of quarter end, with Brazil at 15% and Russia and Turkey both over 10%. 400 bps 200 bps 6% 5% 4% 3% 2% 1% 0% 0 bps Source: Barclays 10 Ψεαρ Γλοβαλ Γοϖερνmεντ Βονδ Ψιελδσ U.S. Treasury Germany U.K. Canada Japan Change in 10-ear ields from 1Q15 to 3Q15-32 bps -26 bps -25 bps bps U.S. Treasury Germany U.K. Canada -11 bps Japan Source: Bloomberg Κνοωλεδγε. Εξπεριενχε. Ιντεγριτψ. 5

9 Total Fund Total Fund

10 Investment Manager Asset Allocation The table below contrasts the distribution of assets across the Fund s investment managers as of September 30, 2015, with the distribution as of June 30, Asset Distribution Across Investment Managers September 30, 2015 June 30, 2015 Market Value Weight Market Value Weight Total Domestic Equity $1,291,363, % $1,444,681, % Northern Trust Global 448,044, % 495,480, % BlackRock R1000 Alpha Tilts 115,813, % 138,868, % Cornerstone Investment Partners 168,896, % 188,731, % Polen Capital Management 198,571, % 210,434, % Earnest Partners LLC 114,404, % 125,483, % Dimensional Fund Advisors Inc. 156,283, % 176,885, % CastleArk Management 89,348, % 108,797, % Total Global Equity $316,232, % $350,177, % BlackRock ACWI Value 88,264, % 98,827, % MFS Investment Management 227,968, % 251,349, % Total International Equity $970,438, % $1,088,921, % BlackRock ACWI 219,886, % 247,301, % Brandes Investment Partners 387,480, % 440,789, % William Blair & Company 227,896, % 251,929, % Dimensional Fund Advisors Inc. 135,175, % 148,900, % Total Fixed Income $1,234,311, % $1,268,695, % BlackRock Intermediate Agg 273,522, % 280,411, % Reams Asset Management 279,898, % 286,041, % Loomis, Sayles & Company, L.P. 470,887, % 486,180, % Wellington Management Company 210,003, % 216,063, % Total Private Equity $165,688, % $146,174, % Abbott Capital Management ,177, % 19,591, % Abbott Capital Management ,343, % 22,590, % Abbott Capital Management ,814, % 11,775, % Abbott Capital Management ,804, % 6,947, % Abbott Capital Management ,211, % 4,867, % Abbott Capital Management ,254, % 1,156, % Mesirow V 60,471, % 57,473, % Mesirow VI 8,305, % 7,508, % NB Secondary Opp Fund III 11,157, % 10,250, % Private Advisors 4,147, % 4,012, % Absolute Return $260,866, % $262,981, % Allianz SA ,258, % 70,193, % Newton 63,395, % 63,869, % UBS A & Q 129,212, % 128,918, % Total Real Estate $400,853, % $387,350, % Real Estate 400,853, % 387,350, % Total Cash $20,171, % $25,473, % Cash 20,171, % 25,473, % Total Fund $4,659,927, % $4,974,456, % City of Milwaukee Employes Retirement System 8

11 Actual vs Target Asset Allocation As of September 30, 2015 The top left chart shows the Fund s asset allocation as of September 30, The top right chart shows the Fund s target asset allocation as outlined in the investment policy statement. The bottom chart ranks the fund s asset allocation and the target allocation versus the Public Fund - Large (>1B). Actual Asset Allocation US Equity 28% Target Asset Allocation US Equity 28% Real Estate 9% Absolute Return 6% Cash 0% Private Equity 4% Global Equity 7% International Equity 21% Real Estate 7% Absolute Return 5% Private Equity 2% International Equity 30% Fixed Income 26% Fixed Income 28% $000s Weight Percent $000s Asset Class Actual Actual Target Difference Difference US Equity 1,291, % 28.0% (0.3%) (13,416) Global Equity 316, % 0.0% 6.8% 316,232 International Equity 970, % 30.0% (9.2%) (427,540) Fixed Income 1,234, % 28.0% (1.5%) (70,468) Private Equity 165, % 2.0% 1.6% 72,490 Absolute Return 260, % 5.0% 0.6% 27,870 Real Estate 400, % 7.0% 1.6% 74,659 Cash 20, % 0.0% 0.4% 20,172 Total 4,659, % 100.0% Asset Class Weights vs Public Fund - Large (>1B) 60% 50% 40% Weights 30% 20% (64) (65) (21) (30) (2) (51) 10% (45) (38) (52) (55) (22) 0% (100) (61) (100) (10%) US Fixed Cash Real International Alternative Global Equity Income Estate Equity Equity 10th Percentile th Percentile Median th Percentile th Percentile Fund Target % Group Invested 93.44% 95.08% 72.13% 70.49% 90.16% 72.13% 24.59% * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 9

12 Actual vs Target Historical Asset Allocation The Historical asset allocation for a fund is by far the largest factor explaining its performance. The charts below show the fund s historical actual asset allocation, the fund s historical target asset allocation, and the historical asset allocation of the average fund in the Public Fund Sponsor Database. Actual Historical Asset Allocation 100% 100% 90% 90% 80% 80% 70% 70% 60% Cash Equiv 60% 50% Real Estate 50% 40% Absolute Return Private Equity 40% 30% Fixed Income 30% 20% International Equity 20% 10% Global Equity Domestic Equity 10% 0% 0% Target Historical Asset Allocation 100% 100% 90% 90% 80% 80% 70% 70% 60% 60% 50% Real Estate 50% 40% Absolute Return Private Equity 40% 30% Fixed Income 30% 20% International Equity 20% 10% Global Equity Domestic Equity 10% 0% 0% Average Public Fund Sponsor Database Historical Asset Allocation 100% 100% 90% 90% 80% Real Assets 80% 70% Intl Fixed-Inc 70% 60% Global Balanced Hedge Funds 60% 50% Cash Equiv 50% 40% Global Equity Broad Real Estate 40% 30% Other Alternatives 30% 20% Intl Equity 20% 10% Domestic Fixed Domestic Broad Eq 10% 0% 0% * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 10

13 Total Fund Period Ended September 30, 2015 Investment Philosophy The Public Fund Sponsor Database consists of public employee pension total funds including both Callan Associates client and surveyed non-client funds. The Total Fund Reference Index consists of 33% Russell 3000, 28% Barclays Capital Aggregate, 22% MSCI EAFE (net), 10% MSCI World (net) and 7% NCREIF Property (One Quarter in Arrears). Quarterly Summary and Highlights Total Fund s portfolio posted a (4.73)% return for the quarter placing it in the 43 percentile of the Public Fund Sponsor Database group for the quarter and in the 39 percentile for the last year. Total Fund s portfolio underperformed the Total Fund Reference Index by 0.10% for the quarter and outperformed the Total Fund Reference Index for the year by 0.71%. Quarterly Asset Growth Beginning Market Value $4,974,456,734 Net New Investment $-81,000,174 Investment Gains/(Losses) $-233,529,555 Ending Market Value $4,659,927,004 Performance vs Public Fund Sponsor Database (Gross) 12% 10% 8% 6% (39) (16) (37) (24) (56) (53) 4% 2% 0% (2%) (58) (39) (4%) (6%) (37) (43) (8%) Last Quarter Last ear Last 3 ears Last 5 ears Last 10 ears 10th Percentile (3.61) th Percentile (4.25) Median (4.87) (0.52) th Percentile (5.50) (1.63) th Percentile (6.04) (2.52) Total Fund (4.73) (0.20) Total Fund Reference Index (4.63) (0.91) Relative Return vs Total Fund Reference Index Public Fund Sponsor Database (Gross) Annualized Ten ear Risk vs Return 3% 9% 2% 8% Relative Returns 1% 0% (1%) (2%) Returns 7% 6% 5% 4% Total Fund Reference Index Total Fund (3%) 3% (4%) Total Fund 2% Standard Deviation City of Milwaukee Employes Retirement System 11

14 Total Fund Return Analysis Summary Return Analysis The graphs below analyze the manager s return on both a risk-adjusted and unadjusted basis. The first chart illustrates the manager s ranking over different periods versus the appropriate style group. The second chart shows the historical quarterly and cumulative manager returns versus the appropriate market benchmark. The last two charts illustrate the manager s ranking relative to their style using various risk-adjusted return measures. Performance vs Public Fund Sponsor Database (Gross) 40% 30% 20% 10% 0% (10%) (20%) (30%) (40%) /14-9/ th Percentile (1.07) (12.58) th Percentile (1.74) (20.71) Median (2.54) (25.43) th Percentile (3.29) (0.29) (27.97) th Percentile (3.83) (1.58) (30.14) Total Fund (1.85) (1.05) (30.68) Total Fund Reference Index (2.03) (25.43) Cumulative and Quarterly Relative Return vs Total Fund Reference Index 6% 4% Relative Returns 2% 0% (2%) (4%) (6%) (8%) Total Fund Pub PlnSponsor DB Risk Adjusted Return Measures vs Total Fund Reference Index Rankings Against Public Fund Sponsor Database (Gross) Ten ears Ended September 30, (2) Alpha (85) Treynor Ratio 10th Percentile th Percentile Median th Percentile (0.09) th Percentile (0.68) 3.51 Total Fund (0.39) 3.81 (84) (0.5) (90) (84) (52) Information Sharpe Excess Return Ratio Ratio Ratio 10th Percentile th Percentile Median th Percentile (0.05) 0.37 (0.09) 90th Percentile (0.34) 0.31 (0.29) Total Fund (0.32) City of Milwaukee Employes Retirement System 12

15 Total Fund Total Fund vs Target Risk Analysis Risk Analysis The graphs below analyze the performance and risk of the fund relative to the appropriate target mix. This relative performance is compared to a peer group of funds wherein each member fund is measured against its own target mix. The first scatter chart illustrates the relationship, called Excess Return Ratio, between excess return and tracking error relative to the target. The second scatter chart displays the relationship, sometimes called Information Ratio, between alpha (market-risk or "beta" adjusted return) and residual risk (non-market or "unsystematic" risk). The third chart shows tracking error patterns over time compared to the range of tracking error patterns for the peer group. The last two charts show the ranking of the fund s risk statistics versus the peer group. Risk Analysis vs Public Fund Sponsor Database Ten ears Ended September 30, Excess Return (0.10 ) Total Fund Alpha (0.2 ) (0.4 ) Total Fund (0.20 ) (0.6 ) (0.30 ) Tracking Error (0.8 ) Residual Risk Rolling 12 Quarter Tracking Error vs Targets Compared to Public Fund Sponsor Database 4.50 Tracking Error Total Fund Group Median Risk Statistics Rankings vs Targets Rankings Against Public Fund Sponsor Database Ten ears Ended September 30, % 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0.0% (0.5%) (1.0%) (1.5%) (31) (76) Excess Alpha Tracking Return Error 10th Percentile th Percentile Median (0.06) (0.02) th Percentile (0.12) (0.37) th Percentile (0.19) (0.62) 0.30 Total Fund 0.07 (0.39) 1.95 (43) (0.5) (1.0) (27) (20) (40) Rel. Std. Beta Excess Info. Deviation Rtn. Ratio Ratio 10th Percentile th Percentile Median (0.03) th Percentile (0.04) (0.20) 90th Percentile (0.14) (0.25) Total Fund (0.32) (98) City of Milwaukee Employes Retirement System 13

16 Quarterly Total Fund Relative Attribution - September 30, 2015 The following analysis approaches Total Fund Attribution from the perspective of relative return. Relative return attribution separates and quantifies the sources of total fund excess return relative to its target. This excess return is separated into two relative attribution effects: Asset Allocation Effect and Manager Selection Effect. The Asset Allocation Effect represents the excess return due to the actual total fund asset allocation differing from the target asset allocation. Manager Selection Effect represents the total fund impact of the individual managers excess returns relative to their benchmarks. Asset Class Under or Overweighting Domestic Equity 0.26% Global Equity 7.08% International Equity (7.92%) Fixed Income (2.27%) Private Equity 1.16% Absolute Return 0.33% Real Estate 0.84% Cash 0.52% (15%) (10%) (5%) 0% 5% 10% 15% (7.06%) (7.25%) (8.87%) (8.87%) (10.88%) (10.86%) Actual vs Target Returns (4.73%) (4.63%) (0.35%) (0.80%) (15%) (10%) (5%) 0% 5% 10% Actual 1.23% 4.00% 0.88% 0.75% 0.05% 0.05% Target 3.76% 3.70% Domestic Equity Global Equity International Equity Fixed Income Private Equity Absolute Return Real Estate Cash Total Relative Attribution by Asset Class (0.8%) (0.6%) (0.4%) (0.2%) 0.0% 0.2% 0.4% 0.6% 0.8% Manager Effect Asset Allocation Total Relative Attribution Effects for Quarter ended September 30, 2015 Effective Effective Total Actual Target Actual Target Manager Asset Relative Asset Class Weight Weight Return Return Effect Allocation Return Domestic Equity 28% 28% (7.06%) (7.25%) 0.05% (0.01%) 0.05% Global Equity 7% 0% (8.87%) (8.87%) 0.00% (0.30%) (0.30%) International Equity 22% 30% (10.88%) (10.86%) (0.01%) 0.49% 0.49% Fixed Income 26% 28% (0.35%) 1.23% (0.41%) (0.13%) (0.54%) Private Equity 3% 2% 4.00% 0.88% 0.10% 0.06% 0.16% Absolute Return 5% 5% (0.80%) 0.75% (0.08%) 0.02% (0.07%) Real Estate 8% 7% 3.76% 3.70% 0.01% 0.07% 0.07% Cash 1% 0% 0.05% 0.05% 0.00% 0.02% 0.02% Total (4.73%) = (4.63%) + (0.34%) % (0.10%) * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 14

17 Cumulative Total Fund Relative Attribution - September 30, 2015 The charts below accumulate the Total Fund Attribution Analysis (shown earlier) over multiple periods to examine the cumulative sources of excess total fund performance relative to target. These cumulative results quantify the longer-term sources of total fund excess return relative to target by asset class. These relative attribution effects separate the cumulative sources of total fund excess return into Asset Allocation Effect and Manager Selection Effect. One ear Relative Attribution Effects Domestic Equity Global Equity International Equity Fixed Income Private Equity Absolute Return Real Estate Cash Total (1.5%) (1.0%) (0.5%) 0.0% 0.5% 1.0% 1.5% 2.0% Manager Effect Asset Allocation Total Cumulative Relative Attribution Effects 1.0% Manager Effect Asset Allocation Total 0.5% 0.0% (0.5%) One ear Relative Attribution Effects Effective Effective Total Actual Target Actual Target Manager Asset Relative Asset Class Weight Weight Return Return Effect Allocation Return Domestic Equity 30% 29% 0.91% (0.49%) 0.43% (0.07%) 0.36% Global Equity 8% 0% (4.77%) (4.77%) 0.00% (0.25%) (0.25%) International Equity 22% 30% (7.69%) (9.70%) 0.47% 0.77% 1.25% Fixed Income 26% 28% (0.67%) 2.94% (0.94%) (0.09%) (1.03%) Private Equity 3% 2% 12.75% 9.49% 0.11% 0.09% 0.20% Absolute Return 5% 4% 4.36% 4.10% 0.01% 0.03% 0.04% Real Estate 8% 7% 13.64% 12.97% 0.05% 0.09% 0.14% Cash 0% 0% 0.23% 0.23% 0.00% 0.01% 0.01% Total (0.20%) = (0.91%) % % 0.71% * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 15

18 Investment Manager Returns and Peer Group Rankings The table below details the rates of return and peer group rankings for the Fund s investment managers over various time periods ended September 30, Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund s accounts for that asset class. Returns and Rankings for Periods Ended September 30, 2015 Last Last Last Last 3 5 Since Quarter ear ears ears Inception Total Domestic Equity (7.06%) 0.91% 12.55% 12.65% 6.00% (7/98) Russell 3000 Index (7.25%) (0.49%) 12.53% 13.28% 5.45% (7/98) Northern Trust Global (6.43%) 39 (0.48%) % % % (8/88) S&P 500 Index (6.44%) 39 (0.61%) % % % (8/88) CAI Large Cap Core Style (6.80%) (0.30%) 12.96% 13.59% - BlackRock R1000 Alpha Tilts (7.14%) % % % % (5/02) Russell 1000 Index (6.83%) 52 (0.61%) % % % (5/02) CAI Large Cap Core Style (6.80%) (0.30%) 12.96% 13.59% - Cornerstone Investment Partners (10.51%) 85 (13.14%) % % (6/12) S&P 500 Index (6.44%) 5 (0.61%) % % % (6/12) CAI Large Cap Value Style (8.18%) (3.76%) 12.29% 12.63% - Polen Capital Management 0.80% % % % (7/12) S&P 500 Index (6.44%) 78 (0.61%) % % % (7/12) CAI Lrg Cap Growth Style (5.46%) 3.94% 13.76% 13.91% - Earnest Partners LLC (7.29%) % % % % (5/05) Russell MidCap Index (8.01%) 46 (0.25%) % % % (5/05) CAI Mid Cap Style (8.18%) 1.48% 13.73% 13.40% - Dimensional Fund Advisors Inc. (10.59%) 80 (0.53%) % % % (11/96) Russell 2000 Value Index (10.73%) 80 (1.60%) % % % (11/96) CAI Small Cap Value Style (9.46%) 1.68% 12.65% 13.06% - CastleArk Management (12.89%) % % (9/13) Russell 2000 Growth Index (13.06%) % % % % (9/13) CAI Sm Cap Growth Style (11.84%) 4.15% 12.74% 13.94% - Total Global Equity (8.87%) (4.77%) 7.14% 6.32% 5.55% (4/10) MSCI World Index (8.45%) (5.09%) 8.58% 8.29% 7.38% (4/10) BlackRock ACWI Value (10.69%) 79 (7.86%) (7.28%)(9/14) MSCI ACWI Value (10.33%) 76 (10.79%) % % 91 (12.90%)(9/14) CAI Global Eq Broad Style (8.57%) (3.51%) 9.59% 8.87% - MFS Investment Management (8.15%) 39 (1.32%) % (12/12) MSCI ACWI Idx (9.34%) 59 (6.16%) % % % (12/12) CAI Global Eq Broad Style (8.57%) (3.51%) 9.59% 8.87% - City of Milwaukee Employes Retirement System 16

19 Investment Manager Returns and Peer Group Rankings The table below details the rates of return and peer group rankings for the Fund s investment managers over various time periods ended September 30, Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund s accounts for that asset class. Returns and Rankings for Periods Ended September 30, 2015 Last Last Last Last 3 5 Since Quarter ear ears ears Inception Total International Equity (10.88%) (7.69%) 7.32% 5.55% 6.81% (5/96) MSCI EAFE Index (10.23%) (8.66%) 5.63% 3.98% 4.01% (5/96) BlackRock ACWI (11.09%) 71 (9.25%) (5.61%) (1/14) MSCI ACWI ex US Growth (10.73%) 65 (7.79%) % % 87 (4.55%) (1/14) CAI Non-U.S. Eq. Style (10.02%) (6.86%) 6.31% 5.02% - Brandes Investment Partners (12.09%) 86 (9.13%) % % % (2/98) MSCI EAFE Index (10.23%) 56 (8.66%) % % % (2/98) CAI Non-U.S. Eq. Style (10.02%) (6.86%) 6.31% 5.02% - William Blair & Company (9.54%) 38 (5.73%) % % % (12/03) MSCI ACWI ex-us Index (12.10%) 86 (11.78%) % % % (12/03) CAI Non-U.S. Eq. Style (10.02%) (6.86%) 6.31% 5.02% - Dimensional Fund Advisors Inc. (9.22%) 80 (4.00%) % % % (5/06) Blended Benchmark (6.83%) % % % % (5/06) CAI Int l Small Cap Style (6.69%) 1.29% 11.71% 9.47% - Total Fixed Income (0.35%) (0.67%) 1.12% 3.66% 7.90% (12/87) Barclays Capital Aggregate 1.23% 2.94% 1.71% 3.10% 6.72% (12/87) BlackRock Intermediate Agg 1.11% % % % % (7/99) Barclays Capital Int Aggregate 1.08% % % % % (7/99) CAI Intermediate F-I Styl 0.89% 2.70% 1.65% 2.78% - Reams Asset Management 1.35% % % % % (1/01) Barclays Capital Aggregate 1.23% % % % % (1/01) CAI FI Core Plus Style 0.40% 2.19% 2.38% 4.22% - Loomis, Sayles & Company, L.P. (3.15%) 99 (3.57%) % % % (12/87) Barclays Capital Aggregate 1.23% % % % % (12/87) CAI FI Core Plus Style 0.40% 2.19% 2.38% 4.22% - Wellington Management Company 1.83% 10 (3.46%) 54 (2.92%) % (1/11) CG WGBI Index 1.71% 13 (3.83%) 64 (2.85%) 84 (0.19%) % (1/11) CAI Glbl Fixed Inc Style 0.79% (3.40%) (1.53%) 1.15% - Total Private Equity 4.00% 12.75% 11.95% 7.84% 6.16% (6/10) Abbott Capital Management % 11.38% 9.33% (4.46%) (17.57%) (6/10) Abbott Capital Management % 8.72% 4.87% - (15.43%) (6/11) Abbott Capital Management % 2.25% (0.39%) - (1.30%) (7/12) Abbott Capital Management % 2.20% - - (2.46%) (5/13) Abbott Capital Management % (3.20%) - - (8.94%) (4/14) Abbott Capital Management % Mesirow V 6.61% 20.08% 18.50% 13.87% 12.48% (6/10) Mesirow VI 0.80% (4.21%) % (7/13) NB Secondary Opp Fund III 5.90% 42.71% % (12/13) Private Advisors (12.22%) Russell 3000 (On a Qtr Lag) + 3% 0.89% 10.49% 21.16% 20.96% 17.35% (9/10) Absolute Return (0.80%) 4.36% % (6/14) Allianz SA 1000 (2.76%) 6.75% % (6/14) Newton (0.74%) 0.17% % (8/14) UBS A & Q 0.23% % (12/14) Total Real Estate 3.76% 13.64% 13.18% 13.91% 6.36% (7/86) Real Estate 3.76% % % % % (7/86) NCREIF Property (1 Quarter in Arrears) 3.14% % % % % (9/86) Open-End Real Estate 3.19% 13.75% 12.73% 13.09% - Total Fund (4.73%) (0.20%) 8.11% 8.35% 9.52% (1/79) Total Fund Reference Index* (4.63%) (0.91%) 7.48% 8.00% - * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 17

20 Investment Manager Returns and Peer Group Rankings The table below details the rates of return and peer group rankings for the Fund s investment managers over various time periods. Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund s accounts for that asset class. 12/2014-9/ Total Domestic Equity (5.29%) 11.63% 33.86% 16.12% (2.48%) Russell 3000 Index (5.45%) 12.56% 33.55% 16.42% 1.03% Northern Trust Global (5.21%) % % % % 35 S&P 500 Index (5.29%) % % % % 36 CAI Large Cap Core Style (4.93%) 13.63% 34.45% 15.89% 1.46% BlackRock R1000 Alpha Tilts (4.35%) % % % % 25 Russell 1000 Index (5.24%) % % % % 49 CAI Large Cap Core Style (4.93%) 13.63% 34.45% 15.89% 1.46% Cornerstone Investment Partners (16.72%) % % S&P 500 Index (5.29%) % % % % 32 CAI Large Cap Value Style (7.89%) 12.54% 34.59% 16.78% 0.61% Polen Capital Management 7.04% % % S&P 500 Index (5.29%) % % % % 25 CAI Lrg Cap Growth Style (1.12%) 11.83% 35.60% 16.14% (0.28%) Earnest Partners LLC (3.45%) % % % 47 (0.31%) 32 Russell MidCap Index (5.84%) % % % 41 (1.55%) 46 CAI Mid Cap Style (3.84%) 9.88% 35.84% 16.26% (1.92%) Dimensional Fund Advisors Inc. (8.24%) % % % 20 (6.75%) 78 Russell 2000 Value Index (10.06%) % % % 50 (5.50%) 65 CAI Small Cap Value Style (6.22%) 5.93% 38.72% 18.12% (3.70%) CastleArk Management (6.49%) % Russell 2000 Growth Index (5.47%) % % % 50 (2.91%) 61 CAI Sm Cap Growth Style (3.91%) 3.41% 46.83% 14.56% (1.34%) Total Global Equity (6.46%) 2.32% 24.81% 15.39% (8.95%) MSCI The World Index (6.04%) 4.94% 26.68% 15.83% (5.54%) BlackRock ACWI Value (9.55%) MSCI ACWI Value (9.92%) % % % 74 (7.35%) 52 CAI Global Eq Broad Style (5.01%) 4.44% 28.49% 17.88% (6.97%) MFS Investment Management (5.23%) % % MSCI ACWI Idx (6.65%) % % % 61 (6.86%) 48 CAI Global Eq Broad Style (5.01%) 4.44% 28.49% 17.88% (6.97%) City of Milwaukee Employes Retirement System 18

21 Investment Manager Returns and Peer Group Rankings The table below details the rates of return and peer group rankings for the Fund s investment managers over various time periods. Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund s accounts for that asset class. 12/2014-9/ Total International Equity (4.14%) (3.63%) 26.26% 18.88% (11.84%) MSCI EAFE Index (5.28%) (4.90%) 22.78% 17.32% (12.14%) BlackRock ACWI (6.49%) 78 (3.34%) MSCI ACWI ex US Growth (5.67%) 72 (2.29%) % % 72 (13.93%) 73 CAI Non-U.S. Eq. Style (4.05%) (4.12%) 23.32% 18.99% (11.40%) Brandes Investment Partners (3.95%) 48 (4.45%) % % 96 (10.13%) 31 MSCI EAFE Index (5.28%) 66 (4.90%) % % 69 (12.14%) 57 CAI Non-U.S. Eq. Style (4.05%) (4.12%) 23.32% 18.99% (11.40%) William Blair & Company (4.47%) 56 (1.77%) % % 9 (11.78%) 54 MSCI ACWI ex-us Index (8.28%) 91 (3.44%) % % 69 (13.33%) 68 CAI Non-U.S. Eq. Style (4.05%) (4.12%) 23.32% 18.99% (11.40%) Dimensional Fund Advisors Inc. (0.04%) 81 (4.99%) % % 65 (16.88%) 83 Blended Benchmark 2.62% 60 (4.95%) % % 79 (15.94%) 73 CAI Int l Small Cap Style 3.39% (3.94%) 31.08% 23.64% (13.73%) Total Fixed Income (1.02%) 4.00% (0.53%) 8.82% 7.36% Barclays Capital Aggregate 1.13% 5.97% (2.02%) 4.21% 7.84% BlackRock Intermediate Agg 1.82% % 9 (0.93%) % % 32 Barclays Capital Int Aggregate 1.73% % 13 (1.02%) % % 42 CAI Intermediate F-I Styl 1.73% 3.42% (0.49%) 4.89% 5.87% Reams Asset Management 1.76% % 97 (1.08%) % % 52 Barclays Capital Aggregate 1.13% % 60 (2.02%) % % 39 CAI FI Core Plus Style 0.70% 6.16% (0.71%) 8.29% 7.63% Loomis, Sayles & Company, L.P. (3.80%) % % % % 70 Barclays Capital Aggregate 1.13% % 60 (2.02%) % % 39 CAI FI Core Plus Style 0.70% 6.16% (0.71%) 8.29% 7.63% Wellington Management Company (2.01%) 31 (0.55%) 92 (5.38%) % % 12 CG WGBI Index (2.38%) 54 (0.48%) 86 (4.00%) % % 46 CAI Glbl Fixed Inc Style (2.30%) 1.30% (3.44%) 5.31% 6.20% Total Private Equity 11.18% 15.40% 8.66% 3.44% (3.21%) Abbott Capital Management % 12.36% 7.33% (1.66%) (38.92%) Abbott Capital Management % 9.17% 1.20% (5.63%) - Abbott Capital Management % 4.97% (2.50%) - - Abbott Capital Management % (2.17%) Abbott Capital Management % Mesirow V 17.80% 21.07% 14.22% 6.65% 5.05% Mesirow VI (1.91%) 2.22% NB Secondary Opp Fund III 33.48% 19.77% Russell 3000 (On a Qtr Lag) + 3% 9.66% 21.19% 25.11% 33.90% 3.61% Absolute Return 2.52% Allianz SA % Newton 0.17% UBS A & Q 3.37% Total Real Estate 10.83% 13.87% 13.58% 9.22% 18.46% Real Estate 10.83% % % % % 12 NCREIF Property (1 Quarter in Arrears) 10.08% % % % % 31 Open-End Real Estate 10.72% 11.99% 12.67% 10.80% 15.33% Total Fund (1.85%) 5.31% 19.59% 14.10% (1.05%) Total Fund Reference Index* (2.03%) 5.16% 18.14% 12.90% 0.79% * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 19

22 Investment Manager Returns The table below details the rates of return for the Fund s investment managers over various time periods ended September 30, Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund s accounts for that asset class. Net of Fee Returns Returns for Periods Ended September 30, 2015 Last Last Last Last 3 5 Since Quarter ear ears ears Inception Total Domestic Equity (7.13%) 0.59% 12.20% 12.31% 5.67% (7/98) Russell 3000 Index (7.25%) (0.49%) 12.53% 13.28% 5.45% (7/98) Northern Trust Global (6.44%) (0.50%) 12.47% 13.40% 8.88% (9/94) S&P 500 Index (6.44%) (0.61%) 12.40% 13.34% 8.91% (9/94) BlackRock R1000 Alpha Tilts (7.20%) 0.83% 13.17% 14.90% 6.97% (5/02) Russell 1000 Index (6.83%) (0.61%) 12.66% 13.42% 6.85% (5/02) Cornerstone Investment Partners (10.60%) (13.49%) 6.35% % (6/12) S&P 500 Index (6.44%) (0.61%) 12.40% 13.34% 14.55% (6/12) Polen Capital Management 0.67% 17.30% 14.91% % (7/12) S&P 500 Index (6.44%) (0.61%) 12.40% 13.34% 13.53% (7/12) Earnest Partners LLC (7.42%) 0.97% 12.72% 12.40% 8.32% (5/05) Russell MidCap Index (8.01%) (0.25%) 13.91% 13.40% 8.90% (5/05) Dimensional Fund Advisors Inc. (10.72%) (1.06%) 12.44% 12.77% 11.37% (11/96) Russell 2000 Value Index (10.73%) (1.60%) 9.18% 10.17% 9.02% (11/96) CastleArk Management (13.04%) 3.36% % (9/13) Russell 2000 Growth Index (13.06%) 4.04% 12.85% 13.26% 7.17% (9/13) Total Global Equity (8.95%) (5.11%) 6.76% 5.88% 5.08% (4/10) MSCI World Index (8.45%) (5.09%) 8.58% 8.29% 7.38% (4/10) BlackRock ACWI Value (10.71%) (7.93%) - - (7.35%) (9/14) MSCI ACWI Value (10.33%) (10.79%) 5.54% 5.52% (12.90%) (9/14) MFS Investment Management (8.24%) (1.71%) % (12/12) MSCI ACWI Idx (9.34%) (6.16%) 7.52% 7.39% 7.72% (12/12) Total International Equity (10.99%) (8.14%) 6.79% 4.96% 5.99% (5/96) MSCI EAFE Index (10.23%) (8.66%) 5.63% 3.98% 4.01% (5/96) BlackRock ACWI (11.10%) (9.31%) - - (5.67%) (1/14) MSCI ACWI ex US Growth (10.73%) (7.79%) 3.99% 3.08% (4.55%) (1/14) Brandes Investment Partners (12.19%) (9.50%) 7.25% 4.09% 7.28% (2/98) MSCI EAFE Index (10.23%) (8.66%) 5.63% 3.98% 4.03% (2/98) William Blair & Company (9.63%) (6.11%) 6.18% 5.74% 6.90% (12/03) MSCI ACWI ex-us Index (12.10%) (11.78%) 2.78% 2.27% 6.32% (12/03) Dimensional Fund Advisors Inc. (9.22%) (4.00%) 10.98% 7.38% 3.34% (5/06) Blended Benchmark (6.83%) 0.30% 10.17% 7.24% 1.46% (5/06) Total Fixed Income (0.38%) (0.81%) 0.97% 3.49% 6.97% (9/94) Barclays Capital Aggregate 1.23% 2.94% 1.71% 3.10% 5.88% (9/94) BlackRock Intermediate Agg 1.10% 3.05% 1.76% 2.80% 5.14% (7/99) Barclays Capital Int Aggregate 1.08% 2.95% 1.64% 2.69% 5.06% (7/99) Reams Asset Management 1.31% 2.79% 1.75% 3.68% 5.80% (1/01) Loomis, Sayles & Company, L.P. (3.17%) (3.68%) 2.09% 5.28% 8.44% (9/94) Barclays Capital Aggregate 1.23% 2.94% 1.71% 3.10% 5.88% (9/94) Wellington Management Company 1.77% (3.69%) (3.15%) % (1/11) CG WGBI Index 1.71% (3.83%) (2.85%) (0.19%) 0.17% (1/11) Total Private Equity 4.00% 12.75% 11.95% 7.84% 6.16% (6/10) Abbott Capital Management % 11.38% 9.33% (4.46%) (17.57%) (6/10) Abbott Capital Management % 8.72% 4.87% - (15.43%) (6/11) Abbott Capital Management % 2.25% (0.39%) - (1.30%) (7/12) Abbott Capital Management % 2.20% - - (2.46%) (5/13) Abbott Capital Management % (3.20%) - - (8.94%) (4/14) Abbott Capital Management % Mesirow V 6.61% 20.08% 18.50% 13.87% 12.48% (6/10) Mesirow IV 0.80% (4.21%) % (7/13) NB Secondary Opp Fund III 5.90% 42.71% % (12/13) Private Advisors (12.22%) Russell 3000 (On a Qtr Lag) + 3% 0.89% 10.49% 21.16% 20.96% 17.35% (9/10) Absolute Return (0.80%) 4.36% % (6/14) Allianz SA 1000 (2.76%) 6.75% % (6/14) Newton (0.74%) 0.17% % (8/14) UBS A & Q 0.23% % (12/14) Total Real Estate 3.70% 13.34% 12.82% 13.58% 5.13% (7/86) Real Estate 3.70% 13.34% 12.82% 13.58% 5.13% (7/86) NCREIF Property(1Quarter in Arrears) 3.14% 12.98% 11.63% 12.72% 7.82% (9/86) Total Fund (4.80%) (0.48%) 7.81% 8.04% 9.14% (1/79) Total Fund Reference Index* (4.63%) (0.91%) 7.48% 8.00% - * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 20

23 Investment Manager Returns The table below details the rates of return for the Fund s investment managers over various time periods. Negative returns are shown in red, positive returns in black. Returns for one year or greater are annualized. The first set of returns for each asset class represents the composite returns for all the fund s accounts for that asset class. Net of Fee Returns 12/2014-9/ Total Domestic Equity (5.52%) 11.28% 33.44% 15.82% (2.77%) Russell 3000 Index (5.45%) 12.56% 33.55% 16.42% 1.03% Northern Trust Global (5.22%) 13.75% 32.43% 16.04% 2.19% S&P 500 Index (5.29%) 13.69% 32.39% 16.00% 2.11% BlackRock R1000 Alpha Tilts (4.53%) 13.83% 32.90% 19.74% 4.34% Russell 1000 Index (5.24%) 13.24% 33.11% 16.42% 1.50% Cornerstone Investment Partners (16.97%) 7.89% 34.35% - - S&P 500 Index (5.29%) 13.69% 32.39% 16.00% 2.11% Polen Capital Management 6.64% 17.02% 22.84% - - S&P 500 Index (5.29%) 13.69% 32.39% 16.00% 2.11% Earnest Partners LLC (3.84%) 9.79% 30.60% 15.87% (0.87%) Russell MidCap Index (5.84%) 13.22% 34.76% 17.28% (1.55%) Dimensional Fund Advisors Inc. (8.61%) 4.47% 41.95% 21.77% (7.26%) Russell 2000 Value Index (10.06%) 4.22% 34.52% 18.05% (5.50%) CastleArk Management (6.96%) 5.45% Russell 2000 Growth Index (5.47%) 5.60% 43.30% 14.59% (2.91%) Total Global Equity (6.72%) 1.95% 24.37% 14.88% (9.33%) MSCI The World Index (6.04%) 4.94% 26.68% 15.83% (5.54%) BlackRock ACWI Value (9.60%) MSCI ACWI Value (9.92%) 2.86% 22.43% 15.55% (7.35%) MFS Investment Management (5.52%) 5.17% 22.47% - - MSCI ACWI (6.65%) 4.71% 23.44% 16.80% (6.86%) Total International Equity (4.49%) (4.09%) 25.66% 18.32% (12.24%) MSCI EAFE Index (5.28%) (4.90%) 22.78% 17.32% (12.14%) BlackRock ACWI (6.53%) (3.40%) Russell 2000 Growth Index (5.47%) 5.60% 43.30% 14.59% (2.91%) Brandes Investment Partners (4.25%) (4.84%) 28.93% 11.51% (10.51%) MSCI EAFE Index (5.28%) (4.90%) 22.78% 17.32% (12.14%) William Blair & Company (4.76%) (2.17%) 21.36% 23.38% (12.15%) MSCI ACWI ex-us Index (8.28%) (3.44%) 15.78% 17.39% (13.33%) Dimensional Fund Advisors Inc. (0.04%) (4.99%) 32.39% 22.26% (17.46%) Blended Benchmark 2.62% (4.95%) 29.30% 20.00% (15.94%) Total Fixed Income (1.12%) 3.85% (0.69%) 8.65% 7.20% Barclays Capital Aggregate 1.13% 5.97% (2.02%) 4.21% 7.84% BlackRock Intermediate Agg 1.80% 4.34% (0.96%) 3.65% 6.08% Barclays Capital Int Aggregate 1.73% 4.12% (1.02%) 3.56% 5.97% Reams Asset Management 1.65% 3.94% (1.23%) 7.78% 7.41% Loomis, Sayles & Company, L.P. (3.88%) 5.82% 2.29% 15.33% 6.83% Barclays Capital Aggregate 1.13% 5.97% (2.02%) 4.21% 7.84% Wellington Management Company (2.18%) (0.78%) (5.61%) 2.93% 8.58% CG WGBI Index (2.38%) (0.48%) (4.00%) 1.65% 6.35% Total Private Equity 11.18% 15.40% 8.66% 3.44% (3.21%) Abbott Capital Management % 12.36% 7.33% (1.66%) (38.92%) Abbott Capital Management % 9.17% 1.20% (5.63%) - Abbott Capital Management % 4.97% (2.50%) - - Abbott Capital Management % (2.17%) Abbott Capital Management % Mesirow V 17.80% 21.07% 14.22% 6.65% 5.05% Mesirow VI (1.91%) 2.22% NB Secondary Opp Fund III 33.48% 19.77% Russell 3000 (On a Qtr Lag) + 3% 9.66% 21.19% 25.11% 33.90% 3.61% Absolute Return 2.52% Allianz SA % Newton 0.17% UBS A & Q 3.37% Total Real Estate 10.61% 13.54% 13.15% 8.83% 18.17% Real Estate 10.61% 13.54% 13.15% 8.83% 18.17% NCREIF Property(1Quarter in Arrears) 10.08% 11.26% 10.99% 11.00% 16.10% Total Fund (2.06%) 5.02% 19.26% 13.78% (1.38%) Total Fund Reference Index* (2.03%) 5.16% 18.14% 12.90% 0.79% * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 21

24 Asset Class Rankings The charts below show the rankings of each asset class component of the Total Fund relative to appropriate comparative databases. In the upper right corner of each graph is the weighted average of the rankings across the different asset classes. The weights of the fund s actual asset allocation are used to make this calculation. The weighted average ranking can be viewed as a measure of the fund s overall success in picking managers and structuring asset classes. Total Asset Class Performance One ear Ended September 30, % 15% 10% (1) Weighted Ranking 44 (1) Returns 5% 0% (5%) (10%) (57) (13) (67) (59) (20) (16) (96) (93) (15%) (20%) Pub Pln- CAI Global Eq Broad Pub Pln- Intl Pub Pln- Pub Pln- Real Public Fund Dom Equity Style Equity Dom Fixed Estate - Cash 10th Percentile (6.87) th Percentile 0.18 (1.48) (8.12) Median (0.36) (3.51) (9.51) th Percentile (0.83) (6.05) (11.51) th Percentile (1.46) (10.30) (14.89) Asset Class Composite 0.91 (4.77) (7.69) (0.67) Composite Benchmark (0.49) - (9.70) Total Asset Class Performance Four and Three-Quarter ears Ended September 30, 2015 Returns 16% 14% 12% 10% 8% 6% 4% 2% 0% (2%) (4%) (30) (79) (87) (40) Pub Pln- CAI Global Eq Broad Pub Pln- Intl Pub Pln- Public Fund Dom Equity Style Equity Dom Fixed - Cash 10th Percentile th Percentile Median th Percentile th Percentile (1.90) 2.65 (1.70) Asset Class Composite Composite Benchmark (9) (73) (57) (2) Weighted Ranking 52 (2) * Current Quarter Target = 28.0% Russell 3000 Index, 28.0% Barclays Aggregate Index, 20.0% MSCI EAFE Index, 10.0% MSCI ACWI ex US Index, 7.0% NFI-ODCE (1 Qtr in Arrears), 5.0% 3-month Treasury Bill+3.0% and 2.0% Russell 3000 (1 Qtr in Arrears)+3.0%. City of Milwaukee Employes Retirement System 22

25 Callan Research/Education Callan Research/Education

26 THEOR & PRACTICE FOR FUND MANAGERS EUGENE PODKAMINER The Voices of Influence iijournals.com SUMMER 2015 Volume 24 Number 2 Ελλεν ηασ σπεντ χλοσε το 20 ψεαρσ ιν τηε inancial industry. Σηε ηασ εξτενσιϖε εξπεριενχε σερϖινγ ιν the investment ofices of private and public universities. Βεατινγ τηε Ηεατ ΧΑΛΛΑΝ ΙΝςΕΣΤΜΕΝΤΣ ΙΝΣΤΙΤΥΤΕ Φιϖε Βεστ Πραχτιχεσ φορ Ενδοωmεντσ ανδ Φουνδατιονσ ϑυλψ 2015 Ρεσεαρχη Σποτλιγητ Have you found yourself defending your diversiied asset allocation strategy in light of U.S. public markets strong performance? Here are ive ways to keep your cool when asset allocation conversations heat up: 1 Εmπηασιζε θυαλιτψ ιν mαναγερ σελεχτιον. Hire managers to be long-term partners and try to minimize turnover. Determine your access to irst- and second-quartile alternatives managers and also your resources to source those managers. When thinking about management fees, look at the big picture. What is the long-term goal? What does it cost to get there? What are the risks? 2 Manage resources eficiently and effectively. Think long-term across the entire program, including stafing. Hire people who understand managers and manager selection. Look for people who are not only investment-savvy, knowledgeable, and experienced, but also those who it with the culture and who buy into the investment process. Low staff turnover is correlated with higher returns. If you are considering a boost to your alternatives allocation, do you have the appropriate legal and accounting staff to handle the additional work? Is your custodian able to handle alternatives? Successful organizations take a long-term view. They think about current spending needs versus future spending goals. Decide if you are going to spend more on the current generation at the expense of future generations, or if you will spend less on the current generation to beneit future generations. Ellen Brownell, Senior Vice President, Fund Sponsor Consulting Κνοωλεδγε. Εξπεριενχε. Ιντεγριτψ. ΧΑΛΛΑΝ ΙΝςΕΣΤΜΕΝΤΣ ΙΝΣΤΙΤΥΤΕ 3ρδ Θυαρτερ 2015 Εδυχατιον Ρεσεαρχη ανδ Εδυχατιοναλ Προγραmσ Τηε Χαλλαν Ινϖεστmεντσ Ινστιτυτε προϖιδεσ ρεσεαρχη τηατ κεεπσ χλιεντσ υπδατεδ ον τηε λατεστ ινδυστρψ τρενδσ ωηιλε ηελπινγ τηεm λεαρν τηρουγη χαρεφυλλψ στρυχτυρεδ εδυχατιοναλ προγραmσ. Ρεχεντ Ρεσεαρχη Πλεασε ϖισιτ ωωω.χαλλαν.χοm/ρεσεαρχη το σεε αλλ οφ ουρ πυβλιχατιονσ. Φιξεδ Ινχοmε Βενχηmαρκ Ρεϖιεω Τηισ αννυαλ ρεπορτ χοmπαρεσ χηαραχτεριστιχσ φορ Βαρχλαψσ, Χιτι, Χρεδιτ Συισσε, ανδ ϑπ Μοργαν ixed income indices versus various Callan Manager peer groups. Πριϖατε Μαρκετσ Τρενδσ, Συmmερ 2015 Γαρψ Ροβερτσον συm mαριζεσ τηε mαρκετ ενϖιρονmεντ, ρεχεντ εϖεντσ, περφορmανχε, ανδ οτηερ ισσυεσ ινϖολϖινγ πριϖατε εθυιτψ. Ρεαλ Ινδιχατορσ: Τηε Μετριχσ οφ Ρεαλ Εστατε Ιν τηισ ϖιδεο, Αϖερψ Ροβινσον, ΧΑΙΑ, δισχυσσεσ τηε δεϖελοπmεντ οφ ρεαλ εστατε ινδιχα τορ mετριχσ ανδ ωηατ τηεψ σαψ αβουτ τηε χυρρεντ mαρκετ. Τηε Εδυχατιον οφ Βετα ςιδεο Ευγενε Ποδκαmινερ, ΧΦΑ, δε scribes the reasons he decided to explore the topic of smart beta. DΧ Οβσερϖερ, 2νδ Θυαρτερ 2015 Χοϖερ στορψ: Wηατ Dο Ψου Σεε Through the Brokerage Window? Plus the Callan DC Index. Συmmαρψ, ϑυνε Wορκσηοπ: Φιδυχιαρψ Τιδαλ Wαϖε, Ναϖιγατινγ DΧ σ Υνχηαρτεδ Wατερσ Σηαρεδ οβσερϖατιονσ φροm Χαλλαν σ 2015 DΧ Τρενδσ Συρϖεψ, client experiences, and case studies. T H E J O U R N A L O F The Education of Beta: Can Alternative Indexes Make our Portfolio Smarter? Τηε Εδυχατιον οφ Βετα: Χαν Αλτερνατιϖε Ινδεξ εσ Μακε Ψουρ Πορτφολιο Σmαρτερ? Ρεπριντεδ ιν τηε ϑουρναλ οφ Ινϖεστινγ, Ευγενε Ποδκαmινερ explores how smart beta strategies are put to γετηερ, ηοω τηεψ ηαϖε περφορmεδ οϖερ τηε παστ δεχαδε, ανδ ηοω τηεψ χαν βε υσεδ βψ ινϖεστορσ. Ρεαλ Ασσετσ Ρεπορτερ, Συmmερ/Φαλλ 2015 Dατα ανδ ινσιγητσ ον ρεαλ εστατε ανδ οτηερ ρεαλ ασσετ ινϖεστmεντ τοπιχσ, ινχλυδινγ λιστεδ ινφραστρυχτυρε. Ταργετ Dατε Φυνδσ: Φινδινγ τηε Ριγητ ςεηιχλε φορ τηε Ροαδ το Ρετιρεmεντ Author Jimmy Veneruso presents key indings ανδ ηιγηλιγητσ σοmε θυεστιονσ πλαν σπονσορσ mαψ χονσιδερ ωηεν εϖαλυατινγ ταργετ δατε φυνδσ. Ηεδγε Φυνδ Μονιτορ, 2νδ Θυαρτερ 2015 Αυτηορ ϑιm ΜχΚεε σ εσσαψ, Ζεν ανδ τηε Αρτ οφ Σελλινγ Σηορτ, ινχλυδινγ θυαρτερλψ περφορ mανχε προϖιδεσ α σναπσηοτ οφ τηε ασσετ χλασσ. Χαπιταλ Μαρκετ Ρεϖιεω, 2νδ Θυαρτερ 2015 Ινσιγητσ ον τηε εχονο my and recent performance in equities, ixed income, alternatives, ρεαλ εστατε, ανδ mορε. Ινσιδε Χαλλαν σ Dαταβασε, 2νδ Θυαρτερ 2015 Τηισ ρεπορτ γραπησ περφορmανχε ανδ ρισκ δατα φροm Χαλλαν σ προπριεταρψ δαταβασε αλονγσιδε ρελεϖαντ mαρκετ ινδιχεσ. Βεατινγ τηε Ηεατ: Φιϖε Βεστ Πραχτιχεσ φορ Εν δοωmεντσ ανδ Φουνδατιονσ Ελλεν Βροωνελλ presents ive ways endowments and foundations χαν κεεπ τηειρ χοολ ωηεν ασσετ αλλοχατιον χον ϖερσατιονσ ηεατ υπ Νυχλεαρ Dεχοmmισσιονινγ Φυνδινγ Στυδψ Αυτηορ ϑυλια Μοριαρτψ χοϖερσ ποωερ υτιλιτιεσ ωιτη αν οωνερσηιπ ιντερεστ ιν τηε οπερατινγ ανδ νον οπερατινγ νυχλεαρ ρεαχτορσ ιν τηε Υ.Σ.

27 2015 Ρεγιοναλ Wορκσηοπσ Οχτοβερ 21 Νεω Ψορκ Χιτψ Οχτοβερ 22 Ατλαντα Βρεττ Χορνωελλ, ΧΦΑ Γλοβαλ Μαναγερ Ρεσεαρχη ϑαψ Κλοεπφερ Χαπιταλ Μαρκετσ Ρεσεαρχη Σαλλψ Ηασκινσ Ρεαλ Ασσετσ Χονσυλτινγ Εϖεντσ Dιδ ψου mισσ ουτ ον α Χαλλαν χονφερενχε ορ ωορκσηοπ? Εϖεντ συm mαριεσ ανδ σπεακερσ πρεσεντατιονσ αρε αϖαιλαβλε ον ουρ ωεβσιτε: ηττπσ://ωωω.χαλλαν.χοm/εδυχατιον/χιι/ Τηε Οχτοβερ Ρεγιοναλ Wορκσηοπ, το βε Ρεαλιτψ Χηεχκ: Ρεαλ Ασσετσ Μεετ τηε Ρεαλ Wορλδ ηελδ Οχτοβερ 21 ιν Νεω Ψορκ ανδ Οχτοβερ 22 ιν Ατλαντα, λοοκσ ατ ωηερε Ρεαλ Ασσετσ Μεετ τηε Ρεαλ Wορλδ. Ιν τηισ ωορκσηοπ, ωε λοοκ ατ ρεαλ ασσετσ ϖαριουσ ρολεσ ιν ινστιτυ τιοναλ πορτφολιοσ. Wε διϖε ιντο τηε χηαλλενγεσ τηατ αρισε δυρινγ ιmπλεmεντατιον χηαλλενγεσ ασ υνιθυε ασ ινϖεστορσ τηεmσελϖεσ. Αλσο, σαϖε τηε δατε φορ ουρ αννυαλ Νατιοναλ Χονφερενχε ιν Σαν Φρανχισχο, ϑανυαρψ 25 27, Φορ mορε ινφορmατιον αβουτ ρεσεαρχη ορ εδυχατιοναλ εϖεντσ, πλεασε χονταχτ Αννα Wεστ: / ινστιτυτε χαλλαν.χοm Τηε Χεντερ φορ Ινϖεστmεντ Τραινινγ Εδυχατιοναλ Σεσσιονσ The Center for Investment Training, better known as the Callan College, provides a foundation of knowledge for industry profes σιοναλσ ωηο αρε ινϖολϖεδ ιν τηε ινϖεστmεντ δεχισιον mακινγ προ cess. It was founded in 1994 to provide clients and non-clients alike with basic- to intermediate-level instruction. Our next session is: Ιντροδυχτιον το Ινϖεστmεντσ Χηιχαγο, Οχτοβερ 27 28, δατεσ ΤΒD, πλεασε χηεχκ ουρ ωεβσιτε φορ υπδατεσ Τηισ σεσσιον φαmιλιαριζεσ φυνδ σπονσορ τρυστεεσ, σταφφ, ανδ ασσετ mαναγεmεντ αδϖισορσ ωιτη βασιχ ινϖεστmεντ τηεορψ, τερmινολογψ, ανδ πραχτιχεσ. Ιτ λαστσ ονε ανδ α ηαλφ δαψσ ανδ ισ δεσιγνεδ φορ ιν dividuals who have less than two years of experience with assetmαναγεmεντ οϖερσιγητ ανδ/ορ συππορτ ρεσπονσιβιλιτιεσ. Τυιτιον φορ the Introductory Callan College session is $2,350 per person. Τυιτιον ινχλυδεσ ινστρυχτιον, αλλ mατεριαλσ, βρεακφαστ ανδ λυνχη ον each day, and dinner on the irst evening with the instructors. Χυστοmιζεδ Σεσσιονσ The Callan College is equipped to customize a curriculum to meet the training and educational needs of a speciic organization. Τηεσε ταιλορεδ σεσσιονσ ρανγε φροm βασιχ το αδϖανχεδ ανδ χαν take place anywhere even at your ofice. Εδυχατιον: Βψ τηε Νυmβερσ Λεαρν mορε ατ ηττπσ://ωωω.χαλλαν.χοm/εδυχατιον/χολλεγε/ ορ χονταχτ Κατηλεεν Χυννιε: / χυννιε χαλλαν.χοm 500 Αττενδεεσ (ον αϖεραγε) οφ τηε Ινστιτυτε σ αννυαλ Νατιοναλ Χονφερενχε 50+ Υνιθυε πιεχεσ οφ ρεσεαρχη τηε Ινστιτυτε γενερατεσ εαχη ψεαρ 3,300 Total attendees of the Callan College since Ψεαρ τηε Χαλλαν Ινϖεστmεντσ Ινστιτυτε ωασ φουνδεδ We think the best way to learn something is to teach it. Εντρυστινγ χλιεντ εδυχατιον το ουρ χονσυλταντσ ανδ σπεχιαλιστσ ενσυρεσ τηατ τηεψ ηαϖε α τοταλ χοmmανδ οφ τηειρ συβϕεχτ mαττερ. Τηισ ισ ονε ρεασον ωηψ εδυχατιον ανδ ρεσεαρχη ηαϖε been cornerstones of our irm for more than 40 years. Ρον Πεψτον, Χηαιρmαν ανδ ΧΕΟ Callan Investments Institute and the Callan College