University of South Carolina Foundations

Transcription

1 COMPOSITE PERFORMANCE REVIEW Report for Periods Ending December 31, 2016 University of South Carolina Foundations Presented by: Scott B. Harsh President & CEO Stephen M. Hodson, CFA, CAIA Senior Vice President Douglas M. Harrell Vice President

2 Table of Contents Description Page Market Summary 1 Total Composite 2-13 Large Cap Equity Composite Small Cap Equity Composite International Equity Composite Fixed Income Composite Hedge Fund Composite Headquarters 201 East Fifth Street, Suite 1600 Cincinnati, Ohio Tel Fax Dallas / Detroit / Indianapolis

3 20% Fourth Quarter 2016 Market Returns Global Equity Global Fixed Income Real Assets Diversifying Strategies 18.3% 17.1% 15% 14.6% 11.9% 12.0% 11.8% 10% 7.4% 8.6% 5% 0% 3.8% 5.0% 4.5% 1.3% 5.5% 5.5% 2.6% 2.2% 1.8% 2.0% 2.2% 2.7% 1.3% 5.6% 4.5% 0.8% 0.5% 3.4% -1.3% -5% -3.0% -3.3% -10% -9.0% -15% S&P 500 Index MSCI ACWI ex-u.s. HFRI Equity Hedge Index Blmbrg Barclays U.S. Agg Index Blmbrg Barclays HY Index FTSE NAREIT All Equity Index Alerian MLP Index Blmbrg Cmdty Index HFRI Fund Wtd Comp. Index HFRI Fund of Fund Index Quarter 3.8% -1.3% 1.3% -3.0% 1.8% -3.3% 2.0% 2.7% 1.3% 0.8% 1 Yr 11.9% 4.5% 5.5% 2.6% 17.1% 8.6% 18.3% 11.8% 5.6% 0.5% 5 Yrs Annualized 14.6% 5.0% 5.5% 2.2% 7.4% 12.0% 2.2% -9.0% 4.5% 3.4% Data sources: Lipper and Hedge Fund Research 2017 Fund Evaluation Group, LLC 1a Confidential Not for Redistribution

4 Fourth Quarter 2016 Market Overview The S&P 500 Index gained 3.8% for the quarter and 11.9% for the trailing year. The Bloomberg Barclays U.S. Aggregate Bond Index fell 3.0% for the quarter, but rose 2.6% for the trailing year. International developed market equities returned 7.1% for the quarter, but fell -0.7% in U.S. dollar terms. Emerging market equity returns were -1.4% for the quarter in local terms and -4.2% in U.S. dollar terms, but up 11.2% for the past year in U.S. dollars. U.S. real estate investment trusts (REITs) fell 3.3%, while master limited partnerships (MLPs) rose 2.0%, and commodity futures gained 2.7% for the quarter. Stocks vs. Bonds U.S., International, and Emerging Market Equities 20% 10% 0% 3.8% S&P 500 Index Bloomberg Barclays U.S. Aggregate Bond Index 14.6% 11.9% 8.9% 6.9% 4.3% 2.6% 3.0% 2.2% 20% 15% 10% 5% 0% 4.2% 12.7% 1.0% 11.2% 8.4% 14.7% 6.5% 1.3% Russell 3000 Index MSCI EAFE Index MSCI EMF Index 7.1% 1.8% 0.7% -3.0% -5% -0.7% -4.2% -1.6% -2.6% -10% Qtr 1 Yr 3 Yr 5 Yr 10 Yr -10% Qtr 1 Yr 3 Yr 5 Yr 10 Yr Data Sources: Standard & Poor s and Barclays Data Sources: MSCI Barra and Russell 2017 Fund Evaluation Group, LLC 1b Confidential Not for Redistribution

5 Fourth Quarter 2016 Global Equity, U.S. Large Cap, Mid Cap, & Small Cap Russell 1000 Index Russell Mid Cap Index Russell 2000 Index 21.3% 20% 14.7% 14.7% 14.5% 13.8% 12.1% 10% 8.8% 8.6% 7.9% 7.9% 6.7% 7.1% 7.1% 3.8% 3.2% 0% Qtr 1 Yr 3 Yr 5 Yr 10 Yr Data Source: Russell Russell 3000 Index Quarterly Returns U.S. equities, represented by the Russell 3000 Index, posted a positive return (+4.2%) during the quarter. The market demonstrated mean reversion, as formerly out of favor areas rallied against prior market leaders. As measured by the Russell Indices, small cap stocks (+8.8%) continued their outperformance in the fourth quarter. Large cap stocks (+3.8%) and mid cap stocks (+ 3.2%) trailed. Value stocks (+7.2%) outperformed growth stocks (+1.2%), as measured by the Russell 3000 Style Indices. Value stocks benefitted from shifting sentiment around potential changes in fiscal and monetary policy. The financials sector (+20.7%) outperformed other U.S. sectors amid rising interest rates and the potential for a more accommodating regulatory environment. Industrials and energy also performed well with prospects of favorable policy changes. The health care (-4.3%) and real estate sectors (-3.0%) trailed as concerns over political rhetoric and interest rate increases drove negative sentiment. Russell 3000 Style Indices Returns FINANCIALS 20.7% Growth Value INDUSTRIALS ENERGY 8.2% 7.4% 20% 18.4% MATERIALS TELECOMMUNICATION SERVICES 5.6% 5.3% 14.8% 14.4% Russell % CONSUMER DISCRETIONARY INFORMATION TECHNOLOGY UTILITIES 1.2% 0.8% 3.0% 10% 7.2% 7.4% 8.3% 8.6% 8.3% 5.8% CONSUMER STAPLES -1.6% REAL ESTATE -3.0% HEALTH CARE -4.3% -10% -5% 0% 5% 10% 15% 20% 25% Data Source: Russell 1.2% 0% Qtr 1 Yr 3 Yr 5 Yr 10 Yr Data Source: Russell 2017 Fund Evaluation Group, LLC 1c Confidential Not for Redistribution

6 Fourth Quarter 2016 Global Equity, Non-U.S. MSCI EAFE Style Indices Returns Growth Value 10% 6.7% 6.3% 5.0% 4.2% 1.6% 0% -0.2% -1.2% -2.1% -3.0% -5.5% -10% Qtr 1 Yr 3 Yr 5 Yr 10 Yr Data Source: MSCI Barra The MSCI EAFE Index advanced 7.1% in local currencies but fell 0.7% when measured in U.S. dollars. For the trailing one-year period, the index gained 5.3% in local currencies and 1.0% in U.S. dollars. The U.S. dollar appreciated against developed market currencies for the quarter, including the Japanese yen (+15.3%), euro (+6.4%) and the British pound (+4.9%). Japanese markets (+15.0%) outperformed their counterparts in Europe (+5.9%) and the U.K. (+4.2%) in local terms due in part to better than expected economic data and the expected benefits for Japanese exporters from a weak local currency. The MSCI Emerging Markets Index fell 1.4% in local currencies and 4.2% in U.S. dollars. For the trailing one-year period, emerging market equities were up 9.7% (+11.2% in U.S. dollars). In the quarter, the U.S. dollar appreciated against the South Korean won (+9.6%) and the Chinese yuan (+4.1%). Emerging Europe (+12.8%) was the best performing region due primarily to Russia (+15.6%), Hungary (+16.3%), and Greece (+22.9%) bringing EMEA s return to 3.7%. Frontier markets returned 2.0% in local currencies (+0.5% in U.S. dollars). Over the trailing one year, returns were 8.4% in local currencies (2.7% U.S. dollars). MSCI EAFE Regional Quarterly Returns MSCI Emerging Markets Regional Quarterly Returns Quarter (local) Quarter ($) Quarter (local) Quarter ($) Europe (ex-uk) -0.2% 5.9% Latin America -0.9% 1.2% United Kingdom Japan -0.9% -0.2% 4.2% 15.0% Asia -6.1% -3.1% Pacific (ex-japan) -2.7% 1.2% Europe, Middle East and Africa 1.8% 3.7% -5% 0% 5% 10% 15% 20% -8% -6% -4% -2% 0% 2% 4% 6% Data Source: MSCI Barra Data Source: MSCI Barra 2017 Fund Evaluation Group, LLC 1d Confidential Not for Redistribution

7 Fourth Quarter 2016 Global Equity, Private Global Private Equity - Median Venture Capital & Buyout Vintage Year Internal Rate of Return As of September 30, 2016 Venture Capital Buyout Data Source:Thomson Reuters 22% 20% 18% 17% 17% 16% 15% 14% 14% 13% 13% 12% 12% 12% 10% 11% 10% 10% 10% 10% 10% 9% 8% 8% 8% 8% 6% 5% 4% 4% 3% 2% 2% 0% Data Source: Thomson One Vintage Year Net IRR Global Private Equity - Venture Capital & Buyout Fundraising Activity As of December 31, 2016 Commitments (billions) $250 $200 $150 $100 $50 $ Data Source: Preqin Venture Capital Vintage Year Buyout 209 The most recent private equity return information available is through September 30, 2016, unless otherwise noted. Median private equity returns for both venture capital and buyout funds were positive since Recent vintage venture funds performed well due to strong exit activity for venture backed companies. Fundraising for both venture capital and buyout funds exceeded last year s level was the most active fundraising year following the global financial crisis. Initial public offering (IPO) exit activity slowed, reflecting stress in the public markets. Last year was the worst year for private equity-backed companies to go public since If the weaker IPO market continues, then performance could weaken across private equity strategies. Global Private Equity - Venture Capital & Buyout IPO Exit Activity As of December 31, 2016 Number of IPOs Data Source: Preqin Venture Capital Exit Year Buyout Fund Evaluation Group, LLC 1e Confidential Not for Redistribution

8 Fourth Quarter 2016 Global Fixed Income Bloomberg Barclays U.S. Fixed Income Index Returns 3% The Bloomberg Barclays U.S. Aggregate Bond Index decreased (-3.0%) in the fourth quarter, with the largest losses within Treasuries and municipal bonds. Agency mortgage-backed securities declined 2.0%. 2% 1% 1.8% U.S. investment-grade credit decreased 3.0%. Within credit, utilities performed the worst, returning -4.2%. Industrials returned -3.1% and financials returned -1.9%. 0% -1% -2% -2.0% -3% -2.4% -3.0% -4% -3.7% -3.6% Aggregate TIPS Treasuries Municipal Mortgage- Backed Data Source: Barclays -3.0% Credit High Yield Nominal Treasury rates and real Treasury rates increased, as the 10-year U.S. Treasury note yield increased 85 bps to 2.4% and the 10-year U.S. TIPS yield increased 49 bps. Treasuries returned -3.7% and the Barclays TIPS Index posted a decline of 2.4%. Yields on high yield bonds fell 10 bps to 6.5% and option-adjusted spreads tightened 75 bps to 422 bps, leading to a gain of 1.8%. Emerging market sovereign debt (EMD) posted negative returns. Local currency EMD returned -11.0% for the quarter and dollar-denominated emerging market bonds returned -5.3%. U.S. Treasury Yield Curve Broad Fixed Income Bloomberg Barclays U.S. Aggregate 12/31/2015 9/30/ /31/2016 JPM Non-U.S. (Unhedged) 4% 20% 17.1% Bloomberg Barclays U.S. Corporate High Yield JPM Emerging Markets Bond Index+ 15% 3% 2% 1% 0% 1 Mth 5 Yr 10 Yr 30 Yr Data Source: Bloomberg LP 10% 9.6% 7.4% 5% 5.8% 4.7% 5.1% 2.6% 3.0% 1.8% 1.9% 2.2% 0% -5% -3.0% -1.9% -2.0% -5.3% -10% -11.0% -15% Qtr 1 Yr 3 Yr 5 Yr Data Sources: Barclays and JP Morgan 2017 Fund Evaluation Group, LLC 1f Confidential Not for Redistribution

9 Fourth Quarter 2016 Real Assets Public Real Assets - Real Estate, Commodities, and MLPs FTSE NAREIT All Equity Index FTSE EPRA/NAREIT Developed Property ex-u.s. Index Bloomberg Commodity Index Alerian MLP Index 20% 18.3% 11.8% 12.7% 12.0% 10% 8.6% 7.9% 2.7% 2.0% 1.3% 2.2% 0.1% 0% -3.3% -5.8% -10% -7.8% -9.0% -11.3% -20% Qtr 1Yr 3Yr 5Yr Data Sources: NAREIT, Standard & Poor s, and Citigroup U.S. Real Estate Investment Trusts (REITs) fell 3.3% in the fourth quarter but gained 8.6% over the trailing 12-months. The lodging/resorts sector (+20.4%) significantly outperformed all other sectors, followed by more subdued returns in apartments (+1.7%). International real estate securities fell 7.8% for the quarter but rose 1.3% over the past year (both in U.S. dollars). Private real estate returns (one-quarter lag), gained 1.8% in the third quarter, as measured by the NCREIF Property Index, and were positive across all major sectors. Commodity futures gained 2.7% during the quarter and rose 11.8% over the last year. During the quarter, the livestock sector rose 20.8%, while energy gained 10.6% based primarily on strength in natural gas futures. MLPs gained 2.0%, with a one-year return of 18.3%. MLPs were positively impacted by the stabilization in energy prices that followed OPEC s production-cut announcement in late November. FTSE NAREIT All Equity Index Sector Returns Lodging/Resorts 20.4% NCREIF National Property Index Sector Returns Third Quarter 2016 Apartments 1.7% Industrial 2.9% Office 0.6% Self-Storage 0.2% Retail 2.0% Industrial -0.3% Diversified -2.1% Apartment 1.7% Manufactured Homes -3.2% Index -3.3% Hotel 1.4% Timber -3.5% Retail -10.7% Health Care -10.8% -15% -10% -5% 0% 5% 10% 15% 20% 25% Data Source: NAREIT Office 1.3% % 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% Data Source: NCREIF 2017 Fund Evaluation Group, LLC 1g Confidential Not for Redistribution

10 Fourth Quarter 2016 Diversifying Strategies, Hedge Funds Major HFRI Indices Performance Returns in U.S. dollars 6% 5% 4% 3% 2% 1% Secondary HFRI Indices Performance Returns in U.S. dollars 12% 10% 8% 6% 4% 2% HFRI Fund Weighted Composite Index HFRI Event-Driven (Total) Index HFRI Relative Value (Total) Index 3.2% 1.3% 0.8% 2.0% 1.3% 10.2% 1.5% 7.8% 5.5% HFRI Macro (Total) Index HFRI Equity Hedge (Total) Index 2.4% 1.9% 3.8% 2.1% 5.7% 1.0% 0% -0.2% -2% QTD 1 Yr 3 Yr 5 Yr Data Source: HedgeFund Research Data Source: HedgeFund Research 5.6% 0.5% HFRI Fund of Funds Composite Index 2.4% 1.2% 4.5% 0% QTD 1 Yr 3 Yr 5 Yr HedgeFund Research Data Source: HedgeFund Research 3.4% 5.8% 5.5% The HFRI Fund Weighted Composite Index and the HFRI Fund of Funds Composite Index gained 1.3% and 0.8%, respectively. Hedge fund returns were generally positive across strategies. Event driven strategies tended to generate strong returns while systematic macro and emerging markets strategies were among the laggards. Long/short equity manager returns were positive, slightly outperforming global benchmarks, but trailing U.S. equity markets. The HFRI Equity Hedge (Total) Index returned 1.3%, compared to the 3.8% and 1.2% returns of the S&P 500 Index and the MSCI ACWI Index, respectively. The HFRI EH Equity Market Neutral Index and the HFRI EH Short Bias Index returned 0.9% and -2.2%, respectively. Regionally-focused hedged equity managers generated disparate performance. The HFRI Emerging Markets (Total) Index returned -0.9%. Outliers included the HFRI Emerging Markets: Russia/Eastern Europe Index (+4.8%), the HFRI Emerging Markets: India Index (-7.1%), and the HFRI Emerging Markets: Asia ex-japan Index (-4.0%). The HFRI Event Driven (Total) Index returned 3.2%. Each event driven sub-index generated positive performance. Strategies focused on risk assets that tend to exhibit a higher level of equity beta tended to outperform peers. The HFRI ED: Activist Index and the HFRI ED: Distressed/Restructuring Index returned 5.2% and 4.0%, respectively. The HFRI Relative Value (Total) Index was up 2.0%. Performance amongst sub-indices was positive, with returns ranging from 1% - 3%, aside from the HFRI RV: Fixed Income-Sovereign Index (-0.2%). The HFRI Macro (Total) Index returned -0.2%. Systematic managers continued to struggle due to choppy markets and trend reversals. The HFRI Macro: Systematic Diversified Index returned -2.1%. Conversely, the HFRI Macro: Discretionary Thematic Index returned 2.0%, mainly driven by the Federal Reserve s rate hike and hawkish commentary following its December meeting Fund Evaluation Group, LLC 1h Confidential Not for Redistribution

11 Composite Performance Review Report for Periods Ending December 31, 2016 Annualized Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr Total Composite 1.6% 6.2% 8.2% 4.4% 10.1% 8.7% 4.9% 6.0% Broad Policy Index Target Weighted Index CPI + 6% /01 Footnotes: 1 Broad Policy Index is currently comprised of: 51.2% Russell 3000 Index, 20.2% MSCI AC World Index ex-u.s., and 28.6% Bloomberg Barclays US Aggregate Index. Please see Appendix for benchmark history. 2 Target Weighted Index is currently comprised of: 36.0% Russell 1000 Index, 10.2% Russell 2000 Index, 15.2% MSCI EAFE Index, 5.0% MSCI Emerging Markets Index, 13.6% Bloomberg Barclays US Aggregate Index, 5.0% CPI + 3% Index, and 15.0% DJ/CS HFI Multi-Strategy. Please see Appendix for benchmark history. $ Portfolio Value Over Time (In Millions) $ Dollars (in Millions) $ $ $ $ /01 12/01 12/02 12/03 12/04 12/05 12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13 12/14 12/15 12/16 Total Composite Broad Policy Index Target Weighted Index CPI + 6% Ending Value $ $ $ $ Fund Evaluation Group, LLC 2

12 Summary of Investment Performance Report for Periods Ending December 31, 2016 Annualized Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr Date Market Value Total Composite 1.6% 6.2% 8.2% 4.4% 10.1% 8.7% 4.9% 6.0% 5/01 $460,603,225 Broad Policy Index Target Weighted Index CPI + 6% Large Cap Equity Composite /01 184,009,045 S&P 500 Index ishares S&P 500 Index /08 67,386,088 S&P 500 Index Harbor Capital Appreciation /12 30,752,404 Russell 1000 Growth Index S&P 500 Index Montag & Caldwell Large Cap Growth /12 20,559 Russell 1000 Growth Index S&P 500 Index Becker Capital Management /09 41,275,242 Russell 1000 Value Index S&P 500 Index WEDGE Capital Management /09 44,574,752 Russell 1000 Value Index S&P 500 Index Small Cap Equity Composite /01 41,941,076 Russell 2000 Index Westfield Capital Management /01 16,500,254 Russell 2000 Growth Index Russell 2000 Index Vulcan Small Cap Value /15 13,186,604 Russell 2000 Value Index Russell 2000 Index NewSouth Capital Management /14 12,254,218 Russell 2000 Value Index Russell 2000 Index Fund Evaluation Group, LLC 3

13 Summary of Investment Performance Report for Periods Ending December 31, 2016 Annualized Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr Date Market Value International Equity Composite -3.2% 4.2% 4.0% -1.9% 6.1% 3.5% 1.6% 4.9% 5/01 $87,290,519 MSCI AC World Index ex-u.s Artisan International /01 17,349,449 MSCI EAFE Growth Index MSCI EAFE Index EuroPacific Growth /01 18,831,697 MSCI AC World Index ex-us MSCI EAFE Index Dodge & Cox International /07 25,210,415 MSCI EAFE Value Index MSCI EAFE Index DFA Emerging Markets Value /11 13,074,421 MSCI Emerging Markets Value Index Harding Loevner Emerging Markets /12 12,824,537 MSCI Emerging Markets Index Fixed Income Composite /01 56,422,997 Bloomberg Barclays US Aggregate Index Loomis Sayles /01 16,389,271 Bloomberg Barclays US Aggregate Index DoubleLine Total Return Bond /14 24,293,842 Bloomberg Barclays US Aggregate Index JPMorgan Core Bond /14 15,739,884 Bloomberg Barclays US Aggregate Index Fund Evaluation Group, LLC 4

14 Summary of Investment Performance Report for Periods Ending December 31, 2016 Annualized Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr Date Market Value Hedge Fund Composite 4.2% 5.5% 5.0% 1.9% 5.3% 5.5% 3.7% 4.9% 6/04 $47,978,286 Bloomberg Barclays US Aggregate Index HFRI Fund of Funds HBK Fund, L.P /07 11,905,782 HFRI Relative Value Index Bloomberg Barclays US Aggregate Index Och Ziff Master Fund, Ltd /07 14,407,864 DJ/CS HFI Multi-Strategy Bloomberg Barclays US Aggregate Index Claren Road Credit Fund /14 671,503 HFRI RV: Fixed Income Corporate Bloomberg Barclays US Aggregate Index Fir Tree International Value Fund, L.P /14 7,415,900 HFRI Fund Weighted Composite Index Bloomberg Barclays US Aggregate Index MKP Opportunity Offshore /14 6,086,579 HFRI Macro Index Bloomberg Barclays US Aggregate Index Graham Capital Proprietary Matrix /14 7,490,658 HFRI Global Macro Index Bloomberg Barclays US Aggregate Index Rainwater Composite /16 31,896,861 U.S. 91-Day Treasury Bills Morgan Stanley - Rainwater Cash /16 4,667 U.S. 91-Day Treasury Bills Morgan Stanley - Rainwater T-Bills /16 31,892,194 U.S. 91-Day Treasury Bills Fund Evaluation Group, LLC 5

15 Summary of Investment Performance Report for Periods Ending December 31, 2016 Footnotes: * Performance returns are net of investment management fees. * Calculated returns may differ from the manager's due to differences in security pricing and/or cash flows. * Manager and index data represent the most current available at the time of report publication. * Hedge fund and private capital manager market values and rates of return may be based on estimates and may be revised until completion of an annual audit by the manager. * For managers and indices that report returns on a lag, % is utilized for the most recent time period until the actual return data are reported. * The fiscal year ends in June. 1 Broad Policy Index is currently comprised of: 51.2% Russell 3000 Index, 20.2% MSCI AC World Index ex-u.s., and 28.6% Bloomberg Barclays US Aggregate Index. Please see Appendix for benchmark history. 2 Target Weighted Index is currently comprised of: 36.0% Russell 1000 Index, 10.2% Russell 2000 Index, 15.2% MSCI EAFE Index, 5.0% MSCI Emerging Markets Index, 13.6% Bloomberg Barclays US Aggregate Index, 5.0% CPI + 3% Index, and 15.0% DJ/CS HFI Multi-Strategy. Please see Appendix for benchmark history Fund Evaluation Group, LLC 6

16 Schedule of Asset and Style Allocation Current Target Target Asset Class Weight Weight Range Large Cap Equity 39.9% 36.0% 26.0% % Small Cap Equity 9.1% 10.2% 5.2% % International Equity 13.3% 15.2% 10.2% % Emerging Markets 5.6% 5.0% % - 1% Fixed Income 12.2% 13.6% 3.6% % Hedge Fund 10.4% 15.0% 1% - 2% Private Natural Resources 1.7% 5.0% % - 1% FOF - Private Equity 0.7% % % - 1% Cash 6.9% % Total 10% 10% 2017 Fund Evaluation Group, LLC 7

17 Schedule of Asset and Style Allocation Portfolio Portfolio Market Current Asset Class - Style Manager Invested Cash Value Weight Large Cap Equity - Broad ishares S&P 500 Index 10% % $67,386, % Large Cap Equity - Growth Harbor Capital Appreciation 10% % $30,752, % Large Cap Equity - Growth Montag & Caldwell Large Cap Growth 91.9% 8.1% $20,559 % Large Cap Equity - Value Becker Capital Management 97.7% 2.3% $41,275, % Large Cap Equity - Value WEDGE Capital Management 95.9% 4.1% $44,574, % Small Cap Equity - Growth Westfield Capital Management 96.6% 3.4% $16,500, % Small Cap Equity - Value NewSouth Capital Management 94.5% 5.5% $12,254, % Small Cap Equity - Value Vulcan Small Cap Value 10% % $13,186, % International Equity - Growth Artisan International 10% % $17,349, % International Equity - Value Dodge & Cox International 10% % $25,210, % International Equity - Value EuroPacific Growth 10% % $18,831, % Emerging Markets - Core Harding Loevner Emerging Markets 10% % $12,824, % Emerging Markets - Value DFA Emerging Markets Value 10% % $13,074, % Fixed Income - Core JPMorgan Core Bond 10% % $15,739, % Fixed Income - Core Plus DoubleLine Total Return Bond 10% % $24,293, % Fixed Income - Core Plus Loomis Sayles 10% % $16,389, % Hedge Fund - Absolute Return Fir Tree International Value Fund, L.P. 10% % $7,415, % Hedge Fund - Diversified Claren Road Credit Fund 10% % $671, % Hedge Fund - Managed Futures Graham Capital Proprietary Matrix 10% % $7,490, % Hedge Fund - Managed Futures MKP Opportunity Offshore 10% % $6,086, % Hedge Fund - Multi-Strategy Och Ziff Master Fund, Ltd. 10% % $14,407, % Hedge Fund - Relative Value HBK Fund, L.P. 10% % $11,905, % Private Natural Resources - Energy Kayne Anderson Energy Fund VI 10% % $4,378, % Private Natural Resources - Energy Natural Gas Partners XI, L.P. 10% % $1,981, % Private Natural Resources - Energy VIA Energy III 10% % $1,480, % FOF - Private Equity - Distressed Siguler Guff Distressed Opport. III 10% % $3,223, % Cash - Cash Morgan Stanley - Rainwater Cash % 10% $4,667 % Cash - Cash Morgan Stanley - Rainwater T-Bills % 10% $31,892, % Total $460,603,226 10% 2017 Fund Evaluation Group, LLC 8

18 Summary of Illiquid Investments Report for Periods Ending December 31, 2016 Committed Capital Called Capital % Called Distributed Capital Fair Market Value Multiple of Called Capital Fair MV as a % of Total Fund Target MV as a % of Total Fund Private Equity $10,000,001 $9,624,495 96% $11,018,721 $3,223, % % Private Natural Resources 12,000,000 7,160, ,515 7,840, Total Illiquid Investments $22,000,001 $16,784,784 76% $11,420,236 $11,064, % % * Fair Market Value estimate based on the most recent valuation, adjusted for capital calls and distributions after the valuation date Fund Evaluation Group, LLC 9

19 Summary of Private Equity Report for Periods Ending December 31, 2016 Committed Called Distributed Fair Multiple of Capital Capital % Called Capital Market Value Called Capital IRR * Vintage Year Private Equity Siguler Guff Distressed Opport. III $10,000,001 $9,624,495 96% $11,018,721 $3,223, %2007, 2008, 2009, 2010, 2011 Private Equity $10,000,001 $9,624,495 96% $11,018,721 $3,223, % * Fair Market Value estimate based on the most recent valuation, adjusted for capital calls and distributions after the valuation date. * Investment IRR is calculated through previous quarter-end and will not be calculated for the first two years Fund Evaluation Group, LLC 10

20 Summary of Private Natural Resources Report for Periods Ending December 31, 2016 Committed Called Distributed Fair Multiple of Capital Capital % Called Capital Market Value Called Capital IRR * Vintage Year Private Natural Resources Kayne Anderson Energy Fund VI $4,000,000 $3,502,907 88% $237,195 $4,378, % 2012 VIA Energy III 4,000,000 1,600, ,480, Natural Gas Partners XI, L.P. 4,000,000 2,057, ,320 1,981, Private Natural Resources $12,000,000 $7,160,289 60% $401,515 $7,840, % * Fair Market Value estimate based on the most recent valuation, adjusted for capital calls and distributions after the valuation date. * Investment IRR is calculated through previous quarter-end and will not be calculated for the first two years Fund Evaluation Group, LLC 11

21 Investment Metrics Report for Periods Ending December 31, 2016 Performance Objectives Result Objective Achieved Measurement Period: Moving 5 Year Return > Benchmark Return over benchmark = 0.2% Yes Beta < 1.20 Beta = 1.03 Yes Alpha > % Alpha = -0.1% No Peer Group Rank > 50th Percentile Ranks in Top 33rd Percentile Yes Statistical Measures Sharpe Ratio Standard Deviation Tracking Error Information Ratio Total Composite % 1.4% 0.1 Broad Policy Index Target Weighted Index Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 413,354 $ 395,470 Net Contributions/(Distributions) $ 40,596 $ 40,704 Market Appreciation/(Depreciation) $ 6,653 $ 24,429 Ending Market Value $ 460,603 $ 460,603 * Risk Statistics are based on monthly data. * Broad Policy Index is currently comprised of: 51.2% Russell 3000 Index, 20.2% MSCI AC World Index ex-u.s., and 28.6% Bloomberg Barclays US Aggregate Index. Please see Appendix for benchmark history. * Target Weighted Index is currently comprised of: 36.0% Russell 1000 Index, 10.2% Russell 2000 Index, 15.2% MSCI EAFE Index, 5.0% MSCI Emerging Markets Index, 13.6% Bloomberg Barclays US Aggregate Index, 5.0% CPI + 3% Index, and 15.0% DJ/CS HFI Multi-Strategy. Please see Appendix for benchmark history Fund Evaluation Group, LLC 12

22 Total Composite Blended Universe For Report Periods Ending December 31, % 15% - Total Composite - Broad Policy Index - Target Weighted Index - CPI + 6% % Return 11% 7% 3% 5th 25th 50th 75th 95th Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr 5/ % 11.7 % 15.2 % 7.1 % 11.8 % 10.8 % 7.2 % 7.5% % 1.6% 6.2% 8.2% 4.4% 10.1% 8.7% 4.9% 6.0% -5% Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr 5/ % 16% 12% Report From December 31, 2001 to December 31, Year Rolling Periods Blended Universe 46.0% Broad Large Cap 10.2% Broad Small Cap 15.2% International Equity 28.6% Core Fixed Income % Return 8% 4% 0% -4% 12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13 12/14 12/15 12/ Fund Evaluation Group, LLC 13

23 ishares S&P 500 Index Summary of Performance and Statistics Report For Periods Ending December 31, 2016 Performance Results Qtr FYTD 1Yr 3Yr 5Yr 7Yr Date ishares S&P 500 Index 3.8% 7.8% 11.9% 8.8% 14.6% 12.8% 14.4% 12/08 S&P 500 Index Risk Statistics (5 years) Beta Alpha R² Standard Deviation Tracking Error Information Ratio ishares S&P 500 Index % % % -2.7 S&P 500 Index Portfolio Statistics Trailing P/E Trailing P/B Wtd Avg Mkt Cap Current Yield Equity Annual Turnover ishares S&P 500 Index ,031.6M 2.1% % S&P 500 Index , Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 51,870 $ 50,609 Net Contributions/(Distributions) $ 13,097 $ 12,411 Market Appreciation/(Depreciation) $ 2,419 $ 4,366 Ending Market Value $ 67,386 $ 67,386 * Risk Statistics are based on monthly data. * Manager data represents the most current available at the time of report publication Fund Evaluation Group, LLC 14

24 ishares S&P 500 Index Equity Sector Report For Periods Ending December 31, 2016 Sector Allocation Financials Energy Industrials Telecommunication Services Materials Consumer Discretionary Information Technology Utilities Consumer Staples Healthcare Sector Weightings Market Total Returns Primary Sector Manager Benchmark 3 Months 12 Months Financials 15% 15% 21.1% 22.8% Energy Industrials Telecommunication Services Materials Consumer Discretionary Information Technology Utilities Consumer Staples Healthcare Real Estate Other Real Estate Top Five Holdings Weighting Other 0% 5% 10% 15% 20% 25% Manager Primary Benchmark APPLE INC 3.2% MICROSOFT CORP 2.5 EXXON MOBIL CORP 1.9 JOHNSON & JOHNSON 1.6 BERKSHIRE HATHAWAY INC CLASS B 1.6 Number of Holdings: 505 * Sector weightings may not add up to 100% due to rounding. * Manager data represents the most current available at the time of report publication. * Effective 9/1/16 Real Estate was moved out from the Financials sector and was promoted to a standalone sector by the Global Industry Classification Standard (GICS). Performance will start being displayed when a long enough track record is available from the index provider Fund Evaluation Group, LLC 15

25 ishares S&P 500 Index Broad Large Cap Universe For Report Periods Ending December 31, % 15% - ishares S&P 500 Index - S&P 500 Index % Return 11% 7% 3% 5th 25th 50th 75th 95th Qtr FYTD 1Yr 3Yr 5Yr 7Yr 12/ % 15.5 % 18.6 % 9.4 % 15.8 % 13.4 % 16.6% % 3.8% 7.8% 11.9% 8.8% 14.6% 12.8% 14.4% -5% Qtr FYTD 1Yr 3Yr 5Yr 7Yr 12/ % Report From December 31, 2008 to December 31, Year Rolling Periods 21% 18% % Return 15% 12% 9% 6% 12/13 3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/ Fund Evaluation Group, LLC 16

26 Harbor Capital Appreciation Summary of Performance and Statistics Report For Periods Ending December 31, 2016 Performance Results Qtr FYTD 1Yr 3Yr Date Harbor Capital Appreciation -1.9% 6.1% -1.1% 6.5% 13.5% 12/12 Russell 1000 Growth Index S&P 500 Index Risk Statistics ( 12/12) Beta Alpha R² Standard Deviation Tracking Error Information Ratio Harbor Capital Appreciation % % 4.7% -0.2 Russell 1000 Growth Index S&P 500 Index Portfolio Statistics Trailing P/E Trailing P/B Wtd Avg Mkt Cap Current Yield Equity Annual Turnover Harbor Capital Appreciation ,025.7M 0.1% 1% Russell 1000 Growth Index , S&P 500 Index , Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 31,360 $ 28,993 Net Contributions/(Distributions) $ 0 $ 0 Market Appreciation/(Depreciation) $ (608) $ 1,759 Ending Market Value $ 30,752 $ 30,752 * Risk Statistics are based on monthly data. * Manager data represents the most current available at the time of report publication Fund Evaluation Group, LLC 17

27 Harbor Capital Appreciation Equity Sector Report For Periods Ending December 31, 2016 Sector Allocation Industrials Financials Telecommunication Services Utilities Materials Consumer Discretionary Information Technology Consumer Staples Energy Healthcare Sector Weightings Market Total Returns Primary Sector Manager Benchmark 3 Months 12 Months Industrials 4% 11% 6.9% 15.8% Financials Telecommunication Services Utilities Materials Consumer Discretionary Information Technology Consumer Staples Energy Healthcare Real Estate Other Real Estate Top Five Holdings Weighting Other 0% 10% 20% 30% 40% 50% Manager Primary Benchmark Amazon.com, Inc. 5.7% Apple, Inc. 4.8 Facebook, Inc. Class A 4.0 Microsoft Corporation 3.6 VISA, Inc. 3.3 Number of Holdings: 56 * Sector weightings may not add up to 100% due to rounding. * Manager data represents the most current available at the time of report publication. * Effective 9/1/16 Real Estate was moved out from the Financials sector and was promoted to a standalone sector by the Global Industry Classification Standard (GICS). Performance will start being displayed when a long enough track record is available from the index provider Fund Evaluation Group, LLC 18

28 Harbor Capital Appreciation Large Cap Growth Universe For Report Periods Ending December 31, % 12% 8% - Harbor Capital Appreciation - Russell 1000 Growth Index - S&P 500 Index % Return 4% 0% 5th 25th 50th Qtr FYTD 1Yr 3Yr 12/ % 1 % 9.9 % 9.3 % 14.8% th % 95th % Qtr FYTD 1Yr 3Yr 12/12-1.9% % % % % % Report From December 31, 2012 to December 31, Year Rolling Periods 17% 14% % Return 11% 8% 5% 2% 12/15 3/16 6/16 9/16 12/ Fund Evaluation Group, LLC 19

29 Montag & Caldwell Large Cap Growth Summary of Performance and Statistics Report For Periods Ending December 31, 2016 Performance Results Qtr FYTD 1Yr 3Yr Date Montag & Caldwell Large Cap Growth -2.1% -1.0% -1.8% 3.8% 9.3% 12/12 Russell 1000 Growth Index S&P 500 Index Risk Statistics ( 12/12) Beta Alpha R² Standard Deviation Tracking Error Information Ratio Montag & Caldwell Large Cap Growth % % 4.2% -1.2 Russell 1000 Growth Index S&P 500 Index Portfolio Statistics Trailing P/E Trailing P/B Wtd Avg Mkt Cap Current Yield Equity Annual Turnover Montag & Caldwell Large Cap Growth ,271.0M 1.3% 57.0% Russell 1000 Growth Index , S&P 500 Index , Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 27,067 $ 26,767 Net Contributions/(Distributions) $ (26,481) $ (26,481) Market Appreciation/(Depreciation) $ (565) $ (265) Ending Market Value $ 21 $ 21 * Risk Statistics are based on monthly data. * Manager data represents the most current available at the time of report publication Fund Evaluation Group, LLC 20

30 Montag & Caldwell Large Cap Growth Equity Sector Report For Periods Ending December 31, 2016 Sector Allocation Industrials Financials Telecommunication Services Utilities Materials Consumer Discretionary Information Technology Consumer Staples Energy Healthcare Sector Weightings Market Total Returns Primary Sector Manager Benchmark 3 Months 12 Months Industrials 6% 11% 6.9% 15.8% Financials Telecommunication Services Utilities Materials Consumer Discretionary Information Technology Consumer Staples Energy Healthcare Real Estate Other Real Estate Top Five Holdings Weighting Other 0% 5% 10% 15% 20% 25% 30% 35% Manager Primary Benchmark Alphabet Inc Cl A 4.4% Visa Inc-Class A Shares 4.3 Facebook Inc 4.2 Apple Inc 4.1 Kraft Heinz Co 4.0 Number of Holdings: 30 * Sector weightings may not add up to 100% due to rounding. * Manager data represents the most current available at the time of report publication. * Effective 9/1/16 Real Estate was moved out from the Financials sector and was promoted to a standalone sector by the Global Industry Classification Standard (GICS). Performance will start being displayed when a long enough track record is available from the index provider Fund Evaluation Group, LLC 21

31 Montag & Caldwell Large Cap Growth Large Cap Growth Universe For Report Periods Ending December 31, % 12% 8% - Montag & Caldwell Large Cap Growth - Russell 1000 Growth Index - S&P 500 Index % Return 4% 0% 5th 25th 50th Qtr FYTD 1Yr 3Yr 12/ % 1 % 9.9 % 9.3 % 14.8% th % 95th % Qtr FYTD 1Yr 3Yr 12/12-2.1% % % % % % Report From December 31, 2012 to December 31, Year Rolling Periods 17% 14% % Return 11% 8% 5% 2% 12/15 3/16 6/16 9/16 12/ Fund Evaluation Group, LLC 22

32 Becker Capital Management Summary of Performance and Statistics Report For Periods Ending December 31, 2016 Performance Results Qtr FYTD 1Yr 3Yr 5Yr 7Yr Date Becker Capital Management 7.0% 12.2% 18.8% 7.1% 14.5% 11.9% 16.5% 2/09 Russell 1000 Value Index S&P 500 Index Risk Statistics (5 years) Beta Alpha R² Standard Deviation Tracking Error Information Ratio Becker Capital Management % % 7.2% Russell 1000 Value Index S&P 500 Index Portfolio Statistics Trailing P/E Trailing P/B Wtd Avg Mkt Cap Current Yield Equity Annual Turnover Becker Capital Management M 2.2% 4% Russell 1000 Value Index , S&P 500 Index , Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 38,579 $ 36,791 Net Contributions/(Distributions) $ 0 $ 0 Market Appreciation/(Depreciation) $ 2,696 $ 4,484 Ending Market Value $ 41,275 $ 41,275 * Risk Statistics are based on monthly data. * Manager data represents the most current available at the time of report publication Fund Evaluation Group, LLC 23

33 Becker Capital Management Equity Sector Report For Periods Ending December 31, 2016 Sector Allocation Financials Industrials Materials Energy Telecommunication Services Consumer Discretionary Information Technology Utilities Consumer Staples Real Estate Sector Weightings Market Total Returns Primary Sector Manager Benchmark 3 Months 12 Months Financials 20% 27% 22.0% 24.0% Industrials Materials Energy Telecommunication Services Consumer Discretionary Information Technology Utilities Consumer Staples Real Estate Healthcare Other Healthcare Top Five Holdings Weighting Other 0% 5% 10% 15% 20% 25% 30% Manager Primary Benchmark JP MORGAN CHASE & CO 3.7% AT&T INC 2.9 TIME WARNER INC 2.6 WELLS FARGO & CO NEW COM 2.5 PNC BK CORP COM 2.4 Number of Holdings: 60 * Sector weightings may not add up to 100% due to rounding. * Manager data represents the most current available at the time of report publication. * Effective 9/1/16 Real Estate was moved out from the Financials sector and was promoted to a standalone sector by the Global Industry Classification Standard (GICS). Performance will start being displayed when a long enough track record is available from the index provider Fund Evaluation Group, LLC 24

34 Becker Capital Management Large Cap Value Universe For Report Periods Ending December 31, % 22% 18% - Becker Capital Management - Russell 1000 Value Index - S&P 500 Index % Return 14% 10% 5th 25th 50th Qtr FYTD 1Yr 3Yr 5Yr 7Yr 2/ % 18.1 % 21.9 % 9.5 % 15.5 % 13.2 % 18.9% th % 95th % Qtr FYTD 1Yr 3Yr 5Yr 7Yr 2/09 7.0% % % % % % % % Report From March 31, 2009 to December 31, Year Rolling Periods 25% 21% % Return 17% 13% 9% 5% 3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/ Fund Evaluation Group, LLC 25

35 WEDGE Capital Management Summary of Performance and Statistics Report For Periods Ending December 31, 2016 Performance Results Qtr FYTD 1Yr 3Yr 5Yr 7Yr Date WEDGE Capital Management 6.7% 11.8% 21.6% 12.5% 17.2% 12.9% 18.1% 2/09 Russell 1000 Value Index S&P 500 Index Risk Statistics (5 years) Beta Alpha R² Standard Deviation Tracking Error Information Ratio WEDGE Capital Management % % 4.0% 0.6 Russell 1000 Value Index S&P 500 Index Portfolio Statistics Trailing P/E Trailing P/B Wtd Avg Mkt Cap Current Yield Equity Annual Turnover WEDGE Capital Management ,13M 1.5% 3% Russell 1000 Value Index , S&P 500 Index , Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 41,768 $ 39,856 Net Contributions/(Distributions) $ 0 $ 0 Market Appreciation/(Depreciation) $ 2,807 $ 4,719 Ending Market Value $ 44,575 $ 44,575 * Risk Statistics are based on monthly data. * Manager data represents the most current available at the time of report publication Fund Evaluation Group, LLC 26

36 WEDGE Capital Management Equity Sector Report For Periods Ending December 31, 2016 Sector Allocation Financials Industrials Materials Energy Telecommunication Services Consumer Discretionary Information Technology Utilities Consumer Staples Real Estate Sector Weightings Market Total Returns Primary Sector Manager Benchmark 3 Months 12 Months Financials 24% 27% 22.0% 24.0% Industrials Materials Energy Telecommunication Services Consumer Discretionary Information Technology Utilities Consumer Staples Real Estate Healthcare Other Healthcare Top Five Holdings Weighting Other 0% 5% 10% 15% 20% 25% 30% Manager Primary Benchmark MARKEL CORP 4.5% UNITEDHEALTH GROUP INC 4.3 HCA HOLDINGS INC 4.3 BERKSHIRE HATHAWAY INC 4.2 FEDEX CORP 4.1 Number of Holdings: 33 * Sector weightings may not add up to 100% due to rounding. * Manager data represents the most current available at the time of report publication. * Effective 9/1/16 Real Estate was moved out from the Financials sector and was promoted to a standalone sector by the Global Industry Classification Standard (GICS). Performance will start being displayed when a long enough track record is available from the index provider Fund Evaluation Group, LLC 27

37 WEDGE Capital Management Large Cap Value Universe For Report Periods Ending December 31, % 22% 18% - WEDGE Capital Management - Russell 1000 Value Index - S&P 500 Index % Return 14% 10% 5th 25th 50th Qtr FYTD 1Yr 3Yr 5Yr 7Yr 2/ % 18.1 % 21.9 % 9.5 % 15.5 % 13.2 % 18.9% th % 95th % Qtr FYTD 1Yr 3Yr 5Yr 7Yr 2/09 6.7% % % % % % % % Report From March 31, 2009 to December 31, Year Rolling Periods 25% 21% % Return 17% 13% 9% 5% 3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/ Fund Evaluation Group, LLC 28

38 Westfield Capital Management Summary of Performance and Statistics Report For Periods Ending December 31, 2016 Performance Results Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr Date Westfield Capital Management 2.4% 11.0% 5.9% 3.3% 12.7% 12.0% 7.7% 7.2% 5/01 Russell 2000 Growth Index Russell 2000 Index Risk Statistics (5 years) Beta Alpha R² Standard Deviation Tracking Error Information Ratio Westfield Capital Management 0.92 % % 4.7% -0.2 Russell 2000 Growth Index Russell 2000 Index Portfolio Statistics Trailing P/E Trailing P/B Wtd Avg Mkt Cap Current Yield Equity Annual Turnover Westfield Capital Management ,123.0M 0.6% 89.0% Russell 2000 Growth Index , Russell 2000 Index , Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 15,343 $ 14,154 Net Contributions/(Distributions) $ 782 $ 782 Market Appreciation/(Depreciation) $ 375 $ 1,564 Ending Market Value $ 16,500 $ 16,500 * Risk Statistics are based on monthly data. * Manager data represents the most current available at the time of report publication Fund Evaluation Group, LLC 29

39 Westfield Capital Management Equity Sector Report For Periods Ending December 31, 2016 Sector Allocation Financials Telecommunication Services Industrials Utilities Materials Consumer Discretionary Energy Consumer Staples Real Estate Information Technology Sector Weightings Market Total Returns Primary Sector Manager Benchmark 3 Months 12 Months Financials 7% 6% 19.6% 27.0% Telecommunication Services Industrials Utilities Materials Consumer Discretionary Energy Consumer Staples Real Estate Information Technology Healthcare Other Healthcare Top Five Holdings Weighting Other 0% 5% 10% 15% 20% 25% Manager Primary Benchmark John Bean Technologies Corporation 2.8% Installed Building Products, Inc. 2.3 Berry Plastics Group, Inc. 2.3 Watsco, Inc. 2.3 ICON Plc 2.2 Number of Holdings: 76 * Sector weightings may not add up to 100% due to rounding. * Manager data represents the most current available at the time of report publication. * Effective 9/1/16 Real Estate was moved out from the Financials sector and was promoted to a standalone sector by the Global Industry Classification Standard (GICS). Performance will start being displayed when a long enough track record is available from the index provider Fund Evaluation Group, LLC 30

40 Westfield Capital Management Small Cap Growth Universe For Report Periods Ending December 31, % 21% 16% - Westfield Capital Management - Russell 2000 Growth Index - Russell 2000 Index % Return 11% 6% 5th 25th 50th Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr 5/ % 18.2 % 22.0 % 8.1 % 15.7 % 15.4 % 9.6 % 1% th % 95th % Qtr FYTD 1Yr 3Yr 5Yr 7Yr 10Yr 5/01 2.4% 11.0% 5.9% % 12.7% 12.0% % % % Report From December 31, 2001 to December 31, Year Rolling Periods 25% 18% % Return 11% 4% -3% -10% 12/06 12/07 12/08 12/09 12/10 12/11 12/12 12/13 12/14 12/15 12/ Fund Evaluation Group, LLC 31

41 Vulcan Small Cap Value Summary of Performance and Statistics Report For Periods Ending December 31, 2016 Performance Results Qtr FYTD 1Yr Date Vulcan Small Cap Value 7.2% 17.2% 18.8% 4.6% 4/15 Russell 2000 Value Index Russell 2000 Index Risk Statistics ( 4/15) Beta Alpha R² Standard Deviation Tracking Error Information Ratio Vulcan Small Cap Value % % 7.3% -1.1 Russell 2000 Value Index Russell 2000 Index Portfolio Statistics Trailing P/E Trailing P/B Wtd Avg Mkt Cap Current Yield Equity Annual Turnover Vulcan Small Cap Value ,498.7M 1.1% 67.6% Russell 2000 Value Index , Russell 2000 Index , Asset Growth Summary (in thousands) Qtr FYTD Beginning Market Value $ 12,304 $ 11,252 Net Contributions/(Distributions) $ 0 $ 0 Market Appreciation/(Depreciation) $ 883 $ 1,935 Ending Market Value $ 13,187 $ 13,187 * Risk Statistics are based on monthly data. * Manager data represents the most current available at the time of report publication Fund Evaluation Group, LLC 32