Complete List of Composites 7/12/2017
Complete List of Composites Composite Name GIM Composites Tax Aware 50/50 Tax Aware 60/40 Tax Aware 75/25 Tax Free Bond Guardian Composites Alternatives Balanced 60/40 Composite Description The GIM Tax Aware 50/50 (5 equity/5 fixed income) Allocation is for investors who want to invest in a strategy that is managed with an eye toward post-tax, rather than pretax, returns. Its fully tax aware strategy is about more than simply holding municipal bonds. For instance, turnover is an important consideration since short term gains are taxed more heavily than long term ones. Qualified dividends are taxed at a lower rate than income distributions, and equity funds may have both taxable and tax-deferred shareholders. The Tax Aware 50/50 is managed with these considerations in mind. It is designed for investors who seek long term growth in after-tax wealth. Since it generally maintains a significant exposure to equities, it is for the investor who can tolerate moderate risk in the pursuit of after-tax returns. The GIM Tax Aware 60/40 (6 equity/4 fixed income) Allocation is for investors who want to invest in a strategy that is managed with an eye toward post-tax, rather than pretax, returns. Its fully tax aware strategy is about more than simply holding municipal bonds. For instance, turnover is an important consideration since short term gains are taxed more heavily than long term ones. Qualified dividends are taxed at a lower rate than income distributions, and equity funds may have both taxable and tax-deferred shareholders. The Tax Aware 60/40 is managed with these considerations in mind. It is designed for investors who seek long term growth in after-tax wealth. Since it generally maintains a majority exposure to equities, it is for the investor who can tolerate moderate risk in the pursuit of after-tax returns. The GIM Tax Aware 75/25 (75% equity/25% fixed income) Allocation is for investors who want to invest in a strategy that is managed with an eye toward post-tax, rather than pretax, returns. Its fully tax aware strategy is about more than simply holding municipal bonds. For instance, turnover is an important consideration since short term gains are taxed more heavily than long term ones. Qualified dividends are taxed at a lower rate than income distributions, and equity funds may have both taxable and tax-deferred shareholders. The Tax Aware 75/25 is managed with these considerations in mind. It is designed for investors who seek long term growth in after-tax wealth. Since it generally maintains a heavy exposure to equities, it is for the investor who can tolerate risk in the pursuit of after-tax returns. The Tax-Free Bond Allocation is a strategy that invests in a diversified mix of domestic taxfree bond funds of varying maturities. This strategy is intended to generate tax-free income and may be suitable for investors seeking the same. On 12/31/2011 the name for this composite changed from Opportunity Tax Free to its current name. The Guardian Alternatives Allocation is a disciplined investment strategy designed to provide a hedge against either inflation or deflation by investing in ETFs or ETNs that are either long or short in commodities, currencies, real estate and/or emerging market equities. Because these assets tend to move in a cyclical fashion, the opportunity for gains on both advancing and declining markets exists. This strategy seeks to take advantage of this fact by utilizing a quantitative, momentum based strategy, which examines the strength and consistency of price trends in order to establish the appropriate positions in ETFs or ETNs. Because of its low expected correlation to stocks and bonds, this allocation may serve as a powerful diversification tool to complement the overall risk-adjusted performance of many portfolios. The Guardian Balanced 60/40 Allocation is a strategy that invests in a diversified mix of domestic and foreign stock and bond funds. It has a strategic target of 6 equities and 4 bonds, but may alter this mix within predetermined ranges. This allocation may be suitable for clients seeking conservative long-term growth with the potential need for current income.
Complete List of Composites Balanced Growth 75/25 Balanced Income 30/70 Balanced Mosaic Conservative Balanced 50/50 Country Equity Mosaic Fixed Income Global Stock Sector The Guardian Balanced Growth 75/25 Allocation is a strategy that invests in a diversified mix of domestic and foreign stock and bond funds with an emphasis on stocks. It has a strategic target of 75% equities and 25% bonds, but may alter this mix within predetermined ranges. This allocation may be suitable for clients seeking conservative long-term growth with limited current income needs. The Guardian Balanced Income 30/70 Allocation is a strategy that invests in a diversified mix of both domestic and international stock and bond funds, with a strong emphasis on bonds. It has a strategic target of 3 equities and 7 bonds, but may alter this mix within predetermined ranges. This strategy may be suitable for investors seeking both income with moderate growth. The Guardian Balanced Mosaic Allocation is a strategy that invests in a diversified mix of domestic and foreign stock and bond funds with an emphasis on stocks. It has a strategic target of 75% equities and 25% bonds, but may alter this mix within predetermined ranges. As the name 'Mosaic' implies, multiple investment styles are employed within this portfolio. GIM's sector allocation methodology has been added to GIM's traditional balanced investing style to create this hybrid portfolio. This allocation may be suitable for clients seeking conservative long-term growth with limited current income needs. The Guardian Conservative Balanced Income 50/50 Allocation is a strategy that invests in a diversified mix of both domestic and international stock and bond funds. It has a strategic target of 5 equities and 5 bonds, but may alter this mix within predetermined ranges. This strategy may be suitable for investors seeking conservative long-term growth with some current income. The Guardian Country Allocation is a strategy that makes concentrated investments into foreign country or region specific stock funds that are demonstrating positive relative strength. This allocation is actively monitored and altered to maximize returns within reasonable risk parameters. Because of its concentrated focus, this strategy may bear a greater degree of market risk than a more diversified investment portfolio. Clients with a high tolerance for variable returns seeking aggressive long-term growth may find this investment appealing. The Guardian Mosaic Allocation is a strategy that invests in a diversified mix of domestic and foreign stock funds. As the name 'Mosaic' implies, multiple investment styles are employed within this portfolio. GIM's sector allocation methodology has been added to GIM's traditional balanced investing style to create this hybrid portfolio. This allocation may be suitable for clients seeking aggressive long-term growth. The Guardian Fixed Income Allocation is a strategy that invests primarily in domestic bond funds. It has broad latitude to vary its investment mix among different maturities and qualities of bonds in order to balance the risks and opportunities. This strategy often invests in high yield bonds. These securities tend to offer higher yields than higher rated securities with similar maturities, but also are considered speculative and generally involve greater price volatility and risk of principal and interest loss. This strategy may be suitable for investors seeking potentially higher levels of current income. The Guardian Global Stock Allocation is a strategy that invests in a diversified mix of domestic and foreign stock funds. It has a strategic target of 10 equities with 35% of that focused on foreign stocks, but may alter this mix within predetermined ranges. This allocation may be suitable for clients with above average tolerance for variable returns that are seeking above long-term growth. The Guardian Sector Allocation is a strategy that makes concentrated investments into varying sectors of the equity markets that are demonstrating relative strength. It is actively monitored and altered to maximize returns within reasonable risk parameters. Concentrated investments into particular sectors are more aggressive and may bear a greater degree of market risk than a more diversified investment portfolio. This strategy may be suitable for clients with a high tolerance for variable returns that are seeking aggressive long-term growth.
Complete List of Composites Opportunity Composites Balanced Growth (Closed 1Q2012) Sector (Closed 2Q2006) Stock (Closed 2Q2011) Style (Closed 1Q2010) Saratoga Composites Dynamic Aggressive Balanced Dynamic Aggressive Equity Dynamic Moderate Balanced Strategic Composites Global Balanced Global Balanced - Tax Aware The Opportunity Balanced Growth Allocation is a strategy that invest in a diversified mix of both domestic and international stock and bond funds, with an emphasis on stocks. It is actively monitored and altered within predetermined ranges to maximize returns within moderate risk parameters. This allocation stays fully invested through most market environments, and may be suitable for clients seeking to achieve long-term wealth accumulation and purchasing power protection. The Lipper Equity Composite is a total return benchmark comprised of The Dow Jones 10 Global Portfolio Index is a total return benchmark formed by equally weighing nine equity style indexes with monthly rebalancing. This index contains all nine relevant equity asset classes. The Opportunity Global Stock Allocation is a strategy that invests in a diversified mix of domestic and foreign stock funds designed for above average long-term growth. It is actively monitored and altered within predetermined ranges to maximize returns within reasonable risk parameters. This allocation stays fully invested through most market environments and may be suitable for clients seeking to achieve long-term wealth accumulation and purchasing power protection. The Opportunity Style Allocation is a strategy that makes concentrated investments into stock funds that fit into specific "style" boxes (i.e., small capitalization stocks or large cap; growth or value) that are demonstrating relative strength. The Opportunity Style allocation stays fully invested through most market environments. This allocation may be suitable for clients that are seeking to achieve aggressive long-term growth. Because of its concentrated focus, this allocation may be subject to greater short-term fluctuations in value than a more diversified strategy. The Saratoga Dynamic Aggressive Balanced allocation is comprised of a diversified mix of SAT equity, equity sector, bond and money market mutual funds for aggressive investors who seek higher returns than the Dynamic Moderate Balanced allocation. The Saratoga Dynamic Aggressive Equity allocation is comprised of 10 SAT equity and equity sector mutual funds with less diversification and a higher level of risk than the Dynamic Aggressive Balanced allocation. It is designed for investors seeking higher rates of return than the Dynamic Aggressive Balanced allocation. The Saratoga Dynamic Moderate Balanced allocation is comprised of a diversified mix of SAT equity, bond and money market mutual funds. It is designed for the moderate investor. The P-D Strategic Global Balanced portfolio is designed for investors seeking to benefit over the long term from a diverse combination of investment approaches including passive holdings around an active core. As the name implies, the positions are global in nature and comprise a balance of both equity and fixed income securities as well as a small cash component. As manager, GIM will provide rebalancing services for the portfolio relative to its neutral position weightings. Because the portfolio will generally remain fully invested in various market environments, it is best suited for investors with moderate risk tolerance. The Portfolio Designs Strategic Global Balanced Tax Aware portfolio is designed for investors seeking to benefit over the long term from a diverse combination of investment approaches including passive holdings around an active core. As the name implies, the positions are global in nature and comprise a balance of both equity and fixed income securities as well as a small cash component. The manager invests in both exchange traded funds and municipal securities to improve the tax efficiency of the portfolio. As manager, GIM will provide rebalancing services for the portfolio relative to its neutral position weightings. Because the portfolio will generally remain fully invested in various market environments, it is best suited for investors with moderate risk tolerance.
Complete List of Composites UBS Composites Global Integrated Disciplines Global Plus Global Real Return Global Integrated Disciplines is the flagship allocation that helped establish UBS Global Asset Management s reputation. It combines equities, bonds and other asset classes in a blend designed for investors with a tolerance for a moderate level of risk. Managers of this allocation seek to identify both undervalued and overvalued securities through bottom-up fundamental analysis. This analysis is integrated with global economic, equity, fixed income and credit research to drive allocation and rebalancing decisions. Exposure is increased to opportunities that are seen as most favorable. Alternative analytical approaches, such as bottom-up identification of growth investments, are sometimes employed to manage risk. The UBS Global Plus allocation is designed for investors seeking higher returns through additional managed risk. This allocation generally maintains a high exposure to equities, holding some bonds but no cash in the neutral position. The managers use active leverage to magnify exposure to the opportunities seen as most favorable. This leverage ranges from -5 and is achieved through the use of total return swap agreements as well as bank borrowing. The end result is an equity-friendly allocation that actively seeks out and takes on risk that managers believe will be compensated with returns. The UBS Global Real Return allocation is designed for investors who desire a reduced level of risk. It is actively managed with the goal of guarding purchasing power against the effects of inflation ( real return) while being less reliant upon favorable performance in equity markets. Global Real Return generally maintains significant assets in low risk bonds and cash. It also recognizes that markets can move both up and down. The ability to hedge by taking short positions is maintained as a way to reduce risk. The portfolio is managed through three uncorrelated lenses asset allocation, security selection and currency management to further reduce risk. The result is a well diversified allocation that seeks to pair bond-like risk with equity-like returns.
Guardian Fixed Income (G FixInc) Benchmarks: Lipper General Bond Benchmark (LGBond) Standard and Poor's 500 Index () Performance Record: 26 From: To: Jul-91 Jun-17 The Guardian Fixed Income Allocation is a strategy that invests primarily in domestic bond funds. It has broad latitude to vary its investment mix among different maturities and qualities of bonds in order to balance the risks and opportunities. This strategy often invests in high yield bonds. These securities tend to offer higher yields than higher rated securities with similar maturities, but also are considered speculative and generally involve greater price volatility and risk of principal and interest loss. This strategy may be suitable for investors seeking potentially higher levels of current income. Green Investment Management, Inc. (GIM) became registered as an investment adviser in 1984. Since that time, GIM has specialized in offering actively managed investment models designed to balance both the opportunities and risks inherent in our rapidly changing markets. GIM manages its allocations with an active defensive style. Each allocation has a defined strategic mix of asset classes which are regularly adjusted within tactical ranges as market conditions change. This disciplined approach focuses on risk management and is designed for investors who place great emphasis on principal preservation but still want to participate in bull market gains. Fund Non-Annualized Returns [2] Benchmark 1 mos 3 mos 6 mos YTD Cumul G FixInc -0.18% 0.58% 1.72% 1.72% 412.19% LGBond 0.13% 1.74% 3.52% 3.52% 314.25% 0.62% 3.12% 9.38% 9.38% 1,003.52% 3MosBill 0.08% 0.23% 0.38% 0.38% 97.64% Annualized Returns (Net-of-Fees) For Rolling Periods Ending: 6/30/17 [1] 1 1 Snce Incpt 1.47% 0.57% 2.28% 3.07% 4.64% 6.49% 4.25% 1.98% 2.88% 4.56% 4.76% 5.62% 17.95% 9.64% 14.65% 7.17% 8.31% 9.68% 0.58% 0.25% 0.18% 0.5 1.24% 2.66% Net-of-Fee Returns Max Drawdown Per [2] Fund / Benchmark G FixInc LGBond G FixInc LGBond Standard Deviation [2] 1990 G FixInc LGBond 1991 10.32% 10.46% 14.05% 2.82% 3.19% 11.18% 1992 13.58% 8.32% 7.38% -0.3-2.57% 3.0 3.37% 10.81% 1993 15.94% 13.75% 10.02% 6.71% 4.72% 16.4 1994 1.9-5.77% 1.31% -1.51% -7.45% -6.95% R Squared [2] 1995 1996 1997 1998 14.79% 10.69% 9.42% 8.18% 17.41% 7.34% 8.57% 4.63% 37.52% 22.94% 33.35% 28.57% -0.18% -0.59% -1.51% -1.55% -1.69% -1.42% -1.95% -0.36% -4.42% -5.6-15.35% 0.75 0.73 0.45 Beta [2] 0.11 0.15 0.43 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 1.14% 7.19% 6.27% 4.51% 20.15% 8.38% 0.84% 5.42% 2.8-17.74% 32.7 7.56% -1.48% -0.33% 5.99% 4.91% 6.33% 7.26% 4.85% 2.23% 5.88% 6.16% -3.28% 13.08% 6.86% 5.99% 21.04% -9.09% -11.86% -22.1 28.67% 10.87% 4.9 15.66% 5.11% -37.0 26.45% 15.05% 2.08% -1.64% -0.91% -5.14% -3.96% -1.44% -1.23% -1.7-0.47% -1.04% -20.29% -3.9-2.69% -6.71% -2.45% -1.6-1.2-0.96% -2.75% -2.63% -1.58% -0.7-1.33% -10.56% -3.21% -1.83% -1.71% -6.24% -13.11% -23.1-28.34% -4.07% -3.31% -4.01% -2.87% -4.84% -37.66% -18.18% -12.81% -16.29% 0.77 0.09 0.77 0.12 0.96 0.28 Alpha [2] -0.08% -0.02% 0.01% 0.05% -0.1 0.08% Fund Sharp Ratio [2] Benchmark G FixInc 0.11 0.70 0.38 LGBond 0.54 0.80 0.86 0.84 1.34 0.41 2012 7.0 8.92% 15.98% -1.07% -0.27% -6.6 2013 3.04% 0.76% 32.41% -3.7-5.05% -2.9 2014 0.67% 3.22% 13.69% -2.68% -0.71% -3.46% 2015-2.03% -3.38% 1.41% -4.19% -5.1-8.35% 2016 4.88% 6.13% 11.98% -2.27% -1.95% -5.08% 2017 1.72% 3.52% 9.38% -0.18% Important Disclosures to follow
Guardian Fixed Income (G FixInc) Number of Portfolios 1990 0 1991 3 End of Period Assets (000s) Composite Firm Total % of Firm $1,700 0.0 $68 $3,900 1.74% Non-Fee Paying as a % of Composite Size Wgtd. Return Dispersion 0.0 0.0 Fund Max Drawdown Since Inception [2] Benchmark Drawdown Peak Valley G FixInc -21.6% May-08 Mar-09 LGBond -10.6% Jan-08 Oct-08-51. Oct-07 Feb-09 1992 6 $571 $13,600 4.2 0.0 1993 9 $933 $20,400 4.57% 0.05% 1994 9 $1,206 $25,100 4.8 0.05% 1995 8 $712 $30,000 2.37% 0.04% 1996 9 $1,463 $34,700 4.21% 0.73% 0.04% 1997 12 $2,430 $44,700 5.44% 1.26% 0.25% 1998 7 $631 $49,700 1.27% 14.56% 0.38% 1999 5 $528 $52,800 1.0 21.25% 0.98% 2000 4 $531 $43,900 1.21% 15.24% 0.42% 2001 26 $3,955 $47,500 8.33% 0.58% 2.21% 2002 56 $6,876 $56,460 12.18% 0.59% 2.47% 2003 168 $29,656 $102,790 28.85% 0.2% 7.15% 2004 221 $44,630 $136,092 32.92% 1.01% 2005 299 $51,803 $159,990 33.17% 0.79% 2006 290 $48,435 $190,257 25.46% 1.13% 2007 257 $42,046 $191,908 22.44% 1.37% 2008 270 $33,956 $111,068 28.27% 6.26% 2009 293 $44,854 $128,686 34.01% 6.4 2010 371 $58,831 $161,668 36.22% 1.34% 2011 402 $61,508 $157,304 38.33% 1.43% 2012 372 $56,639 $147,014 37.77% 1.21% 2013 312 $38,584 $134,043 28.78% 1.2 2014 228 $26,575 $111,144 23.79% 0.47% 2015 160 $19,354 $89,793 21.55% 0.55% 2016 108 $13,935 $67,339 20.64% 0.99% 2017 101 $13,230 $70,425 18.69% 0.04% Disclosures Footnotes Compliance Statement [1] The Global Investment Performance Standards (GIPS ) defines Supplemental Information as any performance-related information included as part of a compliant performance presentation that supplements or enhances the required and/or recommended disclosure and presentation provisions of the GIPS standards. Data for 10 and 15 year periods, plus since inception numbers for allocations in existence more than 5 years are all considered to be SUPPLEMENTAL INFORMATION. [2] All information contained in this section is SUPPLEMENTAL INFORMATION as defined by GIPS. SUPPLEMENTAL INFORMATION is not required by the Global Investment Performance Standards. The term stock and bond 'funds' used above are used generically to apply to mutual funds, exchange traded funds or variable annuity sub-accounts, depending upon which program is selected by the client. Green Investment Management (GIM) performance data for periods prior to 1994 are only available in quarterly increments. Risk statistics using monthly data are available after 1993. Green Investment Management, Inc. claims compliance with the Global Investment Performance Standards (GIPS ) and has prepared and presented this report in compliance with the GIPS standards. Green Investment Management, Inc. has been independently verified by the accounting firm Sutton Frost Cary LLP for the periods ended September 30, 1990 (or since inception date, if shorter) through December 31, 2014. The verification report is available upon request. Verification assesses whether (1) the firm has complied with all the composite construction requirements of the GIPS standards on a firm-wide basis and (2) the firm s policies and procedures are designed to calculate and present performance in compliance with the GIPS standards. Verification does not ensure the accuracy of any specific composite presentation. Green Investment Management, Inc. Company s policies for valuing portfolios, calculating performance, and preparing compliant presentations are available upon request. Past Performance is no guarantee of future results. The foregoing information was gathered in a way that GIM believes to be reliable, but accuracy is not guaranteed. No inference should be drawn that managed accounts will achieve similar performance or will be profitable in the future. Market and economic conditions could significantly change in the future producing materially different returns. Investing involves risk and you may incur a profit or a loss. Please visit us online at www.gimlink.com or Portfolio-Designs.com or call 1(800)-950-8004 for current performance information or a complete list and description of Green Investment Management, Inc. composites.
Guardian Fixed Income (G FixInc) Definition of Firm Calculation of Performance Returns Fee Schedule Complete Description Explanation of Benchmarks and Indexes The Specific Benchmark for this Allocation Lipper General Bond Benchmark (LGBond) Standard and Poor's 500 Index () GIM is a Fort Worth, Texas based investment manager that has provided an active asset allocation service since 1984. Through its longstanding GIM Legacy program, GIM offers numerous actively managed investment models. Additionally, through it s newer Portfolio -Designs program offered through independent investment advisory firms, GIM serves as both an investment manager and the Program Manager. Portfolio-Designs provides access to many of GIM s managed investment models in addition to investment models guided by skilled outside Strategists. GIM s firm definition changed with the introduction of the Portfolio-Designs program on December 31, 2008 to reflect its broader firm offerings. All assets managed by GIM on a discretionary basis are included in GIM s definition of total firm assets. A brief description of the strategy followed by this composite is shown above. Performance results are based on the reinvestment of all income, dividends and capital gains and are net of fees. Performance results are based on the reinvestment of all income, dividends and capital gains and are net of fees. Performance results are calculated net of actual (not model) management fees, transaction fees, custody fees, foreign taxes paid and non-reclaimable withholding taxes; but are not net of independent advisors' or consultants' fees. GIM does not charge performance based fees. Composites are rebalanced on a monthly basis. GIM does not employ the use of leverage or derivatives in any of its portfolios. However, the underlying mutual funds, annuity sub-accounts, ETFs or ETNs may employ the use of derivatives (such as short sales, options and futures contracts)or leverage. All of these investment strategies introduce risks which are in addition to the traditional market risks of equity or income investing. These strategies are often employed in an effort to decrease overall portfolio downside risk, but GIM and the outside Strategists can offer no guarantee that these strategies will be able to achieve their stated objectives. All returns displayed are calculated in U.S. dollars. Composite dispersion is measured using an asset-weighted standard deviation of returns of the portfolios. Actual client account returns may be different than those of the composite. For accounts custodied at TD Ameritrade ("TDA") or Trust Company of America ("TCA"), the management fee ("GIM s management fee") annual rate is as follows: The first $250,000 of the Client's Account value is charged 1.9, the next $250,000 is charged 1.7, the next $500,000 is charged 1.5 and amounts in excess of $1,000,000 are charged 1.0. In cases where GIM accepts accounts below its account minimums at TDA, GIM imposes a minimum fee of $100 annually. This minimum fee may make smaller accounts less cost effective than larger accounts. In addition to these fees, TDA and TCA will charge additional fees to Client, including asset based fees for custodial and execution services, as outlined in Schedule B to GIM's advisory agreement. For accounts custodied at qualified custodians other than TCA or TDA (as outlined on the GIM Product Guide), the management fee annual rate is as follows: The first $500,000 of the Client's Account value is charged 2.0, the next $500,000 is charged 1.5 and amounts in excess of $1,000,000 are charged 1.0. In cases where GIM accepts accounts below its account minimums at TDA, GIM imposes a minimum fee of $100 annually. This minimum fee may make smaller accounts less cost effective than larger accounts. GIM has agreements with some registered investment advisors and their representatives (collectively called "Advisor") who refer Clients to the GIM Legacy program without receiving a Solicitor's fee and agree to provide substantial services to such Clients on behalf of Manager. In these cases, GIM will offer its service to such Clients at a reduced rate from GIM's regular basic fee schedule. By written agreement between Advisor and GIM, Advisor has agreed to charge such Clients for its separate services that it provides to them. The Advisor shall have the exclusive right to determine the advisory fees ("Advisor's Fee") it will charge for this service. The Advisor's Fee schedule will be provided to Clients, as Schedule C, by Advisor on or before Clients execute GIM's Joint Services Agreement. Client may pay less or more than other clients receiving the same services. Request Form ADV Part 2 Brochure for a complete description of Green Investment Management, Inc. s management services. Market and economic conditions can change rapidly producing materially different returns (or losses) over different periods. Investing involves risk and you may incur a profit or a loss. Past performance is no guarantee of future results. This information was gathered in a way that GIM believes to be reliable, but accuracy is not guaranteed. No inference should be drawn that managed accounts will achieve similar performance or will be profitable in the future. On October 1, 2006 GIM began using custom benchmarks to better reflect the actual fund and asset class make-up of the GIM Legacy Models and the Portfolio-Designs GIM Guardian Models. These custom benchmarks are comprised of Lipper Indices. GIM used both the Open-End Fund and Variable Annuity Lipper Indices in order to properly reflect the assets under management at GIM. On this date, GIM used a historical weighted average for the past five years of assets under management (AUM) in annuity products versus non -annuity assets. Annuity products made up 4 of GIM AUM while the other 6 was non-annuity. Therefore, GIM used a blend of the Lipper Variable Annuity Indices to make up 4 of each benchmark and a blend of the Lipper Open-End Fund Indices to make up 6. Except in the case of the Country allocation, this allocation is 10 Non-Annuity blend. GIM constructed each blend using the same strategic targets that are used in the GIM allocations. The blended benchmark components are rebalanced monthly. The Domestic stock target is then broken down into three categories; Large-Cap, Mid-Cap and Small-Cap, the percentages of these categories were derived from Standard & Poor s. (Data used as of 1/5/2006) The description of Lipper's Indices that are contained in one or more of GIM's benchmark composites are as follows: Lipper General Bond Funds; A fund that does not have any quality or maturity restrictions. Intends to keep bulk of assets in corporate or government debt issues. Lipper Large-Cap Core Funds, Funds that, by portfolio practice invest at least 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) greater than 30 of the dollar weighted median market capitalization of the middle 1,000 securities of the S&P SuperComposite 1500 Index. Lipper Mid-Cap Core funds are the same as the Large-Cap Core except they invest 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) less than 30 of the dollar weighted median market capitalization of the middle 1,000 securities of the S&P SuperComposite 1500 Index. Lipper Small-Cap Core funds are the same as above except they invest 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) less than 25 of the dollar weighted median market capitalization of the middle 1,000 securities of the S&P SuperComposite 1500 Index. All three core cap funds have more latitude in the companies they invest. These funds typically have an average price-to-earnings ratio, price-to-book ratio, and three-year sales-per-share growth value, compared to the S&P 500 Index, for Large-Cap, MidCap 400 Index for Mid-Cap, and S&P SmallCap 600 Index for the Small-Cap. Lipper International, A fund that invests its assets in securities with primary trading markets outside the United States. Lipper Intermediate Municipal Debt Funds; A fund that invests in municipal debt issues with dollar weighted average maturities of five to ten years. The returns used for the indexes and composite returns are total returns, which include reinvestment of dividends and capital gains. Indexes represent securities widely held by investors. You cannot invest directly in an index. The Lipper General Bond Fund Composite is comprised of 10 Lipper General Bond Funds; A fund that does not have any quality or maturity restrictions and intends to keep the bulk of assets in corporate or government debt issues. The S&P 500 Index is a market capitalization-weighted index of 500 widely held stocks often used as a proxy for the stock market.
Guardian Balanced Income 30/70 (G BalInc) Benchmarks: Lipper Balanced Income Benchmark (LBalInc) Standard and Poor's 500 Index () Performance Record: 21.08 From: To: Jun-96 Jun-17 The Guardian Balanced Income 30/70 Allocation is a strategy that invests in a diversified mix of both domestic and international stock and bond funds, with a strong emphasis on bonds. It has a strategic target of 3 equities and 7 bonds, but may alter this mix within predetermined ranges. This strategy may be suitable for investors seeking both income with moderate growth. Green Investment Management, Inc. (GIM) became registered as an investment adviser in 1984. Since that time, GIM has specialized in offering actively managed investment models designed to balance both the opportunities and risks inherent in our rapidly changing markets. GIM manages its allocations with an active defensive style. Each allocation has a defined strategic mix of asset classes which are regularly adjusted within tactical ranges as market conditions change. This disciplined approach focuses on risk management and is designed for investors who place great emphasis on principal preservation but still want to participate in bull market gains. Fund Non-Annualized Returns [2] Benchmark 1 mos 3 mos 6 mos YTD Cumul G BalInc 0.24% 1.8 4.86% 4.86% 161.19% LBalInc 0.27% 2.44% 5.61% 5.61% 211.61% 0.62% 3.12% 9.38% 9.38% 436.03% 3MosBill 0.08% 0.23% 0.38% 0.38% 59.81% Annualized Returns (Net-of-Fees) For Rolling Periods Ending: 6/30/17 [1] 1 1 Snce Incpt 6.67% 1.62% 3.96% 3.2 4.66% 4.66% 8.08% 2.95% 5.41% 4.67% 5.53% 5.54% 17.95% 9.64% 14.65% 7.17% 8.31% 8.29% 0.58% 0.25% 0.18% 0.5 1.24% 2.25% Net-of-Fee Returns Max Drawdown Per [2] Fund / Benchmark G BalInc LBalInc G BalInc LBalInc Standard Deviation [2] 1990 G BalInc LBalInc 1991 4.5 4.8 11.18% 1992 4.62% 4.75% 10.81% 1993 8.88% 7.53% 16.4 1994 R Squared [2] 1995 1996 1997 1998 6.22% 10.8 7.53% 7.52% 11.97% 9.16% 12.1 33.35% 28.57% -1.89% -2.1-4.48% -1.06% -2.15% -6.02% -4.42% -5.6-15.35% 0.93 0.93 0.86 Beta [2] 0.71 0.68 0.80 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 3.5 5.09% -2.87% -2.96% 21.46% 8.62% 1.7 7.26% 2.0-22.51% 29.58% 9.93% -2.26% 7.01% 1.38% -1.14% -1.91% 13.59% 6.99% 4.28% 9.13% 6.92% -15.59% 18.34% 9.01% 2.53% 21.04% -9.09% -11.86% -22.1 28.67% 10.87% 4.9 15.66% 5.11% -37.0 26.45% 15.05% 2.08% -2.16% -1.84% -12.09% -8.78% -0.43% -1.55% -2.58% -1.21% -1.67% -25.58% -7.36% -5.18% -10.31% -2.19% -4.25% -6.39% -5.9-1.27% -2.3-1.66% -1.4-1.08% -19.22% -7.55% -3.85% -6.65% -6.24% -13.11% -23.1-28.34% -4.07% -3.31% -4.01% -2.87% -4.84% -37.66% -18.18% -12.81% -16.29% 0.92 0.37 0.95 0.39 1.11 0.51 Alpha [2] -0.09% -0.16% -0.09% -0.13% -0.15% -0.05% Fund Sharp Ratio [2] Benchmark G BalInc 0.30 0.82 0.31 LBalInc 0.56 1.10 0.55 0.84 1.34 0.41 2012 8.87% 11.19% 15.98% -1.83% -2.18% -6.6 2013 6.6 8.38% 32.41% -3.68% -3.3-2.9 2014 2.34% 3.81% 13.69% -2.29% -1.31% -3.46% 2015-3.05% -2.77% 1.41% -5.76% -5.94% -8.35% 2016 5.27% 6.47% 11.98% -1.71% -1.92% -5.08% 2017 4.86% 5.61% 9.38% Important Disclosures to follow
Guardian Balanced Income 30/70 (G BalInc) Number of Portfolios 1990 0 1991 0 End of Period Assets (000s) Composite Firm Total % of Firm $1,700 0.0 $3,900 0.0 Non-Fee Paying as a % of Composite Size Wgtd. Return Dispersion 0.0 0.0 Fund Max Drawdown Since Inception [2] Benchmark Drawdown Peak Valley G BalInc -29.4% Oct-07 Feb-09 LBalInc -22.6% Oct-07 Feb-09-51. Oct-07 Feb-09 1992 0 $13,600 0.0 0.0 1993 0 $20,400 0.0 0.0 1994 0 $25,100 0.0 0.0 1995 0 $30,000 0.0 0.0 1996 2 $336 $34,700 0.97% 0.01% 1997 3 $216 $44,700 0.48% 0.0 1998 7 $1,552 $49,700 3.12% 0.69% 1999 3 $363 $52,800 0.69% 0.04% 2000 4 $533 $43,900 1.21% 0.08% 2001 5 $857 $47,500 1.8 1.85% 2002 9 $1,225 $56,460 2.17% 1.23% 2003 18 $2,711 $102,790 2.64% 2.05% 2004 26 $3,919 $136,092 2.89% 0.86% 2005 67 $11,468 $159,990 7.34% 0.81% 2006 69 $13,684 $190,257 7.19% 0.93% 2007 66 $13,257 $191,908 7.08% 0.73% 2008 52 $5,572 $111,068 4.64% 2.5 2009 42 $5,581 $128,686 4.23% 2.42% 2010 50 $10,120 $161,668 6.27% 0.76% 2011 66 $11,445 $157,304 7.13% 2.02% 2012 59 $9,011 $147,014 6.03% 1.34% 2013 51 $7,195 $134,043 5.37% 1.25% 2014 50 $6,283 $111,144 5.64% 1.69% 2015 43 $5,278 $89,793 5.88% 0.86% 2016 31 $2,592 $67,339 3.84% 1.54% 2017 29 $2,784 $70,425 3.93% 0.25% Disclosures Footnotes Compliance Statement [1] The Global Investment Performance Standards (GIPS ) defines Supplemental Information as any performance-related information included as part of a compliant performance presentation that supplements or enhances the required and/or recommended disclosure and presentation provisions of the GIPS standards. Data for 10 and 15 year periods, plus since inception numbers for allocations in existence more than 5 years are all considered to be SUPPLEMENTAL INFORMATION. [2] All information contained in this section is SUPPLEMENTAL INFORMATION as defined by GIPS. SUPPLEMENTAL INFORMATION is not required by the Global Investment Performance Standards. The term stock and bond 'funds' used above are used generically to apply to mutual funds, exchange traded funds or variable annuity sub-accounts, depending upon which program is selected by the client. Green Investment Management (GIM) performance data for periods prior to 1994 are only available in quarterly increments. Risk statistics using monthly data are available after 1993. Green Investment Management, Inc. claims compliance with the Global Investment Performance Standards (GIPS ) and has prepared and presented this report in compliance with the GIPS standards. Green Investment Management, Inc. has been independently verified by the accounting firm Sutton Frost Cary LLP for the periods ended September 30, 1990 (or since inception date, if shorter) through December 31, 2014. The verification report is available upon request. Verification assesses whether (1) the firm has complied with all the composite construction requirements of the GIPS standards on a firm-wide basis and (2) the firm s policies and procedures are designed to calculate and present performance in compliance with the GIPS standards. Verification does not ensure the accuracy of any specific composite presentation. Green Investment Management, Inc. Company s policies for valuing portfolios, calculating performance, and preparing compliant presentations are available upon request. Past Performance is no guarantee of future results. The foregoing information was gathered in a way that GIM believes to be reliable, but accuracy is not guaranteed. No inference should be drawn that managed accounts will achieve similar performance or will be profitable in the future. Market and economic conditions could significantly change in the future producing materially different returns. Investing involves risk and you may incur a profit or a loss. Please visit us online at www.gimlink.com or Portfolio-Designs.com or call 1(800)-950-8004 for current performance information or a complete list and description of Green Investment Management, Inc. composites.
Guardian Balanced Income 30/70 (G BalInc) Definition of Firm Calculation of Performance Returns Fee Schedule Complete Description Explanation of Benchmarks and Indexes The Specific Benchmark for this Allocation Lipper Balanced Income Benchmark (LBalInc) Standard and Poor's 500 Index () GIM is a Fort Worth, Texas based investment manager that has provided an active asset allocation service since 1984. Through its longstanding GIM Legacy program, GIM offers numerous actively managed investment models. Additionally, through it s newer Portfolio -Designs program offered through independent investment advisory firms, GIM serves as both an investment manager and the Program Manager. Portfolio-Designs provides access to many of GIM s managed investment models in addition to investment models guided by skilled outside Strategists. GIM s firm definition changed with the introduction of the Portfolio-Designs program on December 31, 2008 to reflect its broader firm offerings. All assets managed by GIM on a discretionary basis are included in GIM s definition of total firm assets. A brief description of the strategy followed by this composite is shown above. Performance results are based on the reinvestment of all income, dividends and capital gains and are net of fees. Performance results are based on the reinvestment of all income, dividends and capital gains and are net of fees. Performance results are calculated net of actual (not model) management fees, transaction fees, custody fees, foreign taxes paid and non-reclaimable withholding taxes; but are not net of independent advisors' or consultants' fees. GIM does not charge performance based fees. Composites are rebalanced on a monthly basis. GIM does not employ the use of leverage or derivatives in any of its portfolios. However, the underlying mutual funds, annuity sub-accounts, ETFs or ETNs may employ the use of derivatives (such as short sales, options and futures contracts)or leverage. All of these investment strategies introduce risks which are in addition to the traditional market risks of equity or income investing. These strategies are often employed in an effort to decrease overall portfolio downside risk, but GIM and the outside Strategists can offer no guarantee that these strategies will be able to achieve their stated objectives. All returns displayed are calculated in U.S. dollars. Composite dispersion is measured using an asset-weighted standard deviation of returns of the portfolios. Actual client account returns may be different than those of the composite. For accounts custodied at TD Ameritrade ("TDA") or Trust Company of America ("TCA"), the management fee ("GIM s management fee") annual rate is as follows: The first $250,000 of the Client's Account value is charged 1.9, the next $250,000 is charged 1.7, the next $500,000 is charged 1.5 and amounts in excess of $1,000,000 are charged 1.0. In cases where GIM accepts accounts below its account minimums at TDA, GIM imposes a minimum fee of $100 annually. This minimum fee may make smaller accounts less cost effective than larger accounts. In addition to these fees, TDA and TCA will charge additional fees to Client, including asset based fees for custodial and execution services, as outlined in Schedule B to GIM's advisory agreement. For accounts custodied at qualified custodians other than TCA or TDA (as outlined on the GIM Product Guide), the management fee annual rate is as follows: The first $500,000 of the Client's Account value is charged 2.0, the next $500,000 is charged 1.5 and amounts in excess of $1,000,000 are charged 1.0. In cases where GIM accepts accounts below its account minimums at TDA, GIM imposes a minimum fee of $100 annually. This minimum fee may make smaller accounts less cost effective than larger accounts. GIM has agreements with some registered investment advisors and their representatives (collectively called "Advisor") who refer Clients to the GIM Legacy program without receiving a Solicitor's fee and agree to provide substantial services to such Clients on behalf of Manager. In these cases, GIM will offer its service to such Clients at a reduced rate from GIM's regular basic fee schedule. By written agreement between Advisor and GIM, Advisor has agreed to charge such Clients for its separate services that it provides to them. The Advisor shall have the exclusive right to determine the advisory fees ("Advisor's Fee") it will charge for this service. The Advisor's Fee schedule will be provided to Clients, as Schedule C, by Advisor on or before Clients execute GIM's Joint Services Agreement. Client may pay less or more than other clients receiving the same services. Request Form ADV Part 2 Brochure for a complete description of Green Investment Management, Inc. s management services. Market and economic conditions can change rapidly producing materially different returns (or losses) over different periods. Investing involves risk and you may incur a profit or a loss. Past performance is no guarantee of future results. This information was gathered in a way that GIM believes to be reliable, but accuracy is not guaranteed. No inference should be drawn that managed accounts will achieve similar performance or will be profitable in the future. On October 1, 2006 GIM began using custom benchmarks to better reflect the actual fund and asset class make-up of the GIM Legacy Models and the Portfolio-Designs GIM Guardian Models. These custom benchmarks are comprised of Lipper Indices. GIM used both the Open-End Fund and Variable Annuity Lipper Indices in order to properly reflect the assets under management at GIM. On this date, GIM used a historical weighted average for the past five years of assets under management (AUM) in annuity products versus non -annuity assets. Annuity products made up 4 of GIM AUM while the other 6 was non-annuity. Therefore, GIM used a blend of the Lipper Variable Annuity Indices to make up 4 of each benchmark and a blend of the Lipper Open-End Fund Indices to make up 6. Except in the case of the Country allocation, this allocation is 10 Non-Annuity blend. GIM constructed each blend using the same strategic targets that are used in the GIM allocations. The blended benchmark components are rebalanced monthly. The Domestic stock target is then broken down into three categories; Large-Cap, Mid-Cap and Small-Cap, the percentages of these categories were derived from Standard & Poor s. (Data used as of 1/5/2006) The description of Lipper's Indices that are contained in one or more of GIM's benchmark composites are as follows: Lipper General Bond Funds; A fund that does not have any quality or maturity restrictions. Intends to keep bulk of assets in corporate or government debt issues. Lipper Large-Cap Core Funds, Funds that, by portfolio practice invest at least 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) greater than 30 of the dollar weighted median market capitalization of the middle 1,000 securities of the S&P SuperComposite 1500 Index. Lipper Mid-Cap Core funds are the same as the Large-Cap Core except they invest 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) less than 30 of the dollar weighted median market capitalization of the middle 1,000 securities of the S&P SuperComposite 1500 Index. Lipper Small-Cap Core funds are the same as above except they invest 75% of their equity assets in companies with market capitalizations (on a three-year weighted basis) less than 25 of the dollar weighted median market capitalization of the middle 1,000 securities of the S&P SuperComposite 1500 Index. All three core cap funds have more latitude in the companies they invest. These funds typically have an average price-to-earnings ratio, price-to-book ratio, and three-year sales-per-share growth value, compared to the S&P 500 Index, for Large-Cap, MidCap 400 Index for Mid-Cap, and S&P SmallCap 600 Index for the Small-Cap. Lipper International, A fund that invests its assets in securities with primary trading markets outside the United States. Lipper Intermediate Municipal Debt Funds; A fund that invests in municipal debt issues with dollar weighted average maturities of five to ten years. The returns used for the indexes and composite returns are total returns, which include reinvestment of dividends and capital gains. Indexes represent securities widely held by investors. You cannot invest directly in an index. The Lipper Balanced Income Composite is a total return benchmark comprised of 17.5% Lipper Large-Cap Core, 1.7% Lipper Mid-Cap Core, 0.8% Lipper Small-Cap Core, 1 Lipper International, 7 Lipper General Bond Funds. The S&P 500 Index is a market capitalization-weighted index of 500 widely held stocks often used as a proxy for the stock market.
Guardian Conservative Balanced 50/50 (G ConBal) Benchmarks: Lipper Conservative Balanced Benchmark (LConBal) Standard and Poor's 500 Index () Performance Record: 23.08 From: To: Jun-94 Jun-17 The Guardian Conservative Balanced Income 50/50 Allocation is a strategy that invests in a diversified mix of both domestic and international stock and bond funds. It has a strategic target of 5 equities and 5 bonds, but may alter this mix within predetermined ranges. This strategy may be suitable for investors seeking conservative long-term growth with some current income. Green Investment Management, Inc. (GIM) became registered as an investment adviser in 1984. Since that time, GIM has specialized in offering actively managed investment models designed to balance both the opportunities and risks inherent in our rapidly changing markets. GIM manages its allocations with an active defensive style. Each allocation has a defined strategic mix of asset classes which are regularly adjusted within tactical ranges as market conditions change. This disciplined approach focuses on risk management and is designed for investors who place great emphasis on principal preservation but still want to participate in bull market gains. Fund Non-Annualized Returns [2] Benchmark 1 mos 3 mos 6 mos YTD Cumul G ConBal 0.32% 2.2 6.13% 6.13% 204.19% LConBal 0.38% 2.84% 6.91% 6.91% 319.68% 0.62% 3.12% 9.38% 9.38% 726.96% 3MosBill 0.08% 0.23% 0.38% 0.38% 77.67% Annualized Returns (Net-of-Fees) For Rolling Periods Ending: 6/30/17 [1] 1 1 Snce Incpt 9.26% 1.85% 4.85% 2.53% 4.29% 4.94% 11.04% 3.79% 7.27% 4.76% 6.01% 6.41% 17.95% 9.64% 14.65% 7.17% 8.31% 9.59% 0.58% 0.25% 0.18% 0.5 1.24% 2.52% Net-of-Fee Returns Max Drawdown Per [2] Fund / Benchmark G ConBal LConBal G ConBal LConBal Standard Deviation [2] 1990 G ConBal LConBal 1991 6.11% 6.37% 11.18% 1992 6.03% 6.21% 10.81% 1993 10.93% 10.0 16.4 1994-1.37% -0.52% 2.29% -2.55% -3.05% -3.88% R Squared [2] 1995 1996 1997 1998 13.56% 12.09% 12.37% 11.28% 20.66% 12.22% 14.56% 12.23% 37.52% 22.94% 33.35% 28.57% -0.35% -2.75% -2.56% -3.2-0.1-2.01% -2.98% -8.96% -0.36% -4.42% -5.6-15.35% 0.97 0.96 0.94 Beta [2] 0.83 0.81 0.88 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 4.99% 3.88% -2.89% -7.98% 23.32% 9.96% 2.49% 8.19% 1.81% -28.31% 28.2 10.94% -3.54% 11.86% -1.5-5.0-7.34% 17.81% 8.26% 5.49% 11.12% 7.25% -22.97% 21.72% 10.34% 0.4 21.04% -9.09% -11.86% -22.1 28.67% 10.87% 4.9 15.66% 5.11% -37.0 26.45% 15.05% 2.08% -2.17% -2.27% -12.62% -13.57% -1.18% -1.88% -3.34% -1.82% -3.01% -30.77% -11.26% -7.35% -13.41% -2.53% -7.17% -11.78% -11.62% -1.84% -2.43% -2.46% -2.11% -2.01% -26.06% -10.35% -6.42% -10.53% -6.24% -13.11% -23.1-28.34% -4.07% -3.31% -4.01% -2.87% -4.84% -37.66% -18.18% -12.81% -16.29% 0.96 0.54 0.97 0.55 1.08 0.66 Alpha [2] -0.15% -0.27% -0.17% -0.24% -0.2-0.19% Fund Sharp Ratio [2] Benchmark G ConBal 0.26 0.77 0.19 LConBal 0.56 1.14 0.43 0.84 1.34 0.41 2012 8.99% 12.56% 15.98% -3.46% -3.76% -6.6 2013 10.22% 13.93% 32.41% -3.3-2.48% -2.9 2014 1.88% 4.45% 13.69% -2.48% -1.93% -3.46% 2015-3.78% -2.37% 1.41% -7.79% -6.96% -8.35% 2016 5.66% 7.2 11.98% -3.3-3.27% -5.08% 2017 6.13% 6.91% 9.38% Important Disclosures to follow