Did the total 3- and
5-year returns exceed the policy, which is comprised of 54% S&P500,
20.50% LBIGC, 20.50% LBGC, and 5% T-Bill? [0.39 vs. -1.59; 5.76 vs. 4.95]
COMBINED EQUITY
1.
Is the amount
invested in any one issuing company less than 5% of the Fund's total market
value?
2.
Is
the aggregate investment in any one company less than 5% of the outstanding
stock of the company?
3.
Is the amount
invested in foreign securities less than or equal to 10% of the Fund's total
assets?
4.
Is the amount
invested in total equities less than or equal to 50% of the cost value of the
total fund.
INDIVIDUAL EQUITY
Inverness
1.
Did the equity return
equal or exceed the S&P500 over the trailing 3- and 5- year periods?[-5.34 vs. -9.24; 4.71
vs. 3.71]
2.
Is Inverness'
trailing 5-year standard deviation below the standard deviation of the
S&P500?[17.96 vs.
17.61]
3.
Do the 3- and 5-year
equity returns rank in the top 50% of the Mobius Broad Large Cap Core
Universe? [30th & 28th]
4.
Did the equity return
rank in the top 75% of the Mobius Broad Large Cap Core Universe for one of
the last 2 quarters or for the last year?
ASSET CONSULTING GROUP
a division of Gabriel,
Roeder, Smith, & Co.
Page 1
INDIVIDUAL EQUITY
(continued)
5.
Has
Inverness' equity performance fallen outside the southeast quadrant of the
risk/return scattergram over the 3- and 5-year period?
6.
Has Inverness'
trailing 3- and 5-year equity returns outperformed its index for at least 1
of the last 4 quarters?
7.
Has Inverness' equity
annualized alpha been positive for the last 3 years? [4.51]
Davis
Hamilton Jackson
1.
Did the equity return
equal or exceed its S&P500 index during the trailing1- and 2- year periods?[-15.59 vs. -17.99; -16.81 vs.
-16.42]
2.
Is DHJ trailing
2-year standard deviation below the standard deviation of itsS&P500 index?[16.38 vs.
16.82]
3.
Does the 2-year
equity return rank in the top 50% of the Mobius Broad Large Cap Growth
Universe? [8th]
4.
Did the equity return
rank in the top 75% of the Mobius Broad Large Cap Growth Universe for one of
the last 2 quarters or for the last year?
5.
Has DHJ equity
performance fallen outside the southeast quadrant of the risk/return
scattergram over the 2-year period?
6.
Has DHJ quarterly
equity return outperformed its index for at least 1 of the last 4 quarters?
7.
Has DHJ equity
annualized alpha been positive for the last 2 years?
ASSET CONSULTING GROUP
a division of Gabriel,
Roeder, Smith, & Co.
Page 2
INVERNESS FIXED
INCOME
1.
Do the 3- and 5-year
total fixed income return exceed the policy (50% LBIGC, 50% LBGC)?[7.92 vs. 7.81; 7.43 vs. 7.34]
2.
Do the 3- and 5-year
total fixed income returns rank in the top 50% of the Mobius Broad Fixed
Income Universe? [13th & 10th]
3.
Are all fixed income
investments ranked in the highest four categories by Standard and Poors,
Moody's, or Fitch's Manual?
4.
Has Inverness' fixed
income performance fallen outside the southeast quadrant of the risk/return
scattergram over the 5-year period?
5.
Has Inverness'
trailing 3- and 5-year fixed income returns outperformed its index for at
least 1 of the last 4 quarters?
6.
Has Inverness' fixed
income annualized alpha been positive over rolling 3-year periods? [0.57]
INDIVIDUAL MANAGERS
Inverness
1.
Have there been any
material changes in Inverness' organization, investment philosophy and/or
personnel?
2.
Have there been any
changes in the Inverness' professional staff?
3.
Has Inverness
experienced any significant loss of business?
4.
Has Inverness
experienced any significant increase in business?
5.
Has Inverness
undergone any change in ownership and/or control?
ASSET CONSULTING GROUP
a division of Gabriel,
Roeder, Smith, & Co.
Page 3
INDIVIDUAL MANAGERS
(continued)
Davis
Hamilton Jackson
1.
Have there been any
material changes in DHJ's organization, investment philosophy and/or
personnel?
2.
Have there been any
changes in the DHJ's professional staff?
3.
Has DHJ's experienced
any significant loss of business?
4.
Has DHJ's experienced
any significant increase in business?
5.
Has DHJ's undergone
any change in ownership and/or control?
