Loading...
HomeMy WebLinkAbout04.a. Quarterly updates on OPEB Trust (Q3 9/30/16 and Q4 12/31/16 reports) 4.a. Ire IGHMARA,. CAPITAL MANAGEMENT October 27, 2016 The Vassal to Finance Manager Central Contra Costa Sanitary District 5019 Imhoff Place Martinez, CA 94553-4392 RE: 3rd Quarter 2016 OPEE Report Dear Thea, Over the past year, we have ended each quarter looking back at the unusual events that transpired over the prior three rnoaths r we are contin,u fly encouraged/surprised by the market's reactic n to such events and the res i I i e nce of th is long lived buII market.The third quarter of 2016 was no exception. The quarter stat ad off with he�ghien edl uncertainty, revolving around the outcome of the'Brexit"vote in favor of the UK exit from the EU. Perhaps just as surprising as the vote to leave the EU in late June was how quIckly financial markets shrugged off a significant geopolitical development. After a brief sell-off in risky assets, quick. responses by global central banks, once again served to soothe the fears of investors, sending capital back into risk assets and fueling a continued rally in the equity markets. Even European equity markets,that presumably wo u Id be most adversely affected by"Bre itr", enjoyed strong performance during the third quarter of 2016. Once again, the resilience of risk assets in the face of turmoil-highlights the power of monetary pol icy to influent e Investo is sentim ent, wh i le rail i ng the questi on of"how m uch longer wi 11. it confin u e to work?" S iris of diml nis hi ng returns from ag g res s ive m o netary policy are s howing up in weakening global economic activity indicators. In order to avoid a liquidity trap, a growing oho ru s of voices a re cal I I n g for a coord i rated f iscal po I icy respons e to to k e the baton f rom ce ntra I banks, A lack of political will and already high sovereign debt levels, however, will challenge such a movement. In the U.S. we watched our own shocking pGlitical campaigns transpire, with headlines that would rival a tabloid cover story. The current political battle here in the U.S. outhries the success of the populist movement and underscores the rising dissatisfaction with the status quo of both parties among the electorate. Tepid economic growth and rising income inequality appear to be the main culprits. The current U.S. sentiment towards the establishment is eerily similar to that of the UK surrounding the'Brexit" vote. Could political and market analysts be in for another surprise at the end of the U.S. eledion? With election day in sight., investors may nw turn their focus to a narrow set of potential outcomes. While there is sure to be heightened volatility in the near-term, for long-term investors, the bigger question is what either candidate can actually accomplish with an increasingly partisan Congress. As such, the margin of victory, along with any changes to the party makeup of Congress, will be just as important as which candidate is 0imate lir elected.The investment implications of the political landscape are only increasing.When limits of monetafy poll is y effective n ess are tested, m ore is expected f ra m the fiscal s ide of the econo m it eq uatio n. Performance Review The Central Contra Costa Sanitary District OPEB Plan registered a 3.57% return in the third quarte-r. The fixed income investments posted a 0.92% return. which outpaced the Barclays Aggregate return of 0-46n%. Corporate bonds supported the outperformance with all four of our bond managers exceeding the benchmark in the third quarter. Initial Bre it related fears that gripped the bond market in July, subsided throughout the quarter. with global central banks offering potential support if market and economic circurnstances turned downward. Although the Federal were met twice In the quarter,they chose not to raise rates, However, in the Seplember meeting, there were three voting members that vot-ed to raise rates. This action was interpreted by some that the Fed might be inclined to raising rates before the end of the year. Stock;s enjoyed a strong quarter, with the Plan's equity returns posting a 6.34% gain. Foreign equity markets led gains. with returns from emerging markets (+9.03%) especially rewarding. Emerging Markets have rallied this year based on better than expected growth out of China. As well, some investors are attracted to emerging markets due to attractive valuation levels. While t h e S&P 500 is up o r 16% aren u al ly over the last f ive yea rs, emer g in g markets have posted Con I y' 3% an n ual ized gal n s o r the same ti E? p e rind- D eveloped in-ternational markets rete rned &4% i n th e q Lia rt r, and th i s was i n t h e face of concerns over 13 re it. R ElTs we re the only negative returning asset class (Wilshire REIT Index -1.2%) within the Plan in the third quarter. With rates rising in the quarter, a sell-off in REITs was not surprising. Manager performance was encouraging this quarter in both the large cap domestic and international equity segments. Our international managers were aided by their exposure to emerging markets. Our large cap equity managers were supported by exposure to both technology and financial related shares. Leading managers in the large cap segwent included Harbor Capital Appreciation (+8.2%), Dodge& Cox Stock Fund (+8.8%), and T. Rowe Price Growth Fund (+7.9%), During the quarter, we replaced our small cap value manager,the Columbia Small Cap Value Fund with the Undiscovered Managers Behavioral Value Fund- While this fund has an unusual name, it has a strong track record of outperiorming the bench mark. The managers seek to identify small cap stocks that are subject to specific human biases, which lead to underperformance (and undervaluation) and look to insider buying signals as an indicator Ot the co m pany's future,potential. We initiated ou r i nvestment in the f and during the latter pa rt of September. Our target asset allocation at quarter-end was: equities 48.75%. bonds 47.75%and cash/money market 3.5%. This positioning reflects a very slight underweight to stocks an-d borlds.. Our du ratiGn position for bo nds is s lightly less t ha n the b e nchma rk, ref lecti n g ou r bel fief that th e Fed will raise rates once this year, and will follow through with two quarter point hikes in 2017. Andrew Brown PARS: Central Contra Costa Sanitary District Third Quarter 2016 Presented by Andrew Brown, CFA HIGHARK19 CAPITAL MANAGEMENT Investment Summary Since InceptiOni CCCSD Beginning Value $ 666,683.26 Asset Allocation Contributions 40.417,109.50 Withdrawals -8,9099829.21 Total Assets: $44,781,703 Gain (Loss) 4,923,43&63 Period Ending 9-30-16 1 nterest a n d D 1vid en ds 71784,324,81 Net Accrued Income 40,773.00 3Q16 Return: 3.57% Ending Market Value "p822F497.99* 1 Year Return: 8.49% In epta"I on-to-Date Return: 9.94%, Inception Date:4-1-2009 Cash $11600,224 3.57% Equity S21,831.719 48.75% Mi Fixed income $21.349.760 47.68% Ending Market Val ue differs from total market value on page 3 due to diffe rences i n reporting methodology. The above e nd in market value is reported as of trade date and includes accruals. The Asset Allocation to-tal market value is reported as of seftlement date. w P, PAF$: Central' Contra Costa Sanitary District ,AHIGHMARIX CAPITAL MANAGEMENT 2 ASSET ALLOCATION --- Central Contra Costa Sanitary District: As of Third Quarter 2016 C urre nt Aswt Al lo c a-ti oi- Investment Vehicle Equity 48.75% Range: 40'la.60% 21,8311 5719 Large Cap Core 5.54% SMGD( Columbia Contrarian Core C1 Z 21482,524 Large .dap Value 5.65% CSGX Dodge & Cox Stock Fund 21528,767 5.63% LSGIX Loomis Sayles Value Fund 21521,919 Large Cap Growth &34% HACAX Harbor Capital Appreciation Insti 1,497,933 3.35% PRUFX T Rowe Price Growth Stock Fund 1 1,500,412 Mid Cap Core 2.58% 1VVR iShareg. Feu sse[I MidCap index Fund 11155.5-67 Mid Cap Value 1.00% 1WS I S ha res Rus s el I M'rdCap Val ue F u rid 445.880 S mall Cap Value 5.56% UBVLX Undiscovered Mgrs Beha\Aora l Value Inst 21491 r 744 Small Cap Growth 3,44% PRJIX T Rowe Price New Horizons Fund 1 10541,450 Inter-national Core 4.03% NVVHMX NationWide Da-flrdIntl Equities 1 1,8041859 Int emational Value 2.21% DODFX Dodge& Cox International Stock Fund 990,633 Int emationall Growth 2.24% IGIX MFS Intern ation al Gmwth Fund 1,00-11996 Emerging Markets 2,71% SEMNX Schroder Emerging Market Equity 1,2141292 Real Estate 1.46% FA RCX Nuveen Real Estate Securities t 653,744 fixed Income 47.68% Range:40?1&-60% 2153495760 S h ort-Terim 3.86% VFX Vanguard Short-Term Corp Adm Fund 10727,192 Int ermediate-Terrn 21-24% NWJIX Nationwide HighMark Bond Fund Inst 91512,740 11.30% PTTRX PMCO Total Feet um Instl Fund 51059,292 11.28% PTF QX Prudential Total Retum Bond Q 5,050,535 Cash 3.57% Range: OVa-20% 1*6001;2 24 3.57% FGZXX First Amen'can Gomment Oblig Z 19600,224 -TOTAL 100.00% $44j815703 HI G H M, AR K PARS: Central Contra Costa Sanitary Distrfict CAPITAL MANAGEMENT M N Selected Period Performance- PARS/C E NT RAL CONT RA C OSTA SANT P RHC-P Account 67460306-00 Period Ending: 09130/2016 Year Inception to Date to Data Sector 3 Months (9 Months) 1 Year 3 Years 5 Years (90 Months) Cash Equivalents .06 -20 .22 -09 06 .12 oNbneyNet. Inc. Taxable .03 09 Total Fixed Income .92 5.81 5.59 3-50 3.68 5.28 .:z ;��_ BC US Aggregate Bd index -46 _�..1-, 5.19 4.03 8.0 J.. Total Equities 6.34 6.72 11.78 6.92 13.80 14-66 Large Cap Funds 6.13 5.34 12.25 9-50 15,82 15-35 S&P :500 Composite Index 3-85 84 15.43 11.16 16.37 16-71 Mid Cap Funds 4.37 10.07 12.91 6.48 13.52 Rims ell Mop Index 4. = 10.26 14.25 9.70 16-67 7893 Small Cap Funds 7.54 10.01 13.71 8.35 17.78 19-39 Russell 2000 Index 9.05 11.46 15-47 6,7 1 15-82 1717 REIT Funds -1.58 9.09 9.46 Wilshire, REJ T h idex -1.21 9a 75 17.94 14-34 15.82 9J., International Equities 7.53 6.01 8 67 .83 5.87 9.28 MSCI EAFE index 6.43 1-73 6.52 .47 7.39 9-71 MSO EM Free Index 9.03 16,02" 16.78 -.56 303 8.98 Total Managed PoMdio 3.57 6.07 8.49 5.18 871 9.94 Account lncepbon412009 Returns are gross-of-fees unless oitherwise noted- Returns for per-rods-over one year are annualiced.The information presented has been obtained from sou rce s bel-reve d to be a cc u rate a nd re I i a b le. P a st perfa rrn a n ca I s n ot 1 ndgicative of fu ture retu rn s. Securifies a re not F D I C 1 ns u red. ha ve no ba nk g u a rantee, and may lose value. 'V Ot PARS: Central Contra Costa Sanitary District ,AHIGHMiR11.1- 4 CAPITAL MANAGEMEN'T CENTRAL CONTRA COSTA SAN ITAR'Y DISTRICT For Period Ending September 30, 2016 LARGE CAP EQUITY FUNDS 1-Mo cath 3-Month Yea r-to- 1-Year 3-Ye a r 5-Year 10-Year Fund Name Inception Re to Re tum Date Return Return Return Return Columbia Contrahan Core C1 Z (7113) 0.00 4.27 6.65 14.97 111-09 17-42 9.48 Dodge& Cox Stock (8114) 1-19 8.79 9-55 14.53 8.91 17-10 5.52 Harbo r dpi tal Ap prec ration I n 1 1. 8.16 0-89 9.05 11.28 15-99 8.68 Loomils Sayles Value Fund (7111) -0.81 3.07 4.57 9.92 7.15 15A6 6.08 T. Rowe Pnce Growth Stock 1 1.77 7.88 1,47 10-25 11.11 17-41 8.63 S&P 500 [ndex 0.02 3.85 7.84 15.43 11.16 16.37 7.24 iShares Russell M Idcap Value (3116) 0.41 4.39 13.50 17,01 10.24 17-.112 7.71 Russell Mid Cap Value Index 0.42 4.45 13.72 17.26 10.49 17.38 7.89 iShares Russell Mid-cap Index (3116) 0-19 4-45 10.09 14.04 9.51 16,48- 8.16 Russe[[ Mid Cap Index 0.20 4.52 10.26 14.25 9.70 16.67 8.32 RMALL-!CA. JEQUITY FUNDS Undiisco°ered Mgrs Beha�oral Value Inst (916) -0-03 7.21 11,68 17,66 10-51 20-65 9.34 T. Rowe P n c e New Horizons 1 0.90 7,77 8-76 14-37 9.45 18-96 11-55 Russe 11 200 0 1 nde x 1.11 9.05 11.46 15.47 6.71 15.82 7.07 ; -EMERN REAL ESTATE FUNDS" Numen Real Estate Secunties 1 -1.56 -1.41 9.99 18.50 13.94 1:5.52 7-18 INTERNATIONAL EQUITY FUNDS Dodge& Cox Intl Stock 0.03 10.15 4.74 5.62 0.06 8.17 2.88 Nationwide Bailard Irttl Eqs Instl 0.89 4.87 0.76 4.99 2.71 8.93 2.81 Schroder Emerging Market Equity (1111 2) 2.43 10-28 16-25 16.92 -0.43 4-25 4.51 MS Intemational Growth 1 1.21 6.48 B-71 12.8" 2.22 B-39 4.49 MSCI SFE Index 1.23 6.43 1.73 6.52 0.48 7.39 1.82 M S C1 Em e rg ii ng Ma rkets I ndex 1.29 9.03 16.02 16.78 -0.56 3.03 3.94 Nationwide HighMark Bond Instl 0.01 0.66 6.76 15-83 4,10 3.76 5A3 Pirinco Tota.] Retum Inst'] 0.37 1-24 5.18 5.69 3.51 4�18 5M Prudenti al'Tota I Retum Bond 0 (511 6) -0-03 1.41 8.G8 7,27 5.33 5-14 6.37 Vanguard Short-Term In tnrient-Grade Adm O 2 0.57 3.67 3.39 2-42 2-56 3.56 Ba rCa p US Agg regate Bo nd -0.06 0.46 5.80 5.19 4.03 3.08 4.7S TZ ot PARS: Central Contra Costa Sanitary ry D- CAPITAL NAGEMENT V'M' I . CAPITAL MANAGEMENT Jan u ary 30t 20 17 Thea Vassallo Finance Manager Central Contra Costa Sanitary District 5019 Imhoff Place Martinez, CA 94553-4392 RE: 411, Quarter 2016 DPEB Report Dear Thea, The election of Donald Trump as the 4511, President of the United States brought with it a roller coaster of emotions and market volatility. Dornestic equity markets soared on expectations of a rise in corporate earnings, and economic growth driven by an ambitious plan of deregulaticn, corporate tax reform, and offshore earnings repatriation. Conversely, if these equity marko stimulative actions were to come to fruition, an increase in inflation, and rising into rest rates would likely ensue. Bond investors got a preview of this with the decline in the Bloomberg Barclays Capital Aggregate Bond Index of-31/6 in the fourth quarter. This decline discounts more than JUStr the one rate hike that took place when the Federal Reserve Open Market Committee(FOMC) raised--he discount rate on December 101. Instead, the sell-off in the bond market is more representative of 2 or 3 interest rates hikes in the coming year. Economic i nd'i cators cont in u ed to be pos itive 1 n t h e f a u rth, quarte r. G D P read 1 n gs for th e thil rd quarter came in at 3.5%annualized growth, Consumer spending was 4atively strong. The unemployment rate ended 2016 at a 4.7% rate, with the three-month average gains in non-farm payrolls measuring approximately+167,000. Wage gains also rose noticeably in the quarter with a . %ga in, as r o r year i n Decem ber,which represented th e largest inc rease s ince J u n e 2009. Both consumer and business confidence measures al noticeably spiked after the election. The Conference Board's Consumer Confidence Index surged past its previous 2006 peak reading of 113.7 in December. T he Central Contra Costa Sa n itary District 0 P EB P Ian returned+0.1%for th e q parte r a nd 6r 18% for the calendar year, grass-of invests ent fees. Our fixed income investments ire the quarter posted a -2.49% return, which outperformed. by declining less Lhan the Bloomberg Barclays, Aggregate return of -2,98%. The fixed income markets sold of] in the quarter, partly because of the FC rate h i ke, b ut rn ain ly beca u se of th e potential for the eco nomy and ii nf lation,to S p like in the wake of President Trumps election victory. The Nationwide HighMark Bond Fund and 1 h e Pi co Total Return Bond Fund both declined by-2.5%, while the Prudential Total Return Bond Fund matched the index, declining by-3% The portfolio benefited from the allocation to the Vanguard Short Term Investment GradE? Bond Fund,which declined-0.82% in,the quarter, beating the broad bond market. Manager performance was encouraging this quarter in the large cap equity space, due mainly to the port-fol lo's o rwei 9 ht to val ue stock s a nd from the sIron g perfo rma nce f rom th e Dodge and Cox Stock F u nd (+10-7%). Large cap g rowt h struggled i n t he quarte r wit h th e H a rbor Capital App rec iiation Fund (-1.94%) and the T. Rowe P rice G rowth Stock Fund (0,10%) lag g in g vers us the benchmark. While the small cap equity segment posted the strongest performance for the po rtf o I io ii n the fou rth q uarte r at+4.79%, th is lagg ed the Russel 12000 1 nd ex rot u rn target of 8.83%. REITs declined -1.96% in the quarter, on fears that a ricin g interest rate environment would make REITs high dividend yield less attractive. The international equity allocation returned -2+70%. which lagged the KASCI EAFE Index return of -0.7%. Emerging markets, whic-h rebounded nicely in 2016 (+11.2% YTD), was the main detractor from. petformante in the-quarter, w*th the index declining -4.16%. Fears of protection ist trade policies, a strong US dollar, and a slowdown in Chinese economic growth weighed on the prospects of ennerging market companies. At the end of the quarter, we eliminated the Loomis Sayles VaI`ue Fund, and replaced it with the Vanguard Growth and Income Fund. The Loomis Sayles Fund had underperformed their peer q ro u p, a rid the u nde rlyin g benchmark, o r the p reviou s 3 years. W ith respect to I h e add ition of the Vanguard Growth and Income Fund, we were airning to add exposure to large cap equity that would have less variability to the underlying benchmark, and to complement our active managers. On the fixed income side, we added a sma-11 allocation to the Faton Vance Floating Rate High I ncom e Fu nd and inc reared the a I locat Fon to s h ort d u ratio n i nvest m e nt g rade bonds. Th e f loatin g rate fund invests primarily in higher yielding senior secured corporate loans, which have a q u a rte rly floating rat e f ,to re tied to L I BO R. Short d u ration bo nds a I so have less ii We rest rate expos u re g i very the i r s ho rte r mato rity. As i We rest rates rise, the cornbi nati o n of th e f loatl ng rate fund and the shorter maturity bonds will adjust and should add a stronger layer of capital preservation within the fixed income segment. Our target asset allocation at quater-end was: equities 48.5%,bonds 48% and cash/money market 3.5%. Andrew Brown PARS: Central Contra Costa Sanitary District Fourth {quarter 2016 Presented' by Andrew Brown, CFA �I H IG Hl �� CAPk7fYL MANA6EMEhE` ti CCCSD Investment Summary Since Inception Beginning Value $ 566,683.26 Asset Allocation Contributions 42,058,417.51 Withdrawals - 10,159,840-64 Total Assets: $45,2'15,394 Gain (Loss) 3.980p217-08 Period Ending 12-31-16 Interest and Dividends 807619,93&86 Net Accrued Income 47,096-69 4Q16 Re#urn: 0.1 D% Ending Market Value $45p262,512.76* 1 Year Return: 6.18°/0 Inception-to-Date Return: 9.62% Oception Date:4-1-2009 Cash S1.617,425 3.59% Equity $21,895,16-5 48.42% Fixed Income $21,1702F803 48-00% Ending Market Value differs from total market value on page 3 due to differences in reporting methodology. The above ending market value is reported as of trade date and includes accruals. The Asset Allocation total market value is reported as of settlement date- PARS: Central Contra Costa Sanitary District H IGHMARrl�.TZ CAPITAL MANAGEMENT 2 ASSET ALLOCATION — Central Contra Costa Sanitary District As of Fourth Quarter 2016 rpt Asset Allocation I nvestmen-t Vehicle Eg u i!y 48.42% Range:40%-60% 21,895 a 165 Large Cap Core 4-88% SMGIX Columbia Contrarian Core,Cl Z 2,208,525 9-71% VGIAX Vanguard Growth & Income Adm 41391,874 Large Cap Value 5-.87% DGX Dodge & Cox toFund 2,655,645 Large Cap Growth 2.10% HAPAX Harbor Capital Appreciation Instl 948,032 2.10% PRUFX T Rowe Pfice Growth Stock Fund 1 948,300 Mid Cap Core 2.59% lWR iShares Russell MidCap Index Fund 1,171,891 Mid Cap Value 1.00% 1vvS iShares Russell MidCap Value Fund 451,373 Small Cap Value 4.64% UBVLX Undisco%ered Mgrs Beha\A'oral Value Inst 20981891 Small Cap Growth 2.76% PX T. Rowe Price New Horizons Fund 1 10248,905 Intemational Core. 4.06% NVVHMX Ncation wide Bailard Intl Equities 1 1,,835,307 Intemational Value 2.23% DODFX Dodge & Cox Intemat'lonal Stock Fund 110090455 International Growth Z24% MQGIX MFS Int rational Growth Fund 1,013.906 Emerging Markets 2.70% SEMNX Schroder Emerging Market Equity 11223,028 Real Estate 1.53% FARGX Nuveen Real Estate Securities 1 690,034 Fixed Income 48.00% Range:40Y&-60% 213702P803 Short-Term 6.33% VFSU X Vanguard Short-Term Corp Adm Fund 21863,555 Intermediate-Term 16.43% NWJIX Nationwide HighMark Bond Fund Inst 71427,906 10.10%. PTTRX PMCO Total Return Instl Fund 4,567,620 12-64% PTRQX Prudential Total Return Bond Q 5,717,461 Floating Rate Notes 2.49% EIFHX Eaton Vance Float Ing-Rate & Hi Inc 1 113126..261 Car>h 3.58% Range: 0%-20% 19617�425 3.58% FG� F 1 rs t A m efican Go�ern m eat Ob I ig Z 11617,425 TOTAL 100.00% $451215P394 WAD9 PARS: Central Contra Costa Sanitary District CAPITAL MANAGEMENT Selected Period Performance PARS/ E TFZAL CONTRA COSTA SANT P H P Account 6746030600 Period Ending: 1213112016 Year Inception to Date to Date Sector 3 Months (I Yea r) 1 Y ear 3 Years 5 Years (9-3 Months) Cash Equivalents .07 .27 .27 Al .07 .12 iW*yNei. wc. Taxable .04 .05 .04 .04 Total Fixed Income -2.49 3.17 3.17 2.46 2.84 4.76 6C US A- -egat,e B index -2-9-8 2.65 3-03 2.23 4.02 991 - Total Equities 2.61 9.50 9.50 4.80 12.08 14.54 Large Cap Funds 4.36 9.93 9.93 7.40 1*46 15.45 S&P 500 Composite Index 3.82 11-96 11.96 8-87 14-66 16 70 Mid Cap Funds 3-85 14.30 14-30 5.27 11.72 Russell Midcap Index 3.21 13.80 13.80 7-92 14.72 1675 Small Cap Furmis 4.79 15.28 15.28 7,08 15.26 19.42 Rasseil 2000 ;o7dex 8.83 21-31 21-31 6.74 14.46 17,85 RE IT Funds -1.96 6.95 6.95 Wilshire REI T Index -2.26 7.24 T24 13.78 12,02 22 51 Int emational Equfties -2.70 3.15 3.15 -1.76 4.21 8.58 MSCI EAFE Index -.71 1.00 1.00 -1.60 6.53 9-23 MSCI EM Free fadex -4.16 11.79 11.19 -2-55 1-26 6-09 Tatall Managed Portfolio .10 6.18 6.18 3-70 7.38 9.62 Account I ncepti on 4/2009 Retums are gross-cf-fees unless otherwise noted. Returns for periods over one year are annualized-The-information presented has been.obtained from sources believed to be aocurata and reliable-Past performance is not indicative of future returns. Securities.are not FDIC Insured, have no bank guarantee. and nn ay lose value. PARS, Central Contra Costa Sanitary District ,AHIGHMARr'. 4 CAP TAL MANAGEMENT CENTRAL CONTRA COST. SANITARY DISTRICT For Period Ending December 31, 2016 LARGE CAP EQUITY FUNDS 4-Month 3-Manth Year4o- 1-Fear 3-Year 5-Yea r 10-Year Fund Narne Inception fie tom Retum Date Retum Return Return Return Columbia Contrarian Core Cl Z (77f13) 1-37 1.87 8.64 8.64 8-11 15,28 8.86 Dodge&Cox Stock f W1 4� 1.26 !0-71 21-28 21.28 8.55 17J311 5.93 Harbor Capital Appreciation I ristl 408 -1-94 -1-07 -1.0' 6.48 13.1a6 8,01 Vanguard Gn.7wth& Incorne Ad m (1 '16) 1.75 4.06 12-12 11112 9.30 15.20 6.49 Loornis Sayles Viallue Fund out(12'16) 1. 6.73 11.62 11.62 5-80 13.9-6 5.92 T Ravie Pdce Growth Stock 1 0.36 0.10 1.58 1.56 7-D4 1521 7.93 S&P 500 Index 1.98 3.82 11.96 11.96 8.87 14,66 &95 !Sharer,Russell Ii Vain (3'16) 1.76 5.46 19.69 119-69 9.22 15.45 7,41 Russeill Mid Cap Value Index 1.78 5-52 20.W 20.00 9.45 15.70 7-059 i-Shares Russell Ml-dcap Wex (3115) 1,13 3.17 13,58 13.58 7.74 14.53 7.71 Russell Mid Cap Index 1.14 3.21 13.80 13.80 7.92 14.72 7.86 �W kli .EQIJIITY FUNDS !M Undtscavered Mgrs Eeha�ml Value Inst (9116) 1.59 8.20 20.8 20.84 9.73 17.57 9.11 T,Rovm Pke New Horizon 1 -1,49 -0.74 f.95 7.95 6.19 15.71 10.80 Rusself 2000 Index 2.80 8.83 21-31 21.31 6.74 14.46 7.07 -EP ML Nu%Een-Real Estate Securities 1 4.55 -2.91 6.79 6.79 13-20 11 71 5.87 INTERNATIONAL EQUITY FUNDS Dod-ge&Gox Intl Bloch 2.45 3.36 8.26 8.26 -1-34 7.98 2.11 Nati-onwide gailard Intl Eqs hstl D.94 -2.86 -2.13 -213 -1.04 7.41 1.44 Schroder Emng MaNet Equity (1111 2) �-05 -5.03 1-0,41 10.41 -2.76 1.81 2.30 MFS lntemat�ona;Growth 1 1.82 -5.59 2.64 2.64 -0.77 5.89 2.64 MSCI EAFE Index 3.42 -0.71 1.00 1.00 -1.60 6.53 0.75 MSCI Emerging Markets Index 0.22 -4.16 11.19 11.19 -2.55 1.28 1.94 Ab NaticrwAde HiqliMaek Bored Instl 0-30 -2.45 4.14 4.14 3.04 2-92 4.74 Pimco To.al Rehim In-st'l 0-66 -2.46 2.60 2.60 2.66 3.21 5.62 PWeMial Total Retum 113and 0 (EW16) 0-60 -3.01 4,83 4.83 4.01 4-16 5.86 Vanguard ShW-Tefm'Imestm-ent-Grade Adm 0.07 -0.82 2.82 2.82 1.94 2-29 3.34 Sa r p US Ag g raga to Bond 0.14 -2.98 2.66 2.65 103- 2.23 4.34 Eaton Vance Floating-Rate&Hi Inc last (12'16) 1.42 2.47 11-515 55 3.50 5-02 4-27- Source: SE Investments,Moi-nirgstar hwestments AWums less than one year am nd annuafized, Pas I perkitmance hs rro indication of furore res ails. The inform a tioe presented has been ob fair.ed from sol rc es befieved to be accurate and PeRabfe SecaNies am rwr FDIC ins-ured, have no bank guarantee and may lose value. ap- ,A-HIGHMARKI.r PARS: C e ntra I Con tra Costa Sa n ita ry D istri ct CAPITAL MANAGEMENT