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Home My WebLink AboutHandouts_Pension General_03_08/02/2010 n u �� w� y ��fl �� '�'.� ° �� s�'��`��v .. � � � � � ��€� • �� y � `'�`s�a"��t+� � `�' � � c ,�.,,.-° � � fY ti ! 5y � ��" y �� t t �M �� " SY 4�. �N 1,� /$YSyX%a.tsM1 m� �.k ��'� � .� ry^k*r ",�. �� '� m. ut� �r n >a � F,� �� ,� � � � F � d � n � � � � , � < �a. �� , � , : .... �� q � � � '� �^ �, ��` � ��- �� '� �°' ' '�� °�� r z "3, +�,Ri`r p t n�� s %'i , £e � �?'"� ,�ro �" wrtl r � r t .;,::v�'� �t"M,�� 4��'�+. �w, 'q �`� � J,�i 8 ,�4 - . � t '4� ��v �-, �� „ @ � '��a "�' '��d� �. (�� ) ` ��" t ��. ��rrc�J �� 3 �'�`��u� t �� '�''f , s '', " ��'+��4.`�� t��`� �; "^c + � °� '' 4 � � s� �» t x� z f , �,' i �'� r t ; t f �j � g �� " �' C S , � � f � �� ;�W"'�N;&� S' .i�w''1 � f�`.s"s`�. R?bA-�rx r�. le &"� P(�� ' �"� �-� � �!fi"�+� � � � � n ,�k�h k'4"� �, �.. � `%�,g'"'"r.�i � �`. �� f � '.± � 4'NVat j „� -. � . M', +�� v�+< i�" z��: �` � � �``� �' �, ; s� � ;��;" f�'� � �� , � y � ` i�'�'�''��; �;+ �., � � ��„ �"x ' v r � h � t1 , �� _, � v� . . z+` � � �� village of Tequesta � �� General Em lo ees' � p Y �� s Retirement Plan 2nd Quarter 2010 TI�-IE ��.�� . w ��lJ� �� 'VL%V�G'�'. E3 {) � �; l) ;� 1�l N t � K(! U 1'_ (; t) M1S sit�rft�ifyirt�; your i��tavst»rr�1r r�ur/ �rl��rir�i_y rl�risJrnis �--� f� ✓1i� � � L(- I� �� e-vt�� T �� No Text 2 Quarter 2010 Market Environment �� rF�f: � �_.., BOGDAHN Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. The Market Environment Major Market Index Performance Period Ended: June 30, 2010 Quarter Performance ■ Even the most optimistic market participants had no shortage of negative events to consider during the second quarter. Mscia,cwXus .,Z.3� MSCI EAFE -13.7/ Domestically, investors had to assess the potential impact of MSCIEmergMkts -a.s/ '�' financial reform, stubbornly slow employment growth and a burgeoning Federal deficit. Globally, investors had to consider S&P 500 •��.a/ the potential contagion of sovereign credit issues in Europe Russe113000 -t�.3/ questionable global growth and evolving Chinese currency Russeu �000 -,+.a� Russell MidCap -s.e% policy. If this collection of macro issues wasn't enough to give Russe112000 -s.s/ you pause, there was (and still is) oil spilling into the Gulf of Mexico. One individual pulling-back in the face of such BarclaysUSAgg s.sr challenges is certainly understandable, but if we collectively BarclaysUSGovt 4.2� pause to wait and see "what may happen", the unfortunate Barclays MB5 2.9� Barclays Corp IG a.a/ result will likely be deflation. While maintaining a long-term strategy in such an uncertain environment can be difficult, we 3-MonthT-Bill o.o� are confident in the markeYs ability to persevere over the long- -2o.o°ro -�s.o�ro -�o.o�ro -s.o°ro o.o�ro s.oio �o.o�ro term. ■ Domestic and international equity benchmarks suffered their OneYearPerFormance largest pullback in more than a year during the 2"d quarter. nnsciACwXus ;II�I " ,a.9� -- - --- � While it is always tempting to fault a single issue as the cause MSCIEAFE 6.<r � of negative performance, it is more likely a combination of MSCIEmergMkts z3 ;5� � cascading events that resulted in a general reassessment of I market risk tolerance after more than a year of consistent S8P 500 ,4.<� � ains. In contrast to e uit markets, fixed income benchmarks Russe113000 +5.�� g p y Russell 1000 u.z i posted impressive quarterly performance as a"flight to quality" Russell MidCap z5., � � drove investors to U.S. Treasury securities, which resulted in Rugseu Z000 2,.5� lower yields and higher prices. ' ; Barclays US Agg 9s � � � Barclays US Govt s.5 i ■ Despite the 2"d quarter's negative equity performance 011@- BarclaysMBS �.5� year results were solid for each of the equity and fixed income Ba��iaysca�pic �5.9� ! benchmarks on the chart. Emerging markets and domestic small and mid cap issues posted the year's most outsized 3-MonthT-Bill o.,� equity gains. Not to be outdone, the Barclays Aggregate Bond o.o�ro s.o�ro �o.o^io �s.o�ia 2o.o°io 2s.o�ia so.o�io index return of 9.5% was also impressive. �� 'I'tIF: Source: Barclays Capital, MSCI Capital Markets, Russell Investments 2 �,. ��GDAH� Peergroups were not fully populated as of the date this report was published. (, R�UP Peergroups are subject to change and a new report may be issued if necessary. �� The Market Environment Domestic Equity Style Index Performance Period Ended: June 30, 2010 Quarter Performance ■ Value managed to outpace growth on a relative basis for the quarter at each capitalization level with the exception of small 3000Value -t�.ti cap stocks (Russell 2000). The chart illustrates that the 2"d 30001ndex •�t.3� 3000Growth -t�.e/ quarter's style-based performance bands were much more narrow than those realized over the last several quarters. In 1000Value •��.�i fact, the narrow 140 basis point differential between small cap 10001ndex -��.a/ value and growth returns represented the quarter's widest 1000Growth -tt.�i style-based range. This quarter's narrower performance span was not surprising given the widespread losses realized by MidCapVatue -9.si' the most heavily-weighted economic sectors of the various MidCapindex -e.ei capitalization-based style benchmarks. nn�acaPC�oWcn -,0.2� 2000Value -�o.s/ 20001ndex •g.gi 2000 Growth -9.z i -15.0% -10.0% -5.0% 0.0% 5.0% OneYear Performance ■ The range of style-based benchmark performance is much 3000Value ,�.6� broader over the one-year period and favors value over 30001ndex ,5.�� growth across the capitalization spectrum. The value-based 3000Growth ,3.9� benchmarks' outperformance over the one-year period was largely driven by the strong financial sector performance 1000Value ,8.9� during the 3�d quarter of 2009 and the 1St quarter of 2010. �000i�aeX ,5.2� While the one-year results are certainly impressive in an 1000Growth 73.6% absolute sense, the inclusion of the 2"d quarter's negative performance coupled with the "roll-off' of the 2"d quarter of MidCapValue 28.9� MidCap Index 25.1 / 2009's strong perFormance (Russell 1000: +16.5%) resulted in MidCapGrowth z,.3� a significant downshift in the reported one-year performance from last quarter. z000vaiue z5.,� 20001ndex 2LS% 2000 Growth ta.o i 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% Source: Russell Investments �"� `I'tiE. 3 � BOGDAHN Peergroups were not fully populated as of the date this report was published. !'` R�UP Peergroups are subject to change and a new report may be issued if necessary. `T The Market Environment GICS Sector PerFormance &(Quarter-End Sector Weight) Period Ended: June 30, 2010 ■4rR Russe111000 � 1-Year ■ Large cap stock performance was negative across the various Global Industry Classification Standard (GICS) sectors for the Energy(10.3 " 3.5 ,, quarter. There were few places for portfolios to shift or hide Materials(3.8° -'S.2' with seven of the ten sectors of the Russell 1000 index down ,fi.s� o Industrials(10.9%) ��ZZi more than 10 /o for the quarter. In a reversal of last quarter's Zfi.6% sector results, telecommunication services (-5.0%) and utilities ConsumerDisc(10.7% -7 � 0 ' 29.3 % (-3.8%) sectors were the strongest relative performing sectors ConsumerStaples(70.3° $ � 5 ' of the benchmark durin the 2�d uarter. Such weak results t3.3% g q HealthCare(72.2%) ��' on a broad sector level means that individual issue selections ,0.3� and uninvested cash positions will likely play a dominate roll in Financials(16.7° � 75 � ICICIIVIdUBI IIlV8St1'Tl@Ilt I'Tlallag@f' C'@SUItS. InfoTechnology(18.4%) -�ZZi 16;3 % � Telecom Services (2.9%) •s.oi For the trailing one-year period, each of the ten GICS sectors 5.8� in the Russell 1000 index posted positive performance. In utn�c�es�s.s^io� -3.8' 6.3% contrast to the quarterly results, seven of the ten sectors of the Russell 1000 returned in excess of 10% for the period. -so.o�ro -zo.o% -10.0° o.o�ro io.o°io 2o.o�ro 3o.o�io ao.o�ra ■QTR Russe112000 ■ Small cap stock performance was also negative across each O1-Year of the GICS sectors for the 2"d quarter. Even though the . ,,. e ,, quarter's sector losses in the Russell 2000 were generally Energy(5.4% Z , 9 ,, more mild than those realized in the large cap index, it was Materials(4.8° �13�� 38.7% still a very difficult quarter for small cap stocks. While issue Industrials(15.4° ''•" selections and cash positions will be paramount in attributing 19 � 6 ' ConsumerDisc(13.8% •�3.6% the quarter's individual manager results, sector positioning to 34.or industrials �-7.7%�, consumer staples �-6.4%� and Utl�ltl@S ConsumerStaples(3.3%) ��4� zt.3/ (-3.2°/a) will also likely play a role. -,0.3� Health Care (13.8% 13.2 f ■ Despite the 2"d quarter's small cap selloff, the one-year results Financials(21.4° -9.5 2,2, for the Russell 2000 index GICS sectors are impressive. Each InfoTechnology(17.9° ��" Z,.o i sector of the Russell 2000 was positive over the period and Telecom Services (1.0°/a) � � six of ten sectors returned in excess of 20°/a '. Utilities (3.2%) -3.z � 13J % -30.0% -20.0% -10.0% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% �� THP. Source: Thompson Financial 4 BOGDAHN Peergroups were not fully populated as of the date this repoR was published. ��' �R�UP Peergroups are subject to change and a new report may be issued if necessary. The Market Environment Top 10 Index Weights & Performance for the 2"d Quarter Period Ended: June 30, 2 0 1 0 � , ,,; � ,. , ,, , ,. , -. . , Exxon Mobil Corp XOM 2.77°/ -14 i r.=�ry Human Genome Sciences HGSI 0.46 % -6.4°/ Health Care Apple Inc AAPL 2.00% 7.1 % Information Technology Ual Corp UAUA 0.32% -1.8 % Industrials Microsoft Corp MSFT 1.90°/ -21.0% Information Technology Tupperware Brands Corp TUP 0.26% -0.6% Consumer Discretionary General Electric Co GE 1.61 % -20.3% Industrials Skyworks Solutions Inc SWKS 0.26% -4.7% Information Technology Procter & Gamble Co PG 1.59% -4.5 % Consumer Staples Ares Cap Corp ARCC 0.25% -3.5% Financials Johnson & Johnson JNJ 1.51% -8.6% Health Care Domtar Corp UFS 0.25% -6.3% Materials Intemational Business IBM 1.49% -3.2% Information Technology E Trade Financial Corp ETFC 0.24°/ -9.4% Financials Bank Of America Corpor BAC 1.47% -19.4% Financials Polycom Inc PLCM 024% -2.4% Information Technology Jpmorgan Chase & Co JPM 1.45% -18.1 % Financials Solera Holdings Inc SLH 0.24 % -3.5 % Information Technology Wells Fargo & Co New WFC 1.38 % -17.6°/ Financials Developers Diversifed DDR 0.23% -9.1 % Financials �, �' � : - -- - - -- ---- - - - ----- _ - . _ _ .. - --- ------- NetFlix Inc NFLX 0.04 % 47.3 % Consumer Discretionary � Neurocrine Biosciences NBIX OA2 % 119.6 % Health Care Mariner Energy Inc ME 0.02% 43.5% Energy Akom Inc AKRX 0.01% 94.1% Health Care Abraxis Bioscience Inc ABII 0.00 % 43.4% Health Care Cirrus Logic Inc CRUS 0.08 % 88.4 % Information Technology Glg Partners Inc GLG 0.01% 42.7% Financials Us Gold Corporation UXG 0.03% 85.6% Materials Sybase Inc SY 0.04% 38.7% Information Technology Idenix Pharmaceuticals IDIX 0.01°/ 77.3% Health Care Akamai Technologies In AKAM 0.06% 29.2% Information Technology Trimas Corp TRS 0.01% 74.3% Industrials Valeant Pharmaceutical VRX 0.03% 21.9% Health Care Astronics Corp ATRO 0.01 % 66.8% Industrials Sandisk Corp SNDK 0.08% 21.5% Information Technology Cpi Corp CPY 0.01% 63.3% Consumer Discretionary Newmont Mining Corp NEM 0.23% 21.4% Materials Southwest Bancorp Inc OKSB 0.02% 60.7 % Financials h�c�atlA nlPxic,n t;�ill GMC� 0.04 % 21.4% C'� ,� �. � 5 ..�or �� ;,,� pcna�= �� ,,. tn� n��, �INFR 0�05 % 67 ,., � �air� I � ��;; .. , e . ---° � � ,r � � � . � . -- - �-- ' _ _ _ �s . 1:aa e.�sCv� tx � � �,25% -50.3% Energy I ��1MN ��0.10% -79.0% HealthCare Office Depot Inc � ODP 0.02% -49.4% Consumer Discretionary First Bancorp P R FBP 0.01% -78.0% Financials Ak Stl Hldg Corp AKS 0.02% -47.7 % Materials Affymax Inc AFFY 0.04% -74.5 % Health Care Massey Energy Corp MEE 0.03% -47.6% Energy Yrc Woridwide Inc YRCW 0.04% -66.9 % Industrials Cobalt Intl Energy Inc CIE 0.01% -452% Energy Oxigene Inc OXGN 0.00% -66.3% Health Care Seahawk Drilling inc HAWK 0.00% -42.9% Energy Pacific Cap Bancorp Ne PCBC 0.01% -65.7% Financials Nvidia Corp NVDA 0.07% -41.3% Information Technology South Finl Group Inc TSFG 0.01% -63.1% Financials Sears Hldgs Corp SHLD 0.04% -40.4% Consumer Discretionary Discovery Laboratories DSCO 0.01 % -59.7% Health Care Waddell & Reed Finl In WDR 0.02 % -39.3% Financials Fuelcell Energy Inc FCEL 0.02 % -58.2% Industrials United States Stl Corp X 0.07°/, -39.3% Materials Old Second Bancorp Inc OSBC 0.00% -57.5% Financials �� r��f�: Source: Thompson Financial 5 � ��GDAHN Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. The Market Environment International and Regional Market Index Performance (# Countries) Period Ended: June 30, 2010 ■QTR(USD) (�uarterPerformance 0 4TR (Local) ■ Much like the domestic indices, international markets also AC World x US (44) -�2'3i suffered during the quarter due to concems over global credit _ and sustainable growth. The "flight" to the safety of the U.S. WoR�nXus �ZS� -'3.4' Dollar (USD) that typically occurs during periods of global � EAFE(22) -13.$ unrest is clearly evident in the USD versus local currency _, international index results. Relative to the USD, 39 of the 44 Europe(16) -14 countries that make up the MSCI-ACWxUS index saw their � o Pacific (5) -� � � � currencies depreciate by an average of -6.0 /o. In contrast, -,3.0� Japan was one of the five ACWxUS countries that managed EmergingMkt(21) -8 ' 3 � to gain relative to the USD during the quarter with an -5 �'' o EMEurope(5) -15.3i appreciation of +4.8 /o. -s.o� EM Asia (8) -5 � � ■ Weak performance in developed markets (-13.8%) was � EM Lati n Amer (5) -� �' � spread broadly across the 22 countries in the MSCI-EAFE -,0.3� index. In fact, Singapore's USD return of +0.0% was the only _ZO.o�ro -�s.oio -�o.o�ro -s.o�io o.o�io s.oio positive country in the index. In contrast to Singapore, it should certainly come as no surprise that Greece was the ��_Year(USD) worst erformin count in the index with a return of -40.4% One-YearPerformance p 9 rY o1-Year(Lxal) for the quarter. The emerging markets index return of -8.3% 109 for the quarter was down less than developed markets for the AC Worldx US (44) �24� ' quarter due to stronger relative results in the emerging Asian WORLDxUS(23) '� � countries as well as some sporadic positive individual country 64/ ,0.3� results. Over the last year, the emerging market index shows EAFE(22) ,0.4� a performance advantage of more than 3x the developing Europe(16) 6.3' market index return. "�3� Pacific (5) 0 8 � s.s i ■ It is interesting to note that MSCI reclassified Israel as a EmergingMkt(21) z3.5' developed market country as part of its semi-annual index 201 � Z�.o� review in May. While Israel's 0.9% weight in the MSCI-EAFE EMEurope�5) so.5i index at the end of the quarter may not seem significant, it is EMAsia(8) z3`°' the first country in the developed index that does not fall into 199 EM Latin Amer (5) 25'� i the classic definition of (E)urope, (A)ustralasia or (F)ar (E)ast. ,s.sr -5.0% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% �+� `Ctif!. Source: MSCI Capital Markets : R �GDAHN 6 � lJ Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. The Market Environment U.S. Dollar International Index Attribution & Country Detail Period Ended: June 30, 2010 . , , � - Japan 23.3%a 16.0°/ -10.1% 0.9%a • United Kin dom 21.0% 14.5% -13.8% 8.6% Energy 7.1% - 22.5% - 9•2% France 9.8% 6.7% - 18.3% 1.7% Materials 10.1% -18.1% 13.4% Australia 8.1% 5.6% -19.0% 18.1% Industrials 12.3% -10.9% 13.9% Switzerland 8.0% 5.5% -11.3% 18.0 % Germany 7.8% 5.4% -12.1% 7.8°/ Consumer Discretionary 10.3% -10.1 % 10.4% Spain 3.5 / 2.a°i -20.a /o -12.6% Consumer Staples 10.6% -7.3% 19.4% Sweden 2.9% 2.0% -6.6% 30.8% Health Care 9.0% -9.6% 10.8% �taly 2.8 i 2.0 / -21.0% -s.2 / Netherlands 2.6%a 1.8% -13.0°/a 17.4 % Financials 24.4% -16.9% 0.8% Hong Kong 2.6% 1.8% -5.8% 14.3% Information Technology 5.2% -14.7% 6.3% Singapore 1.7% 1.2% 0.0% 29.4% Finland 1.0% 0.7% -25.9% -9.4% Telecommunication Services 5.6% -9.3% 4.4% Denmark �.o% 0.7% - 5.4% �9.4/0 Ut111tIeS 5.5% -12.5% -4.0% Belgium 0.9% 0.7% -12.3% 13.6% �� , Israel 0.9% 0.6% -18.4% 13.2% Norway 0.7% 0.5°/ -17.5 % 12.3% Austria 0.3% 0.2% -21.9°/ -10.0% Ireland 0.3 % 0.2% -19.8% -7.0% Greece 0.3% 0.2% -40.4% -46.7% Portugal 0.3% 0.2% -16.7% -9.8% New Zealand 0.1 % 0.1% -10.5% 8.6% �i � , � Canada 7.9% -10.3% 18.6%0 .. .• � .:• , Energy 10.3% -16.7% 0.3% China 4.4% -4,5% 11.1% Materials 11.8% -15.2% 19.9% Brazil 3.6% -15.2/0 22.1% Industrials 10.5% -10.5% 14.9°/a Korea 3.2% -7.6/ 32.3% Taiwan 2.5% -9.3% 16.1% Consumer Discretionary 8.9% -8.6% 15.2% India 1.9% -2.2% 32.0 % Consumer Staples 9.1 % -6.3% 22.3% South Africa 1.7% -9.5% 18.4% Health Care 6.4% -9.4% 12,p% Russia 1.5°/ -15.4% 2s.s% Mexico 1.0°/ -9.0% 31.7% Financials 25.3% -14.7°/a �•2% Mala sia o.7/ 0.2% 33.9/ Information Technology 6.9% -13.3% 14.6% Indonesia o.s% 4.4% ss.s/e Telecommunication Services 6.1% -7.0°/a 7.7a/o Turkey o.4% -4.0% 44.3% Chile 0.4% 2.9% 25.8% UtIIItIeS 4.8% -11.0% -0.5% Thailand 0.4% -1.7% 35.1% � � � ' � a ' Poland 0.3% -21.6% 24.0% Colombia 0.2% 3.6% 53.6% Peru 0.1% 4.2 % 52.2% E9YPt 0.1% -13.4% 11.4% Philippines 0.1 % 3.1% 37.2% Hungary 0.1% -30.2% 15.5% Czech Republic 0.1% -13.0% -0.6% Morocco 0.0% -4.1% -11.1% i� �� Tlit: Source: MSCI Capital Markets, & Franklin/Templeton � � : BQGDAHN Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. The Market Environment Domestic Credit Sector & Broad Market Maturity Performance Period Ended: June 30, 2010 Quarter PerFormance ■ The equity market unrest that occurred during the quarter was largely a benefit to fixed income indices. Foreign sovereign °�P` ��-. � w� _r: �„.� ,�,,zF; <.e� credit worries and the looming possibility of a"double-dip" � 3 ��%' recession overshadowed the corporate spread compression a, �,� 2 ��. �� ,�n. �. �t� s.�� that dominated fixed income results for most of the last year. BBB Z.B,, ' The resulting "flight to quality" drove rates lower across the � BBB - Treasury yield curve. This general rate decline enhanced the �o� 4.3� performance of long-dated and high-quality bond issues. The market's changing risk aversion was evident in the high yield Mort 2.9� index (<BBB) return of -0.1%. This performance marked the G/M/C=BroadMarket(Governtnent+Mortgage+Corporate) first quarter in more than a year that high yield was not the �-3yrG/M/C ,.6� best performing segment of the fixed income market. �-sy►c�nnic 2.+� 1-10yr G/M/C 2.s % 10+yr G/M/C s.5 / -2.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% OneYear Performance ■ Despite questions surrounding the sustainability of the global economic recovery that dominated the quarter's results, the A � 11., one-year performance of the various bond market indices still i 12 " shows the effects of sizable credit compression in corporate A ,5.°' issues. The Government bond index, which did not benefit BBB 19 • 6 � from the credit compression in corporate bonds, posted a <sss . ��.�-;� 2�.5� respectable +6.5% over the last year. co„t 6.5, , Mort - - . zsi 1-3yr G/M/C s.s / I 1-SyrG/M/C s.a/ , 1-10yr G/M/C s.t /e 10+yr G/M/C � e.� i 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% �� TIiF. Source: Merrill Lynch Index System g , B�GDAHN Peergroups were not fully populated as of the date this report was published. � GROUP Peergroups are subject to change and a new repoR may be issued if necessary. The Market Environment Market Rate & Yield Curve Comparison Period Ended: June 30, 2010 1-Year Trailing Market Rates ■ While the quarter began with economists and market 5.00 participants speculating on the timing of the Fed reversing its , Fea FU�as Rate �TED Spread —3-Month Libor stance on short-term interest rates and assessing the potential 4.50 �gqq��OyrSpread —10yrTreasury °°-°10yrTIPs of higher inflation, it certainly didn't end that way. As the a.00 quarter progressed, the market's movements became more and more dominated by sovereign credit concerns in Europe 3.50 as well as weaker than expected domestic economic s.00 �, ,�-�-�,� -�° readings. These market events are easily visualized in the 2_5o A '` � trailing market rates chart where domestic inflation �` expectations receded (10yr TIPs), credit spreads widened 2.00 �* ..,,, (BAA/10yr Spread) and investors fled to the quality of �.50 ��°� �°ry ��,;� ��e--�..� � Treasuries that drove yields lower (10yr Treasury). �.00 o.so o.00 . , �, ��a� Jun-09 Sep-09 Dec-09 Mar-10 Jun-10 Treasury Yield Curve 6.00 ■ After trading in a relatively narrow range for much of the last —+-6/30/2009 —o—,v3,�zoos o 3/31/2010 —�6�3orzo,o year, the yield curve showed a marked reduction in rates 5.00 across the maturity spectrum during the quarter. The �_g benchmark 10-Year Treasury bond closed the quarter with a yield of 2.98%, which was down 87 basis points from the a.00 0 3.84% yield on 3/31/10. The lower curve reflects the market's concern that the global economy may not continue to recover a.00 without ongoing coordinated Government support. 2.00 1.00 0.00 1 mo 3 mo 6 mo 1 yr 2 yr 3 yr 5 yr 7 yr 10 yr 20 yr 30 yr �� r►�F: Source: Mortgage-Xcom , US Department of Treasury & St. Louis Fed 9 � BQGDAHN Peergroups were not fully populated as of the date this report was published. !'`R�UP Peergroups are subject to change and a new report may be issued if necessary. �� Tequesta General Employees' Retirement Plan June 30, 2010 � i t � I � � : � March 31, 2010 :$1,448,749 June 30, 2010 :$1,403,327 .: ,, , : • \ , A , .., � _,..� �,� .,.� w , ; � � .. . , ... �.; . .. � 4` - - , f ti i ,� - - '�� - �h 'r�` � t�` �iq�"Y"'�'� - ��r''_ ��,�. _ � . �_- �, .; v,3;,, ..,, ::x Segments Market Value Allocation Segments Market Value Allocation �$) �%) �$) �%) ■ Domestic Equity 734,052 50.7 ■ Domestic Equity 662,356 47.2 � International Equity 135,275 9.3 � International Equity 128,037 9.1 ■ Fixed Income 537,678 37.1 ■ Fixed Income 575,509 41.0 ■ Cash Equivalent 41,743 2.9 ■ Cash Equivalent 37,426 2J �� I�ir" �o � BOGDAHN Peergroups were not fully populated as of the date this report was published. GRiQUP Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan June 30, 2010 � � � .�. � i � � � � March 31, 2010 :$1,448,749 June 30, 2010 :$1,403,327 3 Market Value Allocation Market Value Allocation �$) �%) �$) �%) ■ Dana Balanced Portfolio 1,305,253 90.1 ■ Dana Balanced Portfolio 1,273,395 90.7 � Dana International Equity 136,618 9.4 � Dana International Equity 129,831 9.3 ■ R&D 6,878 0.5 ■ R&D 100 - �� rf�E 11 � BOGDAHN Peergroups were not fully populated as of the date this report was published. !�` R�UP Peergroups are subject to change and a new report may be issued if necessary. �T Tequesta General Employees' Retirement Plan Asset Allocation vs. Target Allocation As of June 30, 2010 June 30, 2010 Cash Equivalent � 2.7% Doinestic Equity -2.8% I International Equity -0 • 9 P I Domestic Fixed Income 1.0% -10.0% -8.0% -4.0% 0.0% 4.0% 8.0% 10.0% � Allocation Differences June 30, 2010 Market Value Allocation Target �$) �% (%) Cash Equivalent 37,426 2.7 - Domestic Equity 662,356 47.2 50.0 International Equity 128,037 9.1 10.0 Domestic Fixed Income 575,509 41.0 40.0 Total Fund 1,403,327 100.0 100.0 � �['iiF. �2 � . BOGDAHN Peergroups were not fully populated as of the date this report was published. � GRDUP Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan Asset Allocation History As of June 30, 2010 Asset Allocation History by Portfolio II' � II' 1• I' I I I I � � � � Dana Balanced Portfolio l,1ll,782 9911 1,157,325 91.47 1,247,761 91.83 1,305,253 90.10 1,273,395 90.74 Dana International Equity - - 95,998 7.59 100,383 7.39 136,618 9.43 129,831 9.25 R&D 9,981 0.89 11,872 0.94 10,618 0.78 6,878 0.47 100 0.01 Total Fund 1,121,764 100.00 1,265,195 100.00 1,358,762 100.00 1,448,749 100.00 1,403,327 100.00 Asset Allocation Historv by Segment 100.Q _ . , .a.. r.... ., . — .., . `., .� , , _ ,�.,-, , — `.,„a�' ` ;; . ,. ,o;�ac�. , � :..:, � .,�.. � � . � . .� . 8�.0 - W w.. -. . .� :�,.a , w.. ,. ;- �..z. .�. .�::.� .. , _ . ;.,... .. � ., : ��,< , . . ._ . . ..., �. �'; � _ -= _,.N.a..� ,:.; ,.H . �,,, n . _ .�.e�,.s� �. ..._. I - �_- e 60.0 ; - e o i � � 40.0 - '� 0 d 20.0 0.0 8/07 11/07 2/08 5/08 8/08 I1/08 2/09 5/09 8/09 11/09 2/10 6/10 . Domestic Equity r;,,u@' Intemational Equity � Fixed Income � Cash Equivalent �� rf►h 13 � ,:: B(�GDAHN Peergroups were not fully populated as of the date this report was published. �` R�UP Peergroups are subject to change and a new report may be issued if necessary. ��1 14 Peergroups were not fully populated as of the date this report was published. Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan Financial Reconciliation As of June 30, 2010 Financial Reconciliation Quarter to Date � � � � � � � � �• � � I I �� I I I Dana Balanced Portfolio 1,305,253 -8,743 63,618 -14,506 - -8,590 10,509 -74,146 1,273,395 Dana International Equity 136,618 15,234 - - -1,991 -254 2,170 -2t,947 129,831 R&D Account 6,878 -6,491 - - - -286 - - 100 Total Fund 1,448,749 - 63,618 -14,506 -1,991 -9,130 12,679 -96,092 1,403,327 Financial Reconciliation Fiscal Year to Date ,� . � � � � � � � �� •� ' I I I' 1 I 1 Dana Balanced Portfolio 1,157,325 -66,743 184,939 -14,506 - -ll,500 27,672 -3,792 1,273,395 Dana International Equity 95,998 49,234 - - -1,991 -593 2,905 -15,722 129,831 R&D Account 11,872 17,509 - - -3,569 -25,711 - - 100 Total Fund 1,265,195 - 184,939 -14,506 -5,560 -37,804 30,577 -19,514 1,403,327 !+� I'►{�, 15 � ,,; BOGDAHN Peergroups were not fully populated as of the date this report was published. (` R�UP Peergroups are subject to change and a new report may be issued if necessary. �`i Tequesta General Employees' Retirement Plan Comparative Performance Trailing Returns As of June 30, 2010 � i�� ; �i I •� � i. � Total Fund (Net) -5.81 (49) 0.63 (75) 9.5a (96) -2.50 (35) 1.04 (5'� 3.06 (33) 3.29 N/A 11/Ol/2000 , „, a*t�.;� �i� �� ni�,c� - �i, i'FI r •:f� �t,�i ! I`i ��-��) w.� �� r.i�i a? � �<� Difference 0.20 -0.23 -2.01 0.65 0.05 1.23 0.71 All Public Plans-Total Fund Median -5.83 1.18 12.79 -332 1.25 2.68 N/A Total Fund (Gross) -5.68 1.05 10.08 -2.25 1.24 3.28 3.47 11/01/2000 ��7tCtl �`�tnci P,��iCF h.(1I f).Kh � �.j I _3 ��, (i_qt> i,X S �.SX Difference 0.33 0.19 -1.43 0.90 0.25 1.45 0.89 Dana Core Equity -ll.00 (30) -0.64 (35) 12.56 (68) -9J8 (65) -3.56 (84) N/A -1.01 (62) 11/Ol/2005 �<S:!'�O(1 - I1..13 ;�i� - 'tt? �4�1� I�t-i� t;��l - ' 7 'iI ti, ) +�1? t<7`+> - U.79 (7�) - I'S t7�; Difference 0.43 0.38 -1.87 0.03 -0.54 N/A 0.24 US Core/Large Cap Equity (SA+CF) Median -11.42 -1.02 13.80 -9.21 -2.61 -0.10 -0.64 Dana InYI Portfolio -14.23 (84) -9.76 (58) 8.79 (4'n N/A N/A N/A 8.79 (47) 07/Ol/2009 '�lti(.'I 1 1! I Inci�rk -i i�� i,ii -I 1 1�,� 1`�j n; +-1� -1� 9-4 i�\J -1.'_`� 4l�`;i i.;� i7� � �, ;_ i , Difference -0.48 1.24 2.42 N/A N/A N/A 2.42 International Core Equity (SA+CF) Median -12.84 -9.14 8.53 -12.41 -332 2.55 8.53 Dana Fixed Income 2.28 (SS) 4.71 (85) 7J8 (84) 7.02 (74) 6.66 (75) N/A 5.91 (82) ll/Ol/2005 -- - a�a�,�l� !n?��rn�c,ii�.ic l_.� G�>��crois��a3it l�rodil _'') i-I�U) .#_ti� 1'1 •, "d � (, 97 r�,.7) (,.6" t'�p 'b Ih5) � ��1 rk;ti Difference -0.69 -0.17 -0.51 0.05 -0.01 N/A 0.02 US Intermediate Fixed Income (SA+CF) Median 2.90 5.36 933 7.68 7.24 5.82 6.43 Returns for periods greater than one year are annualized. Retu�ms are expressed as percentages. Dana's inception date is 10-13-2005. Dana Core Equity contains Tt it. international prior to 7/1/2009. �� 16 � BOGDAHN Peergroups were not fully populated as of the date this report was published. ('' R�UP Peergroups are subject to change and a new report may be issued if necessary. �'1 Tequesta General Employees' Retirement Plan Comparative Performance Fiscal Year Returns As of June 30, 2010 � ii� � ii; � si � �i, � i� � i�- � ii � � � � � � � i i •� i� •� ii: �� ii •� ii, •� ii •� ii• Total Fund (Net) 0.63 (75) 1.64 (46) -1034 (8) 11.64 (93) 10.35 (23) 11.09 (67) 2.08 (100) fot��l f�und Policy O.M6 (h`�i O.-�X (r>i y i �_.-?t� t ;:7� I?.02 (90) - �1 it,K) � ... �`1�� .(T� ( 1Of)) Difference -0.23 1.16 2.12 -0.38 2.47 2.72 0.05 All Public Plans-Total Fund Median 1.18 1.34 -13.67 14.48 8.74 12.54 11.19 Total Fund (Gross) 1.05 1.76 -1010 11.64 10.67 11.09 2.70 Tutal Fimd P�,lic� l).Cf, t1.4�+ -1�.=�h I?.02 7 84 8.37 :'_.O? Difference 0.19 1.28 2.36 -038 2.79 2.72 0.67 Dana Core Equity -0.64 (35) -8.19 (75) -19.68 (35) 16.70 (49) N/A N/A N/A '7i�:�' 7(l�l ��.1�l.'_ {C.{!) _(r. ,) � � .� . f � - �1:ti i ; -�,.�� "r1 �'i �5 (;�1lj Y ;;" i."�13 I ((3t9 r(.?;t 6(i'v (� �_.� d_ 1 _._. Difference 0.38 -1.28 2.30 0.26 N/A N/A N/A US Core/Large Cap Equity (SA+CF) Median -1.02 -6.47 -21.14 16.64 10.82 14.34 14.20 Dana Int'l Portfolio -9.76 (58) N/A N/A N/A N/A N/A N/A � -�- . _; �.1 ,-, z;� d-'' ,� r,:; - �1�;(�l I'�'.!��f� it��,�::�, -I I.UU ( t>�D 3.,>6r � �� 0.! � { � I I {,�.�) 'x ;` er,'�i ��.�' {_t7} Difference 1.24 N/A N/A N/A N/A N/A N/A International Core Equity (SA+CF) Median -914 3.11 -30.45 27.01 19.76 27.70 21.98 Dana Fixed Income 4J1 (85) 9.24 (83) 4.47 (29) 5.25 (74) N/A N/A N/A f3��rx:�7�� (��tit�,rrra�<P� �tc �'_ti Governn�ent/Credit 1 ?4' 1 ; � i�?.(?l 1�%"i �.13 i `�1 - , _ ?,� ) l -i �„`„ `" � 5.--� �'�f)i �� 4�),ti "� _,�4 `'1C'>1 Difference -0.17 -0.77 1.34 -0.18 N/A N/A N/A US Intermediate Fixed Income (SA+CF) Median 5.36 11.43 3.22 5.46 3.90 2.09 2.87 Returns For periods greater than one year are annualized. Returns are expressed as percentages. Dana's inception date is 10-13-2005. Dana Core Equity contains 'I'HF, international prior to 7/1/2009. �� RO�7��u1�T �� lJ iJ 1 11 V Peergroups were not fully populated as of the date this report was published. (` R�UP Peergroups are subject to change and a new report may be issued if necessary. �T Tequesta General Employees' Retirement Plan Total Fund (Gross) June 30, 2010 � �� • � � � � � � 25.00 30.00 20.00 20.00 15.00 � � ■ I 0.00 � ■ I 0.00 ■ � ° 5.00 ° 0.00 e e � � C a 0.00 � -10.00 � • -5.00 i -20.00 -10.00 -I5.00 � _ � � � � � _30.00 � ' � � 1 Oct-2009 1 2 3 4 5 Oct-200R Oct-2007 Oct-200fi OM-2005 Oct-2004 Quarter To Year Years Years Years Years To To To To To Jun-2010 Sep-2009 Sep-2008 Sep-2007 Sep-2006 Sep-200_5 ■ iotal Fund (Gross) -5.6R (44) 1.05 (57) lO.OR (93) -1.27 (25) -2 �5 (27) 1.24 (51) 3ZR (24) ■ Total Fund (Gross) 1.76 (43) -10.10 (9) 1 L64 (92) 10.67 (16) 11.09 (65) • Total Fund Policy -6.01 (59) 0.86 (65) 11.51 (70) -2.14 (44) -3.15 (49) 099 (58) 1.83 (74) ♦ Total Fund Policy 0.48 (59) -12.46 (34) 12.02 (90) 7.88 (66) 837 (92) Median -5.83 LIS 12J9 -2.43 -332 1.24 2.71 Median 1.10 -13.89 14.53 8.57 12.35 I �. ' 1 1 1 1 1 1 1 Quarter Quarter Quarter Quarter Quarter Quarter Ending Ending Ending Ending Ending Ending Mar-2010 Dec-2009 Sep-2009 Jun-2009 Mar-2009 Dea2008 Total Fund (Gross) 3.71 (59) 3.30 (62) 8.94 (90) S.R6 (93) -3.84 (16) -8.23 (6) Total Fund Policy 3.4R (76) 3J0 (37) 10.56 ((iR) 10.13 (SR) -C.51 (69) -L1.73 (3O All Public Plans-Total Fund Median 3.R4 3.42 11.45 IQ61 -S.AO -12.R3 �+� "fHt: �$ � , BOGDAHN Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan Total Fund (Gross) June 30, 2010 i � � 1 ' � . � , � . zo.o - o�eT o.o Perfiirmance � � ■ I 2.0 ■ ■ � 25.0 ■ . � . . C ■ e 4.0 _ �c 50.0 � � � � � � � � � � � -4.0 a • � U � � 75.0 � -12A � � � • � � � :� • � o. Under a �� P erfirmmce � �� ---� �-20.0 i --i 9/OS 9/OC, 9/07 9/08 9/09 6/10 -20.0 -12.0 -4.0 4.0 12.0 20.0 Total Period 5_25 25-Median Median-75 75-95 Total Fund Policy(%) Count Count Coant Count ■ Total Fuud (Gross) 20 4 (20 % ) 10 (50°/ ) l (5%) 5 (25%) -�- Over Perfi�rrrnnce -tir Sep-2005 {� Jun-2010 � Total Fuud Policy 20 0(0%) 3(I S%) 5(25%) 12 (60%) �' 1 � �' I 10.00 -- R.00 5.00 6.00 4.00 e 0'00 v o � 2.00 • � -5.00 � y 0.00 a a I -� o.00 �.00 0.00 5.00 10.00 15.00 20.00 25.00 0.00 5.00 10.00 I5.00 20.00 Risk (Standard Deviation % ) Risk (5tandard Deviation % ) Re[urn Standard Deviafion Return Standard Deviation ■ Total Fund (Gross) -2.25 10.35 ■ Total Fund (Gross) 3.2R R.61 • Total Fund Policy -3.15 12.fi1 ! Total Fund Policy 1.83 1014 - Median -332 13.12 - Media� 2J I 10.R 1 1 Tracking Up Down Sharpc Downside Error Market Market Alpha �R Ratio Be1a Risk Capture Capture Total Fund (Gross) 3.51 R5.93 84.16 0.18 0.19 -031 O.RO 833 Total Fund I'olicy 0.00 100.00 100.00 0.00 N/A -0.31 I.00 10.07 Tracking Up Down Sharpe DoN nside Error Market Market Alpha IR Ratio Beta Risk Capture Capture Total Fund (Gross) 334 91.07 78.78 L73 0.3R O.l l O.RO 6.53 Total Fund Policy 0.00 ]00.00 100.00 0.00 N/A -0.03 1.00 7.RR �� rF►E. �9 � BOGDAHN Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan Dana Core Equity June 30, 2010 �. � � � � � 25.00 30.00 20.00 20.00 i 15.00 c4F � 10.00 10A0- 0.00 5.00 e o I a � `o � x �.�� a -10.00� . -5.00 - -20.00 ■ � i -10.00- . � � -30.00 - I 5.00 -20.00 � � � � � i -40A0 � � � � 1 Oct-2009 1 2 3 4 5 Oct-200R Oct-2007 Oct-200fi Oct-2005 Oct-2004 Quarter To Year Years Years Ycars Years To To To To To Jun-2010 Sep-2009 Sep-2008 Sep-2007 Sep-2006 Sep-2005 ■ Dana Corc Equity -I L00 (30) -0.64 (35) 12.56 (68) -932 (76) -9.78 (65) -3.56 �84) N/A � Dana Core Equiry -AJ 9 (75) -126R (35) 16.70 (49) N/A N/A � S&P 500 -11.43 (51) -1.02 (50) 14.43 (39) -R.I I (55) -9.8I ((7) 3.02 �h8) -0.79 (75) � S&P 500 -6.91 (60) -2198 (65) 16.44 (58) lOJ9 (52) 1225 (80) Mcdian -11.42 -1.02 13.R0 -7.99 -911 -2.11 -0.10 Median - 6.47 - 21.14 16.G4 10.82 14.34 I 1 � I 1 1 1 1 1 ] Quarter Quarter Quarter Quarter Quarter Quarter Ending Ending Ending Ending Ending Ending Mar-2010 Dec-2009 Seo-2009 .lun-2009 Mar-2009 Dec-2008 Dana Core Equity 5.77 (30) S.gS (69) 13.29 (84) 14.19 (71) -R.59 (29) -22.36 (68) S&P 500 539 (51) 6.04 (49) 15.67 (3R) 15.93 (42) -11.01 (69) -21.94 (60) US Core/Large Cap Equity (SA+CF) Median 5.40 6.01 15.2R 1556 -10.43 -2 LCA �� THE, 2o q� , B�GDAHN Peergroups were not fully populated as of the date this report was published. !� RQUP Peergroups are subject to change and a new report may be issued if necessary. �1 Tequesta General Employees' Retirement Plan Dana Core Equity June 30, 2010 � �• � �� 4.0 0.0 Z � Over P crfr�rman cc e ?5.0 -�.o a >. �� so.o ■ � � ■ : -R.0 � � e 750 • � � � � � � � ' � � � ` -13.0 � � � � � � � � � v Under C . . ... . .. � . � Performance 1 �� . � T . 'p' -I8.0 -� 9/OS 9/06 9/07 9/OS 9/09 6/10 -18.0 -13.0 -R.0 -3.0 2.0 4.0 Total Period 5-25 25-Median Median-75 7_5-95 S&P�00(%) Count Count Count Count ■ Dana Core Equity 7 0(0%) 3(43%) 4(57%) 0(0%) fOverPerforrrence �UnderPerfc�rtronce -�Deo-2008 -p-Jun-2010 • S&P500 20 0(0"/0) 0(0%) IS (75"/0) 5(25"/0) �. � � �. � 5.00 10.00 o.00 s.on -s.00 o a o.00 � -io.00 � = -is.00 = -s.00 a" c"e -20.00 -t o.00 0.00 10.00 20.00 30.00 40.00 5.00 10.00 15.00 20.00 25.00 30.00 Risk (Standard Deviation %) Risk (Standard Deviation %) Rcturn Standard Deviafion Return Standard Deviation ■ Dana Core Equity -9J8 20.67 ■ Dana Core Equity N/A N/A • S&P 500 -9.R1 21.R5 • 5&P 500 -0.79 18.06 - Mcdian -221 2L64 - Mcdian -O.10 IR.00 i Tracking Up Down Sharpc Downside Error Market Market Alpha �R Ratio Beta Risk Capmre Capture Dana Core Equity 3.54 96.69 97.66 -0.35 -0.01 -0.4R 09( 16.R0 S&P Spp 0.00 I00.00 100.00 0.00 N/A -0.47 1.00 1(,.R4 1 Tracking Up Down Sharpe Downside Error Market Market Alpha IR Ratio Beta Risk Capture Capture Dana Corc Equity N/A N/A N/A N/A N/A N/A N/A N/A S&P 500 0.00 ]00.00 ]00.00 O.OQ N/A -012 1.00 13.19 �� . BOGDAHN 21 � _ Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. 22 Peergroups were not fully populated as of the date this report was published. Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan Dana International Equity June 30, 2010 �• � � � � � �o.00 so.00 15.00 40.00 10.00 i000- 5.00 . 20 00 --� � � 0.00 1 D.00 - e � e ° � ° a -5.00 �.00 C -]0.00 ■ -10.00- � -I5.00 , -2D.00 -20.00 - -30.00 -25.00 � i i i i i -40.00 � � � � 1 Oct-2009 1 2 3 4 _5 Oct-lOUR Oct-2U07 Oct-2006 Oct-2U05 Oct-2004 Quarter To Year Years Years Years Years To To To To To Jun-2010 Sep-2009 Sep-2008 Sep-2007 Sep-200fi Sep-2005 ■ Dana Inremational Equiry -1423 184) -9JG (58) R99 (47) N/A N/A N/A N/A � Dana Intemational Equity N/A N/A N/A N/A N/A • MSCI FnFF Index -13.75 �73) -i i.0o (75) fi37 �7a) -ia.3o �sz) -i2.9a (58) -a22 (r>8) 1.35 i�l) � MSCI EAFE Index 3.R0 (45) -30.13 (44) 2538 (72) 19.G5 (54) 2632 (67) Median -12.R4 -9.I4 8.53 -t4.OR -12.41 -332 2.55 Median 3.11 -30.45 27.01 19J6 27.70 1 1. � 1 1 1 1 1 1 1 Qnarter Quarter Quarter Quarter Quarter Quarter Ending Ending Ending Ending Ending Ending Mar-2010 Drc-2009 Sep-2009 .Iun-2009 Mar-2009 Dec-2008 Dana lnternational Equity 0.39 (85) 4.R0 (i5) 20.56 (22) N/A N/A N/A MSCI EAFE Index 0.94 (66) 222 (73) 19.52 (36) 25.R5 (3G) -13.85 (70) -19.90 (43) Inteniational Core Equity (SA+CF) Median 136 3.13 19.11 24.09 -13.05 -20.23 �� THE 23 � = BOGDAHN Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan Dana's Fixed Portfolio June 30, 2010 � �� i�so t�so 15.00 I 5.00 I 3.50 1250 I 2.00 I �� 1 0.00 - ._ 10.50 �' �-■ 9.00 . �' � � �� o = L � ° � ■ � 5.00 �, 7.50 � ! � 6.00 � 2.50 � � • 4.50 � 0.00 3 110 _ I / -2.50 � I.SU 0.00 i i i i i � -5.00 �! ' 1 Oc[-2009 1 2 3 4 5 Oct-200R Oct-2007 Oct-2U06 Oct-200_5 Oct-2004 Quarter To Year Vears Years Years Years To To To To To Jun-2010 Sep-2009 Sep-2008 Sep-2007 Sep-200fi Sep-2005 ■ Dana's Fixcd Ponfolio 22N (xS) a.71 (85) 7.7x 184) 79a (80) 7.02 (74) 6.66 (75) N/A � Dana's Fixed Portfolio 9.24 (R3) 4.47 (29) 5.25 (74) N/A N/A • aarcap intermcdiatc U.S. �ovemmenucrcdi� 297 �40) a.ss ��) x.29 �75) e.7� iss) �.9� ��a) F.6� �75) 51v B5) � Baroap [ntcrmcdiatc U.S. Govcmmcnt/Credit l0A (77) 3.13 (52) 5.43 (56) 3.54 (93) 1.48 (95) 1 Mcdian 2.90 53( 933 7.RR 7.6R 7.?4 5.82 1 1. � 1 1 1 I 1 1 1 Quarter Quarter Quarter Quarrer Quarter Quarter Ending F.nding Ending Ending Ending Ending Mar-2010 Dec-2009 Sep-2009 Jun-2009 Mar-2009 Dec-2008 Dana's Fixed Portfolio 1.89 (47) 0.49 (60) 2.93 (81) -0ZS (98) 0.13 (73) 6.26 (7) Barcap intermediate U.S. GovemmenUCredit 1.54 (79) 0.31 (82) 3.25 (6G) L67 (75) -0.05 (82) 4.84 (34) US Intermediate Fixed Income (SA+CF) Median 1.85 0.60 3.63 2.64 0.75 4.16 �•� T��F. 24 !� BOGDAHN Peergroups were not fully populated as of the date this report was published. !�` R�UP Peergroups are subject to change and a new report may be issued if necessary. `s Tequesta General Employees' Retirement Plan Dana's Fixed Portfolio June 30, 2010 �� • � s.o o.n o�e� P crformancc 7.2 e 25.0 ■ � ^ ■ n � Q � v 6.4 01 •a `a 50 0 � � � � 5 � � � � °' c 75.0 �� • • �,,�� a ` ° Y'. 4.R � . � ��.��.. . . . �;, Under C � � � � Perfr�mm�ce �� -� � 4.0 9/OS 9/06 9/07 9/OR 9/09 6/10 p 4.0 4.8 5.6 C.4 7.2 R.� Total Period _5_25 25-Median Median-75 75-95 Barcap Intermediake U.S. Governmen[/Credit (%) Count Count Count Count ■ Dana's Fixed Po�tfulio 7 2(29%) 0(0%) 5(7l"/0) 0(0"/0) �-UnderPerPorrmnce �-OverPerforrrpnce -�Dea2008 �Jun-2010 • Barcap[�termediateU.S.Government/Crcdit 20 0 (0°/) 2 (10"/0) 10 (SO"/o) R (40"/0) �' 1 1 � � i z.00 x.00 i o.00 zoo R.00 (,.00 e e 5.00 � 6.00 � 4.00 � 4.00 `�' 3 �p z z 2.00 - � 2.00 � 2.00 4.00 6.00 R.00 10.00 12.00 1.50 3.00 4.50 6.00 7.50 9.00 Risk (Standard Deviation % ) Rtsk (Standard Deviation % ) Return Standard Deviation Return Standard Deviation ■ Dana's Fixed Portfolio 7.02 3.R6 ■ Dana's Fixed Portfolio N/A N/A • Barcap I��temiediate U.S. GovemmenUCredit 6.97 3.75 • Barcap Intermediate U.S. GovernmendCredit 5.26 3.41 - Median 7.6R 3J9 - Median S.R2 3.44 1 Tracking Up Down Sharpc Downsidc Error Market Market Alpha �R Ratio Be Risk Capture Capture Dana'sFixed Portfolio L59 RR.RI SR24 1.44 0.02 ].C4 0.79 1.21 Barcap Intemiediate U.S. GovernmendCredit 0.00 100.00 100.00 0.00 N/A 1.40 1.00 L84 1 Tracking Up Down Sharpe Do�rnside Error Market Market Alpha �R Ratio Beta �sk Cap[ure Capture Dana's Fixed Portfolio N/A N/A N/A N/A N/A N/A N/A N/A Barcap Intermediate U.S. GovernmenUCredit 0.00 100.00 100.00 0.00 N/A 0.74 1.00 1.59 �� TH F, 25 � ., BOGDAHN Peergroups were not fully populated as of the date this report was published. GR�UP Peergroups are subject to change and a new report may be issued if necessary. Tequesta General Employees' Retirement Plan Benchmark History As of June 30, 2010 Total Fund Polic Total Fixed Income Polic � � � � � � � Effective Date: Jan-1978 Effective Date: Feb-2004 Citigroup 3 Month T-Bill 100.00 Barclays Capital U.S. Government/Credit 100.00 Effective Date: Jan-2004 Effective Date: Oct-2005 S&P 500 Index 60.00 Barclays Capital Intermediate U.S. Government/Credit 100.00 Citigroup 3 Month T-Bill 20.00 Barclays Capital U.S. Government/Credit 20.00 Effective Date: Oct-2005 S&P 500 Index 60.00 Barclays Capital Intermediate U.S. Government/Credit 40.00 Effective Date: Dec-2009 S&P 500 Index 50.00 Barclays Capital Intermediate U.S. Government/Credit 40.00 MSCI EAFE 10.00 26 �� BOGDAHN Peergroups were not fully populated as of the date this report was published. � ('' R�UP Peergroups are subject to change and a new report may be issued if necessary. �i Statistics Definitions Statistics Description Return -- Compounded rate of return for the period. Standard Deviation -- A statistical measure of the range of a portfolio's performance, the variability of a return around its average return over a specified time period. Sharpe Ratio -- Represents the excess rate of return over the risk free return divided by the standard deviation of the excess return. The result is the absolute rate of rehirn per unit of risk. The higher the value, the better the product's historical risk-adjusted performance. Alpha -- A measure of the difference between a portfolio's actual returns and its expected performance, given its level of risk as measured by beta. It is a measure of the portfolio's historical performance not explained by movements of the market, or a portfolio's non-systematic return. Beta -- A measure of the sensitivity of a portfolio to the movements in the market. It is a measure of a portfolio's non-diversifiable or systematic risk. R-Squared -- The percentage of a portfolio's performance explained by the behavior of the appropriate benchmark. High R-Square means a higher correlation of the portfolio's performance to the appropriate benchmark. Treynor Ratio -- Similar to Sharpe ratio, but focuses on beta rather than excess risk (standard deviation). Represents the excess rate of return over the risk free rate divided by the beta. The result is the absolute rate of return per unit of risk. The higher the value, the better the product's historical risk-adjusted performance. Downside Risk -- A measure similar to standard deviation, but focuses only on the negative movements of the rehirn series. It is calculated by taking the standard deviation of the negative quarterly set of returns. The higher the factor, the riskier the product. Tracking Error -- A measure of the standard deviation of a portfolio's performance relative to the performance of an appropriate market benchmark. Information Ratio -- Measured by dividing the active rate of return by the tracking error. The higher the Information Ratio, the more value-added contribution by the manager. Consistency -- The percentage of quarters that a product achieved a rate of return higher than that of its benchmark. The higher the consistency figure, the more value a manager has contributed to the product's performance. Excess Return -- Arithmetic difference between the managers return and the risk-free return over a specified time period. Active Return -- Arithmetic difference between the managers return and the benchmark return over a specified time period. Excess Risk -- A measure of the standard deviation of a portfolio's performance relative to the risk free return. Up Market Capture -- The ratio of average portfolio return over the benchmark during periods of positive benchmark return. Higher values indicate better product performance. Down Market Capture -- The ratio of average portfolio return over the benchmark during periods of negative benchmark return. Lower values indicate better product perfonnance. Calculation based on monthly periodicity. �� THF; 2 , � BOGDAHN Peergroups were not fully populated as of the date this report was published. GROUP Peergroups are subject to change and a new report may be issued if necessary. Village of Tequesta General Employees' Retirement Plan Compliance Checklist as of June 30, 2010 . . . . . 1. The Total Plan return equaled or exceeded the 7.5°/a actuarial earnings assumption over the trailing three and five year periods. ✓ 2. The Total Plan return equaled or exceeded the total plan benchmark over the trailing three and five year periods. ✓ 3. The Total Plan return ranked within the top 40th percentile of its peer group over the trailing three and five year periods. ✓ 4. Total foreign securities were less than 25% of the total plan assets at market. ✓ . . . . 1. Total equity returns meet or exceed the benchmark over the trailing three and five year periods. ✓ 2. Total equity returns ranked within the top 40th percentile of its peer group over the trailing three and five year periods. ✓ 3. The total equity allocation was less than 70% of the total plan assets at market. ✓ -. . . . . 1. Total fixed income returns meet or exceed the benchmark over the trailing three and five year periods. ✓ 2. Total fixed income returns ranked within the top 40th percentile of its peer group over the trailing three and five year periods. ✓ 3. All fixed income investments rated investment grade or higher. � . ..- . . . - �. . � � �. . � .. . . 1. Manager outperformed the index over the trailing three and five year periods. ✓ � ,/ 2. Manager ranked within the top 40th percentile over trailing three and five year periods. ✓ � � 3. Less than four consecutive quarters of under performance relative to the benchmark. ✓ ✓ ✓ I 4. Three and five-year downside capture ratios less than 100%. ✓ � ,/ I �� TF-IE 28 � BOGDAHN Peergroups were not fulty populated as of the date tnis report was published. �� Peergroups are subject to change and a new report may be issued if necessary. No Text S --' ' :��r �'� - ,�+��.�}§ ��-"�, I '" , E � a��a��"�$',-�.��"�� , ,�. � � s c �" � - e �'`' �?<� � : �x �n � -�r � � „� � �� _ '�-.� . , ; r � - . � � :� � � � f.� � � � � Q G � � ,. �• ,,. � � � � �' o � +-s � "� �,. ,,-� �,' � , o `�' � ��,. � ., � � �, � . o- �- Q- � w�� a � a s �� ;�,, � � � � "' � �' `'� � � � � , � � � � �.�, �° �: �' � �� . � '/' �,,� * co �' �, � �`. .