HomeMy Public PortalAbout2013 2nd Quarter ReportNot Updated in CRM457 Deferred Compensation PlanSecond Quarter 2013 Plan Executive SummaryAugust 1, 2013Kristin Finney-Cooke, CAIA Senior ConsultantKristen Jackson, CFA Senior Analyst
Executive SummaryPLAN ASSETS: $38.9 MILLIONNUMBER OF ACTIVE PARTICIPANTS: 65218%82%3 Month Change: Down $291 ThousandTarget Date FundsCore OptionsPerformance•Markets responded to the Federal Reserve announcement regarding the monetary stimulus program and the slowdown in emerging market economies. U.S. equities ended the quarter with positive returns, while almost every other asset class except cash ended in negative territory.•Plan options with U.S. equities or larger exposure to U.S. equities posted positive returns, while fixed income and non-U.S. equity choices did not.Manager Due Diligence•There was an announcement from Vanguard regarding the Vanguard Retirement funds and Money Market change; this was rated “No Action” by our Due Diligence Committee.PLAN PERFORMANCE: QUARTERRANGE OF CORE FUND RETURNSRANGE OF TARGET DATE FUND RETURNSASSET WEIGHTED PLAN RETURN-2.5% to 4.0% -1.8% to 0.6% 1.2%Vanguard TotalBond Market Index InvVanguard Windsor II InvIncome 2040204520502055QUARTERLY UPDATESRECENT ACTIONS/RECOMMENDATIONSRecent Actions•The latest action taken was removing the lifestyle funds in Q2 2013Watch Status•No Plan funds are currently on NEPC’s “Watch” statusRecommendations•NEPC is not recommending any actions at this time either in view of the recent quarter’s developments or any of the longer-term trending data in this reportCAPITAL MARKETS PERFORMANCE: QUARTERBONDSDOMESTIC EQUITYFOREIGNEQUITY 2010 TARGET DATE 2040 TARGET DATE-2.3%BarCap Agg Index2.9%S&P 500 Index-3.1%MSCI ACWI ex US Index-1.0%S&P TDF 2010 Index0.6%S&P TDF 2040 IndexThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 20131
Market Environment2
Investment Market Update: As of June 30, 2013 The Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 20133
Investment Market Update: As of June 30, 2013PERFORMANCE THROUGH 6/30/2013SectorIndex20082009201020112012Q1APRMAYJUNQ22013Small Cap Growth Russell 2000 Growth-38.5%34.5% 29.1%-2.9%14.6% 13.2%-0.7%5.1%-0.6%3.7% 17.4%Large Cap Value Russell 1000 Value-36.8%19.7% 15.5% 0.4% 17.5% 12.3% 1.5% 2.6%-0.9%3.2% 15.9%Small Cap Russell 2000 -33.8%27.2% 26.9%-4.2%16.3% 12.4%-0.4%4.0%-0.5%3.1% 15.9%SMID Cap Russell 2500-36.8%34.4% 26.7%-2.5%17.9% 12.8% 0.3% 3.1%-1.1%2.3% 15.4%Small Cap Value Russell 2000 Value-28.9%20.6% 24.5%-5.5%18.1% 11.6%-0.1%3.0%-0.4%2.5% 14.4%Large Cap Russell 1000-37.6%28.4% 16.1% 1.5% 16.4% 11.0% 1.8% 2.2%-1.4%2.7% 13.9%Large Cap S&P 500-37.0%26.5% 15.1% 2.1% 16.0% 10.6% 1.9% 2.3%-1.3%2.9% 13.8%Large Cape Growth Russell 1000 Growth-38.4%37.2% 16.7% 2.6% 15.3% 9.5% 2.1% 1.9%-1.9%2.1% 11.8%Diversified Diversified*-24.5%24.1% 13.5% 1.3% 12.7% 5.9% 2.0%-0.1% -1.8%0.1% 6.1%REITS Wilshire US REIT -39.2%28.6% 28.6% 9.2% 17.6% 7.4% 6.6%-5.9% -1.7% -1.4%5.9%Int'l Developed MSCI EAFE-43.4%31.8% 7.8%-12.1%17.3% 5.1% 5.2%-2.4% -3.6% -1.0%4.1%High Yield Barclays US High Yield-26.2%58.2% 15.1% 5.0% 15.8% 2.9% 1.8%-0.6% -2.6% -1.4%1.4%Govt/CreditBarclays US Govt/Credit 1-3 5.0% 3.8% 2.8% 1.6% 1.3% 0.2% 0.1%-0.1% -0.1% -0.1%0.1%Govt/CreditBarclays Govt/Credit 1-5 Yr 5.1% 4.6% 4.1% 3.1% 2.2% 0.3% 0.3%-0.5% -0.6% -0.7% -0.5%Interm Govt/Credit Barclays US Govt/Credit Inte 5.1% 5.2% 5.9% 5.8% 3.9% 0.3% 0.6%-1.1% -1.2% -1.7% -1.4%Interm Core Bonds Barclays US Agg Interm 4.9% 6.5% 6.1% 6.0% 3.6% 0.2% 0.6%-1.3% -1.1% -1.8% -1.6%Core BondsBarclays US Agg Bond5.2% 5.9% 6.5% 7.8% 4.2%-0.1%1.0%-1.8% -1.5% -2.3% -2.4%Muni BondsBarclays Municipal-2.5%12.9% 2.4% 10.7% 6.8% 0.3% 1.1%-1.2% -2.8% -3.0% -2.7%Global Bonds Citi WGBI10.9% 2.6% 5.2% 6.4% 1.6%-2.8%1.1%-3.4% -0.6% -3.0% -5.7%EMD External Barclays EM USD-14.7%34.2% 12.8% 7.0% 17.9%-1.5%2.0%-2.7%-4.5% -5.1% -6.5%EMD LocalJPM GBI EM Glob Div-5.2%22.0% 15.7%-1.8%16.8%-0.1%3.4%-6.3% -4.1% -7.0% -7.2%Long Govt/Credit Barclays US Govt/Credit Long8.4% 1.9% 10.2% 22.5% 8.8%-2.0%3.9%-5.4% -4.5% -6.1% -8.0%Long Credit Barclays US Long Credit -3.9% 16.8% 10.7% 17.1% 12.7%-1.8%4.0%-4.9% -5.3% -6.3% -8.0%Emerging Equities MSCI EM-53.3%78.5% 18.9%-18.4%18.2%-1.6%0.8%-2.6% -6.4% -8.1% -9.6%Commodities DJ UBS Commodity-35.6%18.9% 16.8%-13.3% -1.1% -1.1% -2.8% -2.2% -4.7% -9.5% -10.5%Treasury STRIPS Barclays US Strips 20+ Yr 59.5%-36.0%10.9% 58.5% 3.0%-5.4%7.2%-10.0% -4.2% -7.6% -12.6%* 35% LC, 10% SC, 12% Intl Equity, 3% Emerging Equity, 25% Core Bonds, 5% HY, 5% Global Bonds, 5% REITSSources: Barclays, Bloomberg, WilshireThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 20134
US Economic Environment‐8%‐6%‐4%‐2%0%2%4%6%8%10%Real Gross Domestic Product GrowthSource: Bloomberg as of 6/30Source: Bloomberg as of 5/31Source: Bloomberg as of 6/30Source: Bloomberg as of 5/31Consumer confidence jumped to 81.4 in June, its highest level since January 2008; the Case-Shiller home price index (as of 3/31) rose slightly through MarchRolling 12 month CPI increased to 1.4% at May end; capacity utilization decreased to 77.6% in the monthFirst quarter GDP growth was revised to 1.8%, down from an initial estimation of 2.5%Unemployment increased slightly to 7.6% in May; U-6 decreased to 13.8%1.8%0%2%4%6%8%10%12%14%16%18%Unemployment Rate vs. U‐6Unemployment RateU‐660%65%70%75%80%85%90%95%100%‐6%‐3%0%3%6%9%12%15%18%197219741976197819801982198419861988199019921994199619982000200220042006200820102012% of Total CapacityRolling 12 Month CPICapacity Utilization vs. Rolling 12 Month CPI12‐Mo CPICapacity Utilization0306090120150180210199019911992199319941995199619971998199920002001200220032004200520062007200820092010201120122013Home Price Index and Consumer ConfidenceS&P Case‐Shiller Home Price IndexConsumer ConfidenceThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 20135
US Stock Market PerformanceSource: Bloomberg as of 6/30Source: Bloomberg as of 6/30Source: Bloomberg as of 6/30Source: Bloomberg as of 6/30Value stocks have outperformed growth in 2013Domestic equity has outperformed international equity in 2013Healthcare leads all sectors YTD as financials and consumer discretionary posted strong second quarters; Materials continued to lagSmall cap has marginally outperformed large cap in 2013‐25%‐15%‐5%5%15%25%35%19791980198119821983198419851986198719881989199019911992199319941995199619971998199920002001200220032004200520062007200820092010201120122013Large Cap vs. Small Cap Equity ReturnsLarge Cap OutperformsSmall Cap Outperforms‐55%‐45%‐35%‐25%‐15%‐5%5%15%25%35%19791980198119821983198419851986198719881989199019911992199319941995199619971998199920002001200220032004200520062007200820092010201120122013Domestic vs. International Equity ReturnsDomestic OutperformsInt'l Outperforms‐35%‐25%‐15%‐5%5%15%25%35%19791980198119821983198419851986198719881989199019911992199319941995199619971998199920002001200220032004200520062007200820092010201120122013Large Value vs. Large Growth Equity ReturnsValue OutperformsGrowth Outperforms‐5% 0% 5% 10% 15% 20% 25%Con.Discretionary (11.6%)Con.Staples (11.01%)Energy (10.97%)Financials (15.92%)Health Care (12.61%)Industrials (10.04%)Info Tech. (17.92%)Materials (3.41%)Telecom (3.01%)Utilities (3.52%)S&P 500 Sector Returns and WeightsQ2YTDThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 20136
Non-US Stock PerformanceSource: Bloomberg as of 6/30Source: Bloomberg as of 6/30Source: Bloomberg as of 6/30Source: Bloomberg as of 6/30Developed Market Equity Returns (U.S. Dollars)YTDQ21 Yr.3 Yr. Ann.Europe ex UK1.0%-1.4%19.7% 6.8%United Kingdom-1.9% -3.3%7.6% 9.3%Japan15.4% 4.2% 19.7% 6.7%Pacific Ex Japan-6.5% -11.9%7.8% 7.1%Canada-7.7% -8.0%1.4% 2.0%USA12.5% 2.2% 18.0% 18.8%US Dollar Return vs. Major Foreign Currencies(Negative = Dollar Depreciates, Positive = Dollar Appreciates)YTD Q21 Yr. 3 Yr. Ann.Euro1.4%-1.5% -2.7% -2.1%Japanese Yen12.5% 5.0% 19.5% 3.6%British Pound6.4%-0.1%3.2%-0.6%Canada5.7% 3.2% 3.3%-0.4%Australia12.1% 12.3% 10.7%-2.9%Currency Impact on Developed Mkt. Returns(Negative = Currency Hurt, Positive = Currency Helped)YTD Q21 Yr. 3 Yr. Ann.MSCI EAFE (Local) 11.0% 1.2% 24.9% 9.8%MSCI EAFE (USD)4.1%-1.0%18.6% 11.1%Currency Impact-6.9% -2.2% -6.3%1.3%‐20%‐15%‐10%‐5% 0% 5% 10% 15%Con.Discretionary (10.97%)Con.Staples (12.33%)Energy (7.16%)Financials (24.84%)Health Care (10.29%)Industrials (12.59%)Info Tech. (4.35%)Materials (8.86%)Telecom (4.93%)Utilities (3.67%)MSCI EAFE Sector Returns (Wgts.)YTDQ2468101214161820Jan‐05May‐05Sep‐05Jan‐06May‐06Sep‐06Jan‐07May‐07Sep‐07Jan‐08May‐08Sep‐08Jan‐09May‐09Sep‐09Jan‐10May‐10Sep‐10Jan‐11May‐11Sep‐11Jan‐12May‐12Sep‐12Jan‐13May‐13EAFE and EM Equity P/E RatioMSCI EAFEMSCI EM*Ex‐Negative Earners‐100%‐80%‐60%‐40%‐20%0%20%40%60%1992199319941995199619971998199920002001200220032004200520062007200820092010201120122013Developed vs. Emerging Markets Equity ReturnsEmerging OutperformsDeveloped OutperformsThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 20137
Fixed Income PerformanceSource: Barclays as of 6/30Source: Barclays, Bloomberg as of 6/30Source: Barclays as of 6/30Source: Barclays as of 6/30‐10%‐8%‐6%‐4%‐2%0%2%1‐3 Yr. Trs.3‐5 Yr. Trs. 7‐10 Yr.Trs.25+ Yr.Trs.Core High Yield GlobalBondEMDFixed Income ReturnsQ2YTD02004006008001000120014002003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013Basis PointsCorporate Spreads AaABaaBa‐14%‐12%‐10%‐8%‐6%‐4%‐2%0%WGBI US UK Japan Canada Australia JPM EMBIGlobal Bond ReturnsQ2YTD‐8%‐7%‐6%‐5%‐4%‐3%‐2%‐1%0%Treasuries Agencies MBS ABS Inv.Gr. Corp. Inter. Corp. Long Corp.Investment Grade Sector ReturnsQ2YTDThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 20138
Plan Reporting9
The items below summarize any changes or announcements from your Plan managers/funds. A “Yes” indicates there was an announcement and a summary is provided separately. NEPC’s Due Diligence Committee meets every two weeks to review events as they relate to investment managers and determines if any action should be taken by NEPC and/or by our clients. They rate events: No Action, Watch, Hold, Client Review or Terminate. NEPC considers ourselves to be a fiduciary, as ERISA defines the term in Section 3(21). NEPC Due Diligence Committee Recommendation KeyNo ActionInformational items have surfaced; no action is recommended.WatchIssues have surfaced to be concerned over; manager can participate in future searches, but current and prospectiveclients must be made aware of the issues.Hold Serious issues have surfaced to be concerned over; manager cannot be in future searches unless a clientspecifically requests, but current and prospective clients must be made aware of the issues.Client Review Very serious issues have surfaced with a manager; manager cannot be in future searches unless a client specificallyrequests. Current clients must be advised to review the manager.Terminate We have lost all confidence in the product; manager would not be recommended for searches and clients would bediscouraged from using. The manager cannot be in future searches unless a client specifically requests. Currentclients must be advised to replace the manager.A legend key to our recommendations is provided below.Plan Manager/FundManager Changes/Announcements (Recent Quarter)NEPC Due Diligence Committee RecommendationsVanguard Target Retirement FundsYes No ActionVanguard LifeStrategy Funds--Vanguard Prime Money MarketYes No ActionVanguard Retirement Savings Trust--Vanguard Total Bond Market Index--Vanguard Balanced Index--Vanguard Windsor II--Vanguard 500 Index--Vanguard U.S. Growth--Due Diligence MonitorThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 201310
The items below summarize any changes or announcements from your Plan managers/funds. A “Yes” indicates there was an announcement and a summary is provided separately. NEPC’s Due Diligence Committee meets every two weeks to review events as they relate to investment managers and determines if any action should be taken by NEPC and/or by our clients. They rate events: No Action, Watch, Hold, Client Review or Terminate. NEPC considers ourselves to be a fiduciary, as ERISA defines the term in Section 3(21). NEPC Due Diligence Committee Recommendation KeyNo ActionInformational items have surfaced; no action is recommended.WatchIssues have surfaced to be concerned over; manager can participate in future searches, but current and prospectiveclients must be made aware of the issues.Hold Serious issues have surfaced to be concerned over; manager cannot be in future searches unless a clientspecifically requests, but current and prospective clients must be made aware of the issues.Client Review Very serious issues have surfaced with a manager; manager cannot be in future searches unless a client specificallyrequests. Current clients must be advised to review the manager.Terminate We have lost all confidence in the product; manager would not be recommended for searches and clients would bediscouraged from using. The manager cannot be in future searches unless a client specifically requests. Currentclients must be advised to replace the manager.A legend key to our recommendations is provided below.Due Diligence MonitorPlan Manager/FundManager Changes/Announcements (Recent Quarter)NEPC Due Diligence Committee RecommendationsVanguard Mid Cap Index--Vanguard Small Cap Index --Vanguard International Growth--The Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 201311
Below is a summary of manager changes, announcements and due diligence events since the issuance of our last quarterly report. Manager Changes/AnnouncementsJune 30, 2013The Metropolitan St. Louis Sewer District Defined Contribution PlanManager CommentaryVanguard Target Retirement Funds•At the end of May, Vanguard announced that it would be launching a Vanguard Total International Bond Index Fund and incorporating this fund into the Vanguard Target Retirement Funds in order to further diversify the portfolios. The announcement accompanied the launch of Vanguard Total International Bond Index Fund, the underlying fund for the new holding. •The Total International Bond Index Fund will seek to track the performance of the Barclays Global Aggregate ex-USD Float Adjusted RIC Capped Index (USD Hedged). The index comprises approximately 7,000 investment-grade corporate and government bonds from 52 countries. The index caps its exposure to any single bond issuer, including government issuers, at 20% to meet regulated investment company (RIC) tax diversification requirements. The top country holdings as of April 30, 2013, were Japan (22%), France (11%), Germany (11%), Italy (8%), and the United Kingdom (8%). •As a result of this announcement, Vanguard's 12 Target Retirement Funds now apportion 20% of each fund's respective fixed income allocation to the Total International Bond Index Fund. •In addition, Vanguard Short-Term Inflation-Protected Securities Index Fund (the Short-Term TIPS Fund) has replaced Vanguard Inflation-Protected Securities Fund in the three Target Retirement Funds that offer exposure to TIPS: the Target Retirement Income, 2010, and 2015 Funds. •Lastly, allocations to Vanguard Prime Money Market Fund in the Target Retirement Income and 2010 Funds were eliminated. •NEPC is comfortable with this announcement and recommends “No Action.”Vanguard Prime Money Market Fund•Vanguard has reduced the minimum investment required for Vanguard Prime Money Market Fund Institutional Shares to $5 million for institutional investors that rely on us for plan administration. Previously, the minimum had been $200 million.•NEPC is comfortable with this announcement and recommends “No Action.”12
Asset SummaryThe Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 2013Periods EndingBeginning YearBeginning QuarterEnd Quarter30-Jun-13($000)(%)($000)(%)($000)(%)Composite$31,813$39,141$38,850 Lifecycle Options $2,0977%$7,44719%$7,07818%Vanguard Target Retirement Income Inv$1841%$2361%$3281%Vanguard Target Retirement 2005 Inv$00%$00%$00%Vanguard Target Retirement 2010 Inv$2761%$6942%$6252%Vanguard Target Retirement 2015 Inv$1651%$1,4114%$1,0433%Vanguard Target Retirement 2020 Inv$1971%$1,5434%$1,4084%Vanguard Target Retirement 2025 Inv$7072%$1,7054%$1,7274%Vanguard Target Retirement 2030 Inv$1450%$6712%$6492%Vanguard Target Retirement 2035 Inv$910%$5171%$5511%Vanguard Target Retirement 2040 Inv$1470%$2811%$3481%Vanguard Target Retirement 2045 Inv$1350%$3091%$3111%Vanguard Target Retirement 2050 Inv$460%$770%$830%Vanguard Target Retirement 2055 Inv$20%$40%$40%Lifestyle Options$4,66815%$00%$00%Vanguard LifeStrategy Income Inv$5132%$00%$00%Vanguard LifeStrategy Cnsrv Gr Inv$6512%$00%$00%Vanguard LifeStrategy Moderate Gr Inv$2,2047%$00%$00%Vanguard LifeStrategy Growth Inv$1,3004%$00%$00%Core Options $29,71693%$31,69481%$3282%Vanguard Prime Money Market Inv$8843%$9642%$1,0313%Retirement Savings Trust$3,33510%$3,1908%$2,9178%Vanguard Total Bond Market Index Inv$3,06310%$3,0958%$2,8737%Vanguard Balanced Index Inv$3,43311%$3,83410%$3,6379%Vanguard Windsor II Inv$6,62921%$7,13818%$7,52819%Vanguard 500 Index Inv$4,27413%$4,61312%$4,88813%Vanguard US Growth Inv$2,6838%$2,9898%$3,0088%Vanguard Mid Cap Index Inv$1,8016%$1,9265%$1,9875%Vanguard Small Cap Index Inv$1,7746%$2,1165%$2,0535%Vanguard International Growth Inv$1,8406%$1,8285%$1,8505%13
Performance Summary – Target Date FundsNotes: Performance is net of fees and is annualized for periods longer than one year. Performance is ranked within Morningstar's style-specific universes, where "1" refers to the top percentile and "100" the bottom percentile. US OE = US open ended mutual fund.The Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 2013Weightin FundMorningstar UniverseLast QuarterRankLastYearRankThreeYearsRankFiveYearsRankTenYearsRank100% Total Plan$38,85018.2% Target Date Funds$7,0780.8% Vanguard Target Retirement Income InvUS OE Retirement Income-1.8674.5657.4425.414 n/a$328Vanguard Target Income Composite Index -1.8 4.6 7.5 5.3 n/a1.6% Vanguard Target Retirement 2010 InvUS OE Target Date 2000-2010-1.2377.1489.4255.314 n/a$625Vanguard Target 2010 Composite Index -1.3 7.3 9.4 5.3 n/a2.7% Vanguard Target Retirement 2015 InvUS OE Target Date 2011-2015-0.7209.62810.5205.57 n/a$1,043Vanguard Target 2015 Composite Index -0.6 9.9 10.6 5.4 n/a3.6% Vanguard Target Retirement 2020 InvUS OE Target Date 2016-2020-0.2911.52311.5165.410 n/a$1,408Vanguard Target 2020 Composite Index -0.1 11.9 11.8 5.5 n/a4.4% Vanguard Target Retirement 2025 InvUS OE Target Date 2021-2025-0.12013.03412.3265.313 n/a$1,727Vanguard Target 2025 Composite Index 0.1 13.4 12.7 5.4 n/a1.7% Vanguard Target Retirement 2030 InvUS OE Target Date 2026-20300.21714.63313.2195.213 n/a$649Vanguard Target 2030 Composite Index 0.3 15.0 13.5 5.3 n/a1.4% Vanguard Target Retirement 2035 InvUS OE Target Date 2031-20350.41916.03514.0155.316 n/a$551Vanguard Target 2035 Composite Index 0.6 16.5 14.3 5.4 n/a0.9% Vanguard Target Retirement 2040 InvUS OE Target Date 2036-20400.61916.93014.3145.514 n/a$348Vanguard Target 2040 Composite Index 0.7 17.2 14.5 5.5 n/a0.8% Vanguard Target Retirement 2045 InvUS OE Target Date 2041-20450.62216.84214.3165.516 n/a$311Vanguard Target 2045 Composite Index 0.7 17.2 14.5 5.5 n/a0.2% Vanguard Target Retirement 2050 InvUS OE Target Date 2046-20500.63016.84314.3145.518 n/a$83Vanguard Target 2050 Composite Index 0.7 17.2 14.5 5.5 n/a0.0% Vanguard Target Retirement 2055 InvUS OE Target Date 2051+0.63616.853 n/a n/a n/a$4Vanguard Target 2055 Composite Index 0.7 17.2 14.5 n/a n/aAnnualized ReturnsEndingMarket Value14
Performance Summary – Core FundsNotes: Performance is net of fees and is annualized for periods longer than one year. Performance is ranked within Morningstar's style-specific universes, where "1" refers to the top percentile and "100" the bottom percentile. US OE = US open ended mutual fund.The Metropolitan St. Louis Sewer District Deferred Compensation PlanJune 30, 2013Weightin FundMorningstar UniverseLast QuarterRankLastYearRankThreeYearsRankFiveYearsRankTenYearsRank100% Total Plan$38,85010.2% Capital Preservation Funds$3,9482.7% Vanguard Prime Money Market InvUS Money Market Taxable0.0 0.0 0.0 0.4 1.8 $1,031BofAML US Treasury Bill 3 Mon TR USD 0.0 0.1 0.1 0.3 1.7 7.5% Retirement Savings TrustStable Value0.5 2.0 2.6 2.8 3.5 $2,917RL 3yr GIC 0.3 1.2 2.0 2.9 3.4 7.4% Fixed Income Funds$2,8737.4% Vanguard Total Bond Market Index InvUS OE Intermediate-Term Bond-2.532-1.0853.3775.0694.448$2,873Barclays US Agg Bond TR USD -2.3 -0.7 3.5 5.2 4.5 9.4% Balanced Funds$3,6379.4% Vanguard Balanced Index InvUS OE Moderate Allocation0.73012.15112.6216.9136.925$3,63760% S&P 500-40% BarCap Agg 0.8 11.7 12.5 6.7 6.5 39.7% Large Cap Equity Funds$15,42419.4% Vanguard Windsor II InvUS OE Large Value4.02922.75518.6187.3267.925$7,528Russell 1000 Value TR USD3.2 25.3 18.5 6.7 7.8 12.6% Vanguard 500 Index InvUS OE Large Blend2.93720.45118.3216.9267.236$4,888S&P 500 TR USD2.9 20.6 18.5 7.0 7.3 7.7% Vanguard US Growth InvUS OE Large Growth1.17618.43617.7296.3386.464$3,008Russell 1000 Growth TR USD 2.1 17.1 18.7 7.5 7.4 10.4% Small/Mid Cap Equity Funds$4,0405.1% Vanguard Mid Cap Index InvUS OE Mid-Cap Blend2.33924.85218.8367.83610.321$1,987Vanguard Mid-Cap Spliced Index 2.4 25.1 19.1 8.0 10.5 5.3% Vanguard Small Cap Index InvUS OE Small Blend2.74725.53519.92310.02210.817$2,053Vanguard Small Cap Spliced Index 2.8 25.7 20.0 10.0 10.8 4.8% International Equity Funds$1,8504.8% Vanguard International Growth InvUS OE Foreign Large Growth-2.26515.23610.3501.1468.838$1,850MSCI ACWI Ex USA NR USD -3.1 13.6 8.0 -0.8 8.6 Annualized ReturnsEndingMarket Value15
Appendix16
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Target Retirement Income Inv
Vanguard Target Income Composite Index
6.8 35 3.3 48 6.4 56 8.2 1 -10.9 6 14.3 80 9.4 42 5.2 9 8.2 67
6.9 3.4 6.5 8.1 -11.4 14.3 9.4 5.3 8.4
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
Vanguard Target Retirement Income Inv Vanguard Target Income Composite Index
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
0.0
5.0
10.0
15.0
20.0
Vanguard Target Retirement Income Inv Vanguard Target Income Composite Index
Vanguard Target Income Composite Index US OE Retirement IncomeVanguard Target Retirement Income Inv VTINX
Risk & Return Illustration (3 Years)
Time Period: 7/1/2010 to 6/30/2013
ReturnStd Dev
0.0 1.0 2.0 3.0 4.0 5.0 6.0
0.0
2.0
4.0
6.0
8.0
10.0 Vanguard Target Retirement Income Inv
Vanguard Target Income Composite Index
Top 10 Holdings
Portfolio Date: 3/31/2013
Broad
Category
Return
Qtr
Return
YTD
Portfolio
Weighting %
Vanguard Total Bond Market II Idx Inv
Vanguard Total Stock Mkt Idx Inv
Vanguard Inflation-Protected Secs Inv
Vanguard Total Intl Stock Index Inv
Vanguard Prime Money Market Inv
CMT Market Liquidity Rate
Fixed Income -2.5 -2.4 44.8
Equity 2.7 14.0 21.5
Fixed Income -7.3 -7.7 19.9
Equity -3.2 -0.5 8.9
Money Market 0.0 0.0 4.9
0.0
As of 6/30/2013
17
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Target Retirement 2015 Inv
Vanguard Target 2015 Composite Index
9.0 12 4.9 44 11.4 30 7.5 23 -24.1 15 21.3 76 12.5 34 1.7 19 11.4 34
9.1 5.0 11.5 7.5 -24.4 21.4 12.6 1.5 11.5
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-15.0
-7.5
0.0
7.5
15.0
22.5
Vanguard Target Retirement 2015 Inv Vanguard Target 2015 Composite Index
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
0.0
5.0
10.0
15.0
20.0
25.0
Vanguard Target Retirement 2015 Inv Vanguard Target 2015 Composite Index
Vanguard Target 2015 Composite Index US OE Target Date 2011-2015Vanguard Target Retirement 2015 Inv VTXVX
Risk & Return Illustration (3 Years)
Time Period: 7/1/2010 to 6/30/2013
ReturnStd Dev
0.0 2.0 4.0 6.0 8.0 10.0 12.0
0.0
2.0
4.0
6.0
8.0
10.0
12.0 Vanguard Target Retirement 2015 Inv
Vanguard Target 2015 Composite Index
Top 10 Holdings
Portfolio Date: 3/31/2013
Broad
Category
Return
Qtr
Return
YTD
Portfolio
Weighting %
Vanguard Total Bond Market II Idx Inv
Vanguard Total Stock Mkt Idx Inv
Vanguard Total Intl Stock Index Inv
Vanguard Inflation-Protected Secs Inv
CMT Market Liquidity Rate
Fixed Income -2.5 -2.4 39.8
Equity 2.7 14.0 38.7
Equity -3.2 -0.5 16.0
Fixed Income -7.3 -7.7 5.6
0.0
As of 6/30/2013
18
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Target Retirement 2025 Inv
Vanguard Target 2025 Composite Index
10.1 1 5.4 94 13.2 45 7.6 41 -30.1 15 24.8 78 13.8 37 -0.4 16 13.3 43
10.1 5.5 13.4 7.6 -30.5 25.1 13.9 0.0 13.4
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-15.0
-7.5
0.0
7.5
15.0
22.5
Vanguard Target Retirement 2025 Inv Vanguard Target 2025 Composite Index
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
0.0
5.0
10.0
15.0
20.0
25.0
30.0
Vanguard Target Retirement 2025 Inv Vanguard Target 2025 Composite Index
Vanguard Target 2025 Composite Index US OE Target Date 2021-2025Vanguard Target Retirement 2025 Inv VTTVX
Risk & Return Illustration (3 Years)
Time Period: 7/1/2010 to 6/30/2013
ReturnStd Dev
0.0 2.0 4.0 6.0 8.0 10.0 12.0 14.0
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0 Vanguard Target Retirement 2025 Inv
Vanguard Target 2025 Composite Index
Top 10 Holdings
Portfolio Date: 3/31/2013
Broad
Category
Return
Qtr
Return
YTD
Portfolio
Weighting %
Vanguard Total Stock Mkt Idx Inv
Vanguard Total Bond Market II Idx Inv
Vanguard Total Intl Stock Index Inv
CMT Market Liquidity Rate
Equity 2.7 14.0 50.0
Fixed Income -2.5 -2.4 29.2
Equity -3.2 -0.5 20.8
0.0
As of 6/30/2013
19
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Target Retirement 2035 Inv
Vanguard Target 2035 Composite Index
12.0 1 6.3 94 15.2 24 7.5 47 -34.7 13 28.2 64 15.1 26 -2.2 19 15.2 40
11.9 6.5 15.4 7.5 -35.1 28.5 15.2 -1.9 15.3
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-20.0
-10.0
0.0
10.0
20.0
30.0
Vanguard Target Retirement 2035 Inv Vanguard Target 2035 Composite Index
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
5.0
10.0
15.0
20.0
25.0
30.0
Vanguard Target Retirement 2035 Inv Vanguard Target 2035 Composite Index
Vanguard Target 2035 Composite Index US OE Target Date 2031-2035Vanguard Target Retirement 2035 Inv VTTHX
Risk & Return Illustration (3 Years)
Time Period: 7/1/2010 to 6/30/2013
ReturnStd Dev
0.0 3.0 6.0 9.0 12.0 15.0 18.0
0.0
3.0
6.0
9.0
12.0
15.0
18.0 Vanguard Target Retirement 2035 Inv
Vanguard Target 2035 Composite Index
Top 10 Holdings
Portfolio Date: 3/31/2013
Broad
Category
Return
Qtr
Return
YTD
Portfolio
Weighting %
Vanguard Total Stock Mkt Idx Inv
Vanguard Total Intl Stock Index Inv
Vanguard Total Bond Market II Idx Inv
CMT Market Liquidity Rate
Equity 2.7 14.0 60.4
Equity -3.2 -0.5 25.2
Fixed Income -2.5 -2.4 14.4
0.0
As of 6/30/2013
20
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Target Retirement 2045 Inv
Vanguard Target 2045 Composite Index
12.9 1 6.9 100 16.0 46 7.5 41 -34.6 11 28.2 83 15.2 40 -2.5 14 15.6 43
11.9 7.0 16.2 7.5 -35.1 28.5 15.2 -2.1 15.5
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-20.0
-10.0
0.0
10.0
20.0
30.0
Vanguard Target Retirement 2045 Inv Vanguard Target 2045 Composite Index
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev12 03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
5.0
10.0
15.0
20.0
25.0
30.0
Vanguard Target Retirement 2045 Inv Vanguard Target 2045 Composite Index
Vanguard Target 2045 Composite Index US OE Target Date 2041-2045Vanguard Target Retirement 2045 Inv VTIVX
Risk & Return Illustration (3 Years)
Time Period: 7/1/2010 to 6/30/2013
ReturnStd Dev
0.0 3.0 6.0 9.0 12.0 15.0 18.0
0.0
3.0
6.0
9.0
12.0
15.0
18.0 Vanguard Target Retirement 2045 Inv
Vanguard Target 2045 Composite Index
Top 10 Holdings
Portfolio Date: 3/31/2013
Broad
Category
Return
Qtr
Return
YTD
Portfolio
Weighting %
Vanguard Total Stock Mkt Idx Inv
Vanguard Total Intl Stock Index Inv
Vanguard Total Bond Market II Idx Inv
CMT Market Liquidity Rate
Equity 2.7 14.0 63.3
Equity -3.2 -0.5 26.6
Fixed Income -2.5 -2.4 10.0
0.0
As of 6/30/2013
21
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Target Retirement 2055 Inv
Vanguard Target 2055 Composite Index
-2.3 9 15.6 48
-2.1 15.5
Rolling Returns (2 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return04 05 06 07 08 09 10 11 12
2013
01 02 03 04 05 06
-40.0
-20.0
0.0
20.0
40.0
Vanguard Target Retirement 2055 Inv Vanguard Target 2055 Composite Index
Rolling Risk (2 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev04 05 06 07 08 09 10 11 12
2013
01 02 03 04 05 06
15.0
20.0
25.0
30.0
35.0
Vanguard Target Retirement 2055 Inv Vanguard Target 2055 Composite Index
Vanguard Target 2055 Composite Index US OE Target Date 2051+Vanguard Target Retirement 2055 Inv VFFVX
Risk & Return Illustration (2 Years)
Time Period: 7/1/2011 to 6/30/2013
ReturnStd Dev
0.0 3.0 6.0 9.0 12.0 15.0 18.0 21.0
0.0
2.0
4.0
6.0
8.0
10.0 Vanguard Target Retirement 2055 Inv
Vanguard Target 2055 Composite Index
Top 10 Holdings
Portfolio Date: 3/31/2013
Broad
Category
Return
Qtr
Return
YTD
Portfolio
Weighting %
Vanguard Total Stock Mkt Idx Inv
Vanguard Total Intl Stock Index Inv
Vanguard Total Bond Market II Idx Inv
CMT Market Liquidity Rate
Equity 2.7 14.0 63.0
Equity -3.2 -0.5 26.9
Fixed Income -2.5 -2.4 10.0
0.1
As of 6/30/2013
22
BofAML US Treasury Bill 3 Mon TR USD US Money Market TaxableVanguard Prime Money Market Instl VMRXX
Asset Allocation
Portfolio Date: 2/28/2013
%
Stock 0.0
Bond 1.9
Cash 92.0
Other 6.1
Total 100.0
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
0.0
1.0
2.0
3.0
4.0
5.0
Vanguard Prime Money Market Instl BofAML US Treasury Bill 3 Mon TR USD
Calendar Year Returns
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Vanguard Prime Money Market Instl
BofAML US Treasury Bill 3 Mon TR USD 1.1 1.3 3.1 4.8 5.0 2.1 0.2 0.1 0.1 0.1
1.1 1.3 3.2 5.1 5.3 2.9 0.7 0.2 0.1 0.1
As of 6/30/2013
23
Historical Sector Allocations (10 Years)
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
2004 2005 2006 2007 2008 2009 2010 2011 2012
Cash %US Govt Debt %Mortgage %
US Credit %Non-US %
Top Holdings
Detail
Holding
Type
Portfolio
Weighting %
CMT Market Liquidity Rate
US Treasury Bond 6.25%
Fannie Mae Single Family TBA 3.5% 2043-04-01
US Treasury Note 0.375%
US Treasury Note 1%
US Treasury Note 0.375%
FHLMC 3.5%
US Treasury Note 0.25%
US Treasury Note 0.375%
Fannie Mae Single Family TBA 3% 2043-04-01
MUTUAL FUND - MONEY MARKET 5.90
BOND - GOV'T/TREASURY 0.69
BOND - GOV'T AGENCY PASS-THRU 0.63
BOND - GOV'T/TREASURY 0.63
BOND - GOV'T/TREASURY 0.60
BOND - GOV'T/TREASURY 0.58
BOND - GOV'T AGENCY DEBT 0.56
BOND - GOV'T/TREASURY 0.54
BOND - GOV'T/TREASURY 0.53
BOND - GOV'T AGENCY PASS-THRU 0.52
Asset Allocation
Portfolio Date: 3/31/2013
%
Stock 0.0
Bond 93.3
Cash 6.6
Other 0.1
Total 100.0
Fixed Income Statistics
Portfolio Date: 3/31/2013
Morningstar Fixed Income Style Box™High Med Low
Ltd Mod Ext
Fixed-Income Stats
Average Eff Duration 5.3
Average Eff Maturity 7.3
Average Coupon 3.8
Average Price 110.2
Average Credit Quality AA
Credit Quality Breakdown
Portfolio Date: 3/31/2013
Fund Index
AAA %
AA %
A %
BBB %
BB %
B %
Below B %
Not Rated %
Yield to Maturity
72.3
4.55
11.96
11.19
0.00
0.00
0.00
0.00
1.61
BarCap US Agg Bond TR USD US OE Intermediate-Term BondVanguard Total Bond Market Idx InstlPls VBMPX
As of 6/30/2013
24
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Total Bond Market Idx InstlPls
BarCap US Agg Bond TR USD
4.0 4.2 2.4 4.3 6.9 5.1 5.9 6.6 7.7 11 4.2 82
4.1 4.3 2.4 4.3 7.0 5.2 5.9 6.5 7.8 4.2
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-5.0
0.0
5.0
10.0
15.0
20.0
Vanguard Total Bond Market Idx InstlPls BarCap US Agg Bond TR USD
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
0.0
2.0
4.0
6.0
8.0
10.0
12.0
Vanguard Total Bond Market Idx InstlPls BarCap US Agg Bond TR USD
US OE Intermediate-Term BondBarCap US Agg Bond TR USDVanguard Total Bond Market Idx InstlPls VBMPX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 1.0 2.0 3.0 4.0
0.0
1.0
2.0
3.0
4.0
5.0
6.0 Vanguard Total Bond Market Idx InstlPls
BarCap US Agg Bond TR USD
Risk & Return Characteristics (5 Years)
Time Period: 7/1/2008 to 6/30/2013
Fund Index
R2
Alpha
Beta
Std Dev
Up Capture Ratio
Down Capture Ratio
Sharpe Ratio (geo)
Information Ratio (geo)
Tracking Error
Correlation
3.6
99.1
99.1
-0.2
0.2
3.6
100.0
100.0
0.0
99.6
-0.1
1.0
1.4
1.0
100.0
0.0
1.0
1.4
1.0
As of 6/30/2013
25
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Balanced Index Inv
60% S&P 500-40% BarCap Agg
19.9 49 9.3 42 4.7 56 11.0 53 6.2 49 -22.2 13 20.1 77 13.1 27 4.1 7 11.3 65
18.5 8.3 4.0 11.1 6.2 -22.1 18.4 12.1 4.7 11.3
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-15.0
-7.5
0.0
7.5
15.0
22.5
Vanguard Balanced Index Inv 60% S&P 500-40% BarCap Agg
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
0.0
5.0
10.0
15.0
20.0
25.0
Vanguard Balanced Index Inv 60% S&P 500-40% BarCap Agg
60% S&P 500-40% BarCap Agg US OE Moderate AllocationVanguard Balanced Index Inv VBINX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 3.0 6.0 9.0 12.0 15.0
0.0
2.0
4.0
6.0
8.0 Vanguard Balanced Index Inv
60% S&P 500-40% BarCap Agg
Asset Allocation
Portfolio Date: 3/31/2013
%
Stock 58.2
Bond 37.9
Cash 3.9
Other 0.0
Total 100.0
As of 6/30/2013
26
Historical Sector Allocations (5 Years)
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
3/2009 9/2009 3/2010 9/2010 3/2011 9/2011 3/2012 9/2012 3/2013
Energy %Materials %Industrials %
Consumer Discretionary %Consumer Staples %Healthcare %
Financials %Information Technology %Telecom Services %
Utilities %
Attribution (Quarter)
Portfolio
Weights
Benchmark
Weights
Portfolio
Return
Benchmark
Return
Allocation
Effect
Selection
Effect
Active
Return
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Information Technology
Materials
Telecommunication Services
Utilities
Unclassified
Attribution Total
Cash
Bond
Total
7.27 8.45 4.89 6.67 -0.03 -0.13 -0.16
9.73 7.33 -2.61 0.11 -0.09 -0.27 -0.36
12.95 15.58 -0.98 -0.49 0.08 -0.07 0.02
20.17 28.02 9.93 6.47 -0.24 0.70 0.46
16.44 11.79 5.93 4.75 0.08 0.20 0.28
11.19 8.96 6.23 1.72 -0.03 0.52 0.48
9.75 6.70 5.50 7.67 0.16 -0.23 -0.07
1.35 3.51 0.17 -5.29 0.19 0.08 0.27
2.32 3.11 0.43 0.67 0.01 0.00 0.01
4.45 6.54 0.36 -2.12 0.11 0.12 0.23
1.33 0.00 3.12 0.00 0.00 0.00
96.95 100.00 4.34 3.19 0.24 0.91 1.15
2.94 0.00
0.10 0.00
100.00 100.00
Market Capitalization Breakdown
Portfolio Date: 3/31/2013
Fund Index
Market Cap Giant %
Market Cap Large %
Market Cap Mid %
Market Cap Small %
Market Cap Micro %
Average Market Cap (mil) (Long)
50.3
37.7
10.9
1.1
0.0
53,141.8
42.5
34.1
21.2
2.3
0.0
41,413.4
Portfolio Statistics
Fund Index
# of Holdings
% Asset in Top 10 Holdings
Turnover Ratio %
P/E Ratio
P/B Ratio
LT Earn Growth
Hist Earn Growth
12 Mo Yield
696
26.7
14.5
1.7
7.4
1.9
275
24.5
22.0
14.7
1.8
9.0
1.9
2.2
Holdings Based Style Trail (5 Years)
Time Period: 7/31/2008 to 6/30/2013
Micro Small Mid Large Giant
Deep-Val Core-Val Core Core-Grth High-Grth
Vanguard Windsor II Inv Russell 1000 Value TR USD
Russell 1000 Value TR USD US OE Large ValueVanguard Windsor II Inv VWNFX
As of 6/30/2013
27
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Windsor II Inv
Russell 1000 Value TR USD 30.0 16.5 7.1 22.2 -0.2 -36.8 19.7 15.5 0.4 17.5
30.1 33 18.3 7 7.0 34 18.2 50 2.2 47 -36.7 53 27.1 28 10.6 88 2.7 24 16.7 25
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-20.0
-10.0
0.0
10.0
20.0
30.0
Vanguard Windsor II Inv Russell 1000 Value TR USD
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
5.0
10.0
15.0
20.0
25.0
30.0
35.0
Vanguard Windsor II Inv Russell 1000 Value TR USD
Russell 1000 Value TR USD US OE Large ValueVanguard Windsor II Inv VWNFX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 4.0 8.0 12.0 16.0 20.0 24.0 28.0
0.0
2.0
4.0
6.0
8.0
10.0 Vanguard Windsor II Inv
Russell 1000 Value TR USD
Risk & Return Characteristics (5 Years)
Time Period: 7/1/2008 to 6/30/2013
Fund Index
R2
Alpha
Beta
Std Dev
Up Capture Ratio
Down Capture Ratio
Sharpe Ratio (geo)
Information Ratio (geo)
Tracking Error
Correlation
22.2 23.1
98.3
0.8
1.0
99.1
95.2
0.3
0.2
3.0
1.0
100.0
0.0
1.0
100.0
100.0
0.3
0.0
1.0
As of 6/30/2013
28
Historical Sector Allocations (5 Years)
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
3/2009 9/2009 3/2010 9/2010 3/2011 9/2011 3/2012 9/2012 3/2013
Energy %Materials %Industrials %
Consumer Discretionary %Consumer Staples %Healthcare %
Financials %Information Technology %Telecom Services %
Utilities %
Attribution (Quarter)
Portfolio
Weights
Benchmark
Weights
Portfolio
Return
Benchmark
Return
Allocation
Effect
Selection
Effect
Active
Return
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Information Technology
Materials
Telecommunication Services
Utilities
Attribution Total
Cash
Bond
Total
11.67 11.73 6.89 6.88 0.00 0.00 0.00
10.82 10.86 0.50 0.51 0.00 0.00 0.00
10.67 10.71 -0.37 -0.36 0.00 0.00 0.00
16.12 16.24 7.34 7.30 0.00 0.01 0.01
12.51 12.60 3.78 3.72 0.00 0.01 0.01
9.96 10.03 2.69 2.67 0.00 0.00 0.00
17.92 18.01 1.72 1.72 0.00 0.00 0.00
3.38 3.40 -1.80 -1.81 0.00 0.00 0.00
2.96 2.95 1.56 1.39 0.00 0.00 0.00
3.45 3.46 -2.74 -2.74 0.00 0.00 0.00
99.45 100.00 2.93 2.91 0.00 0.02 0.02
0.52 0.00
0.03 0.00
100.00 100.00
Market Capitalization Breakdown
Portfolio Date: 3/31/2013
Fund Index
Market Cap Giant %
Market Cap Large %
Market Cap Mid %
Market Cap Small %
Market Cap Micro %
Average Market Cap (mil) (Long)
51.3
36.2
12.4
0.1
0.0
58,058.1
51.3
36.2
12.4
0.1
0.0
58,066.8
Portfolio Statistics
Fund Index
# of Holdings
% Asset in Top 10 Holdings
Turnover Ratio %
P/E Ratio
P/B Ratio
LT Earn Growth
Hist Earn Growth
12 Mo Yield
508
18.4
3.0
16.6
2.3
9.9
7.9
2.0
500
18.2
16.6
2.3
9.8
6.4
Holdings Based Style Trail (5 Years)
Time Period: 7/31/2008 to 6/30/2013
Micro Small Mid Large Giant
Deep-Val Core-Val Core Core-Grth High-Grth
Vanguard 500 Index Inv S&P 500 TR USD
S&P 500 TR USD US OE Large BlendVanguard 500 Index Inv VFINX
As of 6/30/2013
29
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard 500 Index Inv
S&P 500 TR USD
28.5 28 10.7 36 4.8 60 15.6 24 5.4 51 -37.0 38 26.5 54 14.9 31 2.0 19 15.8 38
28.7 10.9 4.9 15.8 5.5 -37.0 26.5 15.1 2.1 16.0
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-20.0
-10.0
0.0
10.0
20.0
30.0
Vanguard 500 Index Inv S&P 500 TR USD
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
5.0
10.0
15.0
20.0
25.0
30.0
35.0
Vanguard 500 Index Inv S&P 500 TR USD
S&P 500 TR USD US OE Large BlendVanguard 500 Index Inv VFINX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 4.0 8.0 12.0 16.0 20.0 24.0
0.0
2.0
4.0
6.0
8.0 Vanguard 500 Index Inv
S&P 500 TR USD
Risk & Return Characteristics (5 Years)
Time Period: 7/1/2008 to 6/30/2013
Fund Index
R2
Alpha
Beta
Std Dev
Up Capture Ratio
Down Capture Ratio
Sharpe Ratio (geo)
Information Ratio (geo)
Tracking Error
Correlation
100.0
-0.1
1.0
21.5
99.7
100.1
0.3
-2.0
0.0
1.0
100.0
0.0
1.0
21.5
100.0
100.0
0.3
0.0
1.0
As of 6/30/2013
30
Historical Sector Allocations (5 Years)
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
3/2009 9/2009 3/2010 9/2010 3/2011 9/2011 3/2012 9/2012 3/2013
Energy %Materials %Industrials %
Consumer Discretionary %Consumer Staples %Healthcare %
Financials %Information Technology %Telecom Services %
Utilities %
Attribution (Quarter)
Portfolio
Weights
Benchmark
Weights
Portfolio
Return
Benchmark
Return
Allocation
Effect
Selection
Effect
Active
Return
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Information Technology
Materials
Telecommunication Services
Utilities
Unclassified
Attribution Total
Cash
Bond
Other
Missing Performance
Total
19.86 16.99 7.02 7.19 0.20 -0.04 0.16
6.11 12.87 5.33 1.09 0.07 0.26 0.33
6.66 4.10 -0.30 -1.59 -0.11 0.09 -0.01
6.97 4.90 7.88 1.46 -0.01 0.46 0.45
11.02 13.01 -5.40 3.16 -0.01 -1.00 -1.01
5.63 12.86 3.79 2.60 -0.03 0.07 0.04
34.42 28.81 -1.32 -0.44 -0.17 -0.34 -0.51
2.59 3.91 -4.83 0.86 0.02 -0.16 -0.15
2.47 2.33 3.80 3.72 0.00 0.00 0.00
0.00 0.20 -7.17 0.02 0.00 0.02
0.01 0.00 1.22 0.00 0.00 0.00
95.73 99.99 1.38 2.07 -0.03 -0.66 -0.69
3.38 0.00
0.25 0.00
0.55 0.00
0.09 0.01
100.00 100.00
Market Capitalization Breakdown
Portfolio Date: 3/31/2013
Fund Index
Market Cap Giant %
Market Cap Large %
Market Cap Mid %
Market Cap Small %
Market Cap Micro %
Average Market Cap (mil) (Long)
35.0
41.3
23.4
0.3
0.0
36,012.8
48.4
31.6
19.0
1.0
0.0
46,673.5
Portfolio Statistics
Fund Index
# of Holdings
% Asset in Top 10 Holdings
Turnover Ratio %
P/E Ratio
P/B Ratio
LT Earn Growth
Hist Earn Growth
12 Mo Yield
575
23.8
19.0
4.3
12.4
13.5
120
28.6
43.0
22.1
3.6
15.0
18.2
0.5
Holdings Based Style Trail (5 Years)
Time Period: 7/31/2008 to 6/30/2013
Micro Small Mid Large Giant
Deep-Val Core-Val Core Core-Grth High-Grth
Vanguard US Growth Inv Russell 1000 Growth TR USD
Russell 1000 Growth TR USD US OE Large GrowthVanguard US Growth Inv VWUSX
As of 6/30/2013
31
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard US Growth Inv
Russell 1000 Growth TR USD
26.1 58 7.0 55 11.2 18 1.8 88 10.1 68 -37.8 28 35.0 47 11.5 83 -0.7 36 18.4 18
29.7 6.3 5.3 9.1 11.8 -38.4 37.2 16.7 2.6 15.3
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-20.0
-10.0
0.0
10.0
20.0
30.0
40.0
Vanguard US Growth Inv Russell 1000 Growth TR USD
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
5.0
10.0
15.0
20.0
25.0
30.0
35.0
Vanguard US Growth Inv Russell 1000 Growth TR USD
Russell 1000 Growth TR USD US OE Large GrowthVanguard US Growth Inv VWUSX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 4.0 8.0 12.0 16.0 20.0 24.0 28.0
0.0
2.0
4.0
6.0
8.0
10.0 Vanguard US Growth Inv
Russell 1000 Growth TR USD
Risk & Return Characteristics (5 Years)
Time Period: 7/1/2008 to 6/30/2013
Fund Index
R2
Alpha
Beta
Std Dev
Up Capture Ratio
Down Capture Ratio
Sharpe Ratio (geo)
Information Ratio (geo)
Tracking Error
Correlation
22.3 21.8
98.0
-1.1
1.0
97.6
103.5
0.3
-0.3
3.2
1.0
100.0
0.0
1.0
100.0
100.0
0.3
0.0
1.0
As of 6/30/2013
32
Historical Sector Allocations (5 Years)
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
3/2009 9/2009 3/2010 9/2010 3/2011 9/2011 3/2012 9/2012 3/2013
Energy %Materials %Industrials %
Consumer Discretionary %Consumer Staples %Healthcare %
Financials %Information Technology %Telecom Services %
Utilities %
Attribution (Quarter)
Portfolio
Weights
Benchmark
Weights
Portfolio
Return
Benchmark
Return
Allocation
Effect
Selection
Effect
Active
Return
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Information Technology
Materials
Telecommunication Services
Utilities
Attribution Total
Cash
Bond
Unidentified
Total
19.06 0.00 5.45 0.57 0.00 0.57
6.47 0.00 2.02 -0.02 0.00 -0.02
6.58 0.00 -3.65 -0.41 0.00 -0.41
16.60 0.00 2.68 0.05 0.00 0.05
10.72 0.00 8.63 0.65 0.00 0.65
12.66 0.00 -1.25 -0.48 0.00 -0.48
14.48 0.00 2.60 0.03 0.00 0.03
5.56 0.00 -1.13 -0.20 0.00 -0.20
1.18 0.00 10.09 0.09 0.00 0.09
6.17 0.00 -2.02 -0.28 0.00 -0.28
99.49 0.00 2.40 0.00 0.00 0.00
0.45 0.00
0.05 0.00
0.00 100.00
100.00 100.00
Market Capitalization Breakdown
Portfolio Date: 3/31/2013
Fund Index
Market Cap Giant %
Market Cap Large %
Market Cap Mid %
Market Cap Small %
Market Cap Micro %
Average Market Cap (mil) (Long)
0.0
16.5
83.4
0.2
0.0
8,680.2
0.0
16.4
83.4
0.2
0.0
8,678.4
Portfolio Statistics
Fund Index
# of Holdings
% Asset in Top 10 Holdings
Turnover Ratio %
P/E Ratio
P/B Ratio
LT Earn Growth
Hist Earn Growth
12 Mo Yield
368
5.9
17.0
18.5
2.4
11.4
11.6
1.0
1
100.0
18.0
2.5
11.5
10.2
0.0
Holdings Based Style Trail (5 Years)
Time Period: 9/30/2008 to 3/31/2013
Micro Small Mid Large Giant
Deep-Val Core-Val Core Core-Grth High-Grth
Vanguard Mid Cap Index Inv Vanguard Mid-Cap Spliced Index
Vanguard Mid-Cap Spliced Index US OE Mid-Cap BlendVanguard Mid Cap Index Inv VIMSX
As of 6/30/2013
33
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Mid Cap Index Inv
Vanguard Mid-Cap Spliced Index
34.1 55 20.4 19 13.9 13 13.6 46 6.0 44 -41.8 69 40.2 25 25.5 29 -2.1 34 15.8 57
33.8 20.5 13.9 13.7 6.2 -41.8 40.5 25.7 -1.9 16.0
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-40.0
-20.0
0.0
20.0
40.0
Vanguard Mid Cap Index Inv Vanguard Mid-Cap Spliced Index
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
0.0
7.5
15.0
22.5
30.0
37.5
45.0
Vanguard Mid Cap Index Inv Vanguard Mid-Cap Spliced Index
Vanguard Mid-Cap Spliced Index US OE Mid-Cap BlendVanguard Mid Cap Index Inv VIMSX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 5.0 10.0 15.0 20.0 25.0 30.0
0.0
2.0
4.0
6.0
8.0
10.0 Vanguard Mid Cap Index Inv
Vanguard Mid-Cap Spliced Index
Risk & Return Characteristics (5 Years)
Time Period: 7/1/2008 to 6/30/2013
Fund Index
R2
Alpha
Beta
Std Dev
Up Capture Ratio
Down Capture Ratio
Sharpe Ratio (geo)
Information Ratio (geo)
Tracking Error
Correlation
25.8
0.3
100.0
-0.2
1.0
99.5
100.2
-1.8
0.1
1.0
100.0
0.0
1.0
25.8
100.0
100.0
0.3
0.0
1.0
As of 6/30/2013
34
Historical Sector Allocations (5 Years)
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
3/2009 9/2009 3/2010 9/2010 3/2011 9/2011 3/2012 9/2012 3/2013
Energy %Materials %Industrials %
Consumer Discretionary %Consumer Staples %Healthcare %
Financials %Information Technology %Telecom Services %
Utilities %
Attribution (Quarter)
Portfolio
Weights
Benchmark
Weights
Portfolio
Return
Benchmark
Return
Allocation
Effect
Selection
Effect
Active
Return
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Information Technology
Materials
Telecommunication Services
Utilities
Attribution Total
Cash
Bond
Other
Unidentified
Missing Performance
Total
15.13 0.00 9.75 1.05 0.00 1.05
2.96 0.00 8.01 0.15 0.00 0.15
5.44 0.00 -3.73 -0.36 0.00 -0.36
23.50 0.00 1.16 -0.37 0.00 -0.37
10.62 0.00 4.30 0.17 0.00 0.17
15.76 0.00 0.08 -0.43 0.00 -0.43
14.61 0.00 4.79 0.31 0.00 0.31
6.31 0.00 -5.02 -0.51 0.00 -0.51
0.69 0.00 16.17 0.09 0.00 0.09
4.01 0.00 0.41 -0.09 0.00 -0.09
99.01 0.00 2.73 0.00 0.00 0.00
0.62 0.00
0.11 0.00
0.08 0.00
0.00 100.00
0.18 0.00
100.00 100.00
Market Capitalization Breakdown
Portfolio Date: 3/31/2013
Fund Index
Market Cap Giant %
Market Cap Large %
Market Cap Mid %
Market Cap Small %
Market Cap Micro %
Average Market Cap (mil) (Long)
0.0
0.4
41.8
48.3
9.5
2,294.1
0.0
0.4
41.8
48.3
9.5
2,294.3
Portfolio Statistics
Fund Index
# of Holdings
% Asset in Top 10 Holdings
Turnover Ratio %
P/E Ratio
P/B Ratio
LT Earn Growth
Hist Earn Growth
12 Mo Yield
1,443
2.7
14.0
18.3
2.0
7.4
-0.6
1.4
1
100.0
19.5
2.2
7.3
-1.7
0.0
Holdings Based Style Trail (5 Years)
Time Period: 9/30/2008 to 3/31/2013
Micro Small Mid Large Giant
Deep-Val Core-Val Core Core-Grth High-Grth
Vanguard Small Cap Index Inv Vanguard Small Cap Spliced Index
Vanguard Small Cap Spliced Index US OE Small BlendVanguard Small Cap Index Inv NAESX
As of 6/30/2013
35
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard Small Cap Index Inv
Vanguard Small Cap Spliced Index
45.6 36 19.9 43 7.4 42 15.7 42 1.2 30 -36.1 53 36.1 26 27.7 25 -2.8 44 18.0 22
45.5 20.0 7.5 15.8 1.2 -36.2 36.1 27.8 -2.8 18.2
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-40.0
-20.0
0.0
20.0
40.0
Vanguard Small Cap Index Inv Vanguard Small Cap Spliced Index
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
7.5
15.0
22.5
30.0
37.5
Vanguard Small Cap Index Inv Vanguard Small Cap Spliced Index
Vanguard Small Cap Spliced Index US OE Small BlendVanguard Small Cap Index Inv NAESX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 5.0 10.0 15.0 20.0 25.0 30.0
0.0
2.0
4.0
6.0
8.0
10.0
12.0 Vanguard Small Cap Index Inv
Vanguard Small Cap Spliced Index
Risk & Return Characteristics (5 Years)
Time Period: 7/1/2008 to 6/30/2013
Fund Index
R2
Alpha
Beta
Std Dev
Up Capture Ratio
Down Capture Ratio
Sharpe Ratio (geo)
Information Ratio (geo)
Tracking Error
Correlation
0.4
27.2
100.0
0.0
1.0
99.8
99.9
-0.4
0.1
1.0
100.0
0.0
1.0
27.2
100.0
100.0
0.4
0.0
1.0
As of 6/30/2013
36
Attribution (Quarter)
Portfolio
Weights
Benchmark
Weights
Portfolio
Return
Benchmark
Return
Allocation
Effect
Selection
Effect
Active
Return
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Information Technology
Materials
Telecommunication Services
Utilities
Unclassified
Attribution Total
Cash
Bond
Other
Missing Performance
Total
16.20 9.91 3.94 3.89 0.48 0.02 0.50
8.02 10.78 -1.48 -4.21 0.02 0.23 0.26
4.44 9.52 -5.98 -6.47 0.17 0.03 0.20
19.96 26.55 -6.20 -3.38 0.02 -0.59 -0.57
8.33 7.77 0.28 0.86 0.04 -0.05 -0.02
14.99 10.76 -3.12 -2.65 0.02 -0.07 -0.05
12.66 6.29 3.38 -1.43 0.11 0.63 0.74
8.19 9.27 -16.30 -13.02 0.08 -0.31 -0.23
2.07 5.44 15.45 2.18 -0.17 0.27 0.10
0.46 3.52 0.91 -0.01 -0.09 0.00 -0.09
0.00 0.05 -10.12 0.00 0.00 0.00
95.31 99.86 -2.22 -3.05 0.68 0.15 0.83
3.26 0.00
0.29 0.00
1.14 0.00
0.00 0.14
100.00 100.00
Historical Country Allocations (5 Years)
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
3/2009 9/2009 3/2010 9/2010 3/2011 9/2011 3/2012 9/2012 3/2013
North America %Latin America %United Kingdom %
Europe dev %Europe emrg %Africa/Middle East %
Australasia %Japan %Asia dev %
Asia emrg %
Portfolio Statistics
Fund Index
# of Holdings
% Asset in Top 10 Holdings
Turnover Ratio %
P/E Ratio
P/B Ratio
LT Earn Growth
Hist Earn Growth
12 Mo Yield
187
19.4
30.0
13.0
2.1
11.4
4.5
1.8
1,823
9.7
14.0
1.5
10.4
-23.8
Holdings Based Style Trail (5 Years)
Time Period: 7/31/2008 to 6/30/2013
Micro Small Mid Large Giant
Deep-Val Core-Val Core Core-Grth High-Grth
Vanguard International Growth Inv MSCI ACWI Ex USA NR USD
Market Capitalization Breakdown
Portfolio Date: 3/31/2013
Fund Index
Market Cap Giant %
Market Cap Large %
Market Cap Mid %
Market Cap Small %
Market Cap Micro %
Average Market Cap
Equity Region Developed %
Equity Region Emerging %
51.6
37.3
10.7
0.4
0.0
28,089.0
82.6
17.4
55.0
34.4
10.5
0.2
0.0
28,474.9
82.9
17.1
MSCI ACWI Ex USA NR USD US OE Foreign Large GrowthVanguard International Growth Inv VWIGX
As of 6/30/2013
37
Calendar Year Returns
2003 Rank 2004 Rank 2005 Rank 2006 Rank 2007 Rank 2008 Rank 2009 Rank 2010 Rank 2011 Rank 2012 Rank
Vanguard International Growth Inv
MSCI ACWI Ex USA NR USD 40.8 20.9 16.6 26.7 16.7 -45.5 41.4 11.2 -13.7 16.8
34.4 39 19.0 30 15.0 39 25.9 37 16.0 22 -44.9 62 41.6 10 15.7 8 -13.7 47 20.0 25
Rolling Returns (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Return06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
-20.0
0.0
20.0
40.0
60.0
Vanguard International Growth Inv MSCI ACWI Ex USA NR USD
Rolling Risk (3 Years)
Top Quartile 2nd Quartile 3rd Quartile Bottom Quartile
Std Dev06 09 12
2007
03 06 09 12
2008
03 06 09 12
2009
03 06 09 12
2010
03 06 09 12
2011
03 06 09 12
2012
03 06 09 12
2013
03 06
7.5
15.0
22.5
30.0
37.5
Vanguard International Growth Inv MSCI ACWI Ex USA NR USD
MSCI ACWI Ex USA NR USD US OE Foreign Large GrowthVanguard International Growth Inv VWIGX
Risk & Return Illustration (5 Years)
Time Period: 7/1/2008 to 6/30/2013
ReturnStd Dev
0.0 10.0 20.0 30.0 40.0
-1.1
-0.7
-0.3
0.1
0.5
0.9
1.3
1.7 Vanguard International Growth Inv
MSCI ACWI Ex USA NR USD
Risk & Return Characteristics (5 Years)
Time Period: 7/1/2008 to 6/30/2013
Fund Index
R2
Alpha
Beta
Std Dev
Up Capture Ratio
Down Capture Ratio
Sharpe Ratio (geo)
Information Ratio (geo)
Tracking Error
Correlation
0.0
26.9
100.0
100.0
1.0
0.0
1.0
0.0
100.0
0.0
100.0
109.3
1.0
2.0
99.1
27.7
1.0
2.7
0.7
As of 6/30/2013
38
" R - S q u a r e d ( R 2 ) A s t a t i s t i c a l m e a s u r e o f t h e p e r c e n t a g e o f a F u n d s m o v e m e n t s t h a t c a n b e e x p l a i n e d b y m o v e m e n t s i n a n i n d e x b e n c h m a r k . V a l u e s c a n r a n g e f r o m 0 t o 1 ( 0 % t o 1 0 0 % ) . G e n e r a l R a n g e f o r R - S q u a r e d : 7 0 - 1 0 0 % = h i g h e x p l a n a t o r y v a l u e o f t h e b e n c h m a r k ' s r e t u r n s 4 0 - 7 0 % = a v e r a g e e x p l a n a t o r y v a l u e o f t h e b e n c h m a r k ' s r e t u r n s 0 - 4 0 % = l o w e x p l a n a t o r y v a l u e o f t h e b e n c h m a r k ' s r e t u r n s " A l p h a A m e a s u r e o f p e r f o r m a n c e o n a r i s k - a d j u s t e d b a s i s . T h e r i s k - a d j u s t e d p e r f o r m a n c e i s c o m p a r e d t o t h a t o f a b e n c h m a r k i n d e x a n d a n y e x c e s s r e t u r n i s A l p h a . A p o s i t i v e A l p h a o f 1 . 0 i n d i c a t e s t h e f u n d o u t p e r f o r m e d i t s b e n c h m a r k b y 1 % . " B e t a A m e a s u r e o f a F u n d s v o l a t i l i t y , o r s y s t e m a t i c r i s k , c o m p a r e d t o t h a t o f i t s b e n c h m a r k . T h e B e t a o f t h e m a r k e t ( b e n c h m a r k ) i s 1 . 0 . G e n e r a l R a n g e f o r B e t a : A b e t a g r e a t e r t h a n 1 . 0 i n d i c a t e s t h e F u n d s r e t u r n s a r e m o r e v o l a t i l e t h a n t h e b e n c h m a r k s A b e t a l e s s t h a n 1 . 0 i n d i c a t e s t h e F u n d s r e t u r n s a r e l e s s v o l a t i l e t h a n t h e b e n c h m a r k s A b e t a o f 1 . 0 i n d i c a t e s t h e F u n d w i l l g e n e r a t e t h e s a m e l e v e l o f r i s k a s t h e m a r k e t " S t a n d a r d D e v i a t i o n A s t a t i s t i c a l m e a s u r e m e n t o f d i s p e r s i o n a r o u n d a n a v e r a g e , w h i c h r e p r e s e n t s h o w w i d e l y a F u n d ' s r e t u r n s v a r i e d o v e r a s p e c i f i e d t i m e p e r i o d . I t i s m e a s u r e d a s t h e s q u a r e r o o t o f v a r i a n c e . A F u n d w i t h a s t a n d a r d d e v i a t i o n o f 1 9 % a n d a m e a n r e t u r n o f 5 % o v e r 5 y e a r s i n d i c a t e s a b o u t 6 8 % o f t h e d a t a v a l u e s h a v e r a n g e d b e t w e e n - 1 4 % a n d 2 4 % ( w i t h i n o n e s t a n d a r d d e v i a t i o n o f t h e m e a n ) a n d a b o u t 9 5 % o f t h e d a t a v a l u e s h a v e r a n g e d b e t w e e n - 3 3 % a n d 4 3 % ( w i t h i n t w o s t a n d a r d d e v i a t i o n s o f t h e m e a n ) S t a n d a r d d e v i a t i o n i s a r e p r e s e n t a t i o n o f r i s k ; h i g h e r s t a n d a r d d e v i a t i o n r e p r e s e n t s g r e a t e r f l u c t u a t i o n s i n r e t u r n s t h a n l o w e r s t a n d a r d d e v i a t i o n G l o s s a r y o f T e r m s T h e M e t r o p o l i t a n S t . L o u i s S e w e r D i s t r i c t D e f e r r e d C o m p e n s a t i o n P l a n J u n e 3 0 , 2 0 1 3 3 9
" U p C a p t u r e R a t i o M e a s u r e s a F u n d ' s p e r f o r m a n c e i n u p m a r k e t s r e l a t i v e t o a b e n c h m a r k . A r a t i o g r e a t e r t h a n 1 0 0 % i n d i c a t e s t h e F u n d h a s o u t p e r f o r m e d t h e b e n c h m a r k d u r i n g p e r i o d s o f r i s i n g m a r k e t s . " D o w n C a p t u r e R a t i o M e a s u r e s a F u n d ' s p e r f o r m a n c e i n d o w n m a r k e t s r e l a t i v e t o a b e n c h m a r k . A r a t i o g r e a t e r t h a n 1 0 0 % i n d i c a t e s t h e F u n d h a s u n d e r p e r f o r m e d t h e b e n c h m a r k d u r i n g p e r i o d s o f d e c l i n i n g m a r k e t s . " S h a r p e R a t i o A r i s k - a d j u s t e d p e r f o r m a n c e m e a s u r e t h a t i s u s e d t o d e t e r m i n e r e w a r d p e r u n i t o f r i s k . T h e S h a r p e R a t i o i s c a l c u l a t e d b y s u b t r a c t i n g t h e r i s k - f r e e r a t e f r o m t h e r e t u r n ( h i s t o r i c a l o r e x p e c t e d ) o f a p o r t f o l i o a n d t h e n d i v i d i n g t h e r e s u l t b y t h e s t a n d a r d d e v i a t i o n o f p o r t f o l i o r e t u r n s . I t i s u s e d t o s t a n d a r d i z e p e r f o r m a n c e c o m p a r i s o n s g i v e n d i f f e r e n t l e v e l s o f r i s k e m p l o y e d a c r o s s f u n d s . " T r a c k i n g E r r o r T r a c k i n g e r r o r i s t h e s t a n d a r d d e v i a t i o n o f t h e d i f f e r e n c e s b e t w e e n t h e F u n d r e t u r n a n d t h e b e n c h m a r k r e t u r n , i . e . t h e s t a n d a r d d e v i a t i o n o f e x c e s s r e t u r n s T r a c k i n g e r r o r i s a m e a s u r e o f h o w b e n c h m a r k - s e n s i t i v e a F u n d i s I n d e x f u n d s g e n e r a l l y h a v e t r a c k i n g e r r o r b e t w e e n 0 a n d 1 . 5 % B e n c h m a r k - a w a r e F u n d s g e n e r a l l y h a v e t r a c k i n g e r r o r b e t w e e n 2 % a n d 5 % B e n c h m a r k - a g n o s t i c F u n d s g e n e r a l l y h a v e t r a c k i n g e r r o r g r e a t e r t h a n 6 % " I n f o r m a t i o n R a t i o ( I R ) A r i s k - a d j u s t e d p e r f o r m a n c e m e a s u r e t h a t c a l c u l a t e s t h e r a t i o o f e x c e s s r e t u r n v e r s u s a b e n c h m a r k d i v i d e d b y t h e T r a c k i n g E r r o r . A h i g h e r I R i n d i c a t e s g r e a t e r r i s k - a d j u s t e d r e t u r n s a n d c a n b e u s e d a s a n i n d i c a t o r o f c o n s i s t e n c y G e n e r a l R a n g e f o r I n f o r m a t i o n R a t i o : - 0 . 5 t o 0 . 5 A F u n d w i t h A l p h a o f 0 . 5 % a n d T r a c k i n g E r r o r o f 4 % w o u l d h a v e a n I n f o r m a t i o n R a t i o o f 0 . 1 2 5 A F u n d w i t h A l p h a o f 1 % a n d T r a c k i n g E r r o r o f 4 % w o u l d h a v e a n I n f o r m a t i o n R a t i o o f 0 . 2 5 A F u n d w i t h A l p h a o f 1 % a n d T r a c k i n g E r r o r o f 8 % w o u l d h a v e a n I n f o r m a t i o n R a t i o o f 0 . 1 2 5 I n f o r m a t i o n r a t i o s f a l l i n a t i g h t r a n g e a n d a r e n e g a t i v e i f A l p h a i s n e g a t i v e . I n f o r m a t i o n r a t i o s > 0 i n d i c a t e p o s i t i v e r i s k - a d j u s t e d p e r f o r m a n c e , a n d i n f o r m a t i o n r a t i o s > 0 . 2 5 i n d i c a t e s t r o n g r i s k - a d j u s t e d p e r f o r m a n c e G l o s s a r y o f T e r m s T h e M e t r o p o l i t a n S t . L o u i s S e w e r D i s t r i c t D e f e r r e d C o m p e n s a t i o n P l a n J u n e 3 0 , 2 0 1 3 4 0
" C o r r e l a t i o n - A s t a t i s t i c a l m e a s u r e o f h o w t w o s e c u r i t i e s ( f u n d a n d b e n c h m a r k ) m o v e i n r e l a t i o n t o e a c h o t h e r . V a l u e s c a n r a n g e f r o m - 1 . 0 t o + 1 . 0 P e r f e c t p o s i t i v e c o r r e l a t i o n - A c o e f f i c i e n t o f + 1 . 0 ; i m p l i e s a F u n d a n d b e n c h m a r k m o v e i n l o c k s t e p , u p o r d o w n P e r f e c t n e g a t i v e c o r r e l a t i o n A c o e f f i c i e n t o f - 1 . 0 ; i m p l i e s a F u n d a n d b e n c h m a r k m o v e p e r f e c t l y o p p o s i t e l y , u p o r d o w n Z e r o c o r r e l a t i o n A c o e f f i c i e n t o f 0 ; i m p l i e s t h a t m o v e m e n t s b e t w e e n t h e F u n d a n d b e n c h m a r k a r e r a n d o m a n d t h e c h a n g e i n v a l u e o f o n e w i l l h a v e n o i m p a c t i n t h e c h a n g e i n v a l u e o f t h e o t h e r G l o s s a r y o f T e r m s T h e M e t r o p o l i t a n S t . L o u i s S e w e r D i s t r i c t D e f e r r e d C o m p e n s a t i o n P l a n J u n e 3 0 , 2 0 1 3 4 1
" N E P C u s e s , a s a d a t a s o u r c e , t h e p l a n s c u s t o d i a n b a n k o r s e r v i c e p r o v i d e r f o r a s s e t b a l a n c e s , c a l c u l a t i o n o f a c c r u a l s , t r a n s f e r s , e x c h a n g e s a n d c o n t r i b u t i o n d e f e r r a l i n f o r m a t i o n . W h i l e N E P C h a s e x e r c i s e d r e a s o n a b l e p r o f e s s i o n a l c a r e i n p r e p a r i n g t h i s r e p o r t , w e c a n n o t g u a r a n t e e t h e a c c u r a c y o f a l l s o u r c e i n f o r m a t i o n c o n t a i n e d w i t h i n . " T h i s r e p o r t i s p r o v i d e d a s a m a n a g e m e n t a i d f o r t h e c l i e n t s i n t e r n a l u s e o n l y . F u n d p e r f o r m a n c e c o n t a i n e d i n t h i s r e p o r t d o e s n o t c o n s t i t u t e a r e c o m m e n d a t i o n b y N E P C . " I n f o r m a t i o n i n t h i s r e p o r t o n f u n d r e t u r n s , m a r k e t i n d i c e s a n d s e c u r i t y c h a r a c t e r i s t i c s i s r e c e i v e d f r o m s o u r c e s e x t e r n a l t o N E P C . W h i l e e f f o r t s a r e m a d e t o e n s u r e t h a t t h i s e x t e r n a l d a t a i s a c c u r a t e , N E P C c a n n o t a c c e p t r e s p o n s i b i l i t y f o r e r r o r s t h a t m a y o c c u r . " ( c ) M o r n i n g s t a r 2 0 1 1 . A l l R i g h t s R e s e r v e d . F o r i n s t i t u t i o n a l u s e o n l y . T h e i n f o r m a t i o n c o n t a i n e d h e r e i n : ( 1 ) i s p r o p r i e t a r y t o M o r n i n g s t a r a n d / o r i t s c o n t e n t p r o v i d e r s ; ( 2 ) m a y n o t b e c o p i e d o r d i s t r i b u t e d ; a n d ( 3 ) i s n o t w a r r a n t e d t o b e a c c u r a t e , c o m p l e t e o r t i m e l y . N e i t h e r M o r n i n g s t a r n o r i t s c o n t e n t p r o v i d e r s a r e r e s p o n s i b l e f o r a n y d a m a g e s o r l o s s e s a r i s i n g f r o m a n y u s e o f t h i s i n f o r m a t i o n . P a s t f i n a n c i a l p e r f o r m a n c e i s n o g u a r a n t e e o f f u t u r e r e s u l t s . D i s c l a i m e r T h e M e t r o p o l i t a n S t . L o u i s S e w e r D i s t r i c t D e f e r r e d C o m p e n s a t i o n P l a n J u n e 3 0 , 2 0 1 3 4 2