The basic objective of our investment management is to exceed client objectives without incurring unnecessary risk in the process of achieving this goal. Our principles of investment are:

• To add value in the management of each asset category
• To add value and lessen volatility in asset mix management
• To manage portfolios within the long-term risk/reward profile of each client

We believe superior equity investments are, over time, the largest potential source of "added value" to a fund. Our equity management focuses on security selection to add most of the value. Companies with stable earnings growth, strong management teams and sound balance sheets are emphasized.

Fixed income management emphasizes income generation since the stock portfolio usually has a low dividend yield. Through moderate term and sector adjustments, the bond portfolio is managed with an objective of outperforming selected benchmark indices while maintaining a low risk profile.