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Active vs. Passive Report
Fourth Quarter 2017
1Active versus PassiveKnowledge. Experience. Integrity.
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 51% 49% 46% 40% 40% 36% 31% 30% 29% 29%
45th Percentile 61% 61% 60% 59% 59% 55% 54% 49% 41% 39%
40th Percentile 66% 65% 65% 65% 64% 64% 64% 61% 60% 59%
35th Percentile 80% 76% 73% 70% 70% 68% 68% 66% 65% 65%
30th Percentile 85% 85% 85% 81% 80% 80% 79% 78% 74% 71%
25th Percentile 94% 94% 93% 89% 86% 85% 84% 84% 83% 80%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.16%
This data point indicates that managers in the 40th percentile beat the benchmark by at least 0.35% in 65% of the rolling 3-year periods over the last 20 years.
This publication contains two charts for each category of active managers. The top table shows the percentage of rolling 3-year periods in which managers in various percentiles beat their benchmark by more than a certain fee hurdle. Percentages 50% and above are shaded in green.
The bottom chart displays the gross excess return for all the managers in Callan’s database for specific asset class categories across the distribution spectrum, from the 10th percentile to the 90th percentile.
This data point shows that in the 4th quarter of 2004, the median manager in Callan’s database reported gross excess returns over the benchmark of -0.25%, with returns ranging from 1.94% for managers in the 10th percentile to -3.95% for those in the 90th percentile.
A Guide to Our Active versus Passive Data
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
Large Cap Core Equity Style versus S&P 500
2Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
Gro
ss E
xces
s R
etur
n
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500
Callan Large Cap Style (10th to 90th) Median S&P 500
Large Cap Equity Style versus S&P 500
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 50% 48% 44% 41% 40% 36% 35% 31% 30% 29%
45th Percentile 61% 61% 60% 59% 55% 55% 53% 48% 45% 43%
40th Percentile 74% 74% 71% 71% 70% 70% 69% 66% 63% 60%
35th Percentile 83% 80% 79% 76% 76% 75% 75% 74% 71% 71%
30th Percentile 88% 88% 86% 84% 84% 83% 81% 78% 78% 76%
25th Percentile 91% 91% 91% 91% 91% 91% 91% 89% 89% 88%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.01%
3Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 1000
Gro
ss E
xces
s R
etur
n
Callan Large Cap Style (10th to 90th) Median Russell 1000
Large Cap Equity Style versus Russell 1000
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 39% 38% 30% 30% 23% 15% 14% 14% 14% 10%
45th Percentile 51% 48% 48% 48% 46% 43% 40% 39% 38% 34%
40th Percentile 69% 69% 64% 61% 58% 53% 51% 49% 48% 46%
35th Percentile 81% 79% 79% 79% 76% 75% 70% 69% 69% 63%
30th Percentile 93% 91% 89% 86% 86% 86% 85% 84% 81% 80%
25th Percentile 99% 98% 95% 95% 94% 91% 90% 89% 88% 88%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.18%
4Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-6.0
-4.0
-2.0
0.0
2.0
4.0
6.0
8.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500
Gro
ss E
xces
s R
etur
n
Callan Large Cap Core Style (10th to 90th) Median S&P 500
Large Cap Core Equity Style versus S&P 500
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 51% 49% 46% 40% 40% 36% 31% 30% 29% 29%
45th Percentile 61% 61% 60% 59% 59% 55% 54% 49% 41% 39%
40th Percentile 66% 65% 65% 65% 64% 64% 64% 61% 60% 59%
35th Percentile 80% 76% 73% 70% 70% 68% 68% 66% 65% 65%
30th Percentile 86% 85% 85% 81% 80% 80% 79% 78% 74% 71%
25th Percentile 95% 95% 93% 89% 88% 85% 84% 84% 83% 80%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.17%
5Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-6.0
-3.5
-1.0
1.5
4.0
6.5
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 1000
Gro
ss E
xces
s R
etur
n
Callan Large Cap Core Style (10th to 90th) Median Russell 1000
Large Cap Core Equity Style versus Russell 1000
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 39% 33% 28% 25% 21% 16% 14% 10% 9% 5%
45th Percentile 60% 55% 50% 48% 41% 36% 25% 21% 21% 16%
40th Percentile 71% 66% 65% 63% 60% 58% 51% 48% 46% 41%
35th Percentile 76% 74% 71% 68% 68% 65% 65% 59% 59% 55%
30th Percentile 86% 86% 84% 79% 74% 70% 70% 69% 68% 64%
25th Percentile 93% 91% 90% 89% 85% 83% 80% 76% 74% 74%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.00%
6Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500
Gro
ss E
xces
s R
etur
n
Callan Large Cap Growth Style (10th to 90th) Median S&P 500
Large Cap Growth Equity Style versus S&P 500
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 45% 45% 41% 39% 39% 39% 39% 39% 38% 38%
45th Percentile 51% 49% 48% 48% 48% 45% 43% 43% 43% 41%
40th Percentile 59% 59% 56% 55% 53% 53% 51% 50% 50% 48%
35th Percentile 63% 63% 63% 60% 60% 60% 58% 55% 55% 55%
30th Percentile 74% 74% 70% 68% 65% 64% 64% 64% 63% 61%
25th Percentile 80% 80% 79% 79% 76% 76% 75% 75% 73% 71%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.06%
7Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 1000 Growth
Gro
ss E
xces
s R
etur
n
Callan Large Cap Growth Style (10th to 90th) Median Russell 1000 Growth
Large Cap Growth Equity Style versus Russell 1000 Growth
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 33% 31% 31% 31% 31% 29% 29% 28% 26% 25%
45th Percentile 51% 49% 45% 43% 40% 36% 35% 34% 34% 33%
40th Percentile 61% 60% 60% 59% 59% 55% 53% 50% 48% 44%
35th Percentile 71% 71% 69% 69% 66% 64% 63% 59% 59% 59%
30th Percentile 84% 84% 83% 80% 75% 74% 73% 69% 69% 68%
25th Percentile 93% 91% 91% 85% 85% 85% 84% 83% 81% 81%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.26%
8Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-12.0
-9.0-6.0-3.00.03.06.09.0
12.015.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500 Growth
Gro
ss E
xces
s R
etur
n
Callan Large Cap Growth Style (10th to 90th) Median S&P 500 Growth
Large Cap Growth Equity Style versus S&P 500 Growth
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 35% 33% 31% 31% 31% 30% 30% 29% 28% 28%
45th Percentile 41% 41% 40% 40% 38% 36% 36% 35% 35% 35%
40th Percentile 51% 50% 50% 48% 46% 43% 41% 40% 39% 39%
35th Percentile 56% 55% 55% 55% 53% 50% 49% 48% 46% 46%
30th Percentile 66% 65% 65% 65% 63% 60% 60% 59% 59% 59%
25th Percentile 75% 74% 74% 71% 70% 69% 69% 68% 68% 66%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.44%
9Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0-16.0-12.0
-8.0-4.00.04.08.0
12.016.020.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500
Gro
ss E
xces
s R
etur
n
Callan Large Cap Value Style (10th to 90th) Median S&P 500
Large Cap Value Equity Style versus S&P 500
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 46% 46% 45% 45% 44% 43% 40% 38% 38% 36%
45th Percentile 50% 49% 48% 48% 48% 48% 46% 45% 44% 43%
40th Percentile 53% 53% 51% 51% 51% 51% 50% 50% 50% 49%
35th Percentile 55% 55% 55% 55% 55% 53% 53% 53% 53% 53%
30th Percentile 58% 58% 58% 58% 56% 56% 56% 55% 55% 53%
25th Percentile 61% 61% 61% 60% 59% 58% 58% 58% 58% 56%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.11%
10Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-8.0-6.0-4.0-2.00.02.04.06.08.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 1000 Value
Gro
ss E
xces
s R
etur
n
Callan Large Cap Value Style (10th to 90th) Median Russell 1000 Value
Large Cap Value Equity Style versus Russell 1000 Value
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 31% 29% 28% 26% 24% 23% 23% 21% 19% 16%
45th Percentile 46% 45% 45% 44% 40% 38% 35% 34% 30% 26%
40th Percentile 56% 54% 53% 49% 48% 48% 46% 46% 44% 41%
35th Percentile 66% 65% 63% 61% 59% 56% 55% 54% 53% 51%
30th Percentile 75% 73% 70% 70% 68% 68% 66% 63% 61% 61%
25th Percentile 81% 79% 78% 75% 75% 74% 71% 71% 71% 70%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.44%
11Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500 Value
Gro
ss E
xces
s R
etur
n
Callan Large Cap Value Style (10th to 90th) Median S&P 500 Value
Large Cap Value Equity Style versus S&P 500 Value
Fee Hurdle 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70%Median 54% 53% 50% 50% 50% 48% 48% 43% 43% 40%
45th Percentile 65% 61% 61% 58% 55% 54% 51% 51% 50% 48%
40th Percentile 69% 69% 66% 64% 64% 61% 59% 58% 58% 56%
35th Percentile 78% 76% 75% 75% 73% 71% 70% 66% 64% 60%
30th Percentile 86% 85% 84% 81% 81% 79% 79% 78% 76% 76%
25th Percentile 94% 93% 93% 91% 91% 90% 90% 86% 85% 85%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.45%
12Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-30.0
-20.0
-10.0
0.0
10.0
20.0
30.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P MidCap 400
Gro
ss E
xces
s R
etur
n
Callan Mid Cap Style (10th to 90th) Median S&P MidCap 400
Mid Cap Broad Equity Style versus S&P MidCap 400
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 18% 15% 14% 13% 13% 13% 11% 10% 9% 9%
45th Percentile 30% 30% 28% 26% 25% 24% 23% 21% 18% 15%
40th Percentile 50% 50% 49% 48% 45% 44% 43% 43% 43% 41%
35th Percentile 60% 60% 60% 56% 56% 55% 54% 53% 53% 53%
30th Percentile 74% 73% 70% 68% 66% 66% 64% 60% 59% 58%
25th Percentile 84% 84% 84% 83% 80% 79% 79% 78% 75% 74%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -1.04%
13Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-10.0
0.0
10.0
20.0
30.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell Midcap
Gro
ss E
xces
s R
etur
n
Callan Mid Cap Style (10th to 90th) Median Russell Midcap
Mid Cap Equity Style versus Russell Midcap
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 38% 35% 34% 34% 30% 29% 29% 28% 26% 26%
45th Percentile 46% 46% 45% 44% 43% 41% 41% 39% 39% 39%
40th Percentile 60% 58% 54% 54% 54% 54% 54% 53% 51% 49%
35th Percentile 69% 69% 65% 65% 64% 61% 59% 56% 56% 56%
30th Percentile 83% 83% 83% 79% 78% 75% 73% 73% 69% 66%
25th Percentile 90% 89% 88% 86% 86% 85% 85% 85% 85% 85%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.02%
14Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-30.0
-20.0
-10.0
0.0
10.0
20.0
30.0
40.0
50.0
Callan Mid Cap Growth Style (10th to 90th) Median Russell Midcap
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell Midcap
Gro
ss E
xces
s R
etur
nMid Cap Growth Equity Style versus Russell Midcap
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 30% 30% 30% 30% 30% 30% 30% 30% 30% 29%
45th Percentile 38% 35% 34% 34% 34% 33% 33% 33% 33% 33%
40th Percentile 44% 44% 41% 41% 40% 40% 38% 36% 36% 35%
35th Percentile 46% 45% 45% 45% 44% 43% 43% 43% 43% 41%
30th Percentile 56% 51% 50% 49% 49% 48% 46% 45% 45% 45%
25th Percentile 63% 63% 61% 61% 59% 56% 56% 54% 54% 54%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -1.23%
15Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0-10.0
-5.00.05.0
10.015.020.025.030.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell Midcap Growth
Gro
ss E
xces
s R
etur
n
Callan Mid Cap Growth Style (10th to 90th) Median Russell Midcap Growth
Mid Cap Growth Equity Style versus Russell Midcap Growth
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 33% 33% 33% 33% 33% 33% 31% 31% 31% 31%
45th Percentile 43% 41% 40% 38% 36% 35% 33% 33% 33% 33%
40th Percentile 49% 49% 48% 45% 44% 44% 43% 41% 41% 41%
35th Percentile 55% 55% 54% 54% 53% 51% 50% 50% 48% 45%
30th Percentile 65% 65% 64% 63% 60% 58% 58% 55% 55% 54%
25th Percentile 83% 81% 80% 79% 75% 73% 71% 70% 70% 70%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.00%
16Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-10.0
0.0
10.0
20.0
30.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P MidCap 400 Growth
Gro
ss E
xces
s R
etur
n
Callan Mid Cap Growth Style (10th to 90th) Median S&P MidCap 400 Growth
Mid Cap Growth Equity Style versus S&P MidCap 400 Growth
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 21% 21% 21% 21% 21% 20% 19% 19% 18% 16%
45th Percentile 25% 24% 23% 23% 23% 23% 23% 23% 23% 20%
40th Percentile 30% 30% 30% 28% 25% 25% 24% 24% 24% 24%
35th Percentile 38% 38% 36% 36% 36% 35% 34% 34% 33% 31%
30th Percentile 48% 46% 46% 45% 45% 44% 44% 44% 44% 41%
25th Percentile 54% 54% 54% 53% 53% 49% 49% 49% 48% 48%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -2.36%
17Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell Midcap
Gro
ss E
xces
s R
etur
n
Callan Mid Cap Value Style (10th to 90th) Median Russell Midcap
Mid Cap Value Equity Style versus Russell Midcap
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 33% 31% 30% 29% 29% 28% 28% 26% 24% 24%
45th Percentile 43% 41% 38% 36% 36% 36% 36% 34% 31% 31%
40th Percentile 61% 60% 56% 51% 48% 48% 46% 46% 46% 46%
35th Percentile 68% 68% 66% 65% 61% 61% 58% 58% 54% 51%
30th Percentile 81% 79% 76% 75% 74% 73% 68% 66% 66% 65%
25th Percentile 84% 84% 84% 84% 81% 80% 80% 80% 79% 78%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.16%
18Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell Midcap Value
Gro
ss E
xces
s R
etur
n
Callan Mid Cap Value Style (10th to 90th) Median Russell Midcap Value
Mid Cap Value Equity Style versus Russell Midcap Value
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 29% 26% 24% 24% 24% 23% 23% 21% 20% 20%
45th Percentile 46% 46% 43% 41% 40% 39% 36% 35% 33% 31%
40th Percentile 58% 56% 56% 55% 54% 51% 50% 46% 45% 45%
35th Percentile 63% 63% 61% 61% 61% 58% 58% 55% 53% 53%
30th Percentile 75% 75% 75% 75% 73% 73% 71% 71% 70% 66%
25th Percentile 80% 80% 80% 80% 78% 76% 76% 76% 75% 75%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.25%
19Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P MidCap 400 Value
Gro
ss E
xces
s R
etur
n
Callan Mid Cap Value Style (10th to 90th) Median S&P MidCap 400 Value
Mid Cap Value Equity Style versus S&P MidCap 400 Value
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 24% 24% 24% 24% 21% 19% 18% 16% 14% 13%
45th Percentile 31% 31% 31% 30% 29% 29% 25% 25% 23% 21%
40th Percentile 50% 50% 45% 44% 40% 38% 38% 34% 31% 31%
35th Percentile 61% 59% 58% 58% 56% 55% 53% 51% 50% 50%
30th Percentile 71% 69% 69% 68% 68% 65% 65% 63% 61% 59%
25th Percentile 86% 83% 81% 81% 81% 78% 78% 76% 75% 74%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.77%
20Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-10.0
0.0
10.0
20.0
30.0
40.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2500
Gro
ss E
xces
s R
etur
n
Callan Smid Cap Style (10th to 90th) Median Russell 2500
Smid Cap Equity Style versus Russell 2500
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 60% 59% 54% 54% 53% 53% 50% 49% 49% 45%
45th Percentile 76% 74% 71% 69% 66% 63% 61% 61% 61% 58%
40th Percentile 88% 88% 86% 86% 85% 84% 81% 79% 78% 75%
35th Percentile 93% 93% 93% 93% 91% 89% 88% 88% 88% 86%
30th Percentile 100% 99% 99% 99% 99% 99% 98% 96% 95% 94%
25th Percentile 100% 100% 100% 100% 100% 100% 99% 99% 99% 99%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.22%
21Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
0.0
15.0
30.0
45.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2500 Growth
Gro
ss E
xces
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etur
n
Callan Smid Growth Style (10th to 90th) Median Russell 2500 Growth
Smid Cap Growth Equity Style versus Russell 2500 Growth
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 53% 51% 51% 50% 50% 49% 45% 44% 43% 41%
45th Percentile 59% 59% 59% 59% 58% 56% 56% 55% 54% 53%
40th Percentile 64% 64% 63% 63% 63% 63% 63% 61% 60% 60%
35th Percentile 78% 78% 78% 76% 75% 70% 70% 69% 69% 69%
30th Percentile 90% 86% 85% 85% 85% 83% 83% 78% 76% 74%
25th Percentile 98% 98% 96% 95% 95% 94% 94% 94% 94% 91%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.68%
22Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2500 Value
Gro
ss E
xces
s R
etur
n
Callan Smid Cap Value Style (10th to 90th) Median Russell 2500 Value
Smid Cap Value Equity Style versus Russell 2500 Value
Fee Hurdle 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80%Median 65% 64% 59% 59% 59% 56% 56% 55% 54% 49%
45th Percentile 79% 78% 78% 74% 71% 70% 68% 68% 65% 65%
40th Percentile 83% 83% 80% 80% 79% 79% 79% 79% 76% 75%
35th Percentile 86% 86% 86% 83% 83% 81% 81% 81% 81% 80%
30th Percentile 90% 90% 86% 86% 86% 85% 85% 83% 83% 83%
25th Percentile 96% 95% 94% 93% 93% 93% 90% 89% 86% 86%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.85%
23Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-25.0-20.0-15.0-10.0
-5.00.05.0
10.015.020.025.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P SmallCap 600
Gro
ss E
xces
s R
etur
n
Callan Small Cap Style (10th to 90th) Median S&P SmallCap 600
Small Cap Equity Style versus S&P SmallCap 600
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 25% 24% 23% 20% 19% 16% 15% 15% 14% 14%
45th Percentile 48% 44% 44% 41% 41% 39% 38% 34% 33% 31%
40th Percentile 68% 65% 65% 64% 63% 61% 58% 56% 53% 50%
35th Percentile 78% 76% 76% 76% 76% 74% 73% 71% 70% 66%
30th Percentile 86% 85% 85% 85% 85% 84% 84% 84% 84% 81%
25th Percentile 89% 89% 89% 89% 89% 88% 88% 88% 86% 85%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -0.14%
24Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-10.0
0.0
10.0
20.0
30.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2000
Gro
ss E
xces
s R
etur
n
Callan Small Cap Style (10th to 90th) Median Russell 2000
Small Cap Equity Style versus Russell 2000
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 84% 83% 80% 80% 78% 75% 71% 69% 69% 66%
45th Percentile 95% 93% 93% 90% 89% 88% 88% 88% 88% 84%
40th Percentile 98% 98% 98% 98% 98% 98% 96% 93% 91% 91%
35th Percentile 98% 98% 98% 98% 98% 98% 98% 98% 98% 98%
30th Percentile 99% 98% 98% 98% 98% 98% 98% 98% 98% 98%
25th Percentile 100% 100% 100% 100% 100% 99% 99% 99% 99% 99%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.82%
25Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-10.0
0.0
10.0
20.0
30.0
40.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2000
Gro
ss E
xces
s R
etur
n
Callan Small Cap Growth Style (10th to 90th) Median Russell 2000
Small Cap Growth Equity Style versus Russell 2000
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 48% 48% 48% 46% 45% 45% 45% 43% 41% 39%
45th Percentile 55% 55% 55% 54% 54% 51% 51% 51% 51% 51%
40th Percentile 61% 60% 60% 60% 60% 60% 59% 59% 59% 58%
35th Percentile 68% 68% 66% 66% 66% 65% 65% 63% 63% 60%
30th Percentile 74% 74% 73% 73% 71% 71% 70% 70% 70% 69%
25th Percentile 84% 81% 79% 79% 78% 78% 76% 75% 75% 75%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.03%
26Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
0.0
10.0
20.0
30.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2000 Growth
Gro
ss E
xces
s R
etur
n
Callan Small Cap Growth Style (10th to 90th) Median Russell 2000 Growth
Small Cap Growth Equity Style versus Russell 2000 Growth
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 54% 54% 54% 51% 50% 49% 49% 48% 46% 46%
45th Percentile 68% 64% 61% 60% 60% 59% 58% 58% 58% 55%
40th Percentile 86% 85% 85% 85% 81% 78% 75% 73% 71% 70%
35th Percentile 89% 88% 88% 88% 88% 88% 88% 88% 86% 86%
30th Percentile 95% 95% 95% 94% 94% 94% 94% 94% 94% 93%
25th Percentile 100% 100% 100% 99% 99% 99% 99% 99% 98% 96%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.50%
27Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-10.0
0.0
10.0
20.0
30.0
40.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P SmallCap 600 Growth
Gro
ss E
xces
s R
etur
n
Callan Small Cap Growth Style (10th to 90th) Median S&P SmallCap 600 Growth
Small Cap Growth Equity Style vs S&P SmallCap 600 Growth
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 31% 31% 29% 29% 28% 26% 26% 26% 23% 21%
45th Percentile 38% 38% 38% 36% 36% 35% 34% 34% 34% 34%
40th Percentile 46% 46% 46% 46% 46% 46% 45% 40% 39% 39%
35th Percentile 55% 55% 54% 50% 50% 49% 48% 48% 48% 48%
30th Percentile 61% 61% 60% 59% 58% 58% 58% 58% 58% 58%
25th Percentile 68% 68% 68% 68% 68% 66% 66% 65% 65% 63%
Average Annualized 3-Year Excess Return (gross) – Median Manager: -1.27%
28Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 79% 79% 79% 76% 74% 73% 70% 69% 68% 64%
45th Percentile 84% 84% 84% 84% 84% 83% 83% 83% 80% 79%
40th Percentile 86% 86% 86% 86% 86% 85% 84% 84% 84% 83%
35th Percentile 89% 89% 89% 89% 89% 89% 89% 88% 88% 88%
30th Percentile 91% 91% 90% 90% 89% 89% 89% 89% 89% 89%
25th Percentile 95% 95% 95% 95% 95% 95% 93% 93% 93% 93%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 3.06%
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
25.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2000
Gro
ss E
xces
s R
etur
n
Callan Small Cap Value Style (10th to 90th) Median Russell 2000
Small Cap Value Equity Style versus Russell 2000
29Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-9.0
-6.0
-3.0
0.0
3.0
6.0
9.0
12.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell 2000 Value
Gro
ss E
xces
s R
etur
n
Callan Small Cap Value Style (10th to 90th) Median Russell 2000 Value
Small Cap Value Equity Style versus Russell 2000 Value
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 85% 85% 84% 81% 81% 81% 81% 81% 80% 78%
45th Percentile 86% 86% 86% 86% 85% 85% 84% 81% 81% 81%
40th Percentile 94% 93% 93% 93% 91% 89% 88% 88% 88% 88%
35th Percentile 96% 96% 95% 95% 95% 95% 94% 94% 94% 94%
30th Percentile 98% 98% 98% 98% 98% 98% 96% 95% 95% 95%
25th Percentile 99% 99% 99% 99% 99% 99% 99% 99% 98% 98%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.85%
30Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-9.0
-6.0
-3.0
0.0
3.0
6.0
9.0
12.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P SmallCap 600 Value
Gro
ss E
xces
s R
etur
n
Callan Small Cap Value Style (10th to 90th) Median S&P SmallCap 600 Value
Small Cap Value Equity Style versus S&P SmallCap 600 Value
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 48% 46% 46% 46% 44% 41% 40% 39% 38% 38%
45th Percentile 54% 53% 53% 50% 49% 49% 48% 48% 46% 46%
40th Percentile 60% 59% 58% 58% 56% 54% 53% 53% 50% 49%
35th Percentile 74% 69% 68% 66% 65% 64% 63% 61% 61% 61%
30th Percentile 85% 85% 84% 83% 79% 79% 76% 74% 70% 69%
25th Percentile 90% 90% 90% 90% 89% 86% 86% 85% 85% 83%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.85%
31Active versus PassiveKnowledge. Experience. Integrity.
Fee Hurdle 0.80% 0.85% 0.90% 0.95% 1.00% 1.05% 1.10% 1.15% 1.20% 1.25%Median 76% 76% 76% 76% 74% 72% 69% 67% 66% 64%
45th Percentile 91% 91% 91% 91% 88% 84% 84% 83% 83% 81%
40th Percentile 93% 93% 93% 93% 93% 93% 93% 91% 91% 90%
35th Percentile 98% 97% 97% 97% 97% 97% 97% 97% 97% 97%
30th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 48%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 2.53%
03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
for 14 1/2 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Russell Microcap
Gro
ss E
xces
s R
etur
n
Callan Micro Cap Style (10th to 90th) Median Russell Microcap
Micro Cap Equity Style versus Russell Microcap
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods
32Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
Global Broad Equity Style versus MSCI ACWI
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to MSCI ACWI
Gro
ss E
xces
s R
etur
n
Callan Global Broad Equity Style (10th to 90th) Median MSCI ACWI
Fee Hurdle 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90%Median 70% 64% 63% 58% 58% 55% 50% 50% 50% 50%
45th Percentile 93% 90% 89% 89% 88% 81% 79% 74% 70% 68%
40th Percentile 99% 99% 96% 96% 96% 95% 95% 93% 93% 91%
35th Percentile 100% 100% 100% 100% 99% 98% 98% 98% 98% 98%
30th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 99% 98%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.41%
33Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to MSCI World
Gro
ss E
xces
s R
etur
n
Callan Global Equity Style (10th to 90th) Median MSCI World
Global Equity Style versus MSCI World
Fee Hurdle 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90%Median 90% 90% 86% 84% 80% 76% 76% 74% 71% 69%
45th Percentile 98% 96% 96% 96% 94% 94% 93% 91% 88% 84%
40th Percentile 99% 99% 99% 98% 96% 96% 96% 96% 95% 94%
35th Percentile 100% 100% 99% 99% 99% 99% 99% 98% 96% 96%
30th Percentile 100% 100% 100% 100% 100% 100% 100% 99% 99% 99%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.82%
34Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to MSCI ACWI ex USA
Gro
ss E
xces
s R
etur
n
Callan Non-U.S. Equity Style (10th to 90th) Median MSCI ACWI ex USA
Non-U.S. Equity Broad Style vs MSCI ACWI ex USA
Fee Hurdle 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90%Median 66% 65% 65% 65% 64% 64% 64% 59% 59% 58%
45th Percentile 74% 73% 73% 73% 71% 70% 69% 69% 69% 65%
40th Percentile 85% 85% 84% 84% 80% 79% 79% 79% 79% 78%
35th Percentile 94% 94% 93% 91% 90% 90% 88% 86% 84% 84%
30th Percentile 99% 99% 99% 99% 99% 99% 99% 99% 98% 96%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.84%
35Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-5.0
-1.0
3.0
7.0
11.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to MSCI EAFE
Gro
ss E
xces
s R
etur
n
Callan Non-U.S. Dev Eq Style (10th to 90th) Median MSCI EAFE
Non-U.S. Developed Broad Equity Style versus MSCI EAFE
Fee Hurdle 0.45% 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90%Median 95% 94% 94% 93% 93% 91% 88% 86% 86% 84%
45th Percentile 100% 100% 99% 99% 96% 96% 96% 95% 94% 91%
40th Percentile 100% 100% 100% 100% 100% 100% 100% 99% 99% 98%
35th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
30th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.83%
36Active versus PassiveKnowledge. Experience. Integrity.
Fee Hurdle 0.75% 0.80% 0.85% 0.90% 0.95% 1.00% 1.05% 1.10% 1.15% 1.20%Median 64% 63% 63% 63% 61% 61% 59% 58% 58% 58%
45th Percentile 69% 67% 67% 66% 66% 66% 66% 64% 64% 64%
40th Percentile 83% 81% 80% 80% 77% 77% 73% 70% 70% 69%
35th Percentile 92% 91% 91% 91% 91% 91% 89% 89% 89% 88%
30th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 98% 98%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.55%
02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
25.0
for 16 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to MSCI EAFE Small Cap
Gro
ss E
xces
s R
etur
n
Callan Non-U.S. Equity SC Style (10th to 90th) Median MSCI EAFE Small Cap
Non-U.S. Equity Small Cap Style vs MSCI EAFE Small Cap
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods
37Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
0.0
10.0
20.0
30.0
40.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P Developed ex-US Small Cap
Gro
ss E
xces
s R
etur
n
Callan Non-U.S. Equity SC Style (10th to 90th) Median S&P Developed ex-US Small Cap
Non-U.S. Small Cap Style vs S&P Developed ex-US Small Cap
Fee Hurdle 0.75% 0.80% 0.85% 0.90% 0.95% 1.00% 1.05% 1.10% 1.15% 1.20%Median 75% 74% 73% 70% 70% 70% 66% 65% 65% 64%
45th Percentile 86% 86% 84% 84% 83% 79% 79% 79% 76% 76%
40th Percentile 95% 95% 95% 94% 93% 90% 90% 89% 89% 85%
35th Percentile 99% 99% 98% 98% 98% 98% 98% 98% 98% 96%
30th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 2.33%
38Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to MSCI Emerging Markets
Gro
ss E
xces
s R
etur
n
Callan Emerging Markets Style (10th to 90th) Median MSCI Emerging Markets
Emerging Mkts Broad Equity Style vs MSCI Emerging Markets
Fee Hurdle 0.70% 0.75% 0.80% 0.85% 0.90% 0.95% 1.00% 1.05% 1.10% 1.15%Median 65% 65% 63% 63% 61% 59% 58% 56% 56% 50%
45th Percentile 76% 71% 71% 71% 70% 69% 69% 68% 68% 64%
40th Percentile 84% 84% 81% 80% 80% 78% 78% 75% 74% 73%
35th Percentile 93% 93% 91% 91% 89% 88% 86% 86% 86% 86%
30th Percentile 99% 99% 99% 98% 96% 96% 96% 96% 96% 95%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.40%
39Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-5.0-4.0-3.0-2.0-1.00.01.02.03.04.05.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Bloomberg Barclays Aggregate
Gro
ss E
xces
s R
etur
n
Callan Core Bond Style (10th to 90th) Median Bloomberg Barclays Aggregate
Core Bond Style versus Bloomberg Barclays Aggregate
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 55% 54% 45% 38% 29% 26% 25% 25% 23% 23%
45th Percentile 60% 55% 51% 45% 41% 29% 28% 28% 26% 24%
40th Percentile 71% 64% 56% 50% 46% 40% 33% 28% 28% 28%
35th Percentile 83% 70% 65% 54% 53% 45% 40% 34% 33% 28%
30th Percentile 90% 79% 73% 64% 56% 53% 49% 44% 39% 34%
25th Percentile 96% 89% 80% 74% 63% 59% 55% 50% 48% 41%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.32%
40Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-7.0
-5.0
-3.0
-1.0
1.0
3.0
5.0
7.0
9.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Bloomberg Barclays Aggregate
Gro
ss E
xces
s R
etur
n
Callan Core Plus Style (10th to 90th) Median Bloomberg Barclays Aggregate
Core Plus Bond Style versus Bloomberg Barclays Aggregate
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 69% 69% 68% 65% 65% 61% 60% 54% 50% 46%
45th Percentile 71% 69% 68% 68% 68% 65% 63% 61% 55% 51%
40th Percentile 76% 74% 74% 71% 71% 70% 68% 64% 64% 61%
35th Percentile 80% 79% 76% 74% 73% 73% 73% 69% 69% 64%
30th Percentile 84% 83% 83% 81% 80% 78% 75% 74% 74% 69%
25th Percentile 90% 88% 88% 88% 84% 83% 80% 79% 76% 75%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.69%
41Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-8.0
-6.0
-4.0
-2.0
0.0
2.0
4.0
6.0
8.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Bloomberg Barclays Corporate High Yield
Gro
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Callan High Yield Style (10th to 90th) Median Bloomberg Barclays Corporate High Yield
High Yield Style vs. Bloomberg Barclays Corporate High Yield
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 45% 43% 43% 43% 43% 43% 40% 38% 34% 34%
45th Percentile 51% 44% 44% 44% 43% 43% 43% 43% 38% 38%
40th Percentile 56% 55% 51% 48% 46% 45% 44% 44% 43% 39%
35th Percentile 69% 65% 61% 59% 56% 50% 48% 45% 44% 44%
30th Percentile 84% 74% 73% 66% 63% 56% 55% 53% 49% 48%
25th Percentile 88% 86% 86% 84% 78% 71% 68% 64% 59% 54%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.32%
42Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-5.0
0.0
5.0
10.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Bloomberg Barclays Global Aggregate
Gro
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Callan Global Fixed Style (10th to 90th) Median Bloomberg Barclays Global Aggregate
Global Fixed Style versus Bloomberg Barclays Global Agg
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 73% 71% 68% 65% 61% 55% 51% 50% 49% 48%
45th Percentile 76% 75% 73% 70% 66% 63% 59% 55% 53% 51%
40th Percentile 86% 85% 80% 74% 74% 73% 66% 66% 61% 60%
35th Percentile 93% 91% 91% 89% 83% 83% 81% 76% 71% 69%
30th Percentile 95% 95% 91% 91% 91% 89% 86% 85% 81% 79%
25th Percentile 96% 96% 95% 95% 93% 93% 93% 93% 90% 85%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.73%
43Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-5.0
0.0
5.0
10.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Citi WGBI Non-US
Gro
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Callan Non-U.S. Fixed Style (10th to 90th) Median Citi WGBI Non-US
Non-U.S. Fixed Style versus Citi WGBI Non-US
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 71% 70% 69% 66% 66% 65% 63% 61% 58% 54%
45th Percentile 73% 71% 71% 71% 70% 69% 68% 64% 61% 59%
40th Percentile 79% 76% 75% 74% 73% 73% 73% 70% 68% 65%
35th Percentile 84% 80% 80% 78% 76% 75% 75% 74% 74% 70%
30th Percentile 85% 85% 85% 83% 79% 79% 78% 76% 75% 75%
25th Percentile 90% 90% 89% 89% 86% 85% 85% 84% 83% 81%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.93%
44Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-5.0
0.0
5.0
10.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Bloomberg Barclays Gl Agg ex-US
Gro
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Callan Non-U.S. Fixed Style (10th to 90th) Median Bloomberg Barclays Gl Agg ex-US
Non-U.S. Fixed Style versus Bloomberg Barclays Gl Agg ex-US
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 84% 83% 78% 76% 76% 76% 75% 74% 73% 69%
45th Percentile 86% 85% 85% 84% 81% 80% 79% 78% 76% 74%
40th Percentile 89% 88% 88% 86% 85% 84% 81% 81% 80% 78%
35th Percentile 89% 89% 88% 88% 86% 86% 84% 84% 84% 84%
30th Percentile 93% 91% 90% 90% 89% 88% 88% 88% 85% 85%
25th Percentile 95% 95% 94% 93% 91% 89% 89% 88% 86% 85%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.95%
45Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to Bloomberg Barclays Long Gov/Credit
Gro
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Callan Ext Maturity Gov/Credit (10th to 90th) Median Bloomberg Barclays Long Gov/Credit
Ext Maturity Gov/Cr Style vs Bloomberg Barclays Long Gov/Cr
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 70% 64% 53% 49% 43% 38% 34% 33% 29% 28%
45th Percentile 79% 74% 63% 55% 45% 43% 36% 34% 31% 30%
40th Percentile 91% 83% 71% 64% 56% 48% 44% 39% 34% 30%
35th Percentile 95% 93% 86% 84% 78% 68% 60% 50% 49% 45%
30th Percentile 98% 96% 93% 90% 85% 80% 71% 66% 59% 54%
25th Percentile 100% 100% 99% 96% 91% 88% 81% 75% 70% 64%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.47%
46Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-20.0
-10.0
0.0
10.0
20.0
30.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to JP Morgan EMBI Global Diversified
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Callan Emerging Debt (10th to 90th) Median JPM EMBI Global Diversified
Emerging Debt Database versus JPM EMBI Global Diversified
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 66% 66% 65% 65% 64% 63% 61% 61% 59% 58%
45th Percentile 71% 71% 70% 70% 69% 66% 66% 66% 65% 65%
40th Percentile 74% 73% 73% 73% 73% 73% 73% 71% 70% 69%
35th Percentile 75% 75% 75% 74% 74% 74% 73% 73% 73% 73%
30th Percentile 76% 76% 76% 76% 75% 75% 75% 74% 74% 74%
25th Percentile 83% 83% 83% 80% 79% 79% 79% 76% 76% 75%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.73%
47Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-5.0
0.0
5.0
10.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to NAREIT All Equity
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Callan U.S. REIT Style (10th to 90th) Median NAREIT All Equity
U.S. REIT Style versus NAREIT All Equity
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 83% 83% 80% 79% 73% 69% 68% 66% 65% 63%
45th Percentile 84% 84% 84% 83% 80% 79% 76% 73% 73% 73%
40th Percentile 86% 85% 85% 85% 84% 84% 81% 79% 79% 78%
35th Percentile 88% 88% 86% 86% 86% 86% 86% 86% 85% 84%
30th Percentile 96% 96% 94% 93% 89% 89% 88% 86% 86% 85%
25th Percentile 99% 98% 98% 96% 95% 93% 91% 91% 91% 90%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.44%
48Active versus PassiveKnowledge. Experience. Integrity.
Fee Hurdle 0.50% 0.55% 0.60% 0.65% 0.70% 0.75% 0.80% 0.85% 0.90% 0.95%Median 70% 68% 68% 68% 65% 61% 60% 57% 55% 52%
45th Percentile 84% 84% 78% 75% 73% 71% 70% 66% 65% 65%
40th Percentile 92% 91% 90% 88% 84% 84% 83% 79% 75% 75%
35th Percentile 99% 99% 99% 97% 96% 96% 95% 95% 95% 90%
30th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
25th Percentile 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 1.04%
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-40.0
-30.0
-20.0
-10.0
0.0
10.0
20.0
for 19 1/4 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to EPRA/NAREIT Developed
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Callan Global Real Estate Style (10th to 90th) Median EPRA/NAREIT Developed
Global Real Estate Style vs EPRA/NAREIT Developed
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods
49Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-15.0
-10.0
-5.0
0.0
5.0
10.0
15.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500
Gro
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Callan Derivative Enh Idx Style (10th to 90th) Median S&P 500
Derivative-Based Enhanced Index Style versus S&P 500
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 65% 59% . 50% 48% 46% 41% 41% 40% 39%
45th Percentile 73% 66% 65% 59% 56% 51% 50% 46% 44% 43%
40th Percentile 76% 76% 74% 71% 66% 64% 60% 58% 54% 50%
35th Percentile 78% 78% 76% 74% 73% 73% 69% 66% 64% 61%
30th Percentile 83% 83% 83% 80% 74% 74% 74% 73% 71% 69%
25th Percentile 88% 85% 84% 83% 83% 83% 83% 80% 79% 75%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.39%
50Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-4.0
-2.0
0.0
2.0
4.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500
Gro
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Callan Stk-Based Enh Idx Style (10th to 90th) Median S&P 500
Stock-Based Enhanced Index Style versus S&P 500
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 61% 56% 55% 46% 40% 36% 30% 26% 19% 15%
45th Percentile 73% 71% 70% 64% 56% 54% 50% 43% 39% 28%
40th Percentile 81% 80% 78% 70% 68% 65% 61% 51% 48% 45%
35th Percentile 90% 90% 86% 84% 81% 80% 74% 66% 64% 63%
30th Percentile 96% 96% 94% 94% 91% 90% 86% 80% 73% 70%
25th Percentile 99% 98% 96% 96% 95% 95% 94% 93% 88% 84%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.31%
51Active versus PassiveKnowledge. Experience. Integrity.
How often Manager Beat Benchmark by more than Fee Hurdle in Rolling 3-Year Periods over last 20 Years
98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17-8.0-6.0-4.0-2.00.02.04.06.08.0
10.0
for 20 Years ended December 31, 2017Rolling 3-Year Gross Excess Return relative to S&P 500
Gro
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Callan Total Enhanced Idx Style (10th to 90th) Median S&P 500
Total Enhanced Index Style versus S&P 500
Fee Hurdle 0.20% 0.25% 0.30% 0.35% 0.40% 0.45% 0.50% 0.55% 0.60% 0.65%Median 69% 64% 55% 45% 39% 31% 29% 25% 20% 19%
45th Percentile 75% 70% 68% 61% 56% 53% 45% 40% 35% 28%
40th Percentile 81% 80% 78% 73% 69% 65% 55% 53% 49% 40%
35th Percentile 89% 85% 85% 83% 80% 79% 73% 70% 65% 59%
30th Percentile 96% 95% 91% 89% 88% 85% 83% 81% 76% 74%
25th Percentile 99% 99% 99% 95% 91% 90% 89% 88% 88% 86%
Average Annualized 3-Year Excess Return (gross) – Median Manager: 0.31%
