The portfolio's investment objective is long-term growth of capital. The portfolio seeks to achieve its objective by investing primarily in the common stocks of financially strong and well-managed medium to large companies that are leaders in their respective industries. The portfolio may concentrate holdings in sectors of the market and companies within market sectors that it believes possess both superior fundamentals and growth prospects for the longer term. The portfolio has a long-term view to investing with relatively low turnover.

Minimum: $250,000

SELECT GROWTH STRATEGY

The portfolio primarily pursues its objective by employing both a "top-down" sector weighting process as well as a "bottom-up" stock selection process. From an initial universe of some 800 companies, quantitative screens and fundamental analysis techniques are applied to reduce the universe to about a 100 company ‘‘Active Watch" list. Sector strategy considerations are then overlaid versus this "Active Watch" list in conjunction with more rigorous screening and analysis to construct a portfolio of between 30 to 40 holdings.

The portfolio managers attempt to identify sectors within the markets that they believe possess both superior fundamentals and the prospects for superior growth over the longer-term. Certain sectors will be emphasized in the portfolio construction process when major demographic and economic trends that benefit those sectors can be identified.

Security selection emphasizes investing in the common stocks of financially strong and well managed medium to large companies that offer above-average growth prospects and that are leaders in their respective industries. Other key selection criteria include possessing a strong or unique business franchise or competency, and having a history of delivering superior financial performance that is consistent regardless of the business cycle. Lesser but still important criteria are factors such as accelerating growth in revenues and earnings, strong cash flows, and a history of low stock price volatility.

Risk is managed by diversifying the portfolio across economic sectors. No one economic sector within the portfolio is allowed to be greater than 3.0 times the weighting relative to the BARRA Growth Index. No one company position size is allowed to comprise more than 7% of the portfolio.

The managers generally take a long-term view to investing and the portfolio incurs relatively low turnover. Holdings may be sold either partially or in full for reasons that include deteriorating fundamentals, loss of management focus, excessive valuation, or replacement due to the emergence of a better opportunity elsewhere.