Pike RFP

10. Describe the ongoing due diligence that you provide.

Based on the quarterly due-diligence procedures outlined in the previous responses, CBIZ RPS

provides all investment related research at each investment review meeting based on client meeting

frequency.

All due-diligence is contained in our Investment Monitoring Report and a sample copy can be found

in the Exhibits Section, as reference.

(2)

- Investment Policy & Asset Allocation

10. Describe the processes your firm uses to assist clients in developing investment policies

and objectives.

We will work with Pike to customize an Investment Policy Statement to accommodate your

preferences as to policy guidelines for the plans. Our preference is to construct a policy that

ultimately serves to create an optimal balance between performance and fiduciary prudence. To

that end, our template IPS provides a general description of the frequency and method for reviewing

managers/funds and a clear statement of the Committee’s attitude towards risk management.

The Investment Policy Statement needs to be flexible to accommodate the Committee’s preferences

and involvement. We recommend that Policies are written to serve as a blue print to evaluate asset

allocation and manager performance but not as a step-by-step process for plan oversight.

Committees and/or consultants cannot anticipate all potential future scenarios and should not try to

incorporate them in a single document. The Policy needs to provide a broad outline with a focused

approach to overseeing assets, managers and consultants.

We would possibly make a change to an Investment Policy Statement if the document was written in

a manner that would accrue unintended risk to a retirement committee. For example, if a committee

consisted of individuals who could not commit to meeting quarterly due to business schedules, we

would change a clause that described frequency of meetings from “quarterly” to “periodic.” Another

example would be to broaden the range of permitted allocation to asset classes, if the committee

preferred more flexibility in the management of assets.

We would also make changes to an Investment Policy Statement in order to stay current with

Department of Labor guidelines and changes in the industry. For example, when the DOL released

guidance on suggested policy language related to target date funds, CBIZ promptly updated

investment policy statements for our clients. In the context of an ERISA §3(38) client, CBIZ requires

that the Retirement Committee approve any changes to the IPS. Please see the Exhibit Section III for

a sample of our Investment Policy Statement.

12. Describe your asset allocation approach and modeling.

Research has shown that many participants do not want the pressure of actively managing their

retirement portfolio. Target-date or risk-based options provide an easy-to-use, outsourced solution to

participants without the additional fees associated with managed accounts. Our approach is simple,

we prefer target-date to risk-based due to the glide path component. We advise our clients to help