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ABC Company Retirement Plan
Monitoring Report
Performance
Risk
Style / Operations
Security Name
3Yr
5Yr
10Yr
3Yr
Sharpe
5Yr
Sharpe
5Yr Up
Capture
5Yr
Down
Capture
Style
Drift
R-Sqrd
5Yr
Mgr
Tenure
AUM
(MM)
Exp
Rat
Pass
Watch
Action
Vanguard Mid Cap Growth Inv
5.70 11.61
7.18
0.50 1.01
96.85
117.01
MG 94.38 11.08 4,179 0.36
Watch
Morningstar Mid-Cap Growth
6.86 12.72 6.81 0.58 1.08 97.05 107.06
-
87.70 9.93 2,000 1.21
Rank in Category
73 70 43 68 61 48
74
-
-
-
-
2
Commentary:
The Vanguard Mid Cap Growth fund continues on watch this quarter due to relative underperformance over intermediate-term time periods, as well as missed
Sharpe ratio and down capture metrics. A recent change occurred in December 2016 as Vanguard terminated Chartwell Investment Partners as a subadvisor.
Chartwell had accounted for 50% of the managed assets and was replaced by RS Investments. The other sub-advisor, William Blair Investment Management, still
remains in place for the other 50% of the portfolio. The addition of RS should provide more of a growth strategy as they are known to place more emphasis on
quantitative metrics than Chartwell did. William Blair’s portion of the portfolio should continue to provide more defense to the portfolio as they are known to
purchase fast-growing but well-managed firms with low debt levels. The fund’s strategy and approach has been proven to be valuable over full market cycles as the
ten-year performance remains in the top half of mid-cap stock managers overall. At this time, we will continue to monitor the fund on the watch list to see how the
new sub-advisor performs.
DFA US Small Cap I
7.25 14.61 7.95 0.54 1.08 96.67 87.91 SB 96.86 5.41 15,876 0.37 Pass
Morningstar Small Blend
5.71 12.76 6.12 0.44 0.97 90.17 87.53
-
90.92 8.26 1,350 1.17
Rank in Category
30 19 12 30 25
24
51
-
-
-
-
8
Vanguard Small Cap Index Adm
6.78 14.13 7.83 0.54 1.14 90.05 78.38 SB 96.35
1.25
76,880 0.06 Pass
Morningstar Small Blend
5.71 12.76 6.12 0.44 0.97 90.17 87.53
-
90.92 8.26 1,350 1.17
Rank in Category
40 28 14 29 13 55 20
-
-
-
-
2
Foreign Equity
Vanguard Total Intl Stock Index Admiral
1.35
7.68
1.17 0.15 0.70 99.22 95.43
FB 97.84 8.91 283,434 0.11 Pass
Morningstar Foreign Large Blend
1.18 7.81 0.96 0.14 0.72 91.26 92.28
-
90.40 6.83 5,490 1.05
Rank in Category
44 54 38 44 56
8 60
-
-
-
-
4
American Funds Europacific Growth R6
3.72 9.61 3.44 0.36 0.91 97.02 78.16 FG 90.40 25.58 143,520 0.50 Pass
Morningstar Foreign Large Growth
2.58 8.61 1.91 0.25 0.78 91.83 90.60
-
87.32 8.11 7,778 1.22
Rank in Category
21
24 11 18 15 19
9
-
-
-
-
4
Funds listed in
Blue
are alternative funds. Funds listed in
Green
are fund additions.