iMIPS Portfolio Construction

Based on the written Investment Management Agreement that clients execute, IAM is granted limited discretionary authority to implement client-approved investment strategies.  Investments are selected based on past performance (as applicable), manager tenure, portfolio turnover, fees and a variety of academic statistics including beta, standard deviation, R-Squared, Sharpe Ratio, Information Ratio, Tracking Error and other measurements.  These statistics are provided by third-party vendors and the investment sponsors and are evaluated by the IAM asset allocation model manager, on both an absolute and relative basis, relying on standards set by the firm.  We may obtain and utilize information and data from a wide variety of public and private sources.  In categorizing the asset classes of liquid investments, we will rely on prospectuses and information obtained from the issuer or its agents, or through publicly available sources.