INVESTMENT PORTFOLIO REVIEWdocuments/... · U.S. Fiscal Policy Earnings Seasons throughout 2017...

INVESTMENT PORTFOLIO REVIEW

PRESENTED TO:

MISSIONARY SOCIETY OF CT

MARK HATHAWAY, CFAMANAGING DIRECTOR; SENIOR INSTITUTIONAL PORTFOLIO STRATEGIST

203.352.4410

[email protected]

PATRICK J. STAFFARONI, SVPSENIOR PHILANTHROPIC RELATIONSHIP MANAGER

860.244.4878

[email protected]

SEAN P. LENAHAN, SVPINSTITUTIONAL CLIENT ADVISOR

203.341.3228

[email protected]

APRIL 25, 2017

I.

I. INTRODUCTIONI.

II. RECOMMENDED REBALANCING, RATIONALE AND DISCUSSIONI.

III. PRODUCT REVIEW – CTUCC CTF TOTAL RETURN FUNDI.

IV. PRODUCT REVIEW – CTUCC CTF TOTAL EDEN FUNDI.

V. APPENDIX

TABLE OF CONTENTS

2

INTRODUCTION

3

ECONOMIC OUTLOOK

Source: U.S. Trust Macro Strategy & Research team as of April 11, 2017. ARHRW97L

Global

Watch List

U.S. The Dollar

Real Gross Domestic Product (GDP) growth in the fourth quarter was revised higher. As nominal GDP growth picks up, topline growth should help offset some of the pressure, and profits should remain on a decent track the rest of the year. We expect U.S. real GDP growth of 2.0% – 3.0% for the year 2017.

Real personal consumer spending rose at a strong 3.5% annual rate in the fourth quarter but appears to have slowed in the first quarter. This is consistent with normal short‐term volatility in spending, and warmer weather weighed significantly on utilities spending. We think real consumer spending growth will continue to trend around 2.5% – 3.0%.

Housing is an important tailwind for the U.S., and residential investment appears to be rebounding along with business spending on equipment.

Regional manufacturing surveys suggest that business spending is poised for its strongest growth yet - positive late-cycle development.

Oil prices rose the most since December 2016. The market is balancing OPEC supply cuts, a U.S. supply glut and rising global demand on faster global growth. A lot will depend on OPEC’s ability to maintain production discipline over the next two years. We think oil prices will rise in the $50–$70 range and move slightly higher next year.

Globally, we continue to see positive surprises in Europe, a turnaround in the Emerging Markets, a stable China, and shareholder value gathering momentum in Japan. The synchronized global recovery continues. We expect positive profit data to follow and move indices to new highs.

Purchasing manager’s indexes around the world show that global expansion has become more synchronized as emerging markets begin to pick up after a five‐year slowdown. We continue to expect 3.5% plus real global GDP growth for the year.

Interest Rates U.S. Fiscal Policy Earnings Seasons throughout

2017 U.S. Tax Reform

The dollar remains largely range-bound, down year-to-date, but higher than where it traded most of 2016 on a broad trade and liquidity weighted basis. Our base case is that the dollar gains 5.0% – 10.0% for the year 2017 on a broad trade-weighted basis.

We would approach hedging Japanese and European equities on a case-by-case basis given our more neutral view.

The month‐to-month swings in household employment are volatile and provide little information about the health of the labor market, but the trends in participation and employment remain very positive.

Job growth remains on track and is more than sufficient to move the unemployment rate lower and keep upward pressure on wages.

European Elections FOMC Meetings Brexit OPEC Meeting

Labor market report shows a moderate uptrend in wage growth, anchoring inflation and keeping the Fed firmly on track to raise rates a few more times this year.

We expect two more Fed rate hikes this year and think balance sheet tapering will begin toward the end of the year. Policy will generally remain accommodative.

We expect strong profit numbers to move U.S. indices to new highs despite neutral to slight premium valuations. We expect good earnings in financials and technology with energy also surprising to the upside.

We expect 2017 S&P 500 earnings per share of $129 – $138 with upside potential.

Employment

Inflation and Interest Rates

Profits

4

ECONOMIC AND MARKET FORECASTS

Percent calendar-year average over calendar-year average annualized unless stated. E = Estimate.*Latest 12-month average over previous 12-month average. Past performance is no guarantee of future results. There can be no assurance that the forecasts will be achieved.Economic or financial forecasts are inherently limited and should not be relied on as indicators of future investment performance.

Source: Global Wealth & Investment Management (GWIM) Investment Strategy Committee as of April 10, 2017. ARHRW97L

Q4 2016 Q1 2017E Q2 2017E 2015 2016 2017 E

Real global GDP (% y/y annualized) 3.1 3.1 3.5 – 4.0

Real U.S. GDP (% q/q annualized) 2.1 1.5 – 2.0 2.5 – 3.5 2.6 1.6 2.0 – 3.0

CPI inflation (% y/y)* 1.3 1.6 1.8 – 2.0 0.1 1.3 2.0 – 3.0

Core CPI inflation (% y/y)* 2.2 2.2 2.2 1.8 2.2 2.0 – 3.0

Unemployment rate, period average (%) 4.7 4.7 4.6 – 4.7 5.3 4.9 4.5

Fed funds rate, end period (%) ** 0.62 0.87 0.87 – 1.12 0.37 0.62 1.12 – 1.62

10-year Treasury, end period (%) 2.45 2.40 2.50 – 2.60 2.27 2.45 2.62 – 3.12

S&P 500, end period *** 2239 2363 2350 – 2400 2044 2239 2300 – 2700

S&P operating earnings ($/share) 32 33 34 118 119 129 – 138

$/€, end period 1.05 1.07 1.04 – 1.08 1.09 1.05 1.0 – 1.10

¥/$, end period 117 111 114 - 118 120 117 115 – 125

Oil ($/barrel), end period 54 51 50 - 55 37 54 50 – 70

5

Slightly short duration is warranted, balancing highershort-term rates in the U.S. and with overwhelming demand for fixed income globally. We continue to prefer credit over Treasuries, with an emphasis on investment-grade corporates, particularly banks, andmunicipals.

Some allocation to Treasuries for liquidity and relative safety; an underweight positioning for corporate high-yield (HY) and an allocation to leveraged loans within HY is advised. Given U.S. dollar strength, we are avoiding non‐dollar sovereign bonds. We recommend active management more generally to improve potential risk-adjusted returns and a barbell strategy of owning bonds with both longer and shorter maturities should perform better than a bulleted strategy in a rising-yield environment.

We recommend a slight overweight in internationaldeveloped equities with a preference for Japan.We acknowledge that Japan’s economy has structural impediments to growth such as high debt levels and demographics. However, cyclically, growth there should accelerate on rising global activity, improving domestic demand and a weaker currency. The Bank of Japan’s recent monetary policy stance of fading negative deposit rates and targeting the yield curve has been well received by investors. Along with monetary policy, fiscal policy will be supportive of growth. European equities can produce positive returns given that they are cheap, and earnings could surprise on the upside driven by margin expansion and top-line growth. However, we maintain a cautious stance given ongoing stress in the banking sector and a full political calendar over the next six months with crucial votes in Germany and France, and the start of formal negotiations following the triggering of Brexit in the first quarter.

Equities

U.S. Equities

Emerging Markets

International Developed

Fixed Income

CommoditiesWe continue to expect equities to outperform fixed income. Equities should remain on a longer-term uptrend as U.S. and global expansionsgradually continue.

Within equities, we maintain an overweight to U.S. large cap stocks for theirhigh quality, stronger free cash flows and dividend growth. We are also overweight U.S. small caps, as we believe they will be beneficiaries of stronger U.S. growth. We favor a more cyclical and value-oriented portfolio theme.

PORTFOLIO STRATEGY AND ASSET ALLOCATION

Underweight

We are neutral commodities. Commodity prices are likely range‐bound in the near term, weighed down by global economic policy uncertainty but held up by stable global cyclical momentum. We think oil prices will finish 2017 in the $50 – $70 dollar range.

We are neutral hedge funds. We see the environment for active management, and hence hedge funds, improving in 2017 and continue to recommend a diversified approach when investing in this heterogeneous asset class. We have upgraded our view on global equity from neutral to moderately positive.

Overweight

Private Equity

Hedge Funds

Real Estate

We are neutral private equity. The combination of high headline multiples, increased deal competition, and the large capital overhang creates an investment environment that requires a disciplined approach to allocating capital across private equity strategies. Currently, we see opportunities in special situation and private credit. We favor a steady commitment strategy and manager selectivity in diversified PE portfolios.

Source: GWIM Investment Strategy Committee as of April 11, 2017. ARHRW97L

TACTICAL SHIFTSDecember 2016: We shifted to an overweight in equities. Within equities we raised U.S. small caps to overweight.

TACTICAL SHIFTSMarch 2017: We shifted to a slight overweight position in international developed equities.

TACTICAL SHIFTSDecember 2016: We have moved further underweight fixed income.

We remain neutral in real estate as an asset class. The U.S. commercial real estate (CRE) markets are in the mature phase of the current real estate cycle with continuing positive signs indicating that supply and demand for space are well balanced for most property types. CRE investors should look to current income returns with value growth now mostly driven by increases in rents and cash flow over time.

Neutral

We remain overweight emerging market equities. While emerging market equities continue to face a range of challenges, including low commodity prices, gradual normalization of Federal Reserve interest rate policy, and the structural downshift in China’s growth rate, we believe they will benefit from improving economic growth and attractive valuations.

REITs Reclassification Historically, U.S. Trust’s strategic asset allocation guidelines (SAAG) included Real Estate Investment Trusts (REITs) within the Real Estate asset category. Our Capital Market Assumptions (CMAs) also supported categorizing REIT securities as Real Estate. Effective in 2017, U.S. Trust SAAG is moving REIT securities from Real Estate to Equities.

6

Equity Market Performance Equity Style Performance

Fixed Income Market Performance Treasury Yield Curve

The performance for above markets are represented by their respective indexes

Past performance is no guarantee of future results. Performance results are extremely short-term and may not provide an adequate basis for evaluating performance potential over varying market conditions or economic cycles.

Please see end of presentation for asset class disclosures and index definitions.

The Citigroup Pension Liability Index provides an investment performance benchmark for asset/liability management of a ‘typical’ pension plan.

* The Barclays Capital Fixed Income Indices were recently acquired by Bloomberg and are now branded Bloomberg Barclays Indices.

Source: FactSet. Data as of 03/31/2017.

Source: Bloomberg. Data as of 03/31/2017.Source: Bloomberg. Data as of 03/31/2017.

Source: Bloomberg. Data as of 03/31/2017.

MARKET PERFORMANCEAs of March 31, 2017

-5

0

5

10

15

20

25

30

Dow S&P 500 NasdaqComposite

RussellMidcap

Russell 2000 MSCI EAFE MSCIEmergingMarkets

Tota

l Ret

urn

(%

)

March Last three months Last 12 months

-5

0

5

10

15

20

25

30

35

S&P 500 Russell 1000Growth

Russell 1000Value

RussellMidcapGrowth

RussellMidcapValue

Russell 2000Growth

Russell 2000Value

Tota

l Ret

urn

(%

)


-5

0

5

10

15

20

BarclaysCapital High

Yield

BarclaysCapital

Mortgage-Backed

Securities

BarclaysCapital

Aggregate

BarclaysCapital

Corporate

BarclaysCapital Ten-

yearTreasury

Bellwether

CitigroupPensionLiabilityIndex

BarclaysGlobal

AggregateSovereign

BarclaysGlobal

EmergingMarkets

Tota

l Ret

urn

(%

)


7

INSTITUTIONAL PORTFOLIO POSITIONING

ASSET CLASS ALLOCATION WEIGHTING*

Cash Positioning We are neutral.

Valuation • Low yields.

Equities Positioning We are overweight equities. Portfolios are being repositioned for higher nominal growth and rising interest rates. This rotation should continue throughout 2017.

Emphasis • We are overweight U.S. large caps, U.S. small caps and emerging market equities.

Valuation • Valuations favor equities over fixed income.

U.S. Large Caps Positioning We are slightly overweight large caps.

Emphasis • Value.

Valuation • Slightly overvalued but attractive relative to fixed income.

U.S. Mid Caps Positioning We are neutral mid caps.

Emphasis • Beneficiaries of relatively stronger U.S. economy.

Valuation • Neutral.

U.S. Small Caps Positioning We are overweight small caps.

Emphasis • Beneficiaries of relatively stronger U.S. economy.

Valuation • Neutral.

International Developed

Positioning Downside risk to growth and inflation in Europe from bank stress and political uncertainty. Major elections in 2017 and negative interest rate policy offset highly accommodative monetary stance and improving global economy.

Emphasis • Favor Japan on a relative basis.

Valuation • Japanese equities attractive on an absolute and relative basis.

Emerging Markets Positioning Valuations are attractive for long-term investors. Beneficiaries of the pickup in global cyclical momentum. Favor reform-oriented countries and consumer spending.

Emphasis • Asia remains our favored region within the emerging world, and we maintain our preference for India on a country basis.

Valuation • Attractive for long term investors.

− +

− +

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− +

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* Tactical qualitative investment strategy weightings are relative in nature versus the strategic weightings for a fully diversified portfolio. Weightings are based on the relative attractiveness of each asset class. Tactical strategy weightings are for a 12- to 36-

month time horizon.

Because economic and market conditions change, recommended allocations may vary in the future. Asset allocation cannot eliminate the risk of fluctuating prices and uncertain returns. All sector and asset allocation recommendations must be considered in

the context of an individual investor’s goals, time horizon and risk tolerance.

Not all recommendations will be suitable for all investors.

Alternative investments such as derivatives, hedge funds, private equity funds and funds of funds can result in higher return potential, but also higher loss potential. Changes in economic conditions or other circumstances may adversely affect your

investments. Before you invest in alternative investments, you should consider your overall financial situation, how much money you have to invest, your need for liquidity and your tolerance for risk.

Source: Global Wealth & Investment Management Investment Strategy Committee. As of March 29,2017.

Please see end of presentation for asset class disclosures and index definitions. 8

INSTITUTIONAL PORTFOLIO POSITIONING

ASSET CLASS ALLOCATION WEIGHTING*

Fixed Income Positioning

We are underweight fixed income, as it is less attractive compared to asset classes such as equities.

Emphasis

• Slightly short duration is warranted, balancing expectations for higher shortterm rates and inflation in the U.S. with overwhelming demand for fixed income globally. We continue to prefer credit over Treasurys, with an emphasis on investment‐grade corporates, particularly banks, although the relative value of credit has moderated. Some allocation to Treasurys for liquidity and relative safety is advised, and Treasury Inflation‐Protected Securities (TIPS) should be considered where appropriate. We recommend active management to improve potential returns in a rising rate environment. A barbell strategy of owning bonds with both longer and shorter maturities should perform better than bulleted strategy.

Valuation • Expensive overall.

U.S. Investment-Grade

Positioning Barbelled with respect to the curve. Slightly short duration.

Emphasis

• U.S. Treasurys/Agencies • U.S. Investment Grade Credit • U.S. Collateralized

Valuation

• Yields, while off the bottom, are still historically low on investment-grade bonds and poised to continue to rise. • Some allocation to Treasurys recommended to provide liquidity and relative safety.

International Positioning We are underweight.

Emphasis • Globally, low yields persist across most developed nations, and are unattractive compared to US alternatives.

Valuation • Expensive vs. U.S.-dollar-denominated alternatives.

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month time horizon.








INSTITUTIONAL PORTFOLIO POSITIONINGASSET CLASS ALLOCATION WEIGHTING*

High Yield Positioning We are underweight.

Emphasis • Significantly stretched valuations at the lower credit tiers. We recommend managed solutions that are higher in credit quality. Within high yield, an allocation to leveraged loans is advised.

Valuation • Rich, expect a high degree of volatility.

Commodities Positioning

We are neutral commodities.

Emphasis • We expect a slight upward track as the global expansion gains more traction.

Hedge Funds Positioning

We see the environment for active management, and hence hedge funds, improving in 2017 and continue to recommend a diversified approach when investing in this heterogeneous asset class.

Emphasis

• Our outlook has increased from neutral to moderately positive to global equities. Decreased stock correlations and a favorable economic backdrop should create opportunities for active managers. Merger and other corporate activity could benefit from tax and regulatory reform.

Private Equity

Positioning

The combination of high headline multiples, increased deal competition, and the large capital overhang creates an investment environment that requires a disciplined approach to allocating capital across private equity strategies. Currently, we see opportunities in special situation and private credit. We favor a steady commitment strategy and manager selectivity in diversified PE portfolios.

Emphasis • We see potential opportunities in special situations/opportunistic and private credit strategies.

Real Estate

Positioning

The U.S. commercial real estate (CRE) markets are in the mature phase of the current real estate cycle with continuing positive signs indicating that supply and demand for space are well balanced for most property types. CRE investors should look to current income returns with value growth now mostly driven by increases in rents and cash flow over time.

Emphasis • We see compelling opportunities within the opportunistic space.

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month time horizon.








Executive Summary As of March 31, 2017

Performance Summary:

• For the first quarter of 2017: • The Missionary Society Total Return Fund returned 4.51% Gross, 4.40% Net outperforming the custom benchmark return of 4.07%. • The Eden Fund returned 4.44% Gross, 4.36% Net in line with the custom benchmark return of 4.44%

• Factors that contributed to performance in Q1 2017: • Columbia Select Large Cap Growth Strategy recovered from 2016. The strategy returned 15.51% vs. 8.91% for the Russell 1000 Growth

Index. • Strong absolute and relative returns from the Neuberger Emerging Markets Strategy. The strategy returned 13.09% vs. 11.48% for the

MSCI Emerging Market Index.

Thematic Summary of Proposed Enhancements:

• Control tracking error of portfolio, specifically in more efficient asset classes.• Reevaluate manager weights to intended impact on portfolio returns.• Focus on the importance of social screening in the overall portfolio.• Remain fee conscious.

Timeline of Objectives:

• Immediate: See proposed rebalancing tabs and discuss improved structure of portfolio manager presentations.• Mid Term: Consider potential ESG replacement of Columbia Select Large Cap Growth & Index Funds.• Long Term: Discuss private real estate solution and ESG screening of High Yield Fixed Income.

Manager Issues or Concerns:

• Of the strategies reviewed by our Due Diligence Team, the Montag & Caldwell Large Cap Growth SMA was recently moved to a “Hold” status onApril 4, 2017. Reasons for the downgrade include the following:

• The strategy underperformed the Russell 1000 Growth Index by 8.35% gross, 9.53% net in 2016.• Significant asset outflows in 2016.• Poor risk management.

• The total portfolio is in compliance with the Current Investment Policy Statement.

11

CT UCC (Connecticut United Church of Christ)

Ongoing Objectives:

• Continue to review and monitor the portfolio on an ongoing basis. • Further diversify the portfolio to enhance performance and reduce expected volatility over the long term. • Keep expenses moderate relative to these enhancements in an effort to maximize expected net-of-fee portfolio returns. • Maximize the amount of the portfolio that adheres to the social screens with minimal costs. • Encourage the efficient use of capital by targeting an aggregated cash level below 2% of total AUM. • Consider the most impactful recommendations from US Trust along with other impactful suggestions from committee members. • Evaluate our shared success with the understanding that US Trust has not been given full discretion. • Focus the performance discussion on the trailing 12 months rather than a shorter-term quarterly focus.

Policies & Processes:

1. Committee-directed adjustments to the strategic targets are with Board approval.2. Simpler is better. Asset class diversification is to be rationalized, relative to the full implementation of the US Trust guidance.3. The Investment Committee controls the decision-making process on the portfolio.4. The Investment Advisor provides recommendations, but the Committee ultimately decides what is to be implemented.5. We are to rebalance toward the CTF-directed targets in the event of cash withdrawals or cash additions.

Investment Meeting Procedures:

1. We are to manage to Committee guidance on changes to tactical targets after each meeting.2. Less than 5 enhancements are to be suggested each quarter.3. Approved enhancements are to be implemented as soon as practically possible upon receipt via email.4. Meeting focus is to be focused on asset allocation guidance more than of short-term manager performance.5. Performance focus is to be on 12 month trailing performance and attribution rather than quarterly performance.

12

PORTFOLIO REVIEW – CTUCC CTF TOTAL RETURN FUND

13

ASSET CATEGORY MARKET VALUE % OF PORTFOLIO TOTAL COSTESTIMATED ANNUAL

INCOME CURRENT YIELD %

EQUITIES $65,895,668 66.7% $53,833,068 $1,200,204 1.82%

U.S. Large Cap $29,683,414 30.1% $23,069,196 $493,370 1.66%

U.S. Mid Cap $10,285,404 10.4% $8,703,616 $299,148 2.91%

U.S. Small Cap $7,629,129 7.7% $6,519,358 $102,661 1.35%

International Developed $11,081,832 11.2% $9,806,953 $271,618 2.45%

Emerging Markets $7,215,889 7.3% $5,733,945 $33,407 0.46%

FIXED INCOME $25,553,614 25.9% $26,157,770 $723,074 2.83%

Investment Grade Taxable $18,689,993 18.9% $18,781,235 $523,482 2.80%

International Developed Bonds $3,999,282 4.0% $4,038,657 $68,487 1.71%

Global High Yield Taxable $2,864,339 2.9% $3,313,629 $130,338 4.55%

HEDGE FUNDS $1,227,416 1.2% $1,286,806 $24,414 1.99%

TANGIBLE ASSETS $4,163,939 4.2% $5,185,000 $0 0.00%

CASH/CURRENCY $1,917,970 1.9% $1,915,250 $12,711 0.66%

TOTAL PORTFOLIO $98,758,607 100.0% $88,377,893 $1,960,402 1.99%

Allocation percentages of charts do not include negative market values.Due to rounding, percentages presented may not add up precisely to the totals provided.

CURRENT ASSET ALLOCATION (IPS)As of March 31, 2017

CTUCC CTF Total Return Fund

14

Confidential, Prepared for U.S. Trust™ Clients.

Current Asset Allocation – Total Return Fund – Market Value as of 4/18/17

Investment Manager

Current

Market Value

Current

Cash

Current

(%)

Strategic

Target (%)

Tactical

Target (%)

U.S. Large Cap 32.53% 30.00% 31.00%

Large Cap Grow th Columbia Select Large Cap Grow th (SMA) 7,513,915$ 424,920$ 7.66% 7.50% 7.75%Large Cap Grow th Montag & Caldw ell Large Cap Grow th (SMA) 7,938,200$ 448,824$ 8.09% 7.50% 0.00%Large Cap Grow th The Boston Company Large Cap Grow th (SMA) -$ -$ 0.00% 0.00% 7.75%Large Cap Value Columbia Large Value (SMA) 16,472,075$ 311,698$ 16.79% 15.00% 15.50%U.S. Mid Cap 4.18% 5.00% 5.00%

Mid Cap Core Vanguard Mid Cap (ETF) 4,104,227$ -$ 4.18% 5.00% 5.00%U.S. Small Cap 7.65% 5.00% 7.50%

Small Cap Grow th Apex Small Cap Grow th (SMA) 2,453,613$ 34,533$ 2.50% 0.00% 2.50%Small Cap Value Hillcrest Small Cap Value (SMA) 2,491,257$ 34,276$ 2.54% 0.00% 2.50%Small Cap Core Vanguard Small Cap (ETF) 2,565,900$ -$ 2.61% 5.00% 2.50%International Developed 10.13% 12.00% 13.00%

Developed Int'l MFS International (SMA) 9,939,539$ 193,492$ 10.13% 13.00%Emerging Markets 7.36% 8.00% 9.00%

Emerging Markets Schroders Emerging Market Equity (MF) -$ -$ 0.00% 2.00%Emerging Markets Neuberger Berman EM Equity (MF) 7,224,240$ -$ 7.36% 7.00%Total 60,702,966$ 1,447,743$ 61.86% 60.00% 65.50%

Investment Grade 21.62% 24.00% 21.00%

Interm Term US Taxable US Trust Taxable Fixed Income (1-10) (SMA) 15,071,065$ 330,447$ 15.36% 24.00% 12.00%Inflation Protected US SPDR Barclays TIPS ETF 6,145,141$ -$ 6.26% 0.00% 5.00%Interm Term US Taxable PIMCO Income Fund (MF) -$ -$ 0.00% 0.00% 4.00%International Developed 2.92% 3.00% 0.00%

Int'l Developed FI PIMCO Foreign Bond Fund Hedged (MF) 2,864,059$ -$ 2.92% 3.00% 0.00%Global High Yield 2.93% 3.00% 3.00%

Global High Yield Aberdeen Global High Income (MF) 2,871,208$ -$ 2.93% 3.00% 3.00%Total 26,951,473$ 330,447$ 27.47% 30.00% 24.00%

Hedge Funds FI Relative Value Goldman Sachs Strategic Income 1,216,027$ -$ 1.24% 0.00% 1.25%REITs Vanguard Signal REIT Fund (MF) 4,536,234$ -$ 4.62% 5.00% 5.00%Commodities Credit Suisse Commodity Return (MF) 4,163,939$ -$ 4.24% 5.00% 4.25%Total 9,916,200$ -$ 10.11% 10.00% 10.50%

Cash Cash 555,329$ -$ 0.57% 0.00% 0.00%Total 555,329$ -$ 0.57% 0.00% 0.00%

TOTAL 98,125,968$ 1,778,190$ 100.00% 100.00% 100.00%

Asset Class

EQ

UIT

Y

12.00%

FIX

ED

IN

CA

LT

8.00%

17


Current Asset Allocation – Eden Fund – Market Value as of 4/18/17

Investment Manager

Current

Market Value

Current

Cash

Current

(%)

Strategic

Target (%)

Tactical

Target (%)

Domestic S2IC 7,397,112$ 85,278$ 44.74% 40.00% 43.50%Developed Int'l MFS International (SMA) 1,701,737$ 38,048$ 10.29% 13.00%Emerging Markets Neuberger Berman EM Equity (MF) 1,205,775$ -$ 7.29% 7.00%Emerging Markets Schroders Emerging Market Equity (MF) -$ -$ 0.00% 2.00%Total 10,304,624$ 123,326$ 62.33% 60.00% 65.50%

Interm Term US Taxable US Trust Taxable Fixed Income (1-10) (SMA) 2,447,864$ 26,414$ 14.81% 24.00% 12.00%Inflation Protected US SPDR Bloomberg Barclays TIPS ETF 1,074,370$ -$ 6.50% 0.00% 5.00%Interm Term US Taxable PIMCO Income Fund (MF) -$ -$ 0.00% 0.00% 4.00%Global High Yield Aberdeen Global High Income (MF) 493,206$ -$ 2.98% 3.00% 0.00%Int'l Developed FI PIMCO Foreign Bond Fund Hedged (MF) 499,704$ -$ 3.02% 3.00% 3.00%Total 4,515,144$ 26,414$ 27.31% 30.00% 24.00%

REITs Vanguard Signal REIT Fund (MF) 967,122$ -$ 5.85% 5.00% 6.25%Commodities Credit Suisse Commodity Return (MF) 700,023$ -$ 4.23% 5.00% 4.25%Total 1,667,145$ -$ 10.08% 10.00% 10.50%

Cash Cash 44,932$ -$ 0.27% 0.00% 0.00%Total 44,932$ -$ 0.27% 0.00% 0.00%

TOTAL 16,531,845$ 149,740$ 100.00% 100.00% 100.00%

AL

T

8.00%

FIX

ED

IN

C

12.00%

Asset Class

EQ

UIT

Y

18


ASSET CATEGORY MARKET VALUE ALLOCATIONYTD

%1 YR

%3 YRS

%5 YRS

%10 YRS

%

SINCEINCEPTION

%INCEPTION

DATE

TOTAL PORTFOLIO $98,758,607 100.0% 4.51 10.81 4.24 6.72 5.49 10.13 07/01/75

TOTAL PORTFOLIO - NET OF FEES $98,758,607 100.0% 4.40 10.29 3.72 6.18 4.96 5.87 05/01/99

Missionary Society ACWI Index 2 -- -- 4.57 7.63 2.36 4.49 3.03 -- --

Missionary Society Blend 1 -- -- 4.07 11.82 4.78 7.06 5.18 -- --

EQUITIES $65,895,668 66.7% 6.71 14.86 5.30 8.66 5.54 11.78 07/01/75

MSCI ACWI Index 6.40 12.69 2.97 6.12 1.80 -- --

Columbia Select - Large Cap Growth $8,239,701 8.3% 15.51 19.28 7.09 11.25 -- 11.90 11/30/10

Russell 1000 Growth Index -- -- 8.91 15.74 11.26 13.31 -- 14.09 --

Montag & Caldwell - Large Cap Growth $7,953,826 8.1% 6.69 6.22 6.98 -- -- 10.74 11/28/12

Russell 1000 Growth Index -- -- 8.91 15.74 11.26 -- -- 15.68 --

Columbia - Large Cap Value $16,602,708 16.8% 4.47 14.46 9.99 12.86 10.74 11.34 07/01/75

Russell 1000 Value Index -- -- 3.27 19.21 8.66 13.11 5.92 -- --

Mid Cap Core Funds3 $8,523,160 8.6% 4.80 14.66 -- -- -- 7.25 08/20/14

Russell Mid Cap Index TR -- -- 5.14 17.01 -- -- -- 7.65 --

CRSP US Mid Cap TR Index -- -- 6.20 16.78 -- -- -- 8.00 --

MSCI US REIT Index -- -- 0.99 3.15 -- -- -- 7.48 --

Vanguard Small Cap ETF $2,595,895 2.6% 3.68 21.50 -- -- -- 33.76 02/10/16

Russell 2000 TR -- -- 2.46 26.20 -- -- -- 39.59 --

CRSP US Small Cap TR Index -- -- 3.74 21.45 -- -- -- 35.56 --

Apex Small Cap Growth $2,477,053 2.5% 0.44 -- -- -- -- 5.80 04/26/16

Russell 2000 Growth Index -- -- 5.35 -- -- -- -- 19.88 --

Past Performance is no guarantee of future results.

All returns are gross of fees unless otherwise noted. For periods longer than one year, the return is annualized. Periods less than one year utilize a cumulative return.Returns may include a partial month.Benchmark performance returns for the Since Inception period are based on the inception date of the sector or the account under which they are displayed.Market value does not include accrued income, but is included in the return calculation.

INVESTMENT PERFORMANCE (PRODUCT VIEW)As of March 31, 2017

19


ASSET CATEGORY MARKET VALUE ALLOCATIONYTD

%1 YR

%3 YRS

%5 YRS

%10 YRS

%

SINCEINCEPTION

%INCEPTION

DATE

Hillcrest Small Cap Value $2,556,182 2.6% -0.95 -- -- -- -- 20.32 04/26/16

Russell 2000 Value Index -- -- -0.13 -- -- -- -- 27.05 --

MFS - International $10,060,122 10.2% 5.79 12.72 0.75 5.59 -- -0.30 11/01/07

EAFE Free(Net Div) -- -- 7.24 11.66 0.48 5.81 -- -0.20 --

Neuberger Berman Emerging Markets Equity Fund4 $7,215,889 7.3% 13.09 19.75 -0.70 0.16 -- 2.46 05/17/10

MSCI Emerging Markets Free Index (Gross) -- -- 11.48 17.64 1.53 1.16 -- 2.75 --

FIXED INCOME $25,553,614 25.9% 1.17 3.29 2.73 2.99 4.54 7.46 07/01/75

BBG BARC Global Aggregate 1.76 -1.92 -0.41 0.37 3.33 -- --

US Trust Fixed Income $14,963,668 15.2% 0.71 0.82 -- -- -- 1.81 05/16/14

Barclays Govt/Credit -- -- 0.95 0.53 -- -- -- 2.19 --

SPDR BBG Barclays Tips ETF $6,129,004 6.2% 1.42 -- -- -- -- -0.75 08/05/16

BBG BARC US Treasury: US TIPS -- -- 1.26 -- -- -- -- -0.66 --

PIMCO Foreign USD Hedged Bond Fund $2,850,485 2.9% 0.63 4.69 5.41 -- -- 4.38 04/04/13

BBG BARC Global Agg x USD (USD Hedged) Index -- -- 0.06 1.39 4.24 -- -- 3.75 --

Aberdeen Global High Income Fund $2,864,339 2.9% 3.08 12.72 0.45 4.49 -- 4.31 11/10/10

BofAML Global High Yield Constrained (USD) -- -- 3.06 13.80 3.24 6.29 -- 6.28 --




HEDGE FUNDS $1,227,416 1.2% 0.96 5.17 -- -- -- 0.14 11/06/14

Goldman Sachs Strategic Income Hedge Fund $1,227,416 1.2% 0.96 5.17 -- -- -- 0.14 11/06/14

BofA ML US$ 3 Mo LiborConstant Maturity Index

-- -- 0.27 0.86 -- -- -- 0.57 --

TANGIBLE ASSETS $4,163,939 4.2% -1.78 9.69 -13.41 -9.93 -- -1.71 03/01/10

Credit Suisse Commodity Return Fund $4,163,939 4.2% -1.78 9.69 -13.41 -9.79 -- -1.67 04/01/10

Bloomberg (DJ UBS) Commodity Index -- -- -2.33 8.70 -13.92 -9.55 -- -5.95 --

CASH/CURRENCY $1,917,970 1.9% 0.10 0.32 0.21 0.19 0.98 5.19 07/01/75

Cash $335,222 0.3% 0.09 0.27 0.20 0.16 -- 0.17 04/01/10

Merrill Lynch 90 Day T-Bill -- -- 0.10 0.36 0.17 0.14 -- 0.13 --

20

ASSET CLASS

ASSETALLOCATIONEFFECT (%)

SECTORALLOCATIONEFFECT (%)

SELECTIONEFFECT (%)

TOTALEFFECT (%)

EQUITIES 0.16 -1.04 -0.68 -1.56

U.S. Large Cap Growth 0.05 -0.10 -0.53 -0.58

U.S. Large Cap Value 0.05 0.02 -0.56 -0.49

U.S. Small Cap 0.00 -0.77 0.00 -0.77

International Developed 0.03 -0.13 0.27 0.17

Emerging Markets 0.02 -0.05 0.14 0.11

FIXED INCOME 0.39 0.16 0.30 0.85

Investment Grade Taxable

0.29 0.02 0.21 0.52

Global High Yield Taxable

0.06 0.14 -0.03 0.17

International Developed Bonds

0.04 0.00 0.12 0.16

REAL ESTATE -0.09 0.00 0.16 0.07

TANGIBLE ASSETS 0.11 0.00 0.00 0.11

CASH/CURRENCY -0.51 0.00 0.02 -0.49

TOTAL 0.06 -0.88 -0.20 -1.01

Asset allocation effect (%) Selection allocation effect (%)

Sector effect (%) Total effect (%)


Percentages are rounded by nearest hundredth.

ATTRIBUTION ANALYSIS (TRAILING 12 MONTHS)As of March 31, 2017

21


RETURN VS. RISK

RISK STATISTICS

RETURNSTANDARD DEVIATION

BETA ALPHAR-

SQUAREDSHARPE RATIO

TREYNOR RATIO

TRACKING ERROR

INFORMATION RATIO

Total Portfolio 6.72 7.98 1.08 -.84 .98 0.82 6.09 1.37 -.20

Policy Benchmark* 7.06 7.29 -- -- -- 0.95 6.92 -- --*Missionary Society Blend

**90 Day TBill

Past performance is no guarantee of future results.The risk/potential reward spectrum is intended to provide a general evaluation of the risk and potential return of each asset category. It is not meant to predict future performance or the volatility of any investment option or category. Investors should carefully consider the investment objectives, risks, charges and expenses before investing.

RISK ANALYTICS (TRAILING 60 MONTHS)As of March 31, 2017

22



SECTOR ANALYSISAs of March 31, 2017

Columbia Select

Large Cap Growth

Montag & Caldwell

Large Cap Growth

Columbia Disciplined Value SMA

Vanguard Mid Cap

Index Fund

Vanguard REIT Index

Fund

Vanguard Small Cap Index Fund

Apex Small Cap Growth

SMA

Hillcrest Small cap

Value SMA

MFS Research

International Portfolio ADR

Neuberger Berman

Emerging Markets Eq.

Weighted

Average

of Equity

Portfolio

iShares MSCI

ACWI ETF

Consumer Discretionary 19.62% 12.87% 4.54% 16.46% 0.00% 12.10% 19.08% 9.66% 6.14% 10.55% 9.8% 12.08%Consumer Staples 5.51% 19.75% 8.81% 5.16% 0.00% 3.31% 2.47% 1.12% 11.17% 10.25% 8.7% 9.48%Energy 0.00% 0.00% 12.00% 4.77% 0.00% 4.85% 1.44% 5.46% 6.78% 4.24% 5.3% 6.61%Financials 5.87% 6.54% 25.48% 14.06% 0.00% 14.41% 8.90% 28.00% 25.58% 18.98% 16.7% 18.27%Health Care 28.80% 21.07% 10.73% 9.14% 0.00% 10.70% 20.69% 5.36% 10.19% 4.50% 12.8% 11.20%Industrials 2.10% 4.54% 9.66% 12.57% 0.00% 15.11% 15.30% 14.40% 13.40% 5.87% 8.4% 10.87%Information Technology 34.35% 30.14% 10.16% 17.63% 0.00% 16.29% 19.01% 11.69% 7.86% 28.22% 17.6% 16.42%Materials 0.00% 0.71% 2.87% 6.17% 0.00% 5.94% 4.30% 4.84% 10.96% 3.72% 3.8% 5.15%Real Estate 0.00% 0.00% 4.09% 7.60% 99.62% 10.72% 3.46% 12.35% 0.00% 2.06% 9.3% 3.15%Telecom Services 0.00% 0.00% 3.76% 0.81% 0.00% 0.44% 0.00% 0.00% 4.48% 1.81% 1.9% 3.42%Utilities 0.00% 0.00% 6.38% 4.93% 0.00% 3.91% 0.00% 6.42% 1.02% 2.72% 2.8% 3.16%Cash 3.75% 4.38% 1.52% 0.71% 0.38% 2.23% 5.35% 0.71% 2.43% 7.08% 2.9% 0.19%

Total 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%

Percentage of Total Portfolio 8.3% 8.1% 16.8% 4.2% 4.4% 2.6% 2.5% 2.6% 10.2% 7.3% 67.0%

Percentage of Equity 12.39% 12.09% 25.07% 6.27% 6.57% 3.88% 3.73% 3.88% 15.22% 10.90% 100.0%

Source: FactSet

Data as of 03/31/2017

23

PORTFOLIO REVIEW – CTUCC CTF EDEN FUND

24

ASSET CATEGORY MARKET VALUE % OF PORTFOLIO TOTAL COSTESTIMATED ANNUAL

INCOME CURRENT YIELD %

EQUITIES $11,246,733 67.7% $10,224,982 $244,215 2.17%

U.S. Large Cap $5,904,065 35.5% $5,252,030 $125,481 2.13%

U.S. Mid Cap $2,115,861 12.7% $2,096,953 $64,292 3.04%

U.S. Small Cap $47,584 0.3% $49,449 $959 2.01%

International Developed $1,974,841 11.9% $1,842,052 $47,907 2.43%

Emerging Markets $1,204,381 7.2% $984,498 $5,576 0.46%

FIXED INCOME $4,428,851 26.7% $4,468,036 $121,089 2.73%

Investment Grade Taxable $3,212,196 19.3% $3,255,991 $85,718 2.67%

International Developed Bonds $724,629 4.4% $728,884 $12,982 1.79%

Global High Yield Taxable $492,026 3.0% $483,161 $22,389 4.55%

TANGIBLE ASSETS $700,023 4.2% $684,123 $0 0.00%

CASH/CURRENCY $239,507 1.4% $239,365 $1,327 0.55%

TOTAL PORTFOLIO $16,615,114 100.0% $15,616,506 $366,631 2.21%

Allocation percentages of charts do not include negative market values.Due to rounding, percentages presented may not add up precisely to the totals provided.

CURRENT ASSET ALLOCATION (IPS)

CTUCC CTF Eden Funds

As of March 31, 2017

25

ASSET CATEGORY MARKET VALUE ALLOCATION3 MOS

%YTD

%1 YR

%3 YRS

%5 YRS

%SINCE

INCEPTION %INCEPTION

DATE

TOTAL PORTFOLIO $16,615,114 100.0% 4.44 4.44 11.78 -- -- 8.50 11/24/15

TOTAL PORTFOLIO - NET OF FEES $16,615,114 100.0% 4.36 4.36 11.43 -- -- 8.15 11/24/15

CTUCC Eden Fund Policy Benchmark 5 -- -- 4.44 4.44 11.28 -- -- -- --

EQUITIES $11,246,733 67.7% 6.60 6.60 17.42 -- -- 11.22 11/24/15

S2IC Account $7,469,100 45.0% 5.67 5.67 19.43 -- -- 13.97 11/24/15

S&P 500 TR -- -- 6.06 6.06 17.16 -- -- 11.99 --

Vanguard REIT Index Fund $934,571 5.6% 0.96 0.96 3.25 -- -- -- 11/25/15

MSCI US REIT Index -- -- 0.99 0.99 3.15 -- -- -- --

MFS Research International Portfolio $1,723,959 10.4% 5.77 5.77 12.75 -- -- 3.88 11/24/15

MSCI EAFE Net TR USD Index -- -- 7.24 7.24 11.66 -- -- 4.90 --

Neuberger Berman Emerging Markets Equity Fund $1,204,381 7.2% 13.09 13.09 19.98 -- -- 12.59 11/25/15

MSCI Emerg Markets Free Gr Div -- -- 11.48 11.48 17.64 -- -- 13.10 --

FIXED INCOME $4,428,851 26.7% 1.13 1.13 3.80 -- -- 4.52 11/25/15

US Trust Fixed Income $2,431,098 14.6% 0.67 0.67 -- -- -- 0.48 06/09/16

Barclays Govt/Credit -- -- 0.95 0.95 -- -- -- -0.79 --

SPDR BBG Barclays Tips ETF $1,071,549 6.4% 1.42 1.42 -- -- -- -0.74 08/05/16

BBG BARC US Treasury: US TIPS -- -- 1.26 1.26 -- -- -- -0.66 --

PIMCO Foreign USD Hedged Bond Fund $497,336 3.0% 0.63 0.63 4.65 -- -- 5.12 11/25/15

BBG BARC Global Agg x USD (USD Hedged) Index -- -- 0.06 0.06 1.39 -- -- 3.52 --





Aberdeen Global High Income Fund $492,026 3.0% 3.08 3.08 12.65 -- -- 6.57 11/25/15

BofAML Global High Yield Constrained (USD) -- -- 3.06 3.06 13.80 -- -- 11.35 --

TANGIBLE ASSETS $700,023 4.2% -1.78 -1.78 9.59 -- -- 3.98 11/25/15

Credit Suisse Commodity Return $700,023 4.2% -1.78 -1.78 9.59 -- -- 3.98 11/25/15

Bloomberg (DJ UBS) Commodity Index -- -- -2.33 -2.33 8.70 -- -- 3.25 --

CASH/CURRENCY $239,507 1.4% 0.09 0.09 0.27 -- -- 0.27 11/24/15

Cash $91,071 0.5% 0.09 0.09 0.32 -- -- 0.30 11/24/15

Merrill Lynch 90 Day T-Bill -- -- 0.10 0.10 0.36 -- -- 0.33 --

26

INVESTMENT PERFORMANCE TRAILING RETURNSAs of March 31, 2017

Past Performance is no guarantee of future results.All returns are gross of fees unless otherwise noted. For periods longer than one year, the return is annualized. Periods less than one year utilize a cumulative return.Returns may include a partial month.Benchmark performance returns for the Since Inception period are based on the inception date of the sector or the account under which they are displayed.Market value does not include accrued income, but is included in the return calculation.


27

MISSIONARY SOCIETY OF CT - ASSET ALLOCATION AND PERFORMANCE FOOTNOTES

1. Since 11/01/2013 the Missionary Society Benchmark has been comprised of 15% Russell 1000 Value, 15% Russell 1000 Growth, 10% Russell 2000, 12% MSCI EAFE, 8% MSCI Emerging Markets, 24% Barclays Govt/Credit, 3% Merrill Lynch High Yield Global Constrained, 3% JP Morgan Non-US Hedged, 5% Bloomberg Commodity, and 5% MSCI US REIT indices. This performance is linked historically as follows: 1/1/2011 through 10/31/2013: 15% Russell 1000 Value, 15% Russell 1000 Growth, 10% Russell 2000, 12% MSCI EAFE, 8% MSCI Emerging Markets, 32% Barclays Govt/Credit, 3% Merrill Lynch High Yield Global Constrained, 3% Bloomberg Commodity, and 2% MSCI US REIT indices. 4/1/2010 through 12/31/2010: 20.5% Russell 1000 Value, 20.5% Russell 1000 Growth, 7% Russell 2000, 9% MSCI EAFE, 3% Bloomberg Commodity, and 40% Barclays Govt/Credit indices. Prior to 4/1/2010: 22% Russell 1000 Value, 22% Russell 1000 Growth, 7% Russell 2000, 9% MSCI EAFE, and 40% Barclays Govt/Credit indices.

2. As of 07/2014 Missionary Society ACWI Index Benchmark is comprised of 60% MSCI ACWI Index, 30% Barclays Global Aggregate, 10% CPI plus 4.50% Accredited.

3. Mid cap core funds currently comprises Vanguard Mid Cap ETF & Vanguard REIT Index Fund. 1Q15 returns are overstated by approximately 300bps due to a trading exchange technology failure. Since the issue was with the exchange itself, the incorrect values were transmitted to various data providers (i.e. Bloomberg) which is why it is incorrect in our system. As an industry, performance will not be adjusted.

4. Performance Prior to Feb 2016 reflects Lazard Emerging Markets Fund.

5. Since 12/2015, the CTUCC Eden Fund Policy Benchmark comprised of 30% Russell Top 200 Index, 5% Russell Mid Cap Index, 5% Russell 2000 TR, 12% MSCI EAFE Net TR USD Index, 8% MSCI EMF TR Net EmrgMrkts, 24% Barclays US Agg Bond Index, 3% Citigroup Non-US World Gov Bond Index, 3% Barclays Global High Yield Index, 5% FTSE NAREIT All Reit TR, 5% Bloomberg Commodity Index

Past performance is no guarantee of future results.

58


Rebalancing History - 2016CTUCC CTF Total Return Fund

Asset Class

Strategic

Target %

Tactical

Target %

Strategic

Target %

Tactical

Target %

Feb 2016

Change

Strategic

Target %

Tactical

Target %

Apr 2016

Change

Jul 2016

Change

Strategic

Target %

Tactical

Target %

Aug 1, 2016

Change

Aug 31, 2016

Change

Oct 2016

Change

Nov 1, 2016

Change

Nov 28, 2016

Change

Columbia - Select Large Cap Growth 7.50% 9.08% 7.50% 9.08% $300,000 7.50% 9.08% $2,075,000 7.50% 8.00% ($1,325,000) $165,000Montag & Caldwell Large Cap Growth 7.50% 9.33% 7.50% 9.33% 7.50% 9.33% $2,060,000 7.50% 8.00% ($1,225,000) $165,000Columbia - Large Cap Value 15.00% 18.33% 15.00% 18.33% 15.00% 18.33% ($320,000) $3,510,000 15.00% 16.00% ($1,900,000) $330,000Vanguard Mid Cap ETF 5.00% 1.25% 5.00% 1.25% 5.00% 2.50% $880,000 $535,000 5.00% 4.00% $1,325,000 $82,500Columbia - Small Cap Core 5.00% 9.75% 0.00% 0.00% ($5,907,100) -- -- -- --Apex Small Cap Growth -- -- -- -- 0.00% 2.83% $1,980,000 $675,000 0.00% 2.50% ($365,000) $51,500 ($25,000)Hillcrest Small Cap Value -- -- -- -- 0.00% 2.83% $1,980,000 $620,000 0.00% 2.50% ($340,000) $51,500 ($200,000)Vanguard Small Cap (ETF) -- -- 5.00% 9.75% $6,282,100 5.00% 2.83% ($4,745,000) $425,000 5.00% 2.50% ($370,000) $51,500 ($75,000)MFS International Equity 12.00% 14.00% 12.00% 14.00% $225,000 12.00% 14.00% $3,705,000 12.00% 10.00% ($4,200,000) ($225,000) $206,000Neubergr Berman EM Equity (MF) -- -- 8.00% 6.25% $3,804,101 8.00% 6.25% $1,355,000 8.00% 7.00% $575,000 ($225,000) $144,000Lazard Emerging Markets Fund 8.00% 6.25% 0.00% 0.00% ($3,804,101) -- -- -- --

TOTAL EQUITY 60.00% 68.00% 60.00% 68.00% $900,000 60.00% 68.00% ($225,000) $14,960,000 60.00% 60.50% ($7,825,000) $0 ($450,000) $1,247,000 ($300,000)Columbia - Core Fixed Income 12.00% 8.25% 12.00% 8.25% ($900,000) 0.00% 0.00% ($5,134,547) 0.00% 0.00%US Trust Taxable Fixed Income 1-10 yr 12.00% 8.25% 12.00% 8.25% 12.00% 16.50% $5,590,000 $3,425,000 24.00% 16.50% $580,000 ($650,000) $340,000SPDR Barclays TIPS -- -- -- -- -- -- 0.00% 6.50% $6,100,000 $134,000Artio Global High Yield Fund 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% $680,000 3.00% 3.00% $25,000PIMCO Foreign Bond Fund Hedged 3.00% 1.00% 3.00% 1.00% 3.00% 1.00% $220,000 3.00% 3.00% $1,875,000 $62,000

TOTAL FIXED INCOME 30.00% 20.50% 30.00% 20.50% ($900,000) 18.00% 20.50% $455,453 $4,325,000 30.00% 29.00% $8,580,000 ($650,000) $0 $536,000 $0Goldman Sachs Strategic Income 0.00% 1.25% 0.00% 1.25% 0.00% 1.25% $305,000 0.00% 1.25% $15,000 $25,000Vanguard Signal REIT Fund 5.00% 6.25% 5.00% 6.25% 5.00% 6.25% ($340,000) $1,065,000 5.00% 5.00% ($1,150,000) $104,000Credit Suisse Commodity Return Fund 5.00% 4.00% 5.00% 4.00% 5.00% 4.00% $660,000 5.00% 4.25% $425,000 $88,000

TOTAL ALTERNATIVES 10.00% 11.50% 10.00% 11.50% $0 10.00% 11.50% ($340,000) $2,030,000 10.00% 10.50% ($710,000) $0 $0 $217,000 $0Cash in ETF account 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% $109,547 ($21,315,000) 0.00% 0.00% ($45,000) $650,000 $450,000 ($2,000,000)

100.00% 100.00% 100.00% 100.00% $0 88.00% 100.00% $0 $0 100.00% 100.00% $0 $0 $0 $0 ($300,000)

2/3/2016 4/18/2016 7/6/2016 8/1/2016 8/31/2016 10/5/2016 11/1/2016 11/28/2016S&P: 1,913 S&P: 2094 S&P: 2100 S&P: 2,171 S&P: 2,171 S&P: 2,160 S&P: 2,112 S&P: 2,202Dow: 16,337 Dow: 18004 Dow: 17919 Dow: 18,404 Dow: 18,401 Dow: 18,281 Dow: 18,037 Dow: 19,098ACWI: 433 ACWI: 466 ACWI: 459 ACWI: 480 ACWI: 482 ACWI: 484 ACWI: 477 ACWI: 488

Bar G/C: 104 Bar G/C: 106 Bar G/C: 108 Bar G/C: 108 Bar G/C: 107 Bar G/C: 106 Bar G/C: 106 Bar G/C: 103Bar Gl Agg: 109 Bar Gl Agg: 110 Bar Gl Agg: 113 Bar Gl Agg: 113 Bar Gl Agg: 112 Bar Gl Agg: 111 Bar Gl Agg: 110 Bar Gl Agg: 108

59


Rebalancing History - 2015

Asset Class

Strategic

Target %

Tactical

Target %

Jan 2015

Change

Strategic

Target %

Tactical

Target %

May 2015

Change

July 2015

Change

Aug 2015

Change

Nov 2015

Change

Dec 2015

Change

Columbia - Select Large Cap Growth 7.50% 9.00% 7.50% 9.08% ($650,000) ($1,000,000) ($75,000)Montag & Caldwell Large Cap Growth 7.50% 9.00% 7.50% 9.33% ($1,000,000) ($40,000)Columbia - Large Cap Value 15.00% 18.00% ($450,000) 15.00% 18.33% ($1,845,000) ($60,000)Vanguard Mid Cap ETF 0.00% 1.25% 0.00% 1.25% ($140,000) ($10,000)Columbia - Small Cap Core 10.00% 9.75% 10.00% 9.75% ($870,000) ($125,000)MFS International Equity 12.00% 13.00% 12.00% 14.00% $200,000 ($1,075,000) ($110,000)Lazard Emerging Markets Fund 8.00% 8.00% 8.00% 6.25% ($650,000)

TOTAL EQUITY 60.00% 68.00% ($450,000) 60.00% 68.00% ($1,100,000) $0 $0 ($5,930,000) ($420,000)Columbia - Core Fixed Income 12.00% 8.25% 12.00% 8.25% $450,000 $500,000 ($555,000)US Trust Taxable Fixed Income 1-10 yr 12.00% 8.25% 12.00% 8.25% $400,000 ($605,000)Artio Global High Yield Fund 3.00% 3.00% 3.00% 3.00% $400,000 ($115,000)PIMCO Foreign Bond Fund Hedged 3.00% 1.00% 3.00% 1.00% $50,000 ($20,000)

TOTAL FIXED INCOME 30.00% 20.50% $0 30.00% 20.50% $800,000 $500,000 $500,000 ($1,295,000) $0Goldman Sachs Strategic Income 0.00% 1.25% 0.00% 1.25% ($55,000)Vanguard Signal REIT Fund 5.00% 6.25% ($350,000) 5.00% 6.25% $250,000 $250,000 ($705,000) ($80,000)Credit Suisse Commodity Return Fund 5.00% 4.00% $400,000 5.00% 4.00% $250,000 $250,000

TOTAL ALTERNATIVES 10.00% 11.50% $50,000 10.00% 11.50% $0 $500,000 $500,000 ($760,000) ($80,000)Cash in ETF account 0.00% 0.00% $400,000 0.00% 0.00% $300,000 ($1,000,000) ($1,000,000) ($15,000) $500,000

100.00% 100.00% $0 100.00% 100.00% $0 $0 $0 ($8,000,000) $0

1/2/2015 5/6/2015 7/22/2015 8/7/2015 11/19/2015 12/3/2015S&P: 2,058 S&P: 2,080 S&P: 2,114 S&P: 2,078 S&P: 2,081 S&P: 2,050Dow: 17,832 Dow: 17,842 Dow: 17,851 Dow: 17,373 Dow: 17,733 Dow: 17,478ACWI: 472 ACWI: 495 ACWI: 497 ACWI: 491 ACWI: 480 ACWI: 473

Bar G/C: 106 Bar G/C: 104 Bar G/C: 104 Bar G/C: 104 Bar G/C: 103 Bar G/C: 103Bar Gl Agg: 110 Bar Gl Agg: 108 Bar Gl Agg: 108 Bar Gl Agg: 108 Bar Gl Agg: 108Bar Gl Agg: 107


60



Asset Class

Strategic

Target %

Tactical

Target %

Jan 2014

Change

Strategic

Target %

Tactical

Target %

May 2014

Change

June 2014

Change

July 2014

Change

August 2014

Change

November

2014 Change

Columbia - Large Cap Value 15.00% 18.00% ($140,000) 15.00% 18.00% ($800,000) ($500,000)Columbia - Select Large Cap Growth 7.50% 10.50% ($365,000) 7.50% 10.50% ($800,000) ($500,000)Montag & Caldwell Large Cap Growth 7.50% 10.50% ($100,000) 7.50% 10.50% ($500,000)Vanguard Mid Cap ETF $1,000,000Columbia - Small Cap Core 10.00% 11.00% 10.00% 11.00% ($1,000,000)MFS International Equity 12.00% 13.00% 12.00% 13.00% $900,000Lazard Emerging Markets Fund 8.00% 7.00% ($185,000) 8.00% 7.00% ($65,000) $600,000

TOTAL EQUITY 60.00% 70.00% ($790,000) 60.00% 70.00% $0 ($65,000) ($1,600,000) $0 $0Columbia - Core Fixed Income 12.00% 7.50% 12.00% 7.50% $1,100,000 ($500,000)Agincourt/Neuberger - Fixed Income 12.00% 7.50% 0.00% 0.00% ($5,908,154) $1,100,000US Trust Taxable Fixed Income 1-10 yr -- -- 12.00% 7.50% $5,908,154 ($500,000)Artio Global High Yield Fund 3.00% 3.00% 3.00% 3.00%PIMCO Foreign Bond Fund Hedged 3.00% 1.00% 3.00% 1.00%

TOTAL FIXED INCOME 30.00% 19.00% $0 30.00% 19.00% $0 $0 $2,200,000 $0 ($1,000,000)Goldman Sachs Strategic Income $1,000,000iShares S&P Natural Resources ETF 0.00% 1.50% 0.00% 1.50% ($1,189,628)Vanguard Signal REIT Fund 5.00% 6.25% $120,000 5.00% 6.25% ($65,000) ($600,000)Credit Suisse Commodity Return Fund 5.00% 2.75% 5.00% 2.75% $1,189,628

TOTAL ALTERNATIVES 10.00% 10.50% $120,000 10.00% 10.50% $0 ($65,000) ($600,000) $0 $0Cash in ETF account 0.00% 0.50% 0.00% 0.50% $130,000

100.00% 100.00% ($670,000) 100.00% 100.00% $0 $0 $0 $0 $0

1/10/2014 5/15/2014 6/3/2014 7/25/2014 8/14/2014 11/5/2014S&P: 1,842 S&P: 1,871 S&P: 1,924 S&P: 1,978 S&P: 1,955 S&P: 2,024Dow: 16,437 Dow: 16,447 Dow: 16,722 Dow: 16,961 Dow: 16,714 Dow: 17,485

ACWI: 454 ACWI: 463 ACWI: 457 ACWI: 466Bar G/C: 105 Bar G/C: 106 Bar G/C: 106 Bar G/C: 106

Bar GL Agg: 107 Bar GL Agg: 108 Bar GL Agg: 108 Bar GL Agg: 109


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Asset Class

Strategic

Target %

Tactical

Target %

April 2013

Change

May 2013

Change

Juy 2013

Change

August 2013

Change

October 2013

Change

Strategic

Target %

Tactical

Target %

November 2013

Change

December 2013

Change

Columbia - Large Cap Value 15.00% 17.00% ($300,000) 15.00% 17.50% ($250,000)Columbia - Select Large Cap Growth 7.50% 9.00% $100,000 7.50% 10.00% ($50,000)Montag & Caldwell Large Cap Growth 7.50% 9.00% $100,000 ($130,000) 7.50% 10.00% $800,000Columbia - Small Cap Core 10.00% 10.00% 10.00% 11.00% ($1,200,000)MFS International Equity 12.00% 10.75% $700,000 12.00% 13.00% $400,000Lazard Emerging Markets Fund 8.00% 9.25% 8.00% 8.50% ($300,000)

TOTAL EQUITY 60.00% 65.00% $0 $200,000 ($430,000) $700,000 $0 60.00% 70.00% ($300,000) ($300,000)Columbia - Core Fixed Income 13.00% 10.00% ($750,000) ($360,000) ($350,000) 12.00% 7.50% ($800,000)Agincourt/Neuberger - Fixed Income 13.00% 10.00% ($750,000) ($350,000) ($350,000) 12.00% 7.50% ($800,000)Artio Global High Yield Fund 4.00% 4.00% ($240,000) ($300,000) 3.00% 3.00%PIMCO Foreign Bond Fund Hedged 3.00% 1.00% $750,000 3.00% 1.00%

TOTAL FIXED INCOME 33.00% 25.00% ($750,000) ($950,000) $0 ($1,000,000) $0 30.00% 19.00% ($1,600,000) $0iShares S&P Natural Resources ETF 1.00% 1.50% $400,000 0.00% 1.50%SPDR Gold Shares ETF 0.50% 0.50% -- -- ($284,222)Vanguard Signal REIT Fund 4.00% 5.00% $750,000 ($220,000) 5.00% 6.25% $1,600,000Credit Suisse Commodity Return Fund -- -- 5.00% 2.75% $2,170,000PIMCO Commodity Real Return Fund 1.50% 2.00% $750,000 ($220,000) -- -- ($1,886,656)

TOTAL ALTERNATIVES 7.00% 9.00% $1,150,000 $750,000 $0 $0 ($440,000) 10.00% 10.50% $1,599,122 $0Cash in ETF account 0.00% 1.00% ($400,000) $430,000 $300,000 $440,000 0.00% 0.50% $300,878 $300,000

100.00% 100.00% $0 $0 $0 $0 $0 100.00% 100.00% $0 $0

4/3/2013 5/2/2013 7/10/2013 8/1/12013 10/2/2013 11/1/2013 12/3/2013S&P: 1,553.69 S&P: 1,597.59 S&P: 1,652.62 S&P: 1,706.87 S&P: 1,693.87 S&P: 1,761.64 S&P: 1,795.15Dow: 14,550.35 Dow: 14,831.58 Dow: 15,291.66 Dow: 15,628.02 Dow: 15,133.10 Dow: 15,615.55 Dow: 15,914.62


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Beta by Manager As of March 31, 2017 CTUCC CTF Total Return Fund

Description Benchmark used for Beta calculation 1 year 3 year 5 year 10 year

Columbia Management Advisors: Select Large Cap Growth Russell 1000 Growth 1.39 1.29 1.36 1.20

Montag & Caldwell: Large Cap Growth Russell 1000 Growth 0.76 0.78 0.84 0.87

Columbia Disciplined Value Russell 1000 Value 0.98 1.01 1.04 0.94

Vanguard Mid-Cap ETF Russell Midcap 0.96 1.00 1.01 1.00

Vanguard Small-Cap ETF Russell 2000 0.79 0.85 0.88 0.98

Apex Small Cap Growth Russell 2000 Growth 0.92 0.84 0.87 NA

Hillcrest Small Cap Value Russell 2000 Value 0.96 0.91 0.94 NA

MFS Institutional Advisors:Large Cap International Core MSCI EAFE Net TR USD 0.82 0.92 0.95 1.02

Neuberger Berman Emerg Mkts Eq Instl MSCI EMF (Emerging Markets ) - Net Return 0.92 0.88 0.88 NA

SPDR® BBG BARC TIPS ETF BBG BARC US Treasury Inflation Protected Notes (TIPS) 1.06 1.06 1.06 NA

Aberdeen Global High Income I BofA Merrill Lynch Global High Yield - Constrained 0.76 0.80 0.79 0.81

PIMCO Foreign Bond (USD-Hedged) I Bloomberg Barclays Global Aggregate x USD (USD Hedged) 1.01 1.08 1.07 1.07

Vanguard REIT Index Adm MSCI US REIT INDEX - Gross Return 1.00 1.00 1.00 0.99

Credit Suisse Commodity Return Strat I Bloomberg Commodity Index 0.98 0.98 0.97 0.99

Goldman Sachs Strategic Income Instl HFRI Fund of Funds: Conservative 1.53 0.88 0.94 NA

Source: FactSet

Data as of 03/31/2017

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