analysis of investment performance -...

Copyright © 2017 by The Segal Group, Inc. All rights reserved.

Nevada Public Employees'

ANALYSIS OF INVESTMENT PERFORMANCE

Deferred Compensation Plan September 30, 2017

Francis Picarelli Senior Vice President

Ta b l e o f C o n t e n t sANALYSIS OF INVESTMENT PERFORMANCE

Section Financial Market Conditions ............................................................................................................................................................ 1

Administration Review ... ................................................................................................................................................................. 2

Investment Manager Performance Review...................................................................................................................................... 3

Investment Manager Performance .................................................................................................................................................. 4

Fee Analysis .................................................................................................................................................................................... 5

Summary of Investment Returns

Q3 2017 In Review

4.8% 4.6% 5.4%7.9%

0.9% 2.6% 2.5% 1.7%4.0% 2.3%

18.2% 18.7% 19.1%22.5%

0.1%

-3.1% -0.3%

6.9%

12.6%

6.5%

-10%-5%0%5%

10%15%20%25%30%

World Equities* U.S. Equities InternationalEquities*

EMEquities*

U.S. FixedIncome

InternationalFixed Income

Commodities Real Estate Private Equity** Funds of HedgeFunds

QTD 1-Year

Quarterly Synopsis • World equity markets were positive due to continued optimism about the U.S. economy and more signs of political

stability in Europe.• U.S. equity gained in Q3 with still-solid corporate earnings and continued positive economic reports.• International equity rose as economic fundamentals in Europe improved and the U.S. dollar (USD) continued to struggle.• Emerging market equity posted a strong return again in Q3 with the weaker USD.• U.S. fixed income rose with uncertainty about inflation holding down longer rates in the quarter.• Non-U.S. fixed income was positive for the quarter with continued USD weakness and strength for the euro.• Hedge funds rose, with gains in equity and activist strategies contributing to performance.

* Net of Dividends**Performance reported as of Q1 2017 because Q2 2017 and Q3 2017 performance data is not yet available.Sources: eVestment Alliance, Hueler Analytics, Investment Metrics, Thomson One, FactSet

1

Q3 2017 Index Returns

Asset Class Indices QTD YTD 1-Year 3-Year 5-Year 10-Year

World Equity MSCI World* 4.84 16.01 18.17 7.69 10.99 4.22

U.S. Equity Russell 3000 4.57 13.91 18.71 10.74 14.23 7.57

Non-U.S. Equity MSCI EAFE* 5.40 19.96 19.10 5.04 8.38 1.34

Emerging Market Equity MSCI EM* 7.89 27.78 22.46 4.90 3.99 1.32

U.S. Fixed Income Bloomberg Barclays U.S. Aggregate 0.85 3.14 0.07 2.71 2.06 4.27

Non-U.S. Fixed Income Citigroup Non-U.S. WGBI(Unhedged) 2.57 8.63 -3.14 0.47 -1.07 2.67

Commodities Bloomberg Commodity Index 2.52 -2.87 -0.29 -10.41 -10.47 -6.83

Private Real Estate NCREIF NPI 1.70 5.07 6.89 9.83 10.35 6.23

Private Equity Thomson Reuters Private Equity** 3.95 3.95 12.61 10.07 12.52 9.39

Hedge Funds HFRI Fund of Funds Composite 2.31 5.60 6.51 2.24 3.85 1.07

* Net of Dividends** Performance reported as of Q1 2017 because Q2 2017 and Q3 2017 performance data is not yet available.Sources: eVestment Alliance, Hueler Analytics, Investment Metrics, Thomson One, FactSet

2

GDP Growth• Real GDP grew at a rate of 3.0% in Q3 2017. Revised real GDP

growth for Q2 was 3.1%. The economy’s back to back quartersof 3+% growth have not been repeated since 2014.

• GDP growth in Q3 came from personal consumptionexpenditures (PCE), private inventory investment, nonresidentialfixed investment, exports, and federal government spending.

• Residential fixed investment and state and local governmentspending fell in the quarter.

Employment Picture• The unemployment rate decreased from 4.4% in Q2 to 4.2% at

the end of Q3 2017.• Nonfarm payrolls rose by 364,000 in Q3.• Employment in health care, social assistance and financial

services increased. Retail jobs fell. Government employmentrose.

Labor Force Participation• The labor force participation rate was 63.0% at the end of

September, similar to where it was at the end of Q2.• Labor force participation has bounced between 62% and 63%

since 2014.

Q3 2017 In Review: U.S. Economy

6061626364656667

Oct-0

7

May-0

8

Dec-0

8

Jul-0

9

Feb-

10

Sep-

10

Apr-1

1

Nov-1

1

Jun-

12

Jan-

13

Aug-

13

Mar-1

4

Oct-1

4

May-1

5

Dec-1

5

Jul-1

6

Feb-

17

Sep-

17

Rate

(%)

Labor Force Participation Rate

024681012

-1,000-800-600-400-200

0200400600

Sep-

07Fe

b-08

Jul-0

8De

c-08

May-0

9Oc

t-09

Mar-1

0Au

g-10

Jan-

11Ju

n-11

Nov-1

1Ap

r-12

Sep-

12Fe

b-13

Jul-1

3De

c-13

May-1

4Oc

t-14

Mar-1

5Au

g-15

Jan-

16Ju

n-16

Nov-1

6Ap

r-17

Sep-

17

Rate (%)

Thou

sand

s of J

obs

U.S. Nonfarm Payrolls and Unemployment RateChg in Nonfarm Payroll (Left) Unemployment Rate (Right)

Source this page: FactSet

-10

-5

0

5

10

Q3 20

03Q1

2007

Q3 20

07Q1

2008

Q3 20

08Q1

2009

Q3 20

09Q1

2010

Q3 20

10Q1

2011

Q3 20

11Q1

2012

Q3 20

12Q1

2013

Q3 20

13Q1

2014

Q3 20

14Q1

2015

Q3 20

15Q1

2016

Q3 20

16Q1

2017

Q3 20

17

%

U.S. Real GDP GrowthReal GDP % Change QoQ Real GDP % Change YoY

3

Consumer Confidence and Spending• Consumer confidence rose in Q3, from a level of 119 to 121 at

the end of September.• Personal consumption expenditures were higher during the

quarter.• Hopes about a possible tax cut, along with general optimism

around economic growth, boosted consumer confidence.

Retail Sales• Retail sales rose in Q3, especially as many Texans were forced

to buy new vehicles in the wake of Hurricane Harvey.• Improved consumer confidence also boosted retail sales in the

quarter.• The savings rate among consumers in the U.S. continues to

drop, suggesting that more are using credit cards and other debtto finance purchases.

Home Prices• Home prices rose 6.6% in Q2 2017*, as housing inventory

remains historically low.• An improving economy and still-dropping unemployment rate

have boosted the demand for real estate.

Q3 2017 In Review: U.S. Economy

*The most recent quarterly data available.Source this page: FactSet

-30-20-10

01020

Sep-

07

Apr-0

8

Nov-0

8

Jun-

09

Jan-

10

Aug-

10

Mar-1

1

Oct-1

1

May-1

2

Dec-1

2

Jul-1

3

Feb-

14

Sep-

14

Apr-1

5

Nov-1

5

Jun-

16

Jan-

17

Aug-

17

S&P/Case-Shiller Composite 20-City Home Price Index(% 1 Year)

0

5,000

10,000

15,000

0

50

100

150

Oct-0

7

May-0

8

Dec-0

8

Jul-0

9

Feb-

10

Sep-

10

Apr-1

1

Nov-1

1

Jun-

12

Jan-

13

Aug-

13

Mar-1

4

Oct-1

4

May-1

5

Dec-1

5

Jul-1

6

Feb-

17

Sep-

17

Consumer Confidence and SpendingConsumer Confidence Index (Left) Personal Consumption Expenditures (Right)

-15.0-10.0

-5.00.05.0

10.0

Oct-0

7

May-0

8

Dec-0

8

Jul-0

9

Feb-

10

Sep-

10

Apr-1

1

Nov-1

1

Jun-

12

Jan-

13

Aug-

13

Mar-1

4

Oct-1

4

May-1

5

Dec-1

5

Jul-1

6

Feb-

17

Sep-

17

U.S. Retail Sales(% 1YR) Retail Sales, Total(% 1YR) Retail Sales, Ex. Motor Vehicle & Parts Dealers

4

Monetary Policies/Global Interest Rates• Central bank deposit rates remain negative in most developed

markets.• The U.S. is the exception—the Federal Reserve (Fed) did not

raise rates in Q3 but is anticipated to do so in December.• The Fed also plans to begin unwinding its $4.5 trillion balance

sheet at some point soon.• It is unknown if and how nominated Fed chair Jerome Powell will

make any changes.

World GDP Growth• Eurozone GDP growth was 0.6% in Q3.• Economic growth seems to be stable in the Eurozone, with

particularly strong performance from France in the quarter.• China’s GDP growth was stable in Q3, growing 6.8%.• Japan’s GDP growth was revised to 2.5% in Q2, lower than the

expected 4%.

Global Employment Picture• Eurozone unemployment fell to 8.9% in September 2017. The

region’s current economic growth led to another strong quarter of job gains.

• Japan’s unemployment rate stayed steady at 2.8% bySeptember, its lowest rate in 23 years. A shrinkage in Japan’sworking population, along with an uptick in demand for labor,caused a continuing low unemployment rate.

Q3 2017 In Review: Global Economy

*Quarter over quarter data calculations began in 2011.Source this page: FactSet

-1

0

1

1

2

Jun-

12Se

p-12

Dec-1

2Ma

r-13

Jun-

13Se

p-13

Dec-1

3Ma

r-14

Jun-

14Se

p-14

Dec-1

4Ma

r-15

Jun-

15Se

p-15

Dec-1

5Ma

r-16

Jun-

16Se

p-16

Dec-1

6Ma

r-17

Jun-

17Se

p-17

%

Central Bank Target RatesJapan Uncollateralized O/N Call Target RateEurozone Deposit Facility RateFed Fund Target Rate

-10.0

-5.0

0.0

5.0

10.0

Mar-0

8

Sep-

08

Mar-0

9

Sep-

09

Mar-1

0

Sep-

10

Mar-1

1

Sep-

11

Mar-1

2

Sep-

12

Mar-1

3

Sep-

13

Mar-1

4

Sep-

14

Mar-1

5

Sep-

15

Mar-1

6

Sep-

16

Mar-1

7

Sep-

17

Real GDP (QoQ%)Eurozone Japan USA China*

0.0

5.0

10.0

15.0Oc

t-07

May-0

8

Dec-0

8

Jul-0

9

Feb-

10

Sep-

10

Apr-1

1

Nov-1

1

Jun-

12

Jan-

13

Aug-

13

Mar-1

4

Oct-1

4

May-1

5

Dec-1

5

Jul-1

6

Feb-

17

Sep-

17

%

International Unemployment RatesEurozone Germany Japan UK USA

5

U.S. Equity

Performance• U.S. equity markets continued to rise during Q3, with the Dow

Jones Industrial Average breaking through the 22,000 mark.Broad-based market indices such as the S&P 500 and Russell1000 delivered returns in excess of long-term averages.

• During Q3, large cap stocks outperformed small cap stocks, andgrowth beat value, which continued the reversal of small cap andvalue’s outperformance in 2016.

Sector Returns• IT (8.5%) was Q3’s best performer, while Energy (6.6%), Telecom

(6.4%), and Materials (5.9%) all posted very strong returns,brushing off many of the macro issues that continued during thequarter both domestically and overseas.

• Consumer Staples (-1.6%) was the only sector to deliver negativereturns, while Consumer Discretionary stocks also experiencedweak returns (0.7%) as many stock pickers were concerned byAmazon’s acquisition of Whole Foods, which could increaseAmazon’s ability to disrupt the retail sector.

Performance vs. Volatility• Above average correlations among large caps and an increased

concentration among FAANG* and other tech stocks in the S&P500 have masked some of the potential near-term volatility thatthe VIX has indicated in the past.

• The VIX remains well below 20, the level considered to be thethreshold for more stable markets. In contrast, a level above 30 isgenerally considered to be a measure of market instability.

• With the VIX index’s shortcomings and U.S. stock valuationspushed well above long-term averages, the difficulty ofquantifying risk in the U.S. stock market has made riskmanagement challenging for many investors.

0.7%-1.6%

6.6%5.1%

3.5%4.1%

8.5%5.9%

6.4%2.6%

-4% -2% 0% 2% 4% 6% 8% 10%Cons. Disc.

Energy

Healthcare

IT

Telecom

S&P 500 Sector Performance

4.5% 4.5%5.9%

3.1%

5.7% 6.2%5.1% 4.6%

0%2%4%6%8%

S&P 500® Russell1000

Russell1000

Growth

Russell1000Value

Russell2000

Russell2000

Growth

Russell2000Value

Russell3000

U.S. Equity Index Returns

Q3 2017 In Review: U.S. Equity

0.0%

5.0%

10.0%

15.0%

20.0%

-5.0%

0.0%

5.0%

10.0%

15.0%

Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17 Aug-17 Sep-17

VIX LevelTotal

Retu

rnPerformance vs. Volatility

VIX S&P 500 Russell 2000 Russell Mid Cap

*Facebook, Amazon, Apple, Netflix, GoogleSources this page: Investment Metrics, FactSet

6

Q3 2017 In Review: International Equity

Performance• International equity markets continued their upward trend in Q3, as

indicated by 5.4% and 5.6% gains in the MSCI EAFE and MSCIWorld ex-U.S. indices, respectively. Economic growth across mostdeveloped regions was positive as economic expansion seemed tobe stable. The Eurozone experienced welcome inflation.

• Several major currencies strengthened against the USD in Q3,lifting international developed equity returns in USD terms.

Country Returns• European markets advanced the most in Q3 amidst favorable

economic data, including a stronger than estimated eurozoneeconomic recovery, a continued decline in unemployment rateseach month in Q3, and an ongoing trend in the rise of consumer andbusiness sentiment.

• Norway and Italy posted the strongest returns of the developedequity markets. Italian financial stocks rallied after its governmentrescued a troubled bank in July, and Norway, a big oil producer,benefited from the rise in oil prices.

• Asian equities were more subdued given underperformance in NewZealand (-0.1%) and weaker returns in Singapore (3.1%).

Sector Performance• All sector returns were positive in Q3. Energy (11.9%) and Materials

(10.2%) were the best performing sectors as oil prices rose anddemand for metal and mining grew from emerging market demand.

• Conversely, Healthcare (0.3%) and Consumer Staples (0.3%)gained the least.

5.6% 5.4%6.5% 6.9%

3.7%5.0%

4.0%

0%

2%

4%

6%

8%

10%

World ex US EAFE Europe Europeexcept U.K.

Pacificexcept Japan

UnitedKingdom

Japan

MSCI International Equity Index Returns

19.2%13.7% 13.2%

2.0%

-0.1%

-12.7%-15%-10%

-5%0%5%

10%15%20%25%

Norway Italy Portugal Switzerland New Zealand Israel

Notable Country Returns

6.9%

0.3%

11.9%

4.6%0.3%

5.9%8.3% 10.2%

1.0%3.6%

0%

5%

10%

15%Co

ns. D

isc.

Cons

.St

aples

Ener

gy

Finan

cials

Healt

hcar

e

Indus

trials IT

Mater

ials

Telec

om

Utilit

ies

MSCI EAFE Sector Returns

Source this page: Bloomberg 7

Q3 2017 In Review: Emerging Market Equity

Performance• The MSCI Emerging Markets Index rose by 7.9% in Q3. The

index’s 27.8% YTD return was the best among the majorgeographical equity indices.

• A strengthening global economy, rising commodities prices, anda weaker USD were tailwinds for EM returns.

• At the total index level, currency did not have a material impacton U.S. investors, as local currency returns were in line withUSD results.

Country Returns• Brazil was the strongest performing stock market as sentiment

rose on hopes that fiscal reforms to stir up economic growth canbe enacted after lawmakers voted against making PresidentMichel Temer stand trial for corruption.

• Russian equities rallied as crude prices rose and lower inflationopened the door for further interest rate cuts. Chile alsoregistered strong gains as commodity prices increased.

• Greece declined amid a selloff in banking stocks. Turkey alsounderperformed as the U.S. Federal Reserve announced plansto reduce its balance sheet. Tighter global liquidity hurts Turkeydue to its high current account deficit.

Sector Performance• Economically sensitive stocks generally outperformed defensive

sectors in Q3.• Energy, Technology, and Materials were the best performers,

while Consumer Staples, Healthcare, and Industrials were thequarter’s laggards.

7.9% 7.0% 6.3%

15.1%

-4%0%4%8%

12%16%20%

Emerging Markets Asia EMEA Latin America

MSCI Emerging Market Index Returns

5.0% 2.5%

12.9%7.2%

3.3% 1.7%

11.0% 10.1%

3.3%6.4%

0%

10%

20%Co

ns. D

isc.

Cons

. Stap

les

Ener

gy

Finan

cials

Healt

hcar

e

Indus

trials IT

Mater

ials

Telec

om

Utilit

ies

MSCI EM Sector Returns

23.0%17.6% 16.9%

0.3%

-6.9%-12.2%

-20%

-10%

0%

10%

20%

30%

Brazil Russia Chile Turkey Qatar Greece

Notable Country Returns

Source this page: Bloomberg 8

Q3 2017 In Review: U.S. Fixed Income

Performance• All sectors of the Bloomberg Barclays U.S. Aggregate Index

posted positive returns in Q3.• Investment grade corporate bonds returned 1.3%, outperforming

MBS at 1.0% and CMBS at 0.8%. High yield bonds continued to perform well with a return of 2.0%.

• The Treasury component of the Index was the worst sectorperformer for the quarter, up 0.4%.

Spreads• All standard U.S. spread sectors were trading below historic

medians at quarter end.• High yield bond spreads ended Q3 at 356 bps over like-duration

Treasuries versus 101 bps for investment grade corporates.• “AAA” corporates performed the best in the investment grade

space, while the “CCC” sector of the high yield market advancedthe most.

Yield Curve• The yield curve bear flattened in Q3. Short-term yields rose at a

faster clip than intermediate and long rates. The 30-year tenorrose 2 bps, yielding 2.86% for Q3, and the 10-year also rose 2bps, ending Q3 at 2.33%.

• The 2-year nominal Treasury note rose 9 bps to yield 1.47%.

0.9% 0.8% 0.6%

1.5%

0.4%

1.4% 1.3%0.8%

1.0%

2.0%

0.3% 0.5%

0%

1%

2%

3%

U.S.

Aggr

egate

Govt/

Cred

it

Inter

media

teGo

vt/Cr

edit

Long

Govt/

Cred

it

Gove

rnme

nt

Cred

it

Inv G

rade

Corp

orate

Inv G

rade

CMB

S

Mortg

age

U.S.

Cor

pora

teHi

gh Y

ield

Citi 3

-Mon

thT-

Bill

Huele

rSt

able

Value

U.S. Fixed Income Index Returns*

*Bloomberg Barclays Indices, unless otherwise noted.Sources this page: eVestment, Hueler Analytics, Barclays Live, FactSet

0

2

4

1M 3M 6M 1Y 2Y 3Y 5Y 7Y 10Y 30Y

%

Yield Curve12/31/2015 12/31/2016 9/30/2017

0

5

10

15

20

5/30/14 10/30/14 3/30/15 8/30/15 1/30/16 6/30/16 11/30/16 4/30/17 9/30/17

Bloomberg Barclays Option Adjusted SpreadsU.S. Aggregate - OASU.S. Aggregate Credit - Corporate - High Yield / Energy - SEC - OASU.S. High Yield - Corporate - OASU.S. Aggregate Credit - Corporate - Investment Grade - OAS

9

Q3 2017 In Review: International Fixed IncomeGlobal Treasuries• The USD depreciated in Q3, which benefitted most other

developed currencies (e.g., the pound, euro and Canadiandollar) and some select emerging markets currencies (e.g., theMexican peso and Indian rupee).

Global Fixed Income Index Returns• The Global Aggregate Index was up 1.8% in Q3, while the USD-

hedged version of that index was only up 0.8%. The USD’sweakness held back the hedged index’s performance.

• The Citigroup World Government Bond Index advanced by2.6%, while the Non-U.S. World Government Bond returned0.7%, both outpacing their respective hedged counterparts.

Emerging Market Debt• All major indices for emerging market bonds were positive in Q3.

Local currency (JPM GBI-EM) advanced the most at 3.6%, whilehard currency bonds (JPM EMBI) returned 2.6%.

• The USD-denominated corporate bond index (JPM CEMBI) alsorose by 2.1%.

2.4%2.1%

3.6%

0%

2%

4%

EMBI CEMBI GBI-EM

JP Morgan EMD Index Returns

-10123

6/30/1

57/3

1/15

8/31/1

59/3

0/15

10/31

/1511

/30/15

12/31

/151/3

1/16

2/29/1

63/3

1/16

4/30/1

65/3

1/16

6/30/1

67/3

1/16

8/31/1

69/3

0/16

10/31

/1611

/30/16

12/31

/161/3

1/17

2/28/1

73/3

1/17

4/30/1

75/3

1/17

6/30/1

77/3

1/17

8/31/1

79/3

0/17

Global 10-Year Treasury YieldsUSA Japan UK Germany Canada

1.8%0.8%

1.8%

0.6%

2.6%

0.7%

0.0%0.5%1.0%1.5%2.0%2.5%3.0%

Blmb

g Bar

Glob

alAg

greg

ate

Blmb

g Bar

Glob

alAg

greg

ate(H

edge

d)

Citig

roup

WGB

I

Citig

roup

WGB

I(H

edge

d)

Citig

roup

Non-

U.S.

WGB

I

Citig

roup

Non-

U.S.

WGB

I(H

edge

d)

Global Fixed Income Index Performance

Sources this page: FactSet, Investment Metrics, JP Morgan 10

Q3 2017 In Review: Mutual Fund Flows

Equity and Fixed Income Flows• Fixed income received net new inflows of approximately $40.8

billion in Q3 through August 31, 2017.* September estimated netinflows are $23.3 billion. Revised flows for Q2 were positive at$70.6 billion.

• Equity experienced net outflows of approximately $30.3 billion inQ3 through August 31. Estimated net flows for September arealso negative, with $16.3 billion in losses. Equity mutual fundshad net outflows of $23.5 billion in Q2.

Equity Flows• U.S. equity net outflows exceeded net inflows from both

international equity and emerging market equity QTD throughAugust 31*. Estimations for September show a similar story,except emerging markets experienced slight outflows for thatmonth. This trend could be indicative of investors fearing a U.S.equity market correction.

• Net flows were negative QTD through August for mutual funds ofevery capitalization size within U.S. equity.

Fixed Income Flows• Investment grade bonds saw the greatest net inflows with

approximately $22.8 billion QTD through August 31* and anestimated $12.8 billion in September. These funds also attractedthe most capital in Q2 with a revised $32.9 billion.

• All other segments were net positive QTD through Augustexcept high yield.

*The most recent data available.Source this page: FactSet

11

Hedge Funds and Fund of Funds• Q3 hedge fund performance, as represented by the HFRI Fund

Weighted Composite Index, was positive at 2.3%. The indexhas gained for six consecutive quarters and has trailing 1-, 3-,and 5-year returns of 7.2%, 3.4%, and 4.7%, respectively.

• The HFRI Fund of Funds Composite Index was also positivefor the sixth consecutive quarter and up 2.3% in Q3. The indexnow has trailing 1-, 3-, and 5-year returns of 6.5%, 2.2%, and3.8%, respectively.

Hedge Fund Sub-Strategies• Emerging markets led sub-strategy performance in Q3, up

5.1%. This performance was driven largely by China and Asiaex-Japan.

• Equity Hedge also posted a gain of 3.6% and benefitted fromtechnology and healthcare sector-specific strategies as well asfundamental growth.

• Macro had the weakest performance, up 0.4%, subdued bycurrency and systematic strategies.

Hedge Fund Industry Asset Flows• Total hedge fund industry capital rose for the sixth consecutive

quarter. Industry-wide assets totaled $3.15 trillion by the end ofQ3.

• Assets increased by $52 billion in Q3 as investors increasedcapital to currency and quantitative trend-following systematicmacro strategies, as well as Activist and Distressed Eventstrategies. Trailing 12-month industry capital increased 6.1%.

• 2016 experienced the largest annual outflows since 2009.However, investor inflow is positive YTD for 2017 after netinflows of $1.7 billion in Q3 and $2.9 billion YTD.

Q3 2017 In Review: Absolute Return Strategies

Sources this page: Hedge Fund Research, Inc., eVestment12

Performance• The total return for private equity funds, comprising

performance across all regions and strategies, was 4.9% inQ2 2017* and 15.7% over the 1-year period ending Q2.

• The 5- and 20-year returns were strong, with double-digitreturns of 13.8% and 13.0%, respectively. The 10-yearreturn slightly lagged due to the Global Financial Crisis butstill generated a high single-digit return of 9.0%.

• Performance for 2011 through 2015 vintage-year funds issolid, with all vintage years generating double-digit returns.

Fundraising• U.S. private equity funds raised approximately $249.4 billion

across 853 funds through September 17, 2017*.• Q3 2017 saw a total of 224 private equity funds reach a final

close, securing an aggregate $83.9 billion in capital. Buyoutfunds, especially big buyout vehicles, continue to help driveoverall U.S. private equity fundraising.

• Globally, dry powder reached a record-high of $954 billion,almost $100 billion higher than the amount recorded at thestart of 2017.

Exit Activity• Exit activity continued to decline, falling from 395 exits in Q2

to 358 exits in Q3. The number of exits in Q3 hit its lowestlevel since Q3 2009.

• Despite exit activity slowing in recent quarters, heightenedvaluations are likely to continue to drive exit values goingforward. As general partners continue to secure significantsums of capital, they will continue to face the challenge ofputting capital to work while ensuring attractive returns forlimited partners.

Q3 2017 In Review: Private Equity

0%5%

10%15%20%25%30%

2015 2014 2013 2012 2011 1 Yr. 5 Yr. 10 Yr. 20 Yr.

Horiz

on R

eturn

s (P

ooled

IRRs

)

Vintage Year

Private Equity Performance by Vintage Year and Investment Horizon: All Regions

Total PE Venture Capital Buyouts

Investment Horizon

Sources this page: Thomson Reuters, Private Equity Analyst, Preqin

Number of Deals

* The most recent data available.

050,000

100,000150,000200,000250,000300,000350,000400,000

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

YTD1

7*

$ Milli

ons

Private Equity Commitments: United StatesOther (Includes fund of funds, mezzanine, and secondaries)VentureBuyout/Corporate Finance

-

1,000

2,000

3,000

0

200,000

400,000

600,00020

0020

0120

0220

0320

0420

0520

0620

0720

0820

0920

1020

1120

1220

1320

1420

1520

16YT

D17

$ Milli

ons

Private Equity Exit: All RegionsIPO M&A Number of Deals

13

Q3 2017 In Review: Real EstateU.S. Private Real Estate• The NCREIF NPI and ODCE indices were nearly even in Q3 and

the majority of the return was driven by income.• Of the NPI property types, industrial continues to outperform

(3.3%), up 99 bps over hotels, the index's second-best performer.Hotels generated a positive appreciation return (0.1%) for the firsttime since Q1 2016.

• Of the NPI regions, the West posted the strongest return amongall regions for the tenth straight quarter.

Value-Add Real Estate• The NFI-CEVA time-weighted gross total return was 3.2% in Q2,

up from 1.7% in Q1 and 2.9% a year ago. The quarterly totalreturn consisted of a 1.3% income return and 1.9% appreciation.For the trailing year, the total return was 11.6%, composed of a5.4% income return and 6.2% appreciation.

• Apartments represent the majority of NFI-CEVA market value, at39.8%, followed by office at 31.0%. The other property type,which includes senior living and self-storage, has the third largestshare. Current shares shifted from the prior quarter with the mostnotable changes for other, office, and apartment. The otherallocation was 3.0% higher than Q1, while office and apartmentshares were down about 2.0% each.

Public Real Estate• In aggregate, global property stocks saw modest gains in Q3, but

Europe significantly outperformed U.S. and Asia on a relativebasis.

• The U.S. market has realized decelerating cash flow growth as aresult of moderate economic growth and supply deliveries thatare generally in equilibrium with tenant demand.

• U.K. asset values have stabilized since Brexit as there remainscontinued foreign investor interest as a result of a weaker GBP.

-4%-2%0%2%4%6%8%

10%12%

QTD 1-Year 3-Year 5-Year 10-Year

Regional Real Estate Securities PerformanceU.S. Europe Asia

Sources this page: NCREIF, NAREIT

0%

5%

10%

15%

20%

25%


Closed-End Value-Add PerformanceIncome Appreciation

-5.0%

0.0%

5.0%

10.0%

15.0%

NPI ODCE NPI ODCE NPI ODCE NPI ODCE NPI ODCE


NPI & Open-End Diversified Core Equity PerformanceIncome Appreciation

U.S.: FTSE EPRA/NAREIT U.S. IndexEurope: FTSE EPRA/NAREIT Europe Developed IndexAsia: FTSE EPRA/NAREIT Asia Developed Index

14

Q3 2017 In Review: Infrastructure

Private Infrastructure Performance • Infrastructure started 2017 with a 2.65% return in Q1. Preqin

revised Q4 2016’s performance positively (from an initial -3.5% return) as more deal information came in.

• The 1-, 3-, and 5-year returns exceed since inception performanceas the asset class has recovered nicely from the great financialcrisis.

Dry Powder and Fundraising• Fundraising saw an uptick from Q2. Q3 2017 monthly fundraising

($13.1 billion) was similar to the 5-year quarterly average ($12.4 billion).

• Dry powder continued to grow, specifically in North America. NorthAmerica focused funds ($75 billion) make up almost half of the$160 billion in dry powder in the unlisted infrastructure market.

Public Infrastructure Performance• The FTSE Global Infrastructure 50/50 Index (17.0%) has only

slightly lagged FTSE All World Index (17.6%) year to date.• Public infrastructure started out Q3 strong but performance turned

negative in September due to downward pressure from Australianinfrastructure securities.

Sources this page: Preqin, Investment Metrics

3.2%

13.0%

7.6%

10.6% 10.8%

0.0%

5.0%

10.0%

15.0%

Q2 2017 1 Year 3 Years 5 Years 7 Years

FTSE Global Core Infrastructure 50/50 Index

$0

$50

$100

$150

$200

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017YTD

$USD

Billi

ons

Dry Powder and FundraisingDry Powder Capital Raised

* Most recent data available

10.2% 10.3% 10.7%8.1%

0.0%

5.0%

10.0%

15.0%

1 Year 3 Year 5-year Since Inception(12/31/2007)

Preqin Infrastructure Annualized Return as of 3/31/2017*

15

Q3 2017 In Review: Commodities and Currencies

Quarterly Commodity Returns• The Bloomberg Commodity Index rose 2.5% in Q3. The positive

return helped offset the deep negative performance of the firsthalf of 2017, bringing the index’s year-to-date return up to -2.9%.

• Even with a strong rebound in Q3 for the Energy sector, it wasnot enough to overcome declines during the first two quarters ofthe year. The sector is down -12.2% year-to-date.

• The Livestock sector declined for the first time since Q3 2016 asa result of increased pork supplies.

Sector Returns• The Agriculture sector was driven down by falling wheat and corn

prices after improved U.S. spring yields increased supply.• The Industrial Metals sector benefited from stable Chinese

industrial and economic data.• The Energy sector’s strong return was driven by higher crude oil

prices resulting from robust global demand. U.S. refineryutilization surpassed normal seasonal levels after the hurricanes,which caused larger than expected drawdowns in inventories.

Currencies • The USD depreciated in Q3 for a third consecutive quarter, as the

U.S. dollar index declined by nearly 3%.• Political uncertainty led investors to flee risky assets, which

contributed negatively to the USD’s performance.• There is lingering doubt about the pace of future Fed rate

increases. The Fed has instead indicated a possible focus onbalance sheet reduction.

$- $20 $40 $60 $80

$100 $120 $140

Sep-07 Sep-09 Sep-11 Sep-13 Sep-15 Sep-17

Bloomberg Commodity Index: Growth of $100

Sources this page: Bloomberg, FactSet

-6.1%

2.3%

9.9%

-7.5%

9.8%

-15%-10%

-5%0%5%

10%15%

Agriculture Precious Metals Industrial Metals Livestock Energy

Bloomberg Commodity Index Sector Performance: QTD

-10.0-5.00.05.0

10.015.0

Dec-1

6

Jan-

17

Feb-

17

Mar-1

7

Apr-1

7

May-1

7

Jun-

17

Jul-1

7

Aug-

17

Sep-

17

Major World Currencies Indexed to ZeroUS Trade-Weighted Dollar Exchange Rate Index USD per EuroUSD per Yen USD per YuanUSD per Canadian Dollar

16

Q3 2017 In Review: Noteworthy Developments

Valuations Matter for Long-Term Equity Returns• The Shiller P/E Ratio has proven to be a strong predictor of forward 10-year equity returns historically• At 30.8, the current Shiller P/E Ratio suggests a forward 10-year return on the S&P 500 of just north of 5%• The fundamental backdrop for equities remains supportive, though, investors may need to temper return expectations moving forward

Source: FactSet

R² = 0.85

-5%

0%

5%

10%

15%

20%

25%

5.0x 10.0x 15.0x 20.0x 25.0x 30.0x 35.0x 40.0x 45.0x 50.0x

Subs

eque

nt 10

Yr R

eturn

Shiller P/E

Shiller P/E and Subsequent 10-Year Return (25 years)

Current = 30.8

17


The Volatility of Equity Volatility• Year-to-date annualized realized volatility is near record

lows with a value of 7.0% through September, as shown inthe top chart at right. That is the third lowest after 1963(5.2%) and 1964 (6.7%). Note that realized volatilitydistribution so far in 2017 is well below the average andmedian, as shown in the middle chart at right.

• It is not easy to discern what is driving the low volatilityphenomenon, but it could be explained by:

Weak but stable economic data: unemployment,inflation, company revenues and earnings

Computer driven dip buying and volatility sellingalgorithms

What Nobel Prize winning economist Robert Shillernoted in some of his research: that market volatilityhistorically was significantly higher than economicfundamentals justified. The market may recognize it.

• Recently volatility selling strategies (VIX futures, buy/writeand collateralized put selling strategies) have becomepopular and profitable. It is important to note that some ofthat return is just equity beta as the bottom chart’s negativeslope illustrates.

Sources: Bloomberg, Schroders, Segal Marco Advisors

4.0%

8.0%

16.0%

32.0%

64.0%

0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Log S

cale

Realized Volatility Calendar Year

0%

5%

10%

15%

20%

<=4% 6% 8% 10%

12%

14%

16%

18%

20%

22%

24%

26%

28%

30%

32%

34%

36%

38%

40%

>40%

Freq

uenc

y (90

year

s)

Volatility

Realized Volatility Distribution

2017Average 16.1%Median 13.6%

19291931

19321933

1937 1938

1939

1954

1964

1974

1987

1997

2002

2008

2009

2017

y = -0.1866x + 0.1806R² = 0.1595

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

-60.0% -40.0% -20.0% 0.0% 20.0% 40.0% 60.0%

Reali

zed V

olatili

ty

Realized Return18


Value Stocks’ Correlation to Interest Rate Movements• The two lines in the adjacent graph compare how value performed (relative to growth) versus the 10-year U.S. Treasury over the last

10 years.• The lines move in a similar fashion and the correlation of the two = 0.75. This implies that as rates move up, value stocks could

potentially outperform relative to growth stocks if the relationship holds.• Possible explanations for this correlation include:

• Sectors: value stocks, including financials, utilities and real estate, typically are more dividend paying than growth stocks, andcould have higher dividends as rates increase.

• Growth stocks rely on borrowing to finance their investment in the growth of the company; thus, growth stocks benefit fromlower borrowing costs.

• There has been much discussion about rates (eventually) going up. If and when they do, value may once again be poised tooutperform its growth counterpart.

Source: Federal Reserve Bank of St. Louis

1

2

3

4

5

6

1.2

1.3

1.4

1.5

1.6

1.7

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

%

Ratio

of V

alue t

o Gro

wth

Russell 1000 Value/Russell 1000 Growth 10-Year U.S. Treasury

Correlation = 0.75

19

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 YTD

Best56.28 31.47 34.54 35.93 39.78 5.24 79.02 29.09 13.56 18.64 43.30 30.38 5.67 31.74 28.14

548.54 25.95 14.02 32.59 11.81 1.80 58.21 28.47 8.68 18.53 38.82 13.45 2.52 21.31 20.72

47.25 22.25 12.11 26.86 11.63 -2.35 37.21 26.85 8.46 18.05 34.52 13.24 1.23 17.34 20.47

46.03 20.70 10.74 23.48 11.63 -10.91 34.47 24.50 7.84 17.90 33.48 13.05 0.92 17.13 16.81

39.17 18.33 7.05 22.25 7.05 -20.30 32.46 19.20 4.98 17.78 33.11 5.97 0.65 12.05 14.17

36.75 16.49 6.27 18.37 6.97 -26.16 28.61 16.71 2.64 17.51 32.53 5.60 0.55 11.60 10.94

30.03 14.31 5.66 15.46 6.28 -28.92 28.43 16.10 1.50 16.42 23.29 5.53 0.03 11.32 8.73

29.89 11.75 5.26 13.35 5.77 -33.79 28.19 15.51 0.39 16.35 7.90 4.89 -0.39 10.19 7.92

29.75 11.40 4.71 11.86 4.74 -36.85 27.17 15.12 0.06 15.81 7.44 4.22 -1.38 8.60 7.00

28.96 11.14 4.55 9.86 1.87 -37.60 24.67 13.16 -2.44 15.26 2.47 3.64 -1.44 7.08 5.68

25.68 8.46 4.15 9.07 1.81 -37.98 20.58 12.06 -2.91 14.59 0.06 3.40 -3.83 6.36 3.61

11.53 8.20 3.01 8.99 -0.17 -38.44 19.69 8.21 -4.18 8.18 -2.02 2.45 -4.41 4.68 3.17

8.39 6.30 2.84 4.76 -1.57 -38.54 11.41 6.54 -5.50 6.98 -2.27 0.02 -4.47 2.65 3.14

64.11 4.34 2.74 4.34 -9.78 -43.06 5.93 6.31 -11.73 4.21 -6.58 -1.82 -7.47 1.51 1.72

Worst1.09 1.24 2.43 0.49 -16.81 -53.18 0.16 0.10 -18.17 0.09 -8.61 -4.48 -14.60 0.27 0.56

Russell1000Index

Russell1000ValueIndex

Russell1000

GrowthIndex

Russell2000Index

Russell2000ValueIndex

Russell2000

GrowthIndex

MSCIEAFEIndex

MSCIEmergingMarkets

Index

MSCIU.S. REIT

Index

BarclaysAgg.

Blmbg.Barc. U.S.

TIPS

Blmbg.Barc. U.S.

Corp:High Yield

JPMEMBIGlobal(USD)

HFRI RV:Multi-

StrategyIndex

Citigroup3 Month

T-Bill

Team RSW Annual Asset Class Performance

As of September 30, 2017

20

0

Administrative Review

2121

Nevada Public Employees’ Deferred Compensation Program __________________

Executive Summary as of September 30, 2017

Deferred Compensation Total Assets Plan assets in the 457 Plan totaled to $778.0 million as of September 30, 2017. This represented an increase of $18.1 million, during the

second quarter of 2017.o State 457 $547,166,220 o NSHE $58,651,096 o Political Sub-Divisions $172,218,212 o FICA Alternative Plans $35,824,253

o Total $813,859,781

As of September 30, 2017, the Plan’s Total Number of Loans Outstanding is 414. The Plan’s Outstanding Loan Balance is $3,143,346.

The majority of Plan assets, are invested in the Stable Value Funds representing $319.6 million, or 41.1%, in the Voya Fixed Account.The next largest fund allocations among the Plan are: 9.4% in the Vanguard Institutional Index Fund; 6.4% in the Hartford Mid Cap HLSFund; 4.4% in the INVESCO Equity & Income R5 Fund (Balanced Option); and, 4.4% in the T. Rowe Price Growth Stock Fund.

Target date funds’ assets totaled $97.5 million and accounted for approximately 12.5% of Total Plan assets.

The total revenue required for the consolidated service arrangement is projected at 15 basis points. This is comprised of 8 basis points feeon the variable assets per VOYA contract and 7 basis points in revenue for Program administrative expenses. As of September 30, 2017,there is a negative $956 in excess revenue sharing.

22

Voya

STYLE

Value Blend Growth

MFS VALUE FUND T. Rowe Price Growth Stock

Large Vanguard Institutional Index (passive) American Funds Growth Fund of America R3

Fidelity Contrafund

Vanguard Mid-Cap Value Index Hartford Mid Cap HLS

Medium

Vanguard Extended Market Index (passive)

SMID Oppenheimer Main Street Mid Cap Goldman Sachs Small/Mid Cap Growth

Fixed Income/Stable Value International Equity Target Date/Lifecycle FundsVoya Fixed Account Vanguard Developed Markets Index (passive) Vanguard Target Retirement Income Inv

Vanguard Target Retirement 2015 InvFixed Income/Bond International Eq (w/ Emerging Markets exposure) Vanguard Target Retirement 2025 Inv

Vanguard Total Bond Market Index Dodge & Cox International Stock Vanguard Target Retirement 2035 InvVanguard Target Retirement 2045 Inv

Balanced Global Equity Vanguard Target Retirement 2055 InvInvesco Van Kampen Equity & Income R5 Franklin Mutual Global Discovery A

Voya T. Rowe Price Cap Apprec Port I Self Directed BrokerageTD Ameritrade SDBA

Socially Responsive EquityParnassus Equity Income

CA

PITA

LIZA

TIO

N

Additional Asset Categories within Investment Line-up

Nevada Public Employees' Deferred Compensation PlanCurrent Investment Structure

23

Tier II- Passive Core (index options) Tier II - Active CoreStable Value

Voya Fixed AccountCore Fixed Income

Vanguard Total Bond Market IndexBalanced Fund

Invesco Van Kampen Equity & Income R6Voya T.Rowe Price Cap App Port I

Large Cap ValueMFS Value Fund

Large Cap Blend Vanguard Institutional Index

Large Cap GrowthT.Rowe Price Growth Stock

American Funds Growth Fund of Amer R3Fidelity Contrafund

Mid Cap Blend Mid Cap Blend Vanguard Mid Cap Value Index Hartford Mid Cap HLS

SMID Cap Blend (Small & Mid Cap) SMID Cap Blend (Small & Mid Cap)Vanguard Extended Market Index I Oppenheimer Main Street Mid Cap

SMID Cap GrowthGoldman Sachs Small/Mid Cap Growth

International Equity International Equity (w/Emerging Markets)Vanguard Developed Markets Index Adm Dodge & Cox International Stock

Socially Responsive

Vanguard Target Retirement 2055 Inv

Vanguard Target Retirement 2015 InvVanguard Target Retirement 2025 InvVanguard Target Retirement 2035 InvVanguard Target Retirement 2045 Inv

Tier III- Specialty

State of Nevada Deferred Compensation Plan Line-UpPlan Review - Investment Options Array

Tier I - Asset AllocationTarget Date/Lifecycle Funds

Vanguard Target Retirement Income Inv

TD Ameritrade

Parnassus Equity IncomeGlobal Equity

Franklin Mutual Discovery ZSelf-Directed Brokerage

Cons

erva

tive

Aggr

essi

ve

24

Tier I: Asset Allocation Tier II (A): Passive Core (index options) Tier II(B): Active Core Tier III: (Specialty

CONSERVATIVE Stable ValueVoya Fixed Account

Core Fixed IncomeVanguard Total Bond Market Index

Target Date/Lifecycle Funds Balanced FundVanguard Target Retirement Funds Invesco Van Kampen Equity & Income R6

Voya T.Rowe Price Cap App Port ILarge Cap ValueMFS Value Fund

Large Cap Blend Socially ResponsiveVanguard Institutional Index Parnassus Equity Income

Large Cap GrowthT.Rowe Price Growth Stock

American Funds Growth Fund of Amer R3Fidelity Contrafund

Mid Cap Blend Mid Cap BlendVanguard Mid Cap Value Index Hartford Mid Cap HLS

SMID Cap Blend (Small & Mid Cap) SMID Cap Blend (Small & Mid Cap)Vanguard Extended Market Index I Oppenheimer Main Street Mid Cap

SMID Cap GrowthGoldman Sachs Small/Mid Cap Growth

International Equity International Equity (w/Emerging Market) Global EquityVanguard Developed Markets Index Adm Dodge & Cox International Stock Franklin Mutual Discovery A

Self-Directed Brokerage

AGGRESSIVE TD Ameritrade

State of Nevada Deferred Compensation Plan Line-UpPlan Review - Investment Options Array

25

Nevada Public Employees' Deferred Compensation Program

Fund Date Put on Watchlist

Date Removed from Watchlist Current Reccomendations

Parnassus Equity Income December 31, 2016 Remain 5-year benchmark and Fund to be mapped to S&P500 Index

American Funds Growth Fund R3 June 30, 2017 Remain 5-year benchmark fund to be mapped to T. RowePrice Growth Stock Fund

Fidelity Contrafund December 31, 2016 Remain 5-year benchmark fund to be mapped to T. RowePrice Growth Stock Fund

Oppenheimer Main Street Mid Cap December 31, 2016 Remain 5-year performance under benchmark and peer

Goldman Sachs Small/Mid Cap Growth December 31, 2016 Remain 5-year performance under benchmark

Franklin Mutual Global Discovery June 30, 2017 Remain 5-year performance under benchmark and peer

Vanguard Total Bond Market Index June 30, 2017 Remain 5-year performance under benchmark and peer

Vanguard Developed Markets Index June 30, 2017 Removed Sept. 30, 2017 5-year performance under benchmark

Vanguard Target Retirement Income June 30, 2017 Remain 5-year performance under benchmark and peer

Watch list criteria: - Fund to out perform benchmak AND peer group for the 5-year period- Index Fund underperform benchmark by more than expense ratio

Current Watch List as of 9/30/2017

26


Fund Date Put on Watch List Date Removed from Watchlist Prior Action

Allianz NFJ Dividend Value (ING) September 30, 2015 September 30, 2016 This Fund was terminated and mapped over to the MFS Value Fund

Dodge & Cox International June 30, 2016 December 31, 2016 Removed from watchlist

Franklin Mutual Global Discovery (ING) September 30, 2015 June 30, 2016 Removed from Watchlist

American Funds Growth Fund of America (ING) February 1, 2011 June 30, 2016 Removed from Watchlist

Keeley Small Cap Value Fund (ING) November 1, 2010 December 31, 2014 This Fund has been removed from the Plan as a result of the vendor consolidation to Voya.

Hartford Small Company Fund HLS (Mass Mutual) December 31, 2012 September 30, 2014 Removed from Watch List due to outperformance of the benchmark and median of the peer universe over the 5-year period, as well as outperformance of the median over the 3-year period.

Victory Diversified Stock Fund (Mass Mutual) March 31, 2013 December 31, 2014 This Fund has been removed from the Plan as a result of the vendor consolidation to Voya.

Oppenheimer Main St Small & Mid Cap Fund (Mass Mutual) March 31, 2013 September 30, 2014 Removed from Watch List due to strong recent and long term performance.

American Funds Capital World Growth & Income (ING) September 30, 2013 December 31, 2014 This Fund has been removed from the Plan as a result of the vendor consolidation to Voya.

Lord Abbett Value Opportunities Fund (MM & ING) December 31, 2013 December 31, 2014 This Fund has been removed from the Plan as a result of the vendor consolidation to Voya.

Columbia Acorn Fund (ING) December 31, 2013 December 31, 2014 This Fund has been removed from the Plan as a result of the vendor consolidation to Voya.

Hartford MidCap HLS (Mass Mutual) February 1, 2011 September 30, 2014 Removed from Watchlist.

Lazard US Mid Cap Equity Fund (ING) May 1, 2008 March 31, 2013 Fund terminated at the 6/30/2012 review period. Assets were mapped to the Hartford Mid Cap HLS Fund.

Munder Mid Cap Core Growth Fund (Mass Mutual) November 1, 2010 September 30, 2014 This fund will be removed from the Plan as a result of the vendor consolidation to Voya.

Mutual Global Discovery(Mass Mutual) February 1, 2010 September 30, 2014 Removed from Watchlist.

Hartford General Account March 1, 2012 September 30, 2014 This Fund has been removed from the Plan as a result of the vendor consolidation to Voya.

New Fund Structure effective Feb 2015

Historical Watch List as of September 30, 2017

27

Nevada Public Employees’ Deferred Compensation Program __________________

Oppenheimer Main Street Mid Cap

The Oppenheimer Main Street Mid Cap Fund underperformed the Russell Mid-Cap Index over the second quarter (2.25% vs. 3.47%) and current year (10.17% vs. 11.74%).

During the quarter, at the individual stock level, Spirit Airlines, Newell Brands, and NuVasive were primary negative contributors to relative performance.

Underperformance was mainly driven by stock selection within the industrials, financials, and consumer staples sector. Approximately 300 basis points overweight to consumer staples detracted from relative performance due to negative sentiment partially

being driven by Amazon, as well as the risk on trade towards the end of the quarter. During the quarter, strong stock selection within the telecommunication services, materials, and real estate sectors helped relative returns.

Franklin Mutual Global Discovery

The Franklin Mutual Global Discovery Fund underperformed the MSCI AC World Index (net) over the second quarter (1.79% vs. 5.18%)

and current year (8.48% vs. 17.25%). During the quarter, at the individual stock level, Teva Pharmaceutical Industries, Medtronic, British American Tabacco were primary

negative contributors to relative performance. During the quarter, three of the fund’s largest contributors to absolute performance were NN Group, Symantec, and Philips.

Goldman Sachs Small/Mid Cap Growth

The Goldman Sachs Small/Mid Cap Growth underperformed the Russell 2500 Growth Index over the second quarter (5.55 vs. 5.78%) and 1-year period (18.83% vs. 20.07%).

Stock selection in the consumer discretionary and information technology sectors detracted from relative returns during the recent quarter At an individual stock level, Electronics For Imaging, Inc. and Ulta Beauty, Inc. were the top detractors to relative returns. During the recent quarter, stock selection in the consumer staples and health care contributed to relative returns.

28


Fund Name Ticker Asset ClassPlan Assets

9/30/2017

Mutual Fund Expense

Ratio

Mutual Fund Total Expense

Ratio $Revenue Sharing

Revenue Sharing $

Voya Fixed Account n/a Stable Value 319,617,150$ 0.00% -$ 0.00% -$ Vanguard Total Bond Market Index I VBTIX Core Fixed Income 15,361,991$ 0.05% 7,681$ 0.00% -$ Voya T. Rowe Price Cap Apprec Port I ITRIX Balanced 11,973,581$ 0.64% 76,631$ 0.28% 33,526$ Invesco Equity & Income R5 ACEKX Balanced 33,908,639$ 0.48% 162,761$ 0.10% 33,909$ Vanguard Institutional Index I VINIX Large Cap Core (passive) 73,485,156$ 0.04% 29,394$ 0.00% -$ Parnassus Equity Income - Inv PRBLX Socially Conscious 8,724,849$ 0.87% 75,906$ 0.40% 34,899$ MFS Value Fund R4 MEIJX Large Cap Value 18,014,831$ 0.62% 111,692$ 0.15% 27,022$ American Funds Growth Fund of Amer R3 RGACX Large Cap Growth 9,169,426$ 0.98% 89,860$ 0.65% 59,601$ T Rowe Price Growth Stock Fund PRGFX Large Cap Growth 34,527,005$ 0.68% 234,784$ 0.15% 51,791$ Fidelity Contrafund FCNTX Large Cap Growth 9,610,671$ 0.71% 68,236$ 0.25% 24,027$ Hartford Mid Cap HLS HBMCX Mid Cap Blend 49,434,655$ 0.95% 469,629$ 0.30% 148,304$ Vanguard Mid-Cap Value VMVAX Mid Cap Value 929,673$ 0.07% 651$ 0.00% -$ Oppenheimer Main Street Mid Cap Fund OPMYX SMID Blend 24,976,006$ 0.85% 212,296$ 0.25% 62,440$ Vanguard Extended Market Idx I VIEIX SMID Blend 20,836,696$ 0.07% 14,586$ 0.00% -$ Goldman Sachs Small/Mid Cap Growth GSMAX SMID Growth 12,270,267$ 1.33% 163,195$ 0.55% 67,486$ Vanguard Developed Markets Index Instl VTMNX International Equity 14,269,484$ 0.07% 9,989$ 0.00% -$ Dodge & Cox International Stock DODFX International Equity w/EM 6,857,840$ 0.64% 43,890$ 0.10% 6,858$ Franklin Mutual Global Discovery Fund TEDIX Global Equity 13,843,384$ 1.29% 178,580$ 0.55% 76,139$ Vanguard Target Retirement Income Inv* VTINX Lifecycle 8,601,870$ 0.20% 17,204$ 0.06% 5,161$ Vanguard Target Retirement 2015 Inv* VTXVX Lifecycle 24,154,038$ 0.20% 48,308$ 0.06% 14,492$ Vanguard Target Retirement 2025 Inv* VTTVX Lifecycle 21,386,332$ 0.21% 44,911$ 0.06% 12,832$ Vanguard Target Retirement 2035 Inv* VTTHX Lifecycle 31,034,564$ 0.21% 65,173$ 0.06% 18,621$ Vanguard Target Retirement 2045 Inv* VTIVX Lifecycle 10,489,078$ 0.22% 23,076$ 0.06% 6,293$ Vanguard Target Retirement 2055 Inv* VFFVX Lifecycle 1,882,794$ 0.22% 4,142$ 0.06% 1,130$ TD Ameritrade SDBA N/A Brokerage account 2,675,548$ 0.00% -$ 0.08% 2,140$ TOTALS 778,035,527$ 2,152,574$ 686,671$

Average Expense Ratio1 0.50%Weighted Average Variable Expense Ratio1 0.47%Weighted Average Variable Revenue Share (w/TD SDBA) 0.15%1 Does not include Stable Value or TD Ameritrade

Voya Contract Requirements: 0.08% on variable assets 366,735$ Plan Administration Costs: 0.07% on variable assets 320,893$ Total Revenue Required: 0.15% on variable assets 687,628$

Estimated Excess Revenue Share: (956)$

Revenue Sharing Analysis for Total PlanAs of September 30, 2017

All FundsNumber of participants with account balances; 6,930**

*Vanguard Target Funds include an administration fee wrap of 6 basis points

** Does not include FICA participants

29


Beginning Investment EndingBalance Loan Gain/Loss Balance

Funds July 1, 2017 Contributions Withdrawals Repayments Fees* (incl. Dividends) September 30, 2017

Voya Fixed Account 320,366,413$ 2,634,089$ 730,843$ (6,310,514)$ 70,798$ (39,218)$ 2,164,738$ 319,617,150$

Vanguard Total Bond Market Index I 14,806,532$ 291,111$ 380,122$ (231,520)$ 10,067$ (2,641)$ 108,321$ 15,361,991$

Voya T. Rowe Price Cap Apprec Port I 11,460,369$ 314,723$ 33,934$ (158,411)$ 7,535$ (216)$ 315,645$ 11,973,581$

Invesco Equity & Income R5 33,895,756$ 269,450$ (896,737)$ (418,214)$ 8,502$ (848)$ 1,050,731$ 33,908,639$

MFS Value Fund R4 18,083,657$ 265,179$ (587,929)$ (235,620)$ 6,863$ (1,212)$ 483,894$ 18,014,831$

Vanguard Institutional Index I 69,693,588$ 1,165,442$ 282,734$ (826,577)$ 25,424$ (1,071)$ 3,145,617$ 73,485,156$

Parnassus Equity Income - Inv 8,913,127$ 201,674$ (420,316)$ (263,324)$ 4,561$ (122)$ 289,248$ 8,724,849$

American Funds Growth Fund of Amer R3 8,988,214$ 125,320$ (167,600)$ (222,959)$ 3,240$ (153)$ 443,365$ 9,169,426$

T. Rowe Price Growth Stock Fund 32,359,081$ 521,354$ 592,761$ (715,184)$ 10,400$ (334)$ 1,758,927$ 34,527,005$

Fidelity Contrafund 9,007,420$ 241,382$ (115,283)$ (85,265)$ 3,736$ (191)$ 558,871$ 9,610,671$

Hartford Mid Cap HLS 48,337,473$ 522,592$ (356,897)$ (673,991)$ 17,093$ (348)$ 1,588,732$ 49,434,655$

Oppenheimer Main Street Mid Cap Fund 25,340,106$ 319,153$ (852,997)$ (385,954)$ 11,048$ (552)$ 545,202$ 24,976,006$

Vanguard Mid-Cap Value Index Fund 92,711$ 54,512$ 757,633$ (3,471)$ 652$ (45)$ 27,680$ 929,673$

Vanguard Extended Market Idx I 20,126,849$ 495,401$ (461,714)$ (311,817)$ 6,973$ (953)$ 981,958$ 20,836,696$

Goldman Sachs Small/Mid Cap Growth 11,571,196$ 211,459$ 87,743$ (245,691)$ 6,356$ (189)$ 639,392$ 12,270,267$

Vanguard Developed Markets Index Instl 12,942,387$ 280,938$ 481,890$ (179,920)$ 6,484$ (628)$ 738,334$ 14,269,484$

Dodge & Cox International Stock 5,960,511$ 175,947$ 405,435$ (115,209)$ 4,771$ (411)$ 426,795$ 6,857,840$

Franklin Mutual Global Discovery Fund A 14,123,260$ 227,391$ (572,427)$ (178,952)$ 4,494$ (820)$ 240,437$ 13,843,384$

Vanguard Target Retirement Income Inv 7,975,139$ 312,120$ 288,381$ (135,757)$ 2,146$ (125)$ 159,966$ 8,601,870$

Vanguard Target Retirement 2015 Inv 23,494,018$ 987,086$ (22,062)$ (952,144)$ 36,885$ (515)$ 610,770$ 24,154,038$

Vanguard Target Retirement 2025 Inv 19,537,161$ 969,605$ 404,914$ (235,558)$ 8,746$ (784)$ 702,248$ 21,386,332$

Vanguard Target Retirement 2035 Inv 29,121,163$ 1,101,733$ (50,853)$ (398,281)$ 37,422$ (1,088)$ 1,224,469$ 31,034,564$


Vanguard Target Retirement 2055 Inv 1,739,000$ 142,182$ (55,858)$ (25,604)$ 157$ -$ 82,916$ 1,882,794$

TD Ameritrade SDBA 2,586,377$ -$ (5,902)$ -$ -$ -$ 95,073$ 2,675,548$

Total 759,993,080$ 12,528,905$ (0)$ (13,566,257)$ 303,228$ (53,458)$ 18,830,029$ 778,035,527$

Misc* Reimbursement Account Deposit - Corrected Loan Payment Fees* Loan issuance fees - Morningstar fees - Overnight Shipping charges.

Plan Activity: Total All PlansJuly 1, 2017 through September 30, 2017

Interfund InterPlan Exchanges

30


Fund Assets % of Total AssetsVoya Fixed Account 319,617,150$ 41.1%Vanguard Total Bond Market Index I 15,361,991$ 2.0%Voya T. Rowe Price Cap Apprec Port I 11,973,581$ 1.5%Invesco Equity & Income R5 33,908,639$ 4.4%MFS Value Fund R4 18,014,831$ 2.3%Vanguard Institutional Index I 73,485,156$ 9.4%Parnassus Equity Income - Inv 8,724,849$ 1.1%American Funds Growth Fund of Amer R3 9,169,426$ 1.2%T. Rowe Price Growth Stock Fund 34,527,005$ 4.4%Fidelity Contrafund 9,610,671$ 1.2%Hartford Mid Cap HLS 49,434,655$ 6.4%Oppenheimer Main Street Mid Cap Fund 24,976,006$ 3.2%Vanguard Mid-Cap Value Index Fund 929,673$ 0.1%Vanguard Extended Market Idx I 20,836,696$ 2.7%Goldman Sachs Small/Mid Cap Growth 12,270,267$ 1.6%Vanguard Developed Markets Index Instl 14,269,484$ 1.8%Dodge & Cox International Stock 6,857,840$ 0.9%Franklin Mutual Global Discovery Fund A 13,843,384$ 1.8%Vanguard Target Retirement Income Inv 8,601,870$ 1.1%Vanguard Target Retirement 2015 Inv 24,154,038$ 3.1%Vanguard Target Retirement 2025 Inv 21,386,332$ 2.7%Vanguard Target Retirement 2035 Inv 31,034,564$ 4.0%Vanguard Target Retirement 2045 Inv 10,489,078$ 1.3%Vanguard Target Retirement 2055 Inv 1,882,794$ 0.2%TD Ameritrade SDBA 2,675,548$ 0.3%

Total 778,035,527$ 100.0%

Asset Allocation Summary: Total All Plans

September 30, 2017

31


Stable Value, 42.2%

Fixed Income, 1.9%

Balanced, 6.0%

Large Cap Value, 2.4%

Large Cap Core, 10.3%

Large Cap Growth, 6.6% Mid Cap Core, 9.7%SMID Core, 2.6%SMID Growth, 1.5%

International, 2.5%Global, 1.9%

LifeCycle, 12.0%

Self-Directed, 0.3%

Asset Allocation as of July 1, 2017

Stable Value, 41.1%

Fixed Income, 2.0%

Balanced, 5.9%



Large Cap Growth, 6.9%Mid Cap Core, 9.7%

SMID Core, 2.7%SMID Growth, 1.6%

International, 2.7%Global, 1.8%

LifeCycle, 12.5%

Self-Directed, 0.3%

Asset Allocation as of September 30, 2017

32


Stable Value 21.0%

Fixed Income 2.3%Balanced 4.7%

Large Cap Value 2.1%

Large Cap Core 10.9%

Large Cap Growth 7.1%

Mid Cap Core 7.2%

SMID Core 4.0%SMID Growth 1.7%

International 3.6%

Global 1.8%LifeCycle 33.6%

Self-Directed 0.0%

Plan Contributions - 3rd Quarter 2017

Stable Value 27.7%

Fixed Income 2.1%

Balanced 4.6%Large Cap Value 2.2%

Large Cap Core 9.0%


Mid Cap Core 6.4%

SMID Core 3.4%SMID Growth 1.6%

International 3.4%

Global 1.9%LifeCycle 31.8%

Self-Directed 0.0%

Plan Contributions - 2nd Quarter 2017

33


Beginning Investment EndingBalance Loan Gain/Loss Balance

Funds July 1, 2017 Contributions Withdrawals Repayments Fees* (incl. Dividends) September 30, 2017

Voya Fixed Account 235,332,110$ 1,638,441$ 312,669$ (4,850,406)$ 70,798$ (39,009)$ 1,585,720$ 234,050,322$

Vanguard Total Bond Market Index I 9,051,013$ 136,281$ 342,689$ (164,301)$ 10,067$ (2,093)$ 66,491$ 9,440,148$

Voya T. Rowe Price Cap Apprec Port I 8,459,150$ 223,449$ (11,808)$ (133,222)$ 7,535$ (205)$ 231,732$ 8,776,630$

Invesco Equity & Income R5 25,445,644$ 175,659$ (765,816)$ (320,232)$ 8,502$ (738)$ 785,872$ 25,328,890$

MFS Value Fund R4 12,042,785$ 162,421$ (439,953)$ (192,215)$ 6,863$ (1,056)$ 318,890$ 11,897,734$

Vanguard Institutional Index I 45,588,476$ 694,842$ 38,304$ (680,036)$ 25,424$ (944)$ 2,052,193$ 47,718,258$

Parnassus Equity Income - Inv 5,618,949$ 134,356$ (395,933)$ (111,379)$ 4,561$ (122)$ 179,796$ 5,430,228$

American Funds Growth Fund of Amer R3 6,420,691$ 87,779$ (90,103)$ (192,124)$ 3,240$ (153)$ 314,925$ 6,544,255$

T Rowe Price Growth Stock Fund 21,194,024$ 342,398$ 381,272$ (518,817)$ 10,400$ (334)$ 1,151,052$ 22,559,997$

Fidelity Contrafund 6,363,548$ 183,341$ 200,296$ (82,260)$ 3,736$ (191)$ 399,073$ 7,067,543$

Hartford Mid Cap HLS 36,505,312$ 381,341$ (254,420)$ (532,783)$ 17,093$ (348)$ 1,200,887$ 37,317,083$

Oppenheimer Main Street Mid Cap Fund 15,685,568$ 177,379$ (636,752)$ (251,677)$ 11,048$ (468)$ 334,925$ 15,320,023$

Vanguard Mid-Cap VaIue Index Fund - Admiral Shares 90,088$ 50,442$ 508,314$ (3,471)$ 652$ (42)$ 19,262$ 665,244$

Vanguard Extended Market Idx I 11,795,838$ 246,683$ (552,656)$ (242,325)$ 6,973$ (833)$ 558,446$ 11,812,126$

Goldman Sachs Small/Mid Cap Growth 7,681,672$ 138,147$ 150,927$ (167,286)$ 6,356$ (189)$ 427,253$ 8,236,880$

Vanguard Developed Markets Index Instl 7,711,646$ 134,245$ 366,468$ (161,756)$ 6,484$ (549)$ 440,950$ 8,497,487$

Dodge & Cox International Stock 3,789,771$ 107,216$ 252,191$ (95,162)$ 4,771$ (355)$ 269,570$ 4,328,003$

Franklin Mutual Global Discovery Fund 9,363,882$ 129,593$ (341,918)$ (96,741)$ 4,494$ (690)$ 160,188$ 9,218,808$

Vanguard Target Retirement Income Inv 4,956,367$ 59,011$ 288,309$ (62,651)$ 2,146$ (125)$ 97,617$ 5,340,675$



Vanguard Target Retirement 2035 Inv 22,488,270$ 788,214$ (138,689)$ (351,983)$ 37,422$ (1,088)$ 941,920$ 23,764,066$


Vanguard Target Retirement 2055 Inv 1,304,666$ 100,590$ (60,387)$ (25,454)$ 157$ -$ 61,608$ 1,381,179$

TD Ameritrade SDBA 1,566,177$ -$ 16,135$ -$ -$ -$ 33,385$ 1,615,698$

Total 536,906,490$ 7,832,515$ (357,467)$ (10,353,428)$ 303,228$ (51,827)$ 12,886,709$ 547,166,220$

Fees* Loan issuance Fees- Morningstar fees

Interfund InterPlan

Exchanges

Plan Activity: State Plan ActivityJuly 1, 2017 through September 30, 2017

34


Fund Assets % of Total AssetsVoya Fixed Account 234,050,322$ 42.8%Vanguard Total Bond Market Index I 9,440,148$ 1.7%Voya T. Rowe Price Cap Apprec Port I 8,776,630$ 1.6%Invesco Equity & Income R5 25,328,890$ 4.6%MFS Value Fund R4 11,897,734$ 2.2%Vanguard Institutional Index I 47,718,258$ 8.7%Parnassus Equity Income - Inv 5,430,228$ 1.0%American Funds Growth Fund of Amer R3 6,544,255$ 1.2%T Rowe Price Growth Stock Fund 22,559,997$ 4.1%Fidelity Contrafund 7,067,543$ 1.3%Hartford Mid Cap HLS 37,317,083$ 6.8%Oppenheimer Main Street Mid Cap Fund 15,320,023$ 2.8%Vanguard Extended Market Idx I 11,812,126$ 2.2%Goldman Sachs Small/Mid Cap Growth 8,236,880$ 1.5%Vanguard Mid-Cap value Index Fund-Admiral Shares 665,244$ 0.1%Vanguard Developed Markets Index Instl 8,497,487$ 1.6%Dodge & Cox International Stock 4,328,003$ 0.8%Franklin Mutual Global Discovery Fund 9,218,808$ 1.7%Vanguard Target Retirement Income Inv 5,340,675$ 1.0%Vanguard Target Retirement 2015 Inv 19,917,151$ 3.6%Vanguard Target Retirement 2025 Inv 14,584,965$ 2.7%Vanguard Target Retirement 2035 Inv 23,764,066$ 4.3%Vanguard Target Retirement 2045 Inv 6,352,828$ 1.2%Vanguard Target Retirement 2055 Inv 1,381,179$ 0.3%TD Ameritrade SDBA 1,615,698$ 0.3%

Total 547,166,220$ 100.0%

September 30, 2017

Asset Allocation Summary: State Plan Activity

35


Stable Value, 43.8%

Fixed Income, 1.7%

Balanced, 6.3%



Large Cap Growth, 6.3%

Mid Cap Core, 9.7%

SMID Core, 2.2%

SMID Growth, 1.4%International, 2.1%

Global, 1.7%

LifeCycle, 12.5%

Self-Directed, 0.3%


Stable Value, 42.8%

Fixed Income, 1.7%

Balanced, 6.2%




SMID Core, 2.2%SMID Growth, 1.5%International, 2.3%

Global, 1.7%

LifeCycle, 13.0%

Self-Directed, 0.3%


36


Stable Value 20.9%

Fixed Income 1.7%Balanced 5.1%


Large Cap Core 10.6%


Mid Cap Core 7.8%

SMID Core 3.1%

SMID Growth 1.8%International 3.1%

Global 1.7%

LifeCycle 34.3%

Self-Directed 0.0%


Stable Value 28.3%Fixed Income 1.8%

Balanced 4.8%


Large Cap Core 8.2%


Mid Cap Core 6.1%

SMID Core 2.9%

SMID Growth 1.5%

International 3.2%Global 2.0%

LifeCycle 33.1%

Self-Directed 0.0%


37


Beginning Investment EndingBalance Gain/Loss Balance

Funds July 1, 2017 Contributions Withdrawals Fees* (incl. Dividends) September 30, 2017

Voya Fixed Account 13,526,621$ 275,208$ 132,381$ (228,268)$ (111)$ 92,715$ 13,798,546$

Vanguard Total Bond Market Index I 2,424,538$ 96,372$ 23,747$ (2,044)$ (282)$ 17,828$ 2,560,158$

Voya T. Rowe Price Cap Apprec Port I 1,685,776$ 47,519$ 57,665$ (2,885)$ (5)$ 47,562$ 1,835,632$

Invesco Equity & Income R5 1,348,552$ 16,748$ (46,197)$ (1,527)$ (57)$ 41,469$ 1,358,987$

MFS Value Fund R4 1,444,702$ 21,305$ (47,878)$ (833)$ (63)$ 38,927$ 1,456,160$

Vanguard Institutional Index I 7,454,577$ 212,720$ 237,554$ (2,671)$ (69)$ 344,835$ 8,246,945$

Parnassus Equity Income - Inv 683,539$ 23,380$ 24,830$ (136,260)$ -$ 22,479$ 617,969$

American Funds Growth Fund of Amer R3 1,175,547$ 10,633$ 19,427$ (6,020)$ -$ 58,688$ 1,258,276$

T Rowe Price Growth Stock Fund 1,399,895$ 59,499$ 77,602$ (66,315)$ -$ 76,976$ 1,547,657$

Fidelity Contrafund 1,127,090$ 40,168$ (302,556)$ -$ -$ 66,782$ 931,485$

Hartford Mid Cap HLS 2,694,363$ 23,095$ (32,934)$ (5,506)$ -$ 88,990$ 2,768,007$

Oppenheimer Main Street Mid Cap Fund 2,134,313$ 28,368$ (27,342)$ (49,248)$ (39)$ 46,543$ 2,132,596$

Vanguard Mid-Cap Value Index Fund 45$ 1,326$ 129,446$ -$ -$ 4,581$ 135,398$

Vanguard Extended Market Idx I 2,907,823$ 85,995$ 99,370$ -$ (48)$ 152,066$ 3,245,208$

Goldman Sachs Small/Mid Cap Growth 1,360,997$ 24,251$ (97,099)$ -$ -$ 72,436$ 1,360,584$

Vanguard Developed Markets Index Instl 999,887$ 29,576$ 107,045$ -$ (30)$ 59,086$ 1,195,564$

Dodge & Cox International Stock 1,511,588$ 50,250$ 50,181$ (1,511)$ (23)$ 109,547$ 1,720,032$

Franklin Mutual Global Discovery Fund 1,183,047$ 24,955$ (25,233)$ (23,215)$ (55)$ 20,491$ 1,179,991$

Vanguard Target Retirement Income Inv 1,162,441$ 240,687$ -$ (2,112)$ -$ 26,128$ 1,427,144$

Vanguard Target Retirement 2015 Inv 2,562,622$ 296,428$ (137,831)$ (184,678)$ -$ 66,636$ 2,603,176$

Vanguard Target Retirement 2025 Inv 2,564,811$ 171,006$ 42,917$ (405)$ -$ 93,430$ 2,871,759$

Vanguard Target Retirement 2035 Inv 2,587,891$ 120,392$ 55,184$ (2,696)$ -$ 111,403$ 2,872,174$

Vanguard Target Retirement 2045 Inv 1,060,691$ 64,643$ (8,097)$ -$ -$ 50,646$ 1,167,882$

Vanguard Target Retirement 2055 Inv 243,378$ 7,542$ 4,045$ (150)$ -$ 11,560$ 266,375$

TD Ameritrade SDBA 85,040.18$ -$ 4,102.73$ -$ -$ 4,246.76$ 93,389.67$

Total 55,329,775$ 1,972,065$ 340,329$ (716,344)$ (780)$ 1,726,051$ 58,651,095$

Fees* Morningstar fees

Plan Activity: Nevada System of Higher EducationJuly 1, 2017 through September 30, 2017

Interfund InterPlan

Exchanges

38


Fund Assets % of Total AssetsVoya Fixed Account 13,798,546$ 23.5%Vanguard Total Bond Market Index I 2,560,158$ 4.4%Voya T. Rowe Price Cap Apprec Port I 1,835,632$ 3.1%Invesco Equity & Income R5 1,358,987$ 2.3%MFS Value Fund R4 1,456,160$ 2.5%Vanguard Institutional Index I 8,246,945$ 14.1%Parnassus Equity Income - Inv 617,969$ 1.1%American Funds Growth Fund of Amer R3 1,258,276$ 2.1%T Rowe Price Growth Stock Fund 1,547,657$ 2.6%Fidelity Contrafund 931,485$ 1.6%Hartford Mid Cap HLS 2,768,007$ 4.7%Oppenheimer Main Street Mid Cap Fund 2,132,596$ 3.6%Vanguard Mid-Cap Value Index Fund 135,397.61$ 0.2%Vanguard Extended Market Idx I 3,245,208$ 5.5%Goldman Sachs Small/Mid Cap Growth 1,360,584$ 2.3%Vanguard Developed Markets Index Instl 1,195,564$ 2.0%Dodge & Cox International Stock 1,720,032$ 2.9%Franklin Mutual Global Discovery Fund 1,179,991$ 2.0%Vanguard Target Retirement Income Inv 1,427,144$ 2.4%Vanguard Target Retirement 2015 Inv 2,603,176$ 4.4%Vanguard Target Retirement 2025 Inv 2,871,759$ 4.9%Vanguard Target Retirement 2035 Inv 2,872,174$ 4.9%Vanguard Target Retirement 2045 Inv 1,167,882$ 2.0%Vanguard Target Retirement 2055 Inv 266,375$ 0.5%TD Ameritrade SDBA 93,390$ 0.2%

Total 58,651,095$ 100.0%

Asset Allocation Summary: Nevada System of Higher Education

September 30, 2017

39


Stable Value, 24.4%

Fixed Income, 4.4%

Balanced, 5.5%




SMID Core, 5.3%

SMID Growth, 4.3%

International, 2.7%

Global, 2.1%

LifeCycle, 18.4%

Self-Directed, 0.2%


Stable Value, 23.5%

Fixed Income, 4.4%

Balanced, 5.4%




Mid Cap Core, 8.6%SMID Core, 5.5%

SMID Growth, 4.4%

International, 2.9%

Global, 2.0%

LifeCycle, 19.1%

Self-Directed, 0.2%


40


Stable Value, 20.0%

Fixed Income, 5.1%

Balanced, 3.2%Large Cap Value, 1.5%



SMID Core, 4.4%

SMID Growth, 3.5%

International, 1.6%

Global, 1.5%

LifeCycle, 39.5%

Self-Directed, 0.0%


Stable Value, 14.0%

Fixed Income, 4.9%

Balanced, 3.3%




Mid Cap Core, 2.7%

SMID Core, 4.4%

SMID Growth, 2.7%

International, 2.5%

Global, 1.3%

LifeCycle, 45.7%

Self-Directed, 0.0%


41


Beginning Investment EndingBalance Gain/Loss Balance

Funds July 1, 2017 Contributions Withdrawals Fees (incl. Dividends) September 30, 2017

Voya Fixed Account 71,507,683$ 720,441$ 285,793$ (1,231,841)$ (99)$ 486,303$ 71,768,281$

Vanguard Total Bond Market Index I 3,330,980$ 58,457$ 13,687$ (65,175)$ (266)$ 24,001$ 3,361,685$

Voya T. Rowe Price Cap Apprec Port I 1,315,443$ 43,756$ (11,922)$ (22,303)$ (6)$ 36,351$ 1,361,319$

Invesco Equity & Income R5 7,101,561$ 77,043$ (84,725)$ (96,455)$ (52)$ 223,390$ 7,220,762$

MFS Value Fund R4 4,596,170$ 81,453$ (100,098)$ (42,572)$ (93)$ 126,076$ 4,660,937$

Vanguard Institutional Index I 16,650,535$ 257,881$ 6,875$ (143,869)$ (57)$ 748,589$ 17,519,953$

Parnassus Equity Income - Inv 2,610,639$ 43,939$ (49,213)$ (15,685)$ -$ 86,973$ 2,676,653$

American Funds Growth Fund of Amer R3 1,391,976$ 26,907$ (96,924)$ (24,816)$ (1)$ 69,752$ 1,366,895$

T Rowe Price Growth Stock Fund 9,765,161$ 119,457$ 133,887$ (130,052)$ -$ 530,899$ 10,419,351$

Fidelity Contrafund 1,516,782$ 17,872$ (13,023)$ (3,005)$ -$ 93,017$ 1,611,643$

Hartford Mid Cap HLS 9,137,798$ 118,156$ (69,544)$ (135,702)$ -$ 298,856$ 9,349,565$

Oppenheimer Main Street Mid Cap Fund 7,520,225$ 113,406$ (188,902)$ (85,029)$ (46)$ 163,734$ 7,523,388$

Vanguard Mid-Cap VaIue Index Fund - Admiral Shares 2,578$ 2,745$ 119,873$ -$ (2)$ 3,837$ 129,031$

Vanguard Extended Market Idx I 5,423,187$ 162,723$ (8,429)$ (69,492)$ (73)$ 271,445$ 5,779,362$

Goldman Sachs Small/Mid Cap Growth 2,528,527$ 49,062$ 33,915$ (78,405)$ -$ 139,704$ 2,672,803$

Vanguard Developed Markets Index Instl 4,230,854$ 117,117$ 8,377$ (18,164)$ (48)$ 238,299$ 4,576,433$

Dodge & Cox International Stock 659,152$ 18,481$ 103,064$ (18,536)$ (33)$ 47,678$ 809,806$

Franklin Mutual Global Discovery Fund 3,576,332$ 72,844$ (205,276)$ (58,996)$ (75)$ 59,757$ 3,444,586$

Vanguard Target Retirement Income Inv 1,856,331$ 12,421$ 72$ (70,994)$ -$ 36,221$ 1,834,051$

Vanguard Target Retirement 2015 Inv 1,694,586$ 58,445$ (72,476)$ (90,143)$ -$ 43,299$ 1,633,711$




Vanguard Target Retirement 2055 Inv 190,956$ 34,051$ 484$ -$ -$ 9,748$ 235,239$

TD Ameritrade SDBA 935,160$ -$ (26,140)$ -$ -$ 57,441$ 966,461$

Total 167,756,815$ 2,724,325$ 17,138$ (2,496,484)$ (851)$ 4,217,270$ 172,218,212$

Fees* Morningstar-Overnight Charges

Plan Activity: Political SubdivisionJuly 1, 2017 through September 30, 2017

Interfund InterPlan

Exchanges

42


Fund Assets % of Total AssetsVoya Fixed Account 71,768,281$ 41.7%Vanguard Total Bond Market Index I 3,361,685$ 2.0%Voya T. Rowe Price Cap Apprec Port I 1,361,319$ 0.8%Invesco Equity & Income R5 7,220,762$ 4.2%MFS Value Fund R4 4,660,937$ 2.7%Vanguard Institutional Index I 17,519,953$ 10.2%Parnassus Equity Income - Inv 2,676,653$ 1.6%American Funds Growth Fund of Amer R3 1,366,895$ 0.8%T Rowe Price Growth Stock Fund 10,419,351$ 6.1%Fidelity Contrafund 1,611,643$ 0.9%Hartford Mid Cap HLS 9,349,565$ 5.4%Oppenheimer Main Street Mid Cap Fund 7,523,388$ 4.4%Vanguard Mid-Cap Value Index Fund 129,030.78$ 0.1%Vanguard Extended Market Idx I 5,779,362$ 3.4%Goldman Sachs Small/Mid Cap Growth 2,672,803$ 1.6%Vanguard Developed Markets Index Instl 4,576,433$ 2.7%Dodge & Cox International Stock 809,806$ 0.5%Franklin Mutual Global Discovery Fund 3,444,586$ 2.0%Vanguard Target Retirement Income Inv 1,834,051$ 1.1%Vanguard Target Retirement 2015 Inv 1,633,711$ 0.9%Vanguard Target Retirement 2025 Inv 3,929,608$ 2.3%Vanguard Target Retirement 2035 Inv 4,398,323$ 2.6%Vanguard Target Retirement 2045 Inv 2,968,368$ 1.7%Vanguard Target Retirement 2055 Inv 235,239$ 0.1%Vanguard Target Retirement 2055 Inv 966,461$ 0.6%

Total 172,218,212$ 100.0%

Asset Allocation Summary: Political Subdivision

September 30, 2017

43


Stable Value, 42.6%

Fixed Income, 2.0%

Balanced, 5.0%



Large Cap Growth, 7.6% Mid Cap Core, 9.9%

SMID Core, 3.2%

SMID Growth, 4.0%International, 0.4%Global, 2.1%

LifeCycle, 8.3%

Self-Directed, 0.6%


Stable Value, 41.7%

Fixed Income, 2.0%

Balanced, 5.0%




SMID Core, 3.4%SMID Growth, 4.2%International, 0.5%

Global, 2.0%

LifeCycle, 8.7%

Self-Directed, 0.6%


44


Stable Value, 29.4%

Fixed Income, 1.8%Balanced, 4.8%




Mid Cap Core, 8.7%

SMID Core, 4.4%

SMID Growth, 5.1%

International, 0.6%Global, 2.0%LifeCycle, 24.6%

Self-Directed, 0.0%


Stable Value, 26.4%

Fixed Income, 2.1%Balanced, 4.4%

Large Cap Value, 3.0%Large Cap Core, 11.1%


Mid Cap Core, 8.6%

SMID Core, 6.0%

SMID Growth, 6.1%

International, 0.7%Global, 2.7%LifeCycle, 22.9%

Self-Directed, 0.0%


45


Summary of Loan Activity


Loans Issued* Loans Paid in Full* Outstanding Balance Principal Paid* Interest Paid*

559 89 $3,143,346 $872,825 $195,003

*Total loans since inception.

Summary of Roth Accounts

Number of Accounts Total Balance Number of Accounts Total Balance

State 1139 $5,159,874 1180 $5,761,740

NSHE 81 $1,229,183 91 $1,450,132

Poltical Sub Divisions 123 $613,010 128 $701,854

Total 1343 $7,002,067 1399 $7,913,726

As of June 30, 2017 As of September 30, 2017

46


FICA Plan Activity All State Pol. Sub-Division NSHE

Number of Participants Actively Contributing: 7,121 332 615 6,174

Number of Participants with Account Balance: 21,503 1,068 1,619 18,816

Average Account Balance: $1,423 $1,411 $1,210 $1,647

Opening Balance as of 7/1/2017: $34,449,175 $1,506,853 $1,959,199 $30,983,122

Closing Balance as of 9/30/2017: $35,824,253 $1,608,450 $2,052,129 $32,163,674

47


Fund # of Participants # of One-Funders

Voya Fixed Account 6,053 2,425

Vanguard Total Bond Market Index I 1,279 21

Voya T. Rowe Price Cap Apprec Port I 990 37

Invesco Equity & Income R5 1,718 75

MFS Value Fund R4 1,800 5

Vanguard Institutional Index I 3,749 110

Parnassus Equity Income - Inv 791 7

American Funds Growth Fund of Amer R3 833 7

T Rowe Price Growth Stock Fund 2,112 49

Fidelity Contrafund 712 13

Hartford Mid Cap HLS 2,951 24

Oppenheimer Main Street Mid Cap Fund 2,211 9

Vanguard Mid-Cap Value Index Fund 263 0

Vanguard Extended Market Idx I 1,591 10

Goldman Sachs Small/Mid Cap Growth 1,154 9

Vanguard Developed Markets Index Instl 1,997 6

Dodge & Cox International Stock 864 10

Franklin Mutual Global Discovery Fund 1551 5

Vanguard Target Retirement Income Inv 340 116

Vanguard Target Retirement 2015 Inv 1,193 758




Vanguard Target Retirement 2055 Inv 430 343

TD Ameritrade SDBA 83 0

Number of Participants Invested by Fund: Total PlanAs of September 30, 2017

48


Number of Funds Number of Participants Percent

One 7,843 53.87%Two 1,430 9.82%

Three 1043 7.16%Four 1061 7.29%Five 1,155 7.93%Six 835 5.74%

Seven 362 2.49%Eight 226 1.55%Nine 162 1.11%

Ten + 441 3.03%

TOTAL 14,558 100.00%

Investment Diversification as of September 30, 2017

Average number of funds being used in the Plan: 2.70

49


Fund

Total Stock Market Index

Fund

Total International Stock Index

Fund

Total Bond Market Index II

Fund

Total Intl Bond Market Index

Fund

ST Inflation-Protected Securities

Fund Stocks Bonds & Cash

2055 54.0% 36.0% 7.0% 3.0% 0.0% 90.0% 10.0%

2045 54.1% 35.9% 7.0% 3.0% 0.0% 90.0% 10.0%

2035 47.3% 31.4% 15.0% 6.3% 0.0% 78.7% 21.3%

2025 38.4% 25.5% 25.5% 10.6% 0.0% 63.9% 36.1%

2015 25.8% 17.2% 32.3% 13.7% 11.0% 43.0% 57.0%

Income 18.2% 12.0% 37.2% 16.0% 16.6% 30.2% 69.8%

Vanguard Target Date Retirement FundsEstimated allocations

0

20

40

60

80

100

2060

2055

2050

2045

2040

2035

2030

2025

2020

2015

2010

Inco

me

TRT Allocations

Stocks Bonds & Cash

50


US Gov/Agency

Mortgage-Backed

SecuritiesCorporate

BondsAsset-Backed

Securities CMBSCash /

EquivalentsForeign

Securities Other * TotalVoya Fixed Account 5.00% 25.00% 42.00% 2.00% 4.00% 0.00% 19.00% 3.00% 100%

Barcays Aggregated Bond Index 42.20% 29.00% 23.10% 0.50% 2.00% 0.00% 3.10% 0.00% 100%

*Other for Voya includes Derivatives, LPs & Policy Loans and Mortgage Loans.

Quality Ratings Voya BC AggFitch A Strong Year 1: 3.50%

AAA 19.00% 71.70% S&P A Strong Year 2: 3.15%AA 7.00% 4.60% Moody's A2 Good Year 3: 2.75%A 29.00% 11.80% A.M. Best A Excellent Year 4: 2.50%

BBB 39.00% 11.90% Year 5: 2.50%BB and Below 6.00% 0.00%

2015 2.50%2016 2.25%2017 1.50%

*Effective 12/19/2014 the separate account funds were transferred to Voya General Account. 2018-2019 Prevailing

FICA Alternative Plans Minimum Credit Rate

Per Contract

Voya General Fixed Account

Voya Financial Insurance Company Ratings

457 Plans Minimum Crediting Rate Per

Contract

51

1Quarter

YearTo

Date1

Year3

Years5

YearsExpense

Ratio

Large Cap Domestic Equity Funds N/A N/A N/A N/A N/A N/A

2.79 12.16 17.18 10.45 14.01 0.61

3.11 7.92 15.12 8.53 13.20 N/A

-0.32 4.24 2.06 1.92 0.81 N/A

3.72 9.47 16.87 7.87 12.36 1.01

MFS Value Fund R4

Russell 1000 Value Index

Excess Return

IM U.S. Large Cap Value Equity (MF) Median MFS Value Fund R4 Rank 79 12 46 3 12 N/A

4.92 17.67 19.45 11.10 14.70 0.98

5.90 20.72 21.94 12.69 15.26 N/A

-0.98 -3.05 -2.49 -1.59 -0.56 N/A

5.48 21.71 20.04 11.11 13.93 1.08

American Funds Growth Fund R3

Russell 1000 Growth Index

Excess Return

IM U.S. Large Cap Growth Equity (MF) Median American Funds Growth Fund R3 Rank 66 87 61 51 33 N/A

T.Rowe Price Growth Stock 5.44 26.01 26.10 13.90 16.26 0.68

Russell 1000 Growth Index 5.90 20.72 21.94 12.69 15.26 N/A

Excess Return -0.46 5.29 4.16 1.21 1.00 N/A

IM U.S. Large Cap Growth Equity (MF) Median 5.48 21.71 20.04 11.11 13.93 1.08

T.Rowe Price Growth Stock Rank 51 16 4 7 9 N/A

Fidelity Contrafund 6.09 23.91 23.21 12.03 14.55 0.68


Excess Return 0.19 3.19 1.27 -0.66 -0.71 N/A

IM U.S. Large Cap Growth Equity (MF) Median 5.48 21.71 20.04 11.11 13.93 1.08

Fidelity Contrafund Rank 31 28 16 30 36 N/A

Parnassus Equity Income 3.34 10.48 12.91 8.84 13.50 0.87

S&P 500 4.48 14.24 18.61 10.81 14.22 N/A

Excess Return -1.14 -3.76 -5.70 -1.97 -0.72 N/A

IM U.S. Large Cap Core Equity (MF) Median 4.40 13.50 18.25 9.40 13.11 0.99

Parnassus Equity Income Rank 84 90 92 65 38 N/A

Nevada Public Employees’ Deferred Compensation Program Comparative Performance


Returns for periods greater than one year are annualized.Returns are expressed as percentages.

52



1Quarter

YearTo

Date1

Year3

Years5

YearsExpense

Ratio

Vanguard Institutional Index 4.48 14.21 18.57 10.79 14.19 0.04

S&P 500 4.48 14.24 18.61 10.81 14.22 N/A

Excess Return 0.00 -0.03 -0.04 -0.02 -0.03 N/A

IM U.S. Large Cap Core Equity (MF) Median 4.40 13.50 18.25 9.40 13.11 0.99

Vanguard Institutional Index Rank 46 37 44 17 16 N/A

Mid-Cap Domestic Equity Funds N/A N/A N/A N/A N/A N/A

Vanguard Mid-Cap Value Index 3.14 10.27 15.15 10.11 15.19 0.07

CRSP U.S. Mid Cap Value TR Index 3.14 10.32 15.19 10.16 15.16 N/A

Excess Return 0.00 -0.05 -0.04 -0.05 0.03 N/A

IM U.S. Mid Cap Value Equity (MF) Median 2.90 7.21 14.79 8.15 13.06 1.11

Vanguard Mid-Cap Value Index Rank 42 17 46 9 6 N/A

Hartford Mid Cap HLS 3.31 15.64 20.32 11.20 15.68 0.95

Russell Midcap Index 3.47 11.74 15.32 9.54 14.26 N/A

Excess Return -0.16 3.90 5.00 1.66 1.42 N/A

IM U.S. Mid Cap Core Equity (MF) Median 3.50 9.66 15.29 8.64 12.92 1.14

Hartford Mid Cap HLS Rank 57 4 7 10 3 N/A

SMID Domestic Equity Funds N/A N/A N/A N/A N/A N/A

Goldman Sachs Small/Mid Cap Growth 5.55 21.52 18.83 9.01 12.97 1.31


Excess Return -0.23 4.49 -1.24 -2.26 -1.49 N/A

IM U.S. SMID Cap Growth Equity (MF) Median 5.48 17.35 20.00 10.62 12.79 1.24

Goldman Sachs Small/Mid Cap Growth Rank 48 18 65 76 46 N/A

Oppenheimer Main Street Mid Cap Fund 2.25 10.17 12.88 7.11 12.53 0.86

Russell Midcap Index 3.47 11.74 15.32 9.54 14.26 N/A

Excess Return -1.22 -1.57 -2.44 -2.43 -1.73 N/A

IM U.S. Mid Cap Core Equity (MF) Median 3.50 9.66 15.29 8.64 12.92 1.14

Oppenheimer Main Street Mid Cap Fund Rank 83 44 79 75 62 N/A


53



1Quarter

YearTo

Date1

Year3

Years5

YearsExpense

Ratio

Vanguard Extended Market Idx I 4.97 12.69 19.02 10.47 14.24 0.06

S&P Completion Index 4.96 12.66 18.91 10.34 14.11 N/A

Excess Return 0.01 0.03 0.11 0.13 0.13 N/A

IM U.S. SMID Cap Core Equity (MF) Median 4.76 8.47 18.09 10.38 13.18 1.17

Vanguard Extended Market Idx I Rank 45 8 40 48 18 N/A

International Equity Funds N/A N/A N/A N/A N/A N/A

Vanguard Developed Markets Index Instl 5.56 21.08 19.33 5.88 8.94 0.06

Vanguard Developed Market Policy Index 5.38 21.12 20.02 5.96 9.01 N/A

Excess Return 0.18 -0.04 -0.69 -0.08 -0.07 N/A

IM International Equity (MF) Median 6.22 23.11 19.33 5.37 7.50 1.23

Vanguard Developed Markets Index Instl Rank 64 65 50 43 28 N/A

International Equity w/ EM Funds N/A N/A N/A N/A N/A N/A

Dodge & Cox International Stock 6.94 22.47 26.58 3.87 10.13 0.64

MSCI AC World ex USA (Net) 6.16 21.13 19.61 4.70 6.97 N/A

Excess Return 0.78 1.34 6.97 -0.83 3.16 N/A

MSCI EAFE (Net) 5.40 19.96 19.10 5.04 8.38 N/A

Excess Return 1.54 2.51 7.48 -1.17 1.75 N/A

IM International Core Equity (MF) Median 5.76 21.02 19.14 5.21 8.02 1.09

Dodge & Cox International Stock Rank 19 30 2 82 14 N/A

Global Equity Funds N/A N/A N/A N/A N/A N/A

1.79 8.48 15.23 5.90 9.65 1.24

5.18 17.25 18.65 7.43 10.20 N/A

-3.39 -8.77 -3.42 -1.53 -0.55 N/A

4.97 17.79 18.59 7.63 10.90 1.15

Franklin Mutual Global Discovery MSCI AC World Index (Net)

Excess Return

IM Global Core Equity (MF) Median Franklin Mutual Global Discovery Rank 99 98 82 84 78 N/A


54



1Quarter

YearTo

Date1

Year3

Years5

YearsExpense

Ratio

Balanced Funds N/A N/A N/A N/A N/A N/A

Invesco Equity and Income R5 3.19 7.64 14.88 7.45 10.90 0.48

60% S&P 500 / 40% Bloomberg Barclays Aggregate 3.02 9.70 10.90 7.65 9.34 N/A

Excess Return 0.17 -2.06 3.98 -0.20 1.56 N/A

IM All Balanced (MF) Median 3.30 10.46 11.00 5.61 7.42 1.09

Invesco Equity and Income R5 Rank 53 76 25 17 5 N/A

Voya T Rowe Price Cap App Port I 2.70 12.12 12.32 9.73 11.14 N/A

60% S&P 500 / 40% Bloomberg Barclays Aggregate 3.02 9.70 10.90 7.65 9.34 N/A

Excess Return -0.32 2.42 1.42 2.08 1.80 N/A

IM All Balanced (MF) Median 3.30 10.46 11.00 5.61 7.42 1.09

Voya T Rowe Price Cap App Port I Rank 68 37 41 1 3 N/A

Stable Value Fund N/A N/A N/A N/A N/A N/A

Voya Fixed Account 0.69 2.05 2.85 3.12 2.76 -Hueler Stable Value 0.51 1.43 1.89 1.81 1.80 N/A

Excess Return N/A N/A N/A N/A N/A N/A

Domestic Fixed Income Funds N/A N/A N/A N/A N/A N/A

0.73 3.15 -0.12 2.63 1.98 0.04Vanguard Total Bond Market Index Vanguard Total Bond Policy Index 0.83 3.21 0.06 2.72 2.07 N/A

Excess Return -0.10 -0.06 -0.18 -0.09 -0.09 N/A

IM U.S. Broad Market Core Fixed Income (MF) Median 0.81 3.25 0.47 2.49 1.99 0.74

Vanguard Total Bond Market Index Rank 70 56 72 38 52 N/A

Target Date Funds N/A N/A N/A N/A N/A N/A


55



1Quarter

YearTo

Date1

Year3

Years5

YearsExpense

Ratio

Vanguard Target Retirement Income Inv 1.96 6.31 5.26 4.28 4.68 0.13

Vanguard Target Income Composite Index 2.04 6.40 5.44 4.47 4.87 N/A

Excess Return -0.08 -0.09 -0.18 -0.19 -0.19 N/A

IM Mixed-Asset Target 2010 (MF) Median 2.45 7.91 7.53 4.58 5.71 0.74

Vanguard Target Retirement Income Inv Rank 94 89 94 71 89 N/A

Vanguard Target Retirement 2015 Inv 2.61 8.55 7.95 5.35 6.92 0.14

Vanguard Target 2015 Composite Index 2.65 8.53 8.16 5.54 7.10 N/A

Excess Return -0.04 0.02 -0.21 -0.19 -0.18 N/A


Vanguard Target Retirement 2015 Inv Rank 58 55 71 39 32 N/A



Excess Return -0.06 0.01 -0.23 -0.18 -0.21 N/A





Excess Return -0.06 0.10 -0.18 -0.17 -0.20 N/A





Excess Return -0.05 0.10 -0.17 -0.24 -0.25 N/A





Excess Return -0.02 0.11 -0.15 -0.27 -0.28 N/A

IM Mixed-Asset Target 2055+ (MF) Median 4.65 15.26 16.85 7.85 10.34 0.85



56

Large Cap Domestic Equity

57

Fund Information

Product Name : MFS Value;R4 (MEIJX)

Fund Family : MFS Investment Management

Ticker : MEIJX

Peer Group : IM U.S. Large Cap Value Equity (MF)

Benchmark : Russell 1000 Value Index

Fund Inception : 04/01/2005

Portfolio Manager : Chitkara/Gorham

Total Assets : $3,150 Million

Total Assets Date : 09/30/2017

Gross Expense : 0.61%

Net Expense : 0.61%

Turnover : 12%

Performance Summary (net of fees)

1 Quarter CYTD 1 Year 3 Years 5 Years 10 Years

MFS Value;R4 (MEIJX) 2.79 12.16 17.18 10.45 14.01 7.13

Russell 1000 Value Index 3.11 7.92 15.12 8.53 13.20 5.92

Excess Return -0.32 4.24 2.06 1.92 0.81 1.21

Calendar Year Returns

MFS Value;R4 (MEIJX) Russell 1000 Value Index

0.00

10.00

20.00

30.00

40.00

-10.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD

Rolling Percentile Ranking (Return)- 36 Months

MFS Value;R4 (MEIJX) Russell 1000 Value Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17

Fund Characteristics As of 07/31/2017

Total Securities 95

Avg. Market Cap $114,895 Million

P/E 23.79

P/B 4.54

Div. Yield 2.32%

Annual EPS 2.30

5Yr EPS 7.37

3Yr EPS Growth 3.40

Portfolio Statistics - 36 Months

Portfolio Benchmark Peer Median

Standard Deviation 10.14 10.17 11.30

Beta 0.97 1.00 0.87

Sharpe Ratio 1.01 0.83 0.97

Information Ratio 0.78 N/A 0.36

Tracking Error 2.24 0.00 7.21

Consistency 61.11 0.00 55.56

Up Market Capture 103.14 100.00 91.23

Down Market Capture 87.17 100.00 56.83

R-Squared 0.95 1.00 0.61

Sector/Quality Allocation (Holdings based)

0.0% 10.0% 20.0% 30.0% 40.0%

Financials

Industrials

Health Care

Consumer Staples

Consumer Discretionary

Energy

Information Technology

Materials

Utilities

Telecommunication Services

31.8%

20.6%

13.6%

13.2%

7.0%

4.8%

2.6%

2.2%

1.8%

0.9%

Style Map - 12 Months

Style History Sep-2017 Avg. Exposure

Cap

ital

izat

ion

Manager Style


Russell 2000 Growth IndexRussell 2000 Value Index


Fund Objective

The Fund seeks capital appreciation and reasonable income. TheFund invests, under normal market conditions, at least 65% of itsnet assets in equity securities of companies which the adviserbelieves are undervalued in the market relative to their long termpotential.

Nevada Public Employees’ Deferred Compensation Program

MFS Value;R4 (MEIJX)


58

Fund Information

Product Name : American Funds Gro;R3 (RGACX)

Fund Family : American Funds

Ticker : RGACX

Peer Group : IM U.S. Large Cap Growth Equity (MF)

Benchmark : Russell 1000 Growth Index


Portfolio Manager : Team Managed




Net Expense : 0.98%

Turnover : 31%



American Funds Growth Fund R3 4.92 17.67 19.45 11.10 14.70 6.99

Russell 1000 Growth Index 5.90 20.72 21.94 12.69 15.26 9.08

Excess Return -0.98 -3.05 -2.49 -1.59 -0.56 -2.09


American Funds Growth Fund R3 Russell 1000 Growth Index

0.00

15.00

30.00

45.00

-15.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


American Funds Growth Fund R3 Russell 1000 Growth Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 364


P/E 33.49

P/B 7.74

Div. Yield 1.80%

Annual EPS 21.90

5Yr EPS 14.98

3Yr EPS Growth 23.71




Beta 0.94 1.00 1.03


Information Ratio -0.44 N/A -0.46


Consistency 47.22 0.00 47.22



R-Squared 0.90 1.00 0.91


0.0% 8.0% 16.0% 24.0% 32.0%



Health Care

Financials

Consumer Staples

Energy

Industrials

Materials


Non Classified Equity

23.3%

21.1%

12.1%

10.7%

7.2%

7.0%

6.7%

1.9%

0.7%

0.3%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks to provide growth of capital. The Fund investsprimarily in common stocks in companies that appear to offersuperior opportunities for growth of capital. The Fund seeks toinvest in attractively valued companies that, it the Adviser's opinion,represent good, long-term investment opportunities.


American Funds Growth Fund R3


59

Fund Information

Product Name : T Rowe Price Gro Stk (PRGFX)

Fund Family : T. Rowe Price Associates Inc

Ticker : PRGFX




Portfolio Manager : Joseph B. Fath




Net Expense : 0.68%

Turnover : 44%



T Rowe Price Gro Stk (PRGFX) 5.44 26.01 26.10 13.90 16.26 9.16


Excess Return -0.46 5.29 4.16 1.21 1.00 0.08


T Rowe Price Gro Stk (PRGFX) Russell 1000 Growth Index

0.00

10.00

20.00

30.00

40.00

50.00

-10.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


T Rowe Price Gro Stk (PRGFX) Russell 1000 Growth Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 88


P/E 35.21

P/B 9.05

Div. Yield 1.58%

Annual EPS 21.31

5Yr EPS 16.76





Beta 1.07 1.00 1.03


Information Ratio 0.31 N/A -0.46


Consistency 58.33 0.00 47.22



R-Squared 0.89 1.00 0.91


0.0% 8.0% 16.0% 24.0% 32.0%



Health Care

Financials

Industrials

Consumer Staples

Utilities



24.4%

21.7%

15.7%

13.5%

11.3%

5.4%

0.9%

0.7%

0.1%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks long-term capital growth through investments instocks. The Fund will normally invest at least 80% of its net assetsin the common stocks of a diversified group of growth companies.While it may invest in any market capitalization, it generally seeksinvestments in stocks of large-capitalization companies.


T Rowe Price Gro Stk (PRGFX)


60

Fund Information

Product Name : Fidelity Contrafund (FCNTX)

Fund Family : Fidelity Management & Research Company

Ticker : FCNTX




Portfolio Manager : William Danoff




Net Expense : 0.68%

Turnover : 41%



Fidelity Contrafund (FCNTX) 6.09 23.91 23.21 12.03 14.55 8.52


Excess Return 0.19 3.19 1.27 -0.66 -0.71 -0.56


Fidelity Contrafund (FCNTX) Russell 1000 Growth Index

0.00

10.00

20.00

30.00

40.00

50.00

-10.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Fidelity Contrafund (FCNTX) Russell 1000 Growth Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17




P/E 33.16

P/B 7.91

Div. Yield 1.58%

Annual EPS 30.63

5Yr EPS 20.68





Beta 0.89 1.00 1.03




Consistency 52.78 0.00 47.22



R-Squared 0.93 1.00 0.91


0.0% 10.0% 20.0% 30.0% 40.0%


Financials


Industrials

Consumer Staples

Health Care


Energy

Materials


31.2%

21.2%

14.9%

9.9%

8.4%

8.0%

1.9%

1.5%

1.1%

0.5%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks capital appreciation. The Fund seeks to achieve itsinvestment objective by investing in securities of companies whosevalue it believes is not fully recognized by the public. The Fundnormally invests primarily in common stocks and may invest in bothdomestic and foreign issuers.


Fidelity Contrafund (FCNTX)


61

Fund Information

Product Name : Parnassus:Core Eqty;Inv (PRBLX)

Fund Family : Parnassus Investments

Ticker : PRBLX

Peer Group : IM U.S. Large Cap Core Equity (MF)

Benchmark : S&P 500


Portfolio Manager : Ahlsten/Allen




Net Expense : 0.87%

Turnover : 23%



Parnassus:Core Eqty;Inv (PRBLX) 3.34 10.48 12.91 8.84 13.50 9.34

S&P 500 4.48 14.24 18.61 10.81 14.22 7.44

Excess Return -1.14 -3.76 -5.70 -1.97 -0.72 1.90


Parnassus:Core Eqty;Inv (PRBLX) S&P 500

0.00

8.00

16.00

24.00

32.00

40.00

-8.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Parnassus:Core Eqty;Inv (PRBLX) S&P 500

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 41


P/E 25.09

P/B 6.11

Div. Yield 2.29%

Annual EPS 8.04

5Yr EPS 8.33





Beta 0.83 1.00 1.00




Consistency 47.22 0.00 41.67



R-Squared 0.91 1.00 0.94


0.0% 5.0% 10.0% 15.0% 20.0% 25.0%

Industrials



Health Care

Consumer Staples

Financials

Materials

Utilities

Energy

20.9%

15.4%

13.7%

12.8%

12.8%

12.5%

6.8%

2.0%

1.0%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks current income and capital appreciation. The Fundalso screens all investments using social responsibility criteria.


Parnassus:Core Eqty;Inv (PRBLX)


62

Fund Information

Product Name : Vanguard Instl Indx;Inst (VINIX)

Fund Family : Vanguard Group Inc

Ticker : VINIX

Peer Group : IM U.S. Large Cap Core Equity (MF)

Benchmark : S&P 500


Portfolio Manager : Donald M. Butler




Net Expense : 0.04%

Turnover : 5%



Vanguard Instl Indx;Inst (VINIX) 4.48 14.21 18.57 10.79 14.19 7.44

S&P 500 4.48 14.24 18.61 10.81 14.22 7.44

Excess Return 0.00 -0.03 -0.04 -0.02 -0.03 0.00


Vanguard Instl Indx;Inst (VINIX) S&P 500

0.00

8.00

16.00

24.00

32.00

40.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Vanguard Instl Indx;Inst (VINIX) S&P 500

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17




P/E 26.74

P/B 5.95

Div. Yield 2.38%

Annual EPS 14.09

5Yr EPS 10.79





Beta 1.00 1.00 1.00




Consistency 30.56 0.00 41.67



R-Squared 1.00 1.00 0.94


0.0% 6.0% 12.0% 18.0% 24.0%

Financials


Health Care


Industrials

Consumer Staples

Energy

Utilities

Materials


18.9%

18.5%

13.5%

13.3%

11.8%

9.9%

5.8%

3.2%

2.2%

2.1%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks to match the investment performance of theStandard & Poor's 500 Composite Stock Price Index.


Vanguard Instl Indx;Inst (VINIX)


63

Mid-Cap Domestic Equity

64

Fund Information

Product Name : Vanguard MC Val Idx;Adm (VMVAX)


Ticker : VMVAX

Peer Group : IM U.S. Mid Cap Value Equity (MF)

Benchmark : CRSP U.S. Mid Cap Value TR Index






Net Expense : 0.07%

Turnover : 20%



Vanguard MC Val Idx;Adm (VMVAX) 3.14 10.27 15.15 10.11 15.19 N/A

CRSP U.S. Mid Cap Value TR Index 3.14 10.32 15.19 10.16 15.16 8.40

Excess Return 0.00 -0.05 -0.04 -0.05 0.03 N/A


Vanguard MC Val Idx;Adm (VMVAX) CRSP U.S. Mid Cap Value TR Index

0.00

10.00

20.00

30.00

40.00

50.00

-10.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Vanguard MC Val Idx;Adm (VMVAX) CRSP U.S. Mid Cap Value TR Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17




P/E 24.08

P/B 3.60

Div. Yield 2.42%

Annual EPS 10.24

5Yr EPS 8.36

3Yr EPS Growth 4.40




Beta 1.00 1.00 1.04




Consistency 38.89 0.00 41.67



R-Squared 1.00 1.00 0.92


0.0% 8.0% 16.0% 24.0% 32.0%

Financials

Consumer Staples


Industrials

Utilities


Materials

Health Care

Energy


26.0%

16.2%

11.5%

10.7%

9.9%

9.7%

7.0%

4.3%

3.8%

0.7%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks to track the performance of a benchmark index thatmeasures the investment return of mid-capitalization value stocks.The Fund employs a "passive management"--or indexing--investment approach designed to track the performance of theMSCI US Mid Cap Value Index.


Vanguard MC Val Idx;Adm (VMVAX)


65

Fund Information

Product Name : Hartfd:MidCap HLS;IB

Fund Family : Hartford Funds Management Company LLC

Ticker :

Peer Group : IM U.S. Mid Cap Core Equity (MF)

Benchmark : Russell Midcap Index



Total Assets : -



Net Expense : 0.95%

Turnover : 32%



Hartfd:MidCap HLS;IB 3.31 15.64 20.32 11.20 15.68 8.46

Russell Midcap Index 3.47 11.74 15.32 9.54 14.26 8.08

Excess Return -0.16 3.90 5.00 1.66 1.42 0.38


Hartfd:MidCap HLS;IB Russell Midcap Index

0.00

15.00

30.00

45.00

-15.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Hartfd:MidCap HLS;IB Russell Midcap Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17




P/E 32.69

P/B 6.89

Div. Yield 1.31%

Annual EPS 7.70

5Yr EPS 12.47

3Yr EPS Growth 8.02




Beta 1.08 1.00 1.01




Consistency 61.11 0.00 47.22



R-Squared 0.93 1.00 0.89


0.0% 8.0% 16.0% 24.0% 32.0% 40.0%

Industrials

Financials

Health Care



Consumer Staples

Utilities

Energy

33.8%

18.4%

14.9%

14.8%

10.1%

4.2%

2.3%

1.5%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks long-term growth of capital. The Fund invests atleast 80% of its assets in common stocks of mid-capitalizationcompanies. The Fund may invest up to 20% of its total assets insecurities of foreign issuers and non-dollar securities.


Hartfd:MidCap HLS;IB


66

SMID Domestic Equity

67

Fund Information

Product Name : Goldman:Sm/Md Cp Gr;A (GSMAX)

Fund Family : Goldman Sachs & Co/GSAM

Ticker : GSMAX

Peer Group : IM U.S. SMID Cap Growth Equity (MF)



Portfolio Manager : Barry/Zimmerman

Total Assets : $361 Million



Net Expense : 1.31%

Turnover : 67%



Goldman:Sm/Md Cp Gr;A (GSMAX) 5.55 21.52 18.83 9.01 12.97 8.90


Excess Return -0.23 4.49 -1.24 -2.26 -1.49 0.18


Goldman:Sm/Md Cp Gr;A (GSMAX) Russell 2500 Growth Index

0.00

15.00

30.00

45.00

60.00

75.00

-15.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Goldman:Sm/Md Cp Gr;A (GSMAX) Russell 2500 Growth Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 93


P/E 37.51

P/B 7.10

Div. Yield 1.24%

Annual EPS 19.80

5Yr EPS 18.53





Beta 0.93 1.00 1.01




Consistency 41.67 0.00 47.22



R-Squared 0.89 1.00 0.91


0.0% 8.0% 16.0% 24.0% 32.0%

Industrials

Health Care


Financials

Consumer Staples


Materials

Energy

26.4%

18.6%

15.9%

12.6%

10.1%

7.8%

4.5%

2.1%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks long-term growth of capital. The Fund achievesthis objective by investing at least 90% of its assets in equityinvestments with a primary focus on small and mid-capitalizationcompanies.


Goldman:Sm/Md Cp Gr;A (GSMAX)


68

Fund Information

Product Name : Oppenheimer Mn St MC;Y (OPMYX)

Fund Family : OppenheimerFunds Inc

Ticker : OPMYX

Peer Group : IM U.S. Mid Cap Core Equity (MF)

Benchmark : Russell Midcap Index


Portfolio Manager : Raymond Anello




Net Expense : 0.86%

Turnover : 68%



Oppenheimer Mn St MC;Y (OPMYX) 2.25 10.17 12.88 7.11 12.53 7.20

Russell Midcap Index 3.47 11.74 15.32 9.54 14.26 8.08

Excess Return -1.22 -1.57 -2.44 -2.43 -1.73 -0.88


Oppenheimer Mn St MC;Y (OPMYX) Russell Midcap Index

0.00

15.00

30.00

45.00

-15.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Oppenheimer Mn St MC;Y (OPMYX) Russell Midcap Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 81


P/E 29.71

P/B 4.30

Div. Yield 2.47%

Annual EPS 11.39

5Yr EPS 9.96





Beta 0.86 1.00 1.01




Consistency 36.11 0.00 47.22



R-Squared 0.90 1.00 0.89


0.0% 5.0% 10.0% 15.0% 20.0%

Industrials

Financials

Consumer Staples



Health Care

Energy

Materials

Utilities


17.8%

16.1%

13.8%

11.4%

9.5%

8.5%

6.7%

3.0%

2.3%

2.1%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks capital appreciation. The Fund mainly invests incommon stocks of small and mid-cap companies. Under normalmarket conditions, the Fund will invest at least 80% of its net assetsin securities of companies having a market capitalization in therange of the Russell 2500 Index and the Russell Midcap Index.


Oppenheimer Mn St MC;Y (OPMYX)


69

Fund Information

Product Name : Vanguard Ext Mk Id;Inst (VIEIX)


Ticker : VIEIX

Peer Group : IM U.S. SMID Cap Core Equity (MF)

Benchmark : S&P Completion Index






Net Expense : 0.06%

Turnover : 12%



Vanguard Ext Mk Id;Inst (VIEIX) 4.97 12.69 19.02 10.47 14.24 8.35

S&P Completion Index 4.96 12.66 18.91 10.34 14.11 8.20

Excess Return 0.01 0.03 0.11 0.13 0.13 0.15


Vanguard Ext Mk Id;Inst (VIEIX) S&P Completion Index

0.00

10.00

20.00

30.00

40.00

50.00

-10.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Vanguard Ext Mk Id;Inst (VIEIX) S&P Completion Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 3,231


P/E 29.64

P/B 4.69

Div. Yield 2.56%

Annual EPS 17.77

5Yr EPS 12.55





Beta 1.00 1.00 1.01


Information Ratio 1.94 N/A 0.02


Consistency 66.67 0.00 47.22



R-Squared 1.00 1.00 0.88


0.0% 8.0% 16.0% 24.0% 32.0%

Financials

Industrials



Health Care

Consumer Staples

Materials

Energy

Utilities


25.9%

17.3%

11.8%

11.4%

10.3%

8.2%

4.2%

3.6%

2.7%

1.0%



Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks to track the performance of a benchmark index thatmeasures the investment return of small and mid capitalizationstocks. The Fund employs a passive management or indexinginvestment approach designed to track the performance of theStandard & Poors Completion Index.


Vanguard Ext Mk Id;Inst (VIEIX)


70

International Equity

71



Vanguard Dev Mkt;Inst (VTMNX) 5.56 21.08 19.33 5.88 8.94 1.72

Vanguard Developed Market Policy Index 5.38 21.12 20.02 5.96 9.01 1.63

Excess Return 0.18 -0.04 -0.69 -0.08 -0.07 0.09

Fund Information

Product Name : Vanguard Dev Mkt;Inst (VTMNX)


Ticker : VTMNX

Peer Group : IM International Equity (MF)

Benchmark : Vanguard Developed Market Policy Index


Portfolio Manager : Franquin/Louie




Net Expense : 0.06%

Turnover : 11%


Vanguard Dev Mkt;Inst (VTMNX)

Vanguard Developed Market Policy Index

0.00

10.00

20.00

30.00

40.00

-10.00

-20.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD



Vanguard Developed Market Policy Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 3,814


P/E 23.86

P/B 3.08

Div. Yield 2.85%

Annual EPS 15.02

5Yr EPS 5.42

3Yr EPS Growth 6.15




Beta 0.92 1.00 0.90




Consistency 52.78 0.00 50.00



R-Squared 0.97 1.00 0.80


0.0% 8.0% 16.0% 24.0% 32.0%

Financials

Consumer Staples

Industrials

Health Care


Materials

Energy



Utilities

23.6%

17.1%

15.4%

8.7%

8.0%

7.4%

5.4%

4.1%

3.5%

3.2%


Style History Sep-2017

Average Style Exposure

Cap

ital

izat

ion

Manager Style

MSCI World Large Cap Growth

MSCI World Small Cap GrowthMSCI World Small Cap Value

MSCI World Large Cap Value




72

International Equity w/ E.M.

73



Dodge & Cox Intl Stock (DODFX) 6.94 22.47 26.58 3.87 10.13 2.98

MSCI AC World ex USA (Net) 6.16 21.13 19.61 4.70 6.97 1.28

Excess Return 0.78 1.34 6.97 -0.83 3.16 1.70

Fund Information

Product Name : Dodge & Cox Intl Stock (DODFX)

Fund Family : Dodge & Cox

Ticker : DODFX

Peer Group : IM International Core Equity (MF)

Benchmark : MSCI AC World ex USA (Net)






Net Expense : 0.64%

Turnover : 17%


Dodge & Cox Intl Stock (DODFX) MSCI AC World ex USA (Net)

0.00

15.00

30.00

45.00

60.00

-15.00

-30.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Dodge & Cox Intl Stock (DODFX) MSCI AC World ex USA (Net)

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Total Securities 81


P/E 25.83

P/B 2.63

Div. Yield 2.78%

Annual EPS 13.27

5Yr EPS -0.52

3Yr EPS Growth 4.93




Beta 1.13 1.00 0.90


Information Ratio -0.10 N/A 0.12


Consistency 50.00 0.00 52.78



R-Squared 0.90 1.00 0.90


0.0% 8.0% 16.0% 24.0% 32.0% 40.0%

Financials

Industrials

Health Care

Consumer Staples


Energy


Materials


Utilities

28.1%

12.7%

12.3%

11.3%

11.0%

7.5%

5.4%

5.4%

4.6%

1.1%




Cap

ital

izat

ion

Manager Style




Fund Objective

The Fund seeks long-term growth of principal and income byinvesting primarily in a diversified portfolio of equity securitiesissued by non-U.S. companies from at least three different foreigncountries, including emerging markets.


Dodge & Cox Intl Stock (DODFX)


74

Global Equity

75



Franklin Mut Gl Disc;A (TEDIX) 1.79 8.48 15.23 5.90 9.65 5.21

MSCI AC World Index (Net) 5.18 17.25 18.65 7.43 10.20 3.88

Excess Return -3.39 -8.77 -3.42 -1.53 -0.55 1.33

Fund Information

Product Name : Franklin Mut Gl Disc;A (TEDIX)

Fund Family : Franklin Templeton Investments

Ticker : TEDIX

Peer Group : IM Global Core Equity (MF)

Benchmark : MSCI AC World Index (Net)


Portfolio Manager : Langerman/Brugere-Trelat/Ranki




Net Expense : 1.24%

Turnover : 17%


Franklin Mut Gl Disc;A (TEDIX) MSCI AC World Index (Net)

0.00

10.00

20.00

30.00

40.00

-10.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Franklin Mut Gl Disc;A (TEDIX) MSCI AC World Index (Net)

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17




P/E 27.24

P/B 3.13

Div. Yield 2.65%

Annual EPS 14.47

5Yr EPS -1.23

3Yr EPS Growth -1.31




Beta 0.85 1.00 0.94


Information Ratio -0.40 N/A 0.06


Consistency 47.22 0.00 50.00



R-Squared 0.87 1.00 0.92


0.0% 8.0% 16.0% 24.0% 32.0%

Financials

Health Care


Consumer Staples


Energy

Industrials



Materials

23.7%

13.9%

10.8%

9.6%

9.4%

6.4%

5.0%

4.6%

2.4%

1.7%




Cap

ital

izat

ion

Manager Style





Franklin Mut Gl Disc;A (TEDIX)


76

Balanced Funds

77

Fund Information

Product Name : Invesco Eq & Income;R5 (ACEKX)

Fund Family : Invesco Funds

Ticker : ACEKX

Peer Group : IM All Balanced (MF)

Benchmark : 60% S&P 500 / 40% Bloomberg BarclaysAggregate


Portfolio Manager : Thomas Bastian




Net Expense : 0.48%

Turnover : 93%


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Invesco Eq & Income;R5 (ACEKX) 3.19 7.64 14.88 7.45 10.90 N/A

60% S&P 500 / 40% Bloomberg Barclays Aggregate 3.02 9.70 10.90 7.65 9.34 6.47

Excess Return 0.17 -2.06 3.98 -0.20 1.56 N/A


Invesco Eq & Income;R5 (ACEKX)

60% S&P 500 / 40% Bloomberg Barclays Aggregate

0.00

8.00

16.00

24.00

32.00

-8.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17




P/E 22.53

P/B 2.34

Div. Yield 2.56%

Annual EPS 15.13

5Yr EPS 12.05





Beta 1.20 1.00 1.05




Consistency 50.00 0.00 44.44



R-Squared 0.72 1.00 0.89

Investment Style Exposure (Returns based ) - 36 Months

0.0% 25.0% 50.0% 75.0%

Citigroup 3 Month T-Bill

Blmbg. Barc. Global Inflation-Linked

Blmbg. Barc. Global Aggregate

Blmbg. Barc. U.S. Aggregate

Alerian MLP Index

MSCI U.S. REIT Index

MSCI Emerging Markets

MSCI EAFE

Russell 3000 Index

28.9%

0.0%

0.0%

0.0%

9.1%

0.0%

0.0%

0.0%

62.1%

Peer Group Scattergram - 36 Months

Peergroup



-5.0

0.0

5.0

10.0

15.0

Ret

urn

(%)

0.0 1.5 3.0 4.5 6.0 7.5 9.0 10.5 12.0Risk (Standard Deviation %)

Fund Objective

The Fund seeks the highest possible income consistent with safetyof principal. Long-term growth of capital is an important secondaryobjective. The Fund seeks to achieve its investment objective byinvesting primarily in income-producing equity securities andinvestment grade quality debt securities.




78

Product Details

Label2

Label3

Fund Objective


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Voya T Rowe Price Cap App Port I 2.70 12.12 12.32 9.73 11.14 7.97

60% S&P 500 / 40% Bloomberg Barclays Aggregate 3.02 9.70 10.90 7.65 9.34 6.47

Excess Return -0.32 2.42 1.42 2.08 1.80 1.50


Voya T Rowe Price Cap App Port I


0.00

8.00

16.00

24.00

32.00

40.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17


0.0% 20.0% 40.0% 60.0%





Alerian MLP Index



MSCI EAFE

Russell 3000 Index

0.0%

0.0%

2.1%

26.7%

0.0%

14.0%

0.0%

14.1%

43.0%


Peergroup



-4.0

0.0

4.0

8.0

12.0

16.0

Ret

urn

(%)





Beta -0.04 1.00 1.05




Consistency 36.11 0.00 44.44


Down Market Capture -86.31 100.00 126.80

R-Squared 0.00 1.00 0.89




79

Domestic Fixed Income

80



Vanguard Tot Bd;Inst (VBTIX) 0.73 3.15 -0.12 2.63 1.98 4.25

Vanguard Total Bond Policy Index 0.83 3.21 0.06 2.72 2.07 4.30

Excess Return -0.10 -0.06 -0.18 -0.09 -0.09 -0.05

Fund Information

Product Name : Vanguard Tot Bd;Inst (VBTIX)


Ticker : VBTIX

Peer Group : IM U.S. Broad Market Core Fixed Income(MF)

Benchmark : Vanguard Total Bond Policy Index


Portfolio Manager : Joshua C. Barrickman




Net Expense : 0.04%

Turnover : 61%


Vanguard Tot Bd;Inst (VBTIX) Vanguard Total Bond Policy Index

0.00

3.00

6.00

9.00

-3.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD


Vanguard Tot Bd;Inst (VBTIX) Vanguard Total Bond Policy Index

0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 9/17


Avg. Coupon 3.07 %

Nominal Maturity N/A

Effective Maturity 8.20 Years

Duration 5.95 Years

SEC 30 Day Yield 2.69

Avg. Credit Quality AA




Beta 1.03 1.00 0.91




Consistency 44.44 0.00 47.22



R-Squared 0.99 1.00 0.94


0.0% 20.0% 40.0% 60.0% 80.0%

Government/AAA

BBB Rated

A Rated

AA Rated

Foreign Securities

Equities/Other

70.7%

13.3%

11.8%

5.3%

0.0%




Cap

ital

izat

ion

Manager Style

Barclays U.S. Government

Barclays U.S. Long Government/CreditBarclays 1-3yr Gov/Credit

Barclays US Credit Index

Fund Objective

The Fund seeks to generate returns that track the performance ofthe Barclays U.S. Aggregate Float Adjusted Index, and will maintaina dollar-weighted average maturity consistent with that of the index.The Index measures investment-grade, taxable fixed incomesecurities in the U.S.


Vanguard Tot Bd;Inst (VBTIX)


81

Target Date Retirement Funds

82

Fund Information

Product Name : Vanguard Tgt Ret Inc;Inv (VTINX)


Ticker : VTINX

Peer Group : IM Mixed-Asset Target 2010 (MF)

Benchmark : Vanguard Target 2015 Composite Index


Portfolio Manager : Buek/Coleman/Nejman




Net Expense : 0.13%

Turnover : 11%


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Vanguard Tgt Ret Inc;Inv (VTINX) 1.96 6.31 5.26 4.28 4.68 4.87

Vanguard Target 2015 Composite Index 2.65 8.53 8.16 5.54 7.10 4.92

Excess Return -0.69 -2.22 -2.90 -1.26 -2.42 -0.05


Vanguard Tgt Ret Inc;Inv (VTINX)

Vanguard Target 2015 Composite Index

0.00

5.00

10.00

15.00

20.00

25.00

-5.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17


Total Securities 6


P/E 7.77

P/B 1.43

Div. Yield 0.77%

Annual EPS 4.42

5Yr EPS 2.70

3Yr EPS Growth 2.95




Beta 0.64 1.00 0.91




Consistency 33.33 0.00 36.11



R-Squared 0.91 1.00 0.98


0.0% 25.0% 50.0% 75.0%





Alerian MLP Index



MSCI EAFE

Russell 3000 Index

7.9%

3.9%

0.0%

58.2%

0.5%

0.0%

3.8%

4.7%

20.9%


Peergroup



2.7

3.6

4.5

5.4

6.3

7.2

Ret

urn

(%)


Fund Objective

The Fund seeks to provide current income and some capitalappreciation The Fund is a fund-of-funds with an asset allocationstrategy designed is for investors currently in retirement.




83

Product Details

Label2

Label3

Fund Objective


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Vanguard Tgt Ret2015;Inv (VTXVX) 2.61 8.55 7.95 5.35 6.92 4.88


Excess Return -0.04 0.02 -0.21 -0.19 -0.18 -0.04


Vanguard Tgt Ret2015;Inv (VTXVX)


0.00

5.00

10.00

15.00

20.00

25.00

-5.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17


0.0% 20.0% 40.0% 60.0%





Alerian MLP Index



MSCI EAFE

Russell 3000 Index

0.0%

7.2%

0.0%

43.8%

1.1%

0.0%

1.2%

11.5%

35.1%


Peergroup



2.0

4.0

6.0

8.0

Ret

urn

(%)





Beta 0.98 1.00 1.03




Consistency 44.44 0.00 47.22



R-Squared 0.99 1.00 0.97




84

Product Details

Label2

Label3

Fund Objective


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Vanguard Tgt Ret2025;Inv (VTTVX) 3.52 11.62 11.74 6.76 8.85 5.21


Excess Return -0.06 0.01 -0.23 -0.18 -0.21 -0.16


Vanguard Tgt Ret2025;Inv (VTTVX)


0.00

6.00

12.00

18.00

24.00

30.00

-6.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17


0.0% 20.0% 40.0% 60.0%





Alerian MLP Index



MSCI EAFE

Russell 3000 Index

0.0%

5.0%

2.1%

26.3%

0.7%

0.7%

4.2%

14.8%

46.2%


Peergroup



2.0

4.0

6.0

8.0

10.0

Ret

urn

(%)





Beta 0.97 1.00 0.95




Consistency 47.22 0.00 38.89



R-Squared 1.00 1.00 0.98




85

Product Details

Label2

Label3

Fund Objective


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Vanguard Tgt Ret2035;Inv (VTTHX) 4.18 13.87 14.76 7.61 10.30 5.46


Excess Return -0.06 0.10 -0.18 -0.17 -0.20 -0.14


Vanguard Tgt Ret2035;Inv (VTTHX)


0.00

8.00

16.00

24.00

32.00

-8.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17


0.0% 25.0% 50.0% 75.0%





Alerian MLP Index



MSCI EAFE

Russell 3000 Index

0.0%

5.1%

2.9%

10.0%

0.6%

0.8%

5.6%

18.8%

56.2%


Peergroup



4.0

6.0

8.0

10.0

Ret

urn

(%)





Beta 0.98 1.00 0.98




Consistency 47.22 0.00 44.44



R-Squared 1.00 1.00 0.98




86

Product Details

Label2

Label3

Fund Objective


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Vanguard Tgt Ret2045;Inv (VTIVX) 4.66 15.40 16.84 8.14 10.91 5.77


Excess Return -0.05 0.10 -0.17 -0.24 -0.25 -0.15


Vanguard Tgt Ret2045;Inv (VTIVX)


0.00

8.00

16.00

24.00

32.00

-8.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17


0.0% 25.0% 50.0% 75.0%





Alerian MLP Index



MSCI EAFE

Russell 3000 Index

0.0%

0.0%

4.1%

6.8%

0.5%

0.0%

8.6%

19.5%

60.5%


Peergroup



4.0

6.0

8.0

10.0

Ret

urn

(%)





Beta 0.97 1.00 0.97




Consistency 41.67 0.00 41.67



R-Squared 1.00 1.00 0.98




87

Product Details

Label2

Label3

Fund Objective


1Quarter

YearTo

Date1

Year3

Years5

Years10

Years

Vanguard Tgt Ret2055;Inv (VFFVX) 4.69 15.41 16.86 8.11 10.88 N/A


Excess Return -0.02 0.11 -0.15 -0.27 -0.28 N/A


Vanguard Tgt Ret2055;Inv (VFFVX)


0.00

8.00

16.00

24.00

32.00

-8.00

Ret

urn

2009 2010 2011 2012 2013 2014 2015 2016 YTD




0.0

25.0

50.0

75.0

100.0

Ret

urn

Per

cen

tile

Ran

k

9/17


0.0% 25.0% 50.0% 75.0%





Alerian MLP Index



MSCI EAFE

Russell 3000 Index

0.0%

1.0%

3.7%

5.9%

0.5%

0.3%

8.6%

19.5%

60.5%


Peergroup



4.0

6.0

8.0

10.0

Ret

urn

(%)





Beta 0.97 1.00 0.99




Consistency 41.67 0.00 44.44



R-Squared 1.00 1.00 0.98




88

analysis of investment performance -...

Documents