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2012 SunTrust 2nd Quarter Investment Review x,111 �i SuNTRuST Investment Review Village of North Palm Beach General Employees' Pension Plan Second Quarter 2012 Blake Myton Lisa Allen Vice President& Investment Advisor Trust Advisor SunTrust Bank, Inc. SunTrust Bank, Inc. Institutional Investment Solutions Employee Benefit Solutions 407-237-5816 404-827-6724 blake.myton @suntrust.com Lisa.allen @suntrust.com Table of Contents I. Market and Economic Update 11. Sun Trust Portfolio Composition and Performance III. Fund Fact Sheets IV. Appendix UNTRUS pll�l%% SuNTRuST 1. Market and Economic Update Performance Summary June 2012 Index Performance MTD Q . MSCI ACWI 4.99 -5.36 6.01 -5.96 11.36 -2.17 U.S.Fed Funds Rate 0.25 0.25 0.25 0.25 0.25 0.25 MSCI World 5.15 -4.86 6.29 -4.41 11.58 -2.40 European Central Bank Rate 0.25 0.25 0.25 0.25 0.75 0.50 MSCI EAFE LCL 5.21 -5.14 4.66 -8.12 4.91 -7.06 Bank of England Rate 0.50 0.50 0.50 0.50 0.50 0.50 MSCI EAFE USD 7.05 -6.85 3.38 -13.38 6.45 -5.63 Bank of Japan Rate 0.30 0.30 0.30 0.30 0.30 0.30 MSCI Emerging Markets LCL 2.19 -5.13 5.06 -6.27 9.67 1.48 USA LIBOR-3 Month 0.46 0.46 0.47 0.58 0.37 0.25 MSCI Emerging Markets USD 3.91 -8.77 4.12 -15.67 10.10 0.21 TED Spread(bps)-3 Month 0.37 0.37 0.39 0.57 0.36 0.23 Dow Jones Industrial Average 4.05 -1.85 6.83 6.63 18.25 2.00 2 Yr U.S.Treasury 0.31 0.31 0.33 0.24 0.25 0.46 S&P 500 4.12 -2.75 9.49 5.45 16.40 0.22 10 Yr U.S.Treasury 1.65 1.65 2.21 1.88 1.91 3.16 Nasdaq 100 3.67 -4.79 15.44 13.72 22.01 7.02 10-2 yr slope 1.34 1.34 1.89 1.64 1.67 2.70 Russell 1000 3.83 -3.12 9.38 4.37 16.64 0.39 Barclays Municipal Bond 2.45 2.45 2.62 2.82 3.02 3.49 Russell 1000 Growth 2.72 -4.02 10.08 5.76 17.50 2.87 BofAML High Yield Master 7.29 7.29 7.15 8.36 9.51 7.34 Russell 1000 Value 4.96 -2.20 8.68 3.01 15.80 -2.19 BotAML Corporate Master 3.35 3.35 3.47 3.87 3.95 3.87 Russell MidCap 2.81 -4.40 7.97 -1.65 19.44 1.06 Russell Mid Cap Growth 1.90 -5.60 8.10 -2.99 19.01 1.90 r r r r Russell Mid Cap Value 3.65 -3.26 7.78 -0.37 19.92 -0.13 Euro($/€) 1.27 1.27 1.33 1.30 1.34 1.45 Russell 2000 4.99 -3.47 8.53 -2.08 17.80 0.54 Yen(41$) 79.79 79.79 82.30 76.94 77.08 80.76 Russell 2000 Growth 5.16 -3.94 8.81 -2.71 18.09 1.99 GBP($/£) 1.57 1.57 1.60 1.55 1.56 1.61 Russell 2000 Value 4.82 -3.01 8.23 -1.44 17.43 -1.05 FTSE NAREIT Equity Index 5.97 4.00 14.91 12.48 32.40 2.60 r r r r DJ-UBS Commodity Index 5.49 -4.55 -3.70 -14.32 3.49 -3.65 Light Crude Oil($/barrel) 84.96 84.96 103.02 98.83 79.20 95.42 Barclays Aggregate 0.04 2.06 2.37 7.47 6.93 6.79 Gold($/ort) 1604.20 1604.20 1671.90 1566.80 1622.30 1502.80 Barclays Intermediate Govt&Credit 0.08 1.48 2.10 5.42 5.81 6.01 BofAML U.S.Treasury Master -0.38 3.00 1.67 9.11 6.00 6.96 r r r r BofAML U.S.Treasuries Inflation-Linked -0.59 3.39 4.18 12.33 9.88 8.57 CBOE VIX 17.08 17.08 15.50 23.40 42.96 16.52 Barclays U.S.Treasury Bellwethers(2 Yr) -0.07 0.12 0.04 0.64 1.64 3.59 Barclays U.S.Treasury Bellwethers(10 -0.60 5.78 3.40 17.40 8.97 9.34 e Barclays Municipal Bond -0.11 1.88 3.66 9.90 7.62 5.95 HFRX Global Hedge Fund Index -0.30 -1.86 1.22 -5.76 1.39 -3.72 BofAML U.S.Corporate Master 0.50 2.37 4.87 9.15 10.63 7.42 HFRX Equity Hedge Index 0.52 -2.65 1.18 -10.68 -1.62 -0.24 BofAML High Yield Master 2.03 1.83 7.08 6.51 16.16 8.16 HFRI Fund of Funds -0.50 -2.30 0.99 11.50 2.17 -2.04 Citigroup WGBI(USD) 0.06 0.92 0.41 2.68 5.35 7.31 HFRX Macro -1.30 -0.52 -1.81 -0.55 -0.80 -2.52 Citigroup WGBI(USD)Hedged -0.38 1.56 2.16 6.84 4.29 5.33 HFRX Distressed Securities Index -0.71 -2.61 3.04 -5.89 1.99 -7.96 JP Morgan EMBI Global 3.57 2.47 7.45 10.90 13.47 9.44 HFRXAbsolute Return Index 0.07 -0.45 0.13 -2.14 -1.60 11.08 U.S.Style%Total Returns(Russell Indexes) S&P 500 Sector%Total Returns QTD YTD QTD ■YTD 16.5 13.7 13.3 14.1 Value Core Growth Value Core Growth 12.9 11.0 omm g mom 8.6 7.3 4.8 Large 6.5 6.5 2.9 1.7 ®®® Mid mom mom Small mom -2.6 -6.0 2.3 -6.8 -6.7-3.6 -4.2 Data Source:FactSet Cons Disc Cons Energy Financials Health Industrials Info Tech Materials Telecom Utilities Staples Care Page 1 IIIIII� SUN TRUST RUST Strategy Summary July 2012 Neutral portfolio risk as the pace of economic growth is expected to slow Tactical Positions for Major Asset Classes Overweight Neutral Underweight EQUITY • Attractive stock market valuations relative to both bonds and historical averages, coupled with heightened risk factors,argues for a neutral allocation to equities. Domestic ■ Economic earnings growth in the US is expected to exceed that of much of the developed Markets world as the euro zone debt crisis weighs on much of Europe. Foreign • We are tactically underweight foreign equities due to heightened European risks and Markets exposure to emerging markets derived from our overweight to US multi-nationals. Large vs. ■ Deteriorating global momentum causes us to favor high-quality domestic large-cap stocks and Small Cap dividend strategies,many of which have yields above government bonds. Growth vs. ■ The growth style presents opportunity relative to value due to more attractive valuations, Value better fundamentals and the negative impact of low rates on Financials. FIXED INCOME • Neutral allocation to fixed income supported by desire to balance risk, and relative attractiveness of the credit sector along with opportunities to capture yield. Domestic - Yields of many safe-haven foreign sovereign bonds are very low or even negative, and thus Markets Jp do not provide an attractive alternative to the US. In addition, the US dollar may continue to be strong, limiting foreign currency gains. Foreign ■ Though underweight, we favor emerging market debt due to higher yields and the stronger Markets AL fiscal condition of many of the developing nations relative to the developed world. Credit • Credit remains attractive as we expect interest rates to remain low. In addition, corporate fundamentals and low defaults justify an overweight to credit. ALTERNATIVE • Given our outlook for bonds and historically low yields, alternative strategies are a lower risk STRATGIES alternative to traditional equities. With many hedge fund strategies, financial market exposure, albeit lower, is maintained,providing an opportunity if risk assets rally. Page 2 SuNTRusT Investment Overview • Risk assets posted robust returns in June and the first half of 2012 — Risk assets ended the second quarter on a strong note, but it was not enough to offset weakness early in the quarter. — 2012's first half results largely conformed to our outlook early in the year; despite the ongoing debt crisis in Europe and domestic policy uncertainty equities and credit posted robust returns, led by the US markets. • Economic growth has disappointed all year, and we have revised our second half outlook downward — Policy uncertainty appears to be undermining accommodative monetary policies in stimulating growth — Clear signs the housing market has bottomed and is trending up differentiates the current soft patch from prior years — A stronger dollar and slowing growth overseas growth are likely to weigh on exports • Given year to date equity gains and the heightened risk outlook, we advocate moving to a more neutral portfolio position — Economic data has taken a step down, policy uncertainty has increased, and our growth outlook for the second half of the year has been reset lower — Historic low interest rates, generally positive corporate fundamentals, and already risk averse investor positioning argues against becoming too defensive. Page 3 SuN TRUST June 2012 Market Returns Total Return* A late June rally was not enough to offset earlier Periods ending June 30, 2012 weakness and stocks ended the second quarter in the red. Year to date results are still solidly positive, QTD YTD 12 Months however, supported by strong corporate profits and reasonable valuations. Global Markets(in US$) MSCI AC World Equity Index -5.36% 6.01% -5.96% Citi World BIG USD un-hedged 0.42% 1.31% 2.55% ' International equities led on the downside, with expectations for slowing global growth weighing US Equities most heavily on emerging market equities. Large-Cap US Stocks (S&P 500) -2.75% 9.49% 5.45% Small-Cap US Stocks (Russell 2000) -3.47% 8.53% -2.08% ■ Interest rates rose slightly at the end of the quarter, International Equities with the benchmark 10 year US Treasury yield up 10 Developed Countries (MSCI EAFE) -6.85% 3.38% -13.38% basis points to end the month at 1.56%, after falling Emerging Markets (MSCI EM) -8.77% 4.12% -15.67% from 2.2% at the beginning of the second quarter. US Fixed Income US Treasury Bonds (Benchmark 10 Yr.) 5.78% 3.40% 17.40% ■ Municipal bonds posted solid gains in the second Barclays Aggregate Bond Index 2.06% 2.37% 7.47% quarter with the weakest credit sectors Out- BofAML High Yield Master 1.83% 7.08% 6.51% Barclays Municipal Bond Index 1.88% 3.66% 9.90% performing the higher quality segments of the market. International Bonds Citi World BIG non-USD un-hedged -0.79% 0.57% -0.88% J ■ Commodities rose in June as China cut rates and PM Emerging Mkts Bond Index 2.47% 7.45% 10.90% the EU summit concluded with positive news, but Non-Traditional energy and industrial metals prices fell sharply in REITs (DJ US Select RESI Index) 3.65% 14.93% 12.77% Commodities (Dow Jones UBS) -4.55% -3.70% -14.32% the quarter, depressing overall returns from commodities. 'All returns in US dollars Data Source.Factset Page 4 SuNTRUST Economic Overview Housing Starts and Building Permits Reconsidering the second half of 2012, we have lowered 2,500 Through May 2012 our near term outlook. 4 — Incoming economic data has weakened and long-cited risks 2,000 remain, while new ones have emerged. The first half of 2012 1,500 has under-performed our expectations and as we re-assess the second half of the year the conditions to necessary to Housing Units 1� reaccelerating economic momentum are elusive. The probability 1,000 - started � g p Y 500 Housing Units �. „ �. ,:' '® of the US falling into recession next year has increased. Authorized by Although the Federal Reserve has injected massive amounts of Building Permits 0 liquidity into the banking system, the transmission mechanisms May-02 May-04 May-06 May-08 May-10 May-12 that translate liquidity into growth have been stymied. ■ Housing market remains a bright spot Institute for Supply Management Indexes — While still a long way from "recovered", the housing market has Through June 2012 clearly bottomed. New home construction is slowly increasing. The improved housing sector is a notable difference compared 70.00 with last year's summer"soft patch." 60.00 June's plunge in the Institute for Supply Management 50.00 (ISM) Manufacturing Index is worrisome r — The June ISM Manufacturing index fell below 50, led lower by a 40.00 ISM Mfg, New Orders 12.3 point plunge in the new orders component which saw the 30.00 ISM Manufacturing biggest drop since 1980. While one data point is not indicative of 20.00 Greater than 50 Indicates a trend, the index has been softer and if confirmed in the next Expansion report it ould suggest a substantially weaker economy. Data source: Moodys.com Page 5 SUN TRUST RUST Economic Overview, continued Nonfarm Payrolls and Unemployment Rate Job growth in the second quarter slowed to the lowest Through June 2012 level in two years —Nonfarm Payrolls (000s) Unemployment Rate — The unemployment rate held steady at 8.2% in June after the 134,000 10.5% economy added 80,000 jobs, driven by private sector hiring. 133,000 10.0% Second quarter job gains averaged only 75,000 new jobs per 5% 132,000 9. month, a severe slowdown from the 225,000 average seen in 131,000 Ir111111111111101*1,111 I 9.0% the first quarter and the weakest job growth in two years. The/o 8.5 130,000 $0% private sector continues to drive the employment growth that is 129,000 I 7.5% occurring. Positive elements in the report were a 0.4% increase 128,000 7.0% in hours worked, and average hourly earnings increased 0.3%. 2009 2010 2011 2012 Total real wages for June should show a relatively strong gain in June as a result. Numberof Unemployed Comparedwith New Data on the employment situation highlights the a Claimsfor Unemployment Insurance N Through July 12,2012 challenges of economic forecasting in the current UT o CD 750 environment c New Claims for 15,000 ui unemployment E 650 insurance (Ihs) 13,000 °c — AS the economy has recovered from the great recession We v 550 Unemployed (rhs) ° have seen historical relationships in numerous data series break c 450 1 11,000 Q down, particularly those which are reported on a seasonally 9,000 d adjusted basis such as unemployment claims. It appears that 350 7,000 the level of unemployment is out of line with the usual Z experience and supports arguments that structural 250 5,000 1977 1984 1991 1998 2005 2012 unemployment is increasing. Data source: Moodys.com 61411 Page 6 SuNTRUST Economic Overview, continued US Dollar strength expected to pressure exports Exports have been a Euro/Dollar Exchange Rate positive contributor to Through June 2012 the recovery, adding a bit $1.8 more to growth compared to the last $1.7 cycle. Recent dollar I strength has pressured $1.6 exports, but so far there $1.5 has not been a I discernable impact on $1.4 overall spending. $1.3 $1.2 $1.0 Jun-07 Jun-08 Jun-09 Jun-10 Jun-11 Jun-12 Data source:Factset 9 J(� Page 7 SuNTRusT Economic Overview, continued Supreme Court ruling in affordable care act exacerbates policy uncertainty With most of the provisions of the Healthcare Expenditure as % of GDP Affordable Care Act (ACA) Data through 2010 or nearest year available law upheld, the likelihood of a negotiated budget deal United States 17.6% diminishes in our view. In Netherlands 12.0% addition, decision sets up I Germany 11.6% further divisions between France 11.6% the states and the federal Canada 11.4% government over mandated) United Kingdom 9.6% spending. Medicaid health I care represents Japan 9.5% approximately 18% of US OECD Average 9.5% economic activity and thus Australia 9.1% the lingering uncertainty I Korea 7.1% about spending and Mexico 6.2% policies casts a wide I 5% 10% 15% 20% shadow. Source: OECD Page 8 SUN TRUST RUST Economic Overview, continued Economic and policy uncertainty remains heightened Policy makers in Europe continue to adopt piecemeal Policy Uncertainty Index solutions to the euro zone's 300 Through June 2012 debt crisis. We do not believe that the situation in Europe 250 will drive the US into recession, but the currency 200 weakness will weigh on US exports. The "Fiscal Cliff" in the US is a much bigger risk. 150 Absent a budget deal, the immediate impact of the 100 ——————— -- ----- ------- spending cuts set to take place would undoubtedly put 50 the US economy into average 9 recession. We believe that Congress will ultimately act 0 '85 '88 191 '94 '97 100 '03 '06 109 '12 to prevent this worst case scenario, but until a solution materializes uncertainty will remain elevated. Data source:Stanford University Page 9 SUN TRUST RUST Equity Market Overview, continued ■ Current positioning $35 S&P 500 Aggregrate Dividend Payment — In light of the uncertainties, the maturity of the economic cycle, and $30 relative valuations, we maintain our bias towards US large caps. The US has arguably the strongest corporate sector in the world, with record $25 profitability and debt to equity ratios at 20-year lows. The growth style $20 should do well as investors often pay a premium for companies that are $15 able to produce stable earnings growth in a slowing economy. In addition, we believe dividends will become an increasingly important $10 component of total return. $5 We favor an underweight position but maintain exposure to developed $0 international stocks as many companies have strong global brands and '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 Fwd derive sales throughout the world. Est We are also maintaining our near-term emerging market (EM) underweight; EM tends to underperform during periods of slowing world S&P 500 Earnings Yield less growth and weak commodity prices. Baa Corporate Yield(bps) 600 Through June 2012 ■ Downside and upside risks 400 — Global economies have continued to chug along at uninspiring rates. A 200 large risk premium is already built into the equity market, which provides a buffer against negative surprises. Progress in Europe, the fiscal cliff, 0 average or better economic data are among the factors that could propel an -200 V �I upside surprise. With so much of the near-term global markets direction seemingly hinged on policy decisions, we do not advocate making big -400 directional bets. -600 '62 '67 '72 '77 '82 '87 '92 '97 '02 '07 '12 Data source:Factset,Strategas ^�I� Page 10 SUN TRUST RUST Commodity Investment Overview Commodity Index and Sector Returns Commodities rose in June as China cut rates and the EU As of June 2012 summit concluded with positive news 10% ■QTD 'R 5.5% 5% 2.3% — After steadily declining over a 3-month span starting in late February, commodities finally rebounded in June, beating US 0% equities, but still underperformed for the quarter. -5% 3.8% 3.7% -6.8% -4.6% -10% -9.0/o° -8.90 Poor weather conditions drove large price increases in -15% Grains -14.5% -20% Ind. Metals Energy Prec. Metals DJ-UBS Agriculture — The grains sector had its strongest month ever in the history of the Commodity benchmark and was the best-performing sector on a year-to-date Index basis. With drought conditions worsening, there is downside risk for crop yields and, thus, upside pressure on prices. ■ The environment remains challenging for Energy and Commodities in DJ-UBS Grain Sub-Index Industrial Metals Indexed 100=December 31,2012 130 Data through June 2012 120 — With expectations for economic growth falling, prices for energy and industrial metals experienced sharp declines in the quarter. Gold 110 has acted alternately as a safe haven and as a risk asset over the last year, and the lack of any imminent signals on quantitative 100 easing has caused performance to be choppy. 90 Dow Jones-UBS Soybean Sub-Index ■ While commodity prices have rebounded, uncertainty is 80 Dow Jones-UBS Corn Sub-Index expected to persist 70 Dow Jones-UBS Wheat Sub-Index Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 — We currently recommend only a modest position in commodities for Data source: Morningstar Direct,Haver investors with diversified portfolios. ^II� Page 11 SUN TRUST RUST Alternative Investments Overview Comparative HFRI Hedge Fund Returns Hedge Funds were modestly positive in June and the first Year to Date Through June 2012 half of 2012 Fund Weighted Composite 1.7% — The HFRI Fund Weighted Composite Index eked out a gain of Equity Hedge 2.1% 0.05% in June, with contributions from Equity Hedge, Relative Macro: Systematic Diversified -0.6% Value and Event Driven partially offset by losses in Macro and Systematic CTA strategies. Equity Market Neutral 1.2% Fund of Funds Diversified 1.3% — After posting impressive returns of almost 5% in Q1, hedge funds Barclays Aggregate Bond 2.4% gave back some gains in what turned out to be a volatile second S&P 500 9.5% quarter dominated by the European sovereign debt crisis and troubling domestic economic data. Hedge funds lost -3.2% for the quarter and ended the first half of 2012 up a modest 1.7%. ■ HFRI Hedge Fund Volatility Compared to Strategy Equity and Fixed Income — Given heightened risk factors, a position in diversifying One Year Through June 2012 strategies, including hedge funds, maybe appropriate to balance Fund Weighted Composite 7.5% portfolio risk. Equity Hedge 12.0% Macro: Systematic Diversified 7.3% Equity Market Neutral 4.60% Fund of Funds Diversified 4.4% Barclays Aggregate Bond 2.4% Hedge fund investing involves substantial risks and may not be suitable for all clients. Hedge funds are intended for sophisticated investors who can bear the economic risks involved. Hedge funds may engage S&P 500 18.2% in leveraging and speculative investment practices that may increase the risk of investment loss, can be illiquid, and are not required to provide periodic pricing or valuation information to investors. Hedge funds may involve complex tax structures and delays in distributing tax information. Hedge funds are not subject to the same regulatory requirements as mutual funds and often charge higher fees. Data source: Morningstar Direct,Hedge Fund Research Page 12 SuN TRUST Taxable Fixed Income Market Overview Fixed Income Market Sector Returns Slow growth and low inflation environment fueled credit As of June 2012 market outperformance ■QTD YTD 14% 12.6% – High yield has been the top performing fixed income sector year- 0 12/o to-date, returning over 7%, followed by investment grade which 10% 8% 7.3% 71% was up 4.7%. The combination of European debt contagion and 6% &2.5% % 5.8% signs of a global slow down drove U.S. treasury rates lower from 4% 3.7% 3.4% 40% all ready historical low levels. The 30 year bond began the year 1.7% 21%2.4% 2% 1.9% 1.1% 1.3% o.a� at a yield of 2.89%, and has but dropped to a low of 2.57% as of o°io — L n m 0 Jul 13. o.2 U o m m 0 co Monetary policies are accommodative at home and across the globe "Returns are represented y the tollow indices: Barclays Municipal bond n ex, arcays – The Federal Open Market Committee's (FOMC) commitment to Aggregate Bond Index„Barclays US Corporate High Yield Index,Barclays US Treasury Bellwether Indexes,Barclays Financials Index,Citi WBIG Index. low rates was reaffirmed in their statements of April 25 and June 6% Real Yield: 5 Yr US Treasury less Inflation 20, noting the "...FOMC currently anticipates that economic 5% Through June 2012 conditions -- including low rates of resource utilization and a 4% subdued outlook for inflation over the medium run -- are likely to 3% warrant exceptionally low levels for the federal funds rate at 2% least through late 2014." 1% – The Fed has not been alone in an accommodative policy stance 0% - -1% as the European Central bank, China, Mexico and Brazil have -2% all lowered short term borrowing rates to combat a slowing world 3% economy. Investor focus on safety is evident in the US as real 4% yields (net of inflation)remain negative. 1998 2000 2002 2004 2006 2008 2010 2012 Data source: Morningstar Direct;Bloomberg Estimates Page 13 SUN TRUST RUST Taxable Fixed Income Market Overview ■ Benchmark 10 Year Sovereign Bond Yields European debt struggles continue to drive markets 8% Through June 2012 — What seems like a never ending saga continued to dominate 7% markets in the first half of the year as European leaders tried to 6% Spain stem contagion fears as both Italian and Spanish yields 5% Italy approached and then exceeded the crucial 7% threshold. 4% France Programs have been put into place to support the troubled 3% us Spanish banks, but as usual deployment and details have been lacking and the market reaction has been lukewarm. Ultimately, 2% Germany increased fiscal union in the European Union must happen for 1% the long term viability of the union and Euro currency to survive. 0% Jan-12 Mar-12 Apr-112 Jun-12 Credit market fundamentals still supportive — Credit spreads, for both investment grade and high yield, Barclays Corporate Bond Indexes y Option Adjusted Spread narrowed in June et remain at levels that we think still offer 300 Through June 2012 1000 value. We expect Treasury rates to remain low as investor angst 900 continues and global monetary policy remains accommodative. 250 But with most Treasury yields now negative after accounting for 800 inflation, we prefer credit risk over duration risk. With yields 200 goo hitting all time lows, bonds become more sensitive to rate changes, increasing both the potential loss and gain. 150 Investment Grade 600 (LHS) 100 High Yield (RHS) 500 Jul-11 Sep-11 Dec-11 Mar-12 Jun-12 Data source: Factset Page Pa e 14 SUNT2UST pl1�l%% SuNTRuST 11. Sun Trust Portfolio Composition and Performance Account Activity Summary Fiscal Quarter Year-to-Date Beginning •. Portfolio Portfolio Additions/Withdrawals Portfolio Additions/Withdrawals Additions $ 178,782.06 Additions $ 562,133.33 Withdrawals $ (31,853.77) Withdrawals $ (92,259.55) Total Additions/Withdrawals Total Additions/Withdrawals $ 469,873.78 Portfolio Earnings Portfolio Earnings Net Accrued Income $ 14,235.61 Net Accrued Income $ 14,235.61 Interest and Dividends $ 28,042.84 Interest and Dividends $ 179,544.22 Gains/Losses $ (185,745.57) Gains/Losses $ 719,132.11 Total Portfolio Earnings $ (143,467.12) Total Portfolio Earnings $ 912,911.94 Ending Portfolio Market Value 6/30/12 $ 8,262,585.47 Ending Portfolio Market Value 6/30/12 $ 8,262,585.47 Net Change $ 3,461.17 Net Change $ 1,382,785.72 Period ending June 30, 2012 Please refer to appendix for full disclosure. Source: First Rate investment performance system. Data includes accrued income Page 15 SuN TRUST Performance Comparisons Calendar Fiscal Inception Market Yr-to-Date Yr-to-Date to-Date Value 3 Months (6 Months) (9 Months) 1 Year 3 Years 5 Years 10 Years (206 Months) Total Portfolio $ 8,262,585 -1.74 6.13 13.07 0: Total Equity $ 5,111,237 -3.91 8.67 19.24 -3.19 12.94 -0.24 4.72 8.02 Large Cap Growth Funds $ 1,882,280 -4.00 10.11 22.09 3.88 14.93 3.73 5.21 ishares Russell 1000 Growth ETF -3.97 10.13 5.66 17.29 2.71 5.76 Russell 1000 Growth Index -4.02 10.08 21.75 5.76 1750 2.87 6.03 7.00 Large Cap Value Funds $ 1,575,891 -1.22 7.72 21.66 1.53 15.09 0.63 ishares Russell 1000 Value ETF -2.08 8.65 2.86 15.53 -2.29 5.18 ishares Dow Jones Select Dividend ETF 1.37 6.46 10.08 21.04 -0.90 Russell 1000 Value Index -2.20 8.68 22.92 3.01 15.80 -2.19 5.28 8.44 Mid Cap Growth Funds $ 328,736 -4.45 11.87 28.27 Goldman Sachs Growth Opportunities 1 -4.45 11.87 4.26 18.00 -0.33 7.18 Russell Midcap Growth Index -5.60 8.10 20.26 -2.99 19.01 1.91 8.47 Mid Cap Value Funds $ 250,521 -4.10 4.78 18.18 i5hares Russell Midcap Value Index Fund -3.25 7.77 -0.42 19.69 -0.23 8.06 Russell Midcap Value Index -3.26 778 22.19 -0.37 19.92 -0.13 8.17 - Small Cap Growth Funds $ 206,808 -5.22 9.19 22.59 -3.80 18.29 1.54 Invesco Small Cap Growth 1 -5.22 9.19 -2.77 17.93 2.49 7.50 Russell 2000 Growth -3.94 8.82 25.13 -2.71 18.09 1.99 7.39 Small Cap Value Funds $ 124,999 -10.14 2.61 23.01 Cambiar Small Cap Value 1 -10.14 2.61 -5.00 20.22 2.06 Russell 2000 Vallndx -3.01 8.23 25.52 -1.44 17.43 -1.05 6.50 9.69 Intl Equity-Developed $ 432,334 -7.97 3.77 7.54 -18.57 3.43 -8.02 MFS Research International 1 -6.89 3.42 -12.19 7.60 -3.82 7.34 Manning&Napier World Opportuinities 1 -9.26 4.98 -16.53 6.18 -4.41 7.22 MSCI EA FE Index(Net) -7.13 2.96 6.39 -13.83 6.02 -6.07 5.16 3.79 Intl Equity-Emerging $ 309,667 -5.86 9.60 14.03 Oppenheimer Developing Markets Y -5.86 8.18 -9.22 14.11 4.26 17.83 MSCI EM(Net) -8.89 3.93 8.53 -15.95 9.77 -0.09 14.07 Period ending June 30,2012. Returns for time periods 12 months and greater are annualized Past performance is not indicative of future results. source:First Rate investment performance system Please refer to appendix for full disclosure. Page 16 SLN TRUST Performance Comparisons Calendar Fiscal Inception Market Yr-to-Date Yr-to-Date to-Date Value 3 Months 6 Months 9 Months 1 Year 3 Years 5 Years 10 Years (206 Months) Fixed Income $ 2,878,771 1.98 2.46 4.57 9.53 6.78 7.22 5.77 6.25 Barclays Aggregate Bond 2.06 2.37 3.52 7.47 6.93 6.79 5.63 6.53 Bond Funds $ 2,878,771 1.98 2.46 4,57 9.53 6.78 7.22 6.77 Vanguard Total Bond Market ETF 2.11 2.28 7.67 6.65 6.78 Barclays Aggregate Bond 2.06 2.37 3.52 7.47 6.93 6.79 5.63 6.53 iShares iBoxx High-Yield Bond 2.44 5.11 7.55 13.55 6.57 Barclays High Yield Bond 1.83 7.27 14.20 7.27 16.28 8.45 10.16 7.69 Vanguard Short Term Bond ETF 0.68 1.08 2.39 3.32 4.64 ML 1-5 Yr. U.S. Treasury/Agency 0.57 0.45 0.85 2.16 2.77 4.41 3.75 5.05 Short Term $ 272,578 0.00 0.01 0.01 0.01 0.10 1.46 2.31 0.99 91 Day Treasury Bill 0.02 0.04 0.04 0.05 0.10 0.76 1.72 2.98 Please refer to appendix for full disclosure. Page 17 Period ending June 30, 2012. SuNTRuST Portfolio Composition Current Actual Market Value % Total Cash Large Caps 1 Equivalents 41.8/ Total Portfolio $ 8,248,350 100.0% , 3.3% Total Equity $ 5,097,004 61.8% $ 5,191,577 Large Cates !Shares Russell 1000 Growth Index ETF $ 1,875,718 22.7% $ 1,924,976 -0.60% !Shares Russell 1000 Value Index ETF $ 1,155,374 14.0% $ 1,162,742 -0.09% i5hares Dow Jones Select Dividend ETF $ 414,120 5.0% $ 403,360 0.13% Mid Caps Mid Cat15 7.0% Goldman Sachs Growth Opportunities 1 $ 328,736 4.0% $ 336,051 -0.09% i5hares TR Russell Midcap Index Fund $ 249,248 3.0% $ 160,850 1.07% Total Small Caps Small Cans Fixed Income o 34.9% 4.0% Invesco Small Cap Growth 1 $ 206,808 2.5% $ 205,622 0.01% International Cambiar Small Cap Value 1 $ 124,999 1.5% $ 122,038 0.04% 9.0% International MFS Research International 1 $ 204,552 2.5% $ 295,983 -1.11% Manning& Napier World Opportuinities 1 $ 227,782 2.8% $ 251,019 -0.28% Oppenheimer Developing Markets Y $ 309,667 3.8% $ 328,935 -0.23% Total Fixed Income $ 2,878,771 34.9% $ 2,825,096 Vanguard Total Bond Market ETF $ 2,219,278 26.9% $ 2,185,434 0.41% Vanguard Short Term Bond ETF $ 331,565 4.0% $ 321,325 0.12% ishares iboxx$Nigh Yield Bond ETF $ 327,927 4.0% $ 318,337 0.12% Total Cash Equivalents $ 272,574 3.3% $ 242,452 Federated Trsy Obligation Money Market I $ 272,574 3.3% $ 242,452 Period ending June 30, 2012. Please refer to appendix for full disclosure. Page 18 1 SuN TRUST pll�l%% SuNlitusT 111. Fund Fact Sheets ISHARES iShares Russell 111 Growth Index Exchange Traded Fund US Equity Large Cap Growth Returns through 313112012 Firm Overview Objective Key Facts BlackRock Inc. ("BlackRock")was founded in 1988 and is headquartered in New York The iShares Russell 1000 Growth Index Fund seeks investment returns that Benchmark City, NY.The Firm provides investment management, risk management,advisory correspond to the price and yield performance,before fees and expenses,of the Russell 1000 Growth services,separate account products, mutual funds,iShares(exchange-traded funds), Russell 1000 Growth Index erformance of the the"Index"),which measures the and other pooled investment vehicles for institutional and retail clients worldwide. On Index(the p Minimum Investment February 15,2006, BlackRock and Merrill Lynch announced an agreement to merge large-capitalization growth sector of the U.S.equity market.A subset of the Russell Manager Merrill Lynch's investment management business,Merrill Lynch Investment Managers, high Index,the Index measures the performance of those companies with relatively Hsiung/Savage higher P/B ratios and higher forecasted growth. and BlackRock to create a new independent company that will operate under the Manager Tenure BlackRock name.Additionally,in December 2009, BlackRock completed its merger The Fund uses a representative sampling strategy,seeking to track the Index.The 4.2 Yrs with Barclays Global Investors("BGI"). BlackRock's ownership structure has no single securities selected are expected to have, in the aggregate,investment characteristics Shareclass Inception majority stockholder and has a majority of independent directors. Merrill Lynch&Co., (based on factors such as market capitalization and industry weightings),fundamental 5/2000 Inc.,a wholly-owned subsidiary of Bank of America Corporation,The PNC Financial characteristics(such as return variability and yield),and liquidity measures similar to Services Group, Inc.,and Barclays PLC own economic interests in BlackRock those of the Index.The Fund generally invests at least 90%of its assets in securities Shareclass Assets approximating 34.1%,24.6%and 19.9%, respectively,with the remainder owned by of the Index and in depositary receipts representing securities of the Index. $16.7 Billion institutional and individual investors,as well as BlackRock employees. #of Holdings 586 Annual Turnover(2011) 24% Expense Ratio Gross 20 bps Expense Ratio Net 20 bps Website www.ishares.com Phone 800-474-2737 Asset Allocation 3/30/2012 Region Analysis 3/30/2012 Characteristics 3/30/2012 Market Cap US/Canada 44,905.25 3 Year Earnings Growth Europe 10.3% 16.00 Dividend Yield 99.9% Equity Asia/Pacific 0.1 ® 1.92% 0.1% Cash Latin America Price To Book 4.03 Unclassifed 0.1% Price To Earnings g.g% 0% 20% 40% 60% 80% 100% 16.83 Price To Sales 1.66 Price To Cash Flow 11.38 Return on Equity 30.61% Page 19 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares Russell 111 Growth Index Exchange Traded Fund US Equity Large Cap Growth Returns through 313112012 Trailing Performance Calendar Performance 30 40 25 20 20 15 0 - 10 20 5 0 L -40 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 W ETF NAV ETF Mkt Val = Benchmark ETF NAV ETF Mkt Val = Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception ETF(NAV) 14.61 10.82 25.01 4.92 6.31 4.10 (0.50) ETF(Mkt Val) 14.68 10.77 25.27 4.89 6.32 4.08 (0.79) Benchmark 14.69 11.02 25.28 5.10 6.49 4.28 2012 YTD 2011 2010 2009 2008 2007 2006 ETF(NAV) 14.61 2.46 16.44 36.96 (38.48) 11.62 8.86 ETF(Mkt Val) 14.68 2.32 16.48 36.73 (38.22) 11.55 8.75 Benchmark 14.69 2.64 16.71 37.21 (38.44) 11.81 9.07 Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 6/30/2011 Equity -Top Portfolio Holdings 3/30/2012 Portfolio% Materials IIIIIIIIIIIIIIIIIIl6 Apple, Inc. 7.55% Information Technology 27 Exxon Mobil Corporation 4.29% Healthcare 10.9 International Business Machines Corp 3.44% Telecommunications �1.2 Microsoft Corporation 3.26% Google, Inc. Class A 2.20% Consumer Discretionary 14 Coca-Cola Co 1.99% Consumer Staples 11.8 Philip Morris International, Inc. 1.94% Industrials 13.5 Qualcomm, Inc. 1.55% Financials _4 Oracle Corporation 1.52% PepsiCo Inc 1.43% Energy 11.6 Utilities 10.1 0% 5% 10% 15% 20% 25% 30% Percentage of Equity Page 20 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares Russell 111 Value Index Exchange Traded Fund US Equity Large Cap Value Returns through 313112012 Firm Overview approximating 34.1%,24.6%and 19.9%, respectively,with the remainder owned by Key Facts BlackRock Inc. ("BlackRock")was founded in 1988 and is headquartered in New York institutional and individual investors,as well as BlackRock employees. Benchmark City, NY.The Firm provides investment management, risk management,advisory Objective Russell 1000 Value services,separate account products, mutual funds,iShares(exchange-traded funds), The iShares Russell 1000 Value Index Fund seeks investment results that correspond Minimum Investment and other pooled investment vehicles for institutional and retail clients worldwide. On generally to the price and yield performance, before fees and expenses,of the Russell February 15,2006, BlackRock and Merrill Lynch announced an agreement to merge 1000 Value Index.The index measures the performance of large capitalization stocks Manager Merrill Lynch's investment management business,Merrill Lynch Investment Managers, Hsiung/Savage in the U.S.equity market.A subset of the Russell 1000 Index,the index measures the and BlackRock to create a new independent company that will operate under the performance of those companies with relatively lower P/B ratios and lower forecasted Manager Tenure BlackRock name.Additionally,in December 2009, BlackRock completed its merger growth.The Fund uses a replication strategy-investing in substantially all of the 4.2 Yrs with Barclays Global Investors("BGI"). BlackRock's ownership structure has no single securities in the index in approximately the same proportions-to seek to track the Shareclass Inception majority stockholder and has a majority of independent directors. Merrill Lynch&Co., index. 5/2000 Inc.,a wholly-owned subsidiary of Bank of America Corporation,The PNC Financial Services Group, Inc.,and Barclays PLC own economic interests in BlackRock Shareclass Assets $12.3 Billion #of Holdings 655 Annual Turnover(2011) 24% Expense Ratio Gross 20 bps Expense Ratio Net 20 bps Website www.ishares.com Phone 800-474-2737 Asset Allocation 3/30/2012 Region Analysis 3/30/2012 Characteristics 3/30/2012 Market Cap US/Canada 36,966.77 3 Year Earnings Growth Europe 00.5% 3.85 Dividend Yield 99.9% Equity Asia/Pacific ® 2.93% 0.2% Cash Latin America Price To Book 1.47 Unclassifed 0.2% Price To Earnings 13.81 9.9% 0% 20% 40% 60% 80% 100% Price To Sales 1.06 Price To Cash Flow 7.40 Return on Equity 13.17% Page 21 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares Russell 111 Value Index Exchange Traded Fund US Equity Large Cap Value Returns through 313112012 Trailing Performance Calendar Performance 25 40 20 15 20 10 1 � �i 0 0 E -I E -1 20 _ -5 -40 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 ETF NAV _ ETF Mkt Val _ Benchmark ETF NAV _ ETF Mkt Val _j Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception ETF(NAV) 11.04 4.59 22.58 (0.91) 3.36 4.42 4.19 ETF(Mkt Val) 10.95 4.45 22.68 (0.94) 3.36 4.38 4.11 Benchmark 11.12 4.79 22.82 (0.81) 3.49 4.57 2012 YTD 2011 2010 2009 2008 2007 2006 ETF(NAV) 11.04 0.19 15.25 19.70 (36.82) (0.30) 21.99 ETF(Mkt Val) 10.95 0.10 15.44 19.23 (36.45) (0.62) 22.11 Benchmark 11.12 0.39 15.51 19.69 (36.85) (0.17) 22.25 Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 6/30/2011 Equity -Top Portfolio Holdings 3/30/2012 Portfolio% Materials -2.9 General Electric Co 2.99% Information Technology 8.7 Chevron Corp 2.85% Healthcare 12.2 AT&T Inc 2.60% Telecommunications -47 JPMorgan Chase&Co 2.57% Pfizer Inc 2.51% Consumer Discretionary 9 Procter&Gamble Co 2.46% Consumer Staples -7.2 Wells Fargo&Co 2.19% Industrials 9.4 Intel Corp 2.09% Johnson&Johnson 2.02% Financials 26.7 Berkshire Hathaway Inc Class B 1.99% Energy 12.4 Utilities �1111111111111111111116.8 0% 5% 10% 15% 20% 25% 30% Percentage of Equity Page 22 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares Dow • nes Select Dividend Index Exchange Traded Fund US Equity Mid Cap Value Returns through 313112012 Firm Overview the Dow Jones Select Dividend Index.The Index measures the performance of a Key Facts BlackRock Inc. ("BlackRock")was founded in 1988 and is headquartered in New York selected group of equity securities issued by companies that have provided relatively Benchmark City, NY.The Firm provides investment management, risk management,advisory high dividend yields on a consistent basis over time.The Index is comprised of 100 of Dow Jones Select Dividend services,separate account products, mutual funds,iShares(exchange-traded funds), the highest dividend-yielding securities(excluding REITs)in the Dow Jones U.S.Total and other pooled investment vehicles for institutional and retail clients worldwide. On Market Index,a broad-based index representative of the total market for U.S.equity Minimum Investment February 15,2006, BlackRock and Merrill Lynch announced an agreement to merge securities. Manager Merrill Lynch's investment management business,Merrill Lynch Investment Managers, Hsiung/Savage and BlackRock to create a new independent company that will operate under the To be included in the Index,the securities must have had a flat-to-positive dividend- Manager Tenure BlackRock name.Additionally,in December 2009, BlackRock completed its merger per-share growth rate for each of the last five years; must have an average five-year 4.2 Yrs with Barclays Global Investors("BGI"). dividend payout ratio of 60%or less;and,must have a minimum three-month average trading volume of 200,000 shares a day.The Index is reconstituted annually. Shareclass Inception Objective 11/2003 The iShares Dow Jones Select Dividend Index Fund seeks investment results that The Fund uses a replication strategy-investing in substantially all of the securities in Shareclass Assets correspond generally to the price and yield performance, before fees and expenses,of the Index in approximately the same proportions-to track the Index. $10.1 Billion #of Holdings 101 Annual Turnover(2011) 18% Expense Ratio Gross 40 bps Expense Ratio Net 40 bps Website www.ishares.com Phone 800-474-2737 Asset Allocation 3/30/2012 Region Analysis 3/30/2012 Characteristics 3/30/2012 Market Cap 10,967.71 US/Canada 3 Year Earnings Growth 3.88 Dividend Yield 99.9% Equity ® 4.14% 0.1% Cash Price To Book Unclassifed 0.1% 1.95 Price To Earnings 14.71 g.g% 0% 20% 40% 60% 80% 100 Price To Sales 1.12 Price To Cash Flow 7.46 Return on Equity 18.51% Page 23 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares Dow • nes Select Dividend Index Exchange Traded Fund US Equity Mid Cap Value Returns through 313112012 Trailing Performance Calendar Performance 30 20 25 . - 20 0 15 - 10 5 -20 0 " " - -5 -40 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 W ETF NAV ETF Mkt Val = Benchmark ETF NAV ETF Mkt Val = Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception ETF(NAV) 5.00 11.23 25.74 (0.87) 2.84 5.03 ETF(Mkt Val) 5.01 11.23 25.83 (0.84) 2.83 4.88 Benchmark 5.06 11.75 26.39 (0.13) 3.60 5.29 2012 YTD 2011 2010 2009 2008 2007 2006 ETF(NAV) 5.00 11.82 17.69 10.99 (32.91) (5.38) 19.41 ETF(Mkt Val) 5.01 11.73 17.79 10.77 (32.55) (5.77) 19.56 Benchmark 5.06 12.42 18.32 11.13 (30.97) (5.16) 19.54 Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 6/30/2011 Equity -Top Portfolio Holdings 3/30/2012 Portfolio% Materials -6.8 Lorillard, Inc. 3.80% Information Technology Lockheed Martin Corporation 2.91% Healthcare _38 Chevron Corp 2.09% Telecommunications ®2.9 Entergy Corp 1.94% CenturyLink Inc 1.93% Consumer Discretionary 10.6 Kimberly-Clark Corporation 1.84% Consumer Staples 15.1 Integrys Energy Group Inc 1.78% Industrials 14.7 McDonald's Corporation 1.76% PPG Industries, Inc. 1.63% Financials 9.5 Watsco, Inc. 1.63% Energy ■2.2 Utilities 0% 5% 10% 15% 20% 25% 30% 35% Percentage of Equity Page 24 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N • Goldman Sachs Growth Opportunities I (GG • Mutual Fund US Equity Mid Cap Growth Returns through 313112012 Firm Overview capital allocation, have a consistent operating history,and have their incentives Key Facts Goldman Sachs Asset Management LP("GSAM")serves as the investment advisor aligned with shareholders. Benchmark for the Goldman Sachs Funds. GSAM is an affiliate of Goldman,Sachs&Co.,a New Russell Midcap Growth York City-based global investment banking,securities and investment management Holdings become candidates for sale if the company's long-term fundamentals firm. Founded in 1869,Goldman Sachs&Co.provides a wide range of services deteriorate or if the fundamentals were initially incorrectly assessed,the price of the Minimum Investment worldwide to corporations,financial institutions,governments,and high-net-worth stock substantially exceeds what the team determines to be the worth of the business, $10 Million individuals. a holding grows beyond with which the team is comfortable from a risk management Manager standpoint,a company pursues a strategy that the team does not believe will Team Objective maximize shareholder value,or if the company's market cap and character no longer Manager Tenure Goldman Sachs Growth Opportunity Fund seeks long-term growth of capital by fits the team's definition of a mid-cap company. 4.6 Yrs investing in high-quality growth businesses. Personnel Shareclass Inception Process Steven Barry is a Managing Director of the firm as well as Chief Investment Officer of 5/1999 The Fund must invest at least 90%of assets in equity investments with a primary Fundamental and Growth Equity.Mr. Barry has primary responsibility for investment Shareclass Assets focus on mid-cap companies.The management team looks for long-term growth research in industrials and multi-industry companies. Prior to joining Goldman Sachs $3.1 Billion companies at favorable prices.Characteristics of growth companies include strong in 1999, he was a portfolio manager at Alliance Capital Management. Mr. Barry holds business franchises,favorable long-term prospects,and excellent management. BA degrees in Mathematics and Economics from Boston College. #of Holdings Strong business franchises are defined by GSAM as those that have an established 77 brand name,dominant market share,pricing power,recurring revenue stream,free Scott Kolar is Chairman of the Investment Committee and a Senior Portfolio Manager Annual Turnover(2011) cash flow,and high return on invested capital. Favorable long-term prospects include for the Fund. Prior to joining GSAM, he worked at Liberty Investment Management. 71% predictable and sustainable growth,a long product life cycle,an enduring competitive Mr. Kolar earned a BA degree in Government from Harvard University. Expense Ratio Gross advantage,and favorable demographic trends.Management should be rational in their 101 bps Expense Ratio Net 95 bps Website www.gs.com Phone 800-526-7384 Characteristics 12/31/2011 Market Cap 6,105.58 3 Year Earnings Growth 6.83 Asset Allocation 12/31/2011 Region Analysis 12/31/2011 Dividend Yield 1.29% US/Canada Price To Book 2.97 Europe 11.4% Price To Earnings 19.74 99.7% Equity ® 0.4% Cash Price To Sales Asia/Pacific 11.t% 1.98 Price To Cash Flow Unclassifed 10.4% 12.65 9.7% 0% 20% 40% 60% 80% too% Return on Equity 16.47% Page 25 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 1 R S 1 • Goldman Sachs Growth Opportunities I (GG • Mutual Fund US Equity Mid Cap Growth Returns through 313112012 Trailing Performance Calendar Performance 30 60 25 40 20 20 15 0 -i 10 -20 0 -60 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 MF --7 Benchmark MF Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception MF 17.07 6.41 28.39 7.68 8.59 6.96 11.33 Benchmark 14.52 4.43 29.16 4.44 7.23 6.92 2012 YTD 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 MF 17.07 (3.70) 19.10 58.21 (39.97) 19.87 6.51 4.84 16.42 33.01 (26.96) Benchmark 14.52 (1.65) 26.38 46.29 (44.32) 11.43 10.66 12.09 15.48 42.72 (27.41) Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 12/31/2011 Equity -Top Portfolio Holdings 12/31/2011 Portfolio% Materials M3.1 SBA Communications Corp 2.97% Information Technology PVH Corp 2.69% Healthcare 12.3 Cameron International Corporation 2.41% C.R. Bard, Inc. 2.34% Telecommunications ®5.9 PetSmart Inc. 2.34% Consumer Discretionary 18.9 Global Payments, Inc. 2.19% Consumer Staples 1.6 Amphenol Corp 2.16% Industrials 9.6 Whiting Petroleum Corporation 2.13% Equinix, Inc. 2.12% Financials 12.5 Pioneer Natural Resources Company 2.11 Energy 113 Utilities 0% 5% 10% 15% 20% 25% Percentage of Equity Page 26 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 1 R S 1 ISHARES iShares Russell Midcap Index Exchange Traded Fund US Equity Mid Cap Core Returns through 313112012 Firm Overview the remainder owned by institutional and individual investors,as well as BlackRock Key Facts BlackRock Inc. ("BlackRock")was founded in 1988 and is headquartered in New York employees. Benchmark City, NY.The Firm provides investment management, risk management,advisory Objective Russell Midcap services,separate account products, mutual funds,iShares(exchange-traded funds), The iShares Russell Midcap Index Fund seeks investment results that correspond to Minimum Investment and other pooled investment vehicles for institutional and retail clients worldwide. On the price and yield performance,before fees and expenses,of the Russell Midcap February 15,2006, BlackRock and Merrill Lynch announced an agreement to merge Index.The Index is a float-adjusted capitalization-weighted index consisting of the 800 Manager Merrill Lynch's investment management business,Merrill Lynch Investment Managers, Hsiung/Savage smallest companies in the Russell 1000 Index.The Index includes equity securities and BlackRock to create a new independent company that will operate under the issued by companies which are in the market capitalization range of$213 to$25B.The Manager Tenure BlackRock name.Additionally,in December 2009, BlackRock completed its merger Fund uses a representative sampling strategy-investing in a subset of the Index that, 4.2 Yrs with Barclays Global Investors("BGI"). BlackRock's ownership structure has no single as a portfolio,has similar fundamental and risk characteristics as the entire Index-to Shareclass Inception majority stockholder and has a majority of independent directors. Bank of America track the Index. 7/2001 Corporation,The PNC Financial Services Group, Inc.,and Barclays PLC own economic interests in BlackRock approximating 7%,20%and 20%, respectively,with Shareclass Assets $6.8 Billion #of Holdings 780 Annual Turnover(2011) 12% Expense Ratio Gross 21 bps Expense Ratio Net 21 bps Website www.ishares.com Phone 800-474-2737 Asset Allocation 3/30/2012 Region Analysis 3/30/2012 Characteristics 3/30/2012 Market Cap US/Canada 7,171.36 Europe I1% 3 Year Earnings Growth 9.41 Asia/Pacific I0.2% � 99.9% Equity Dividend Yield ® 0.1% Cash Latin America I0.1% 2.38% Price To Book E.Europe/Africa 2.06 Unclassifed 'I0.1% Price To Earnings 17.32 g.g% 0% 20% 40% 60% 80% 100 Price To Sales 1.14 Price To Cash Flow 9.88 Return on Equity 16.22% Page 27 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares Russell Midcap Index Exchange Traded Fund US Equity Mid Cap Core Returns through 313112012 Trailing Performance Calendar Performance 30 60 25 40 20 20 0 15 0 - � 10 - 20 0 -60 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 W ETF NAV ETF Mkt Val = Benchmark ETF NAV ETF Mkt Val Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception ETF(NAV) 12.64 2.95 28.80 2.86 6.55 7.69 7.47 ETF(Mkt Val) 12.62 2.93 28.97 2.79 6.57 7.65 7.55 Benchmark 12.94 3.31 29.13 3.03 6.73 7.85 2012 YTD 2011 2010 2009 2008 2007 2006 ETF(NAV) 12.64 (1.68) 25.20 40.30 (41.42) 5.41 15.04 ETF(Mkt Val) 12.62 (1.78) 25.31 40.69 (41.36) 5.10 14.99 Benchmark 12.94 (1.55) 25.47 40.48 (41.46) 5.60 15.26 Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 6/30/2011 Equity -Top Portfolio Holdings 3/30/2012 Portfolio% Materials 6.9 El Paso Corporation 0.54% Information Technology 13.8 Intuitive Surgical, Inc. 0.51% Healthcare 10.2 Spectra Energy Corp 0.49% Telecommunications 1.3 Ecolab, Inc. 0.44% Equity Residential 0.44% Consumer Discretionary 15.3 Intuit, Inc. 0.43% Consumer Staples 5.9 Discover Financial Services 0.43% Industrials 12.9 Marsh&McLennan Companies, Inc. 0.43% Lorillard, Inc. 0.42% Financials Noble Energy Inc 0.41% Energy 8.5 Utilities 6.3 0% 5% 10% 15% 20% Percentage of Equity Page 28 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N INVESCO Invesco Small Cap Growth Mutual Fund US Equity Small Cap Growth Returns through 313112012 Firm Overview process is based on a three-step process that includes fundamental,valuation and Key Facts Invesco Ltd. ("Invesco")is an independent global investment manager that provides a timeliness analysis focused on identifying high quality,fundamentally sound issuers range of investment strategies and vehicles to retail, institutional,and high net worth operating in an attractive industry;attractively valued securities given their growth Benchmark potential over a one-to two-year horizon;and the"timeliness"of a purchase, Russell 2000 Growth clients around the world. Headquartered in Atlanta,Georgia,the firm was created by P Y p the combination of two asset management businesses: INVESCO and AIM, both of respectively.The timeliness analysis includes a review of relative price strength, Minimum Investment which had been founded in the 1970s. trading volume characteristics and trend analysis to look for signs of deterioration. If a $1 Million stock shows signs of deterioration,it is generally not considered as a candidate for the Manager Objective portfolio. Team The Fund's investment objective is long-term growth of capital by investing in small Manager Tenure companies that experienced above average long-term growth in earnings and that The portfolio managers consider selling a security if a change in industry or issuer 6.3 Yrs management believes have excellent prospects for future growth. fundamentals indicates a problem,the price target set at purchase is exceeded or a change in technical outlook indicates poor relative strength. Shareclass Inception Process 3/2002 The Fund invests, under normal circumstances,at least 80%of net assets(plus Personnel Shareclass Assets borrowings for investment purposes)in securities of small-capitalization issuers. In Juliet Ellis, CFA, is the Lead Senior Portfolio Manager of the AIM Small Cap Equity, $617.1 Million complying with the 80%investment requirement,the Fund may also invest in the AIM Small Cap Growth,AIM V.I. Small Cap Equity,and AIM V.I.Small Cap Growth following investments with economic characteristics similar to the Fund's direct Funds. Prior to joining AIM in 2004,she served as senior portfolio manager and #of Holdings investments:derivatives,exchange-traded funds(ETF),and American Depositary managing director with JPMorgan Fleming Asset Management. Ms. Ellis received a 132 Receipts.These derivatives and other investments may have the effect of leveraging BA degree in Economics and Political Science from Indiana University. Annual Turnover(2011) the Fund's portfolio.Additionally,the Fund may also invest up to 25%of its total assets 38% in foreign securities. Juan Hartsfield, CFA, is Portfolio Manager and(lead manager with respect to the Expense Ratio Gross fund's investments in the leisure sector). From 2000 to 2004,he was a co-portfolio 82 bps The Fund considers an issuer to be a small-capitalization issuer if it has a market manager with JPMorgan Fleming Asset Management. Mr. Hartsfield received a BS capitalization,at the time of purchase,no larger than the largest capitalized issuer degree in Petroleum Engineering from the University of Texas and an MBA from the Expense Ratio Net included in the Russell 2000 Index during the most recent 11-month period(based on University of Michigan. 82 bps month-end data)plus the most recent data during the current month.As of December Website 31,2009,the capitalization of companies in the Russell 2000 Index range from$20 Clay Manley, CFA, is a Portfolio Manager of the Small Cap Growth Fund and has www.invesco.com million to$5.5 billion. been responsible for the fund since 2008. He has been associated Invesco and/or its Phone affiliates since 2001.Mr.Manley earned a BA degree in History and Geology from 800-410-4246 In selecting investments,the portfolio managers utilize a disciplined portfolio Vanderbilt University and an MBA from Emory University. construction process that diversifies the Fund based on the industry group diversification of the Russell 2000 Growth Index and generally maintains a maximum Characteristics 12/31/2011 deviation from index industry groups of 350 basis points.The security selection Market Cap 2,074.33 3 Year Earnings Growth 11.16 Asset Allocation 12/31/2011 Region Analysis 12/31/2011 Dividend Yield 1.41% Price To Book US/Canada 2.60 Price To Earnings 18.78 99.3% Equity ® 0.7% Cash Price To Sales 1.40 Unclassifed 10.7% Price To Cash Flow 12.06 9.3% 0 r 20 r 40 r 60 r 80 r 100% Return on Equity 17.23% Page 29 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS I �{��,�11�U S 1 T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. III SuN INVESCO Invesco Small Cap Growth Mutual Fund US Equity Small Cap Growth Returns through 313112012 Trailing Performance Calendar Performance 30 40 25 20 - 20 15 0 - - 10 j -20 0 -40 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 MF --7 Benchmark MF Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception MF 15.20 2.53 27.70 5.19 8.11 6.52 6.62 Benchmark 13.28 0.68 28.36 4.15 6.86 6.00 2012 YTD 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 MF 15.20 (0.81) 26.82 35.16 (38.53) 11.85 14.76 8.93 7.41 39.83 Benchmark 13.28 (2.91) 29.09 34.47 (38.54) 7.05 13.34 4.15 14.31 48.53 (30.27) Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 12/31/2011 Equity -Top Portfolio Holdings 12/31/2011 Portfolio% Materials ®4.8 TransDigm Group Inc 1.98% Information Technology 1111111111111111111111111111111125.4 Zoll Medical Corporation 1.27% Healthcare 17.7 Westinghouse Air Brake Technologies Corp 1.21% Telecommunications ,0.9 Co Star Group, Inc. 1.15% Nu Skin Enterprises, Inc.A 1.15% Consumer Discretionary 17.2 Biomarin Pharmaceutical, Inc. 1.10% Consumer Staples _4.4 RightNow Technologies, Inc. 1.09% Industrials 14.9 Salix Pharmaceuticals, Ltd. 1.07% Proassurance Corporation 1.06% Financials -5.9 CommVault Systems, Inc. 1.01 Energy -7.9 Utilities 10.9 0% 5% 10% 15% 20% 25% 30% Percentage of Equity Page 30 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 1 R S 1 CAMBIAR FUNDS Cambiar • ' Mutual Fund US Equity Small Cap Value Returns through 313112012 Firm Overview price-to-book, price-to-sales and price-to-cash flow;experiencing positive Key Facts Cambiar Investors LLC ,located in Denver, Colorado was founded in 1973"Cambiar" developments not yet recognized by the markets,such as positive changes in LLC("Cambiar"), Benchmark to manage value-oriented equity portfolios for institutional and individual investors. In management, improved margins,corporate restructuring or new products;and/or Russell 2000 Value 1990, Cambiar became a wholly-owned subsidiary of Old Mutual(formerly United possessing significant appreciation potential within 12 to 18 months. Asset Management). In 2001,the management and senior investment professionals Minimum Investment formed a limited liability company,called Cambiar LLC,and completed a management The Adviser may sell a stock because: it realizes positive developments and achieves $5 Million buyout from the parent company.Old Mutual retained a minority interest until January its target price; it experiences exaggerated price moves relative to actual Manager 2004,when Cambiar LLC purchased the remaining interest, making the firm 100% developments; it becomes over weighted in the portfolio;or it experiences a change in Team employee owned. or deteriorating fundamentals. Manager Tenure Objective Personnel 7.6 Yrs The Cambiar Small Cap Fund seeks long-term capital appreciation. Brian Barish, CFA, President, Director of Research,joined the Cambiar in 1997. He Shareclass Inception serves as the Lead Manager of the investment team of the Cambiar Opportunity Fund 10/2008 Process and Co-Manager of the Cambiar Small Cap Fund. He focuses on the technology, Shareclass Assets Under normal circumstances,the Fund invests at least 80%of its net assets in media,aerospace,and defense sectors. Prior to joining the firm,Mr. Barish served as $231.8 Million common stocks of small cap companies.The Fund considers small-cap companies to Director of Emerging Markets Research for Lazard Freres&Co.,a New York based be those with market capitalizations not greater than either that of the largest company investment bank. He has also served as a securities analyst with Bear, Stearns&Co. #of Holdings in the Russell 2000 Index($3.2 billion as of July 31,2010)or$3.5 billion,whichever is and Arnhold S. Bleichroeder,a New York based research firm.Mr. Barish received a 52 greater at the time of purchase. BA degree in Economics and Philosophy from the University of California, Berkeley. Annual Turnover(2011) 85% Cambiar's investment professionals work as a team to develop investment ideas by Andrew Baumbusch, Principal,joined the Adviser in 2004. He co-manages the Expense Ratio Gross analyzing company and industry statements, monitoring Wall Street and other Cambiar Opportunity Fund and Cambiar Small Cap Fund with a focus on the 126 bps research sources and interviewing company management.The Adviser also evaluates industrials,media and telecom sectors. Prior to joining the firm, Mr. Baumbusch economic conditions and fiscal and monetary policies. Cambiar's approach focuses served as an investment analyst at Franklin Templeton,Atrium Capital and Alex Brown Expense Ratio Net first on individual stocks and then on industries or sectors.The Adviser tries to select &Sons. Mr. Baumbusch earned a BA degree in Economics from Princeton University 108 bps quality companies:possessing above-average financial characteristics; having and an MBA from Stanford University. Website seasoned management;enjoying product or market advantages;whose stock is www.cambiar.com selling at a low relative historical valuation based on ratios such as price-to-earnings, Phone 866-777-8227 Characteristics 2/29/2012 Market Cap 2,100.11 3 Year Earnings Growth 2.04 Asset Allocation 2/29/2012 Region Analysis 2/29/2012 Dividend Yield 1.39% 9.2% Price To Book US/Canada 88.7% 1.69 Price To Earnings 17.03 90.8% Equity Europe 12.1 ® 9.2% Cash Price To Sales 1.03 U Price To Cash Flow nclassifed -9.2% 10.53 s0.a% 0I% 20% 40% 60% 80 r 100% Return on Equity 13.34% Page 31 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 11�U S 1 CAMBIAR FUNDS Cambiar Small Cap ' Mutual Fund US Equity Small Cap Value Returns through 313112012 Trailing Performance Calendar Performance 35 60 30 4 25 0 20 20 15 10 0 5 20 0 !� -5 -40 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 MF Benchmark MF Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception MF 14.18 2.35 33.78 23.78 Benchmark 11.59 (1.07) 25.36 0.01 4.57 6.60 2012 YTD 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 MF 14.18 (1.16) 35.93 45.40 Benchmark 11.59 (5.50) 24.50 20.58 (28.92) (9.78) 23.48 4.71 22.25 46.02 (11.42) Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 2/29/2012 Equity -Top Portfolio Holdings 2/29/2012 Portfolio% Materials 7.2 HighMark Diversified Money Market Fid 3.98% Information Technology 15.8 HighMark US Government MMkt Fid 3.98% Healthcare 15.6 Solutia, Inc. 2.61% Telecommunications Berry Petroleum Co 2.16% NCR Corporation 2.10% Consumer Discretionary 10.9 Guess, Inc. 2.09% Consumer Staples M2.1 AerCap Holdings N.V. 2.06% Industrials 22.9 Harman International Industries, Inc. 2.05% Lufkin Industries, Inc. 2.04% Financials 16.7 Reinsurance Group of America Inc 2.03% Energy 8.9 Utilities 0% 5% 10% 15% 20% 25% Percentage of Equity Page 32 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 1 R S 1 MFS MFS Research International I (MRSIX) Mutual Fund International Equity Large Cap Core Returns through 313112012 Firm Overview sector teams meet at least once a month.The Fund,in achieving diversification,can Key Facts MFS Investment Management MFS" is a majority-owned subsidiar of Sun Life be invested broadly across regions,industries,styles and market capitalizations. 9 ("MFS") Y Benchmark Financial. MFS employees retain a significant ownership percentage in the company However,since the team favors high-quality companies with above average potential Russell Developed ex North and the firm offers a program whereby key senior management and investment for sustainable earnings growth and strong free cash flows,the Fund tends to have a p 9 Y Y 9 America Large Cap professionals have the opportunity to further participate in equity ownership of the firm. large cap bias.The Fund's"core"style allows the team flexibility to select both growth The firm offers a full spectrum of financial products to both institutional and retail and value companies for inclusion,and the portfolio typically consists of 100 to 120 Minimum Investment investors. holdings that are considered the team's"highest conviction ideas."The Fund remains Manager sector neutral to the MSCI EAFE Index,with no more than 25%allocated to one Garcia/Melendez Objective industry.Additonally,emerging market exposure is limited to 25%of the portfolio while Manager Tenure The MFS Research International Portfolio seeks capital appreciation by investing in individual position sizes are maxed out at 5%.The team's sell discipline is triggered if 6.8 Yrs the equity of foreign companies,including emerging markets.Also,the Fund may a company reaches its target price,a fundamental change occurs such as invest in companies regardless of market capitalization and may allocate a large deteriorating cash flow generation or a better opportunity is presented. Shareclass Inception percentage of assets to one country,a few countries or one geographical region. 1/1997 Additionally,derivatives may be used in the Fund as an alternative to direct Personnel Shareclass Assets investments,as a hedging technique or simply to earn income or enhance returns.The All of the international analysts contribute ideas to the portfolio, but the team is $2.6 Billion MFS investment philosophy is based upon the belief that stock prices follow overseen by Jose Luis Garcia and Thomas Melendez. sustainable earnings growth and accelerating cash flows,and that bottom-up #of Holdings fundamental research provides the best means of consistently identifying high-quality Jose Luis Garcia is an Investment Officer and an Equity Research Analyst at MFS. In 116 investments. addition,he oversees the analyst team that manages the international research Annual Turnover(2011) portfolios.Jose Luis joined MFS in 2002. Previously,he was CEO of Telefonica B2B in 43% Process Mexico City. Mr. Garcia received a bachelor's degree from Boston College and a Expense Ratio Gross The Research International Fund is managed with an analyst-driven decision making M.B.A.from Harvard University. 95 bps approach as opposed to a traditional portfolio manager led process.The MFS Research International team,which is organized by sector and spread across the Thomas Melendez is an Investment Officer and an Associate Portfolio Manager of the Expense Ratio Net globe(Mexico City, Boston, London,Singapore,Tokyo and Sydney),conducts global equity portfolios at MFS.Mr. Melendez joined MFS in 2002 with more than ten 95 bps qualitative and quantitative fundamental research by visiting management teams of years experience. He earned his bachelor's degree from Long Island University and Website companies,assessing market conditions,examining current and historical financial M.B.A.from Columbia University. www.mfs.com records,and building models to analyze the balance sheets and project earnings and Phone cash flow growth.The entire team meets via videoconference on a weekly basis and 800-343-2829 in-person twice per year(in either Boston or London)to discuss ideas,while individual Characteristics 2/29/2012 Market Cap 28,829.92 3 Year Earnings Growth (0.92) Asset Allocation 2/29/2012 Region Analysis 2/29/2012 Dividend Yield 2.56% US/Canada 12.6% Price To Book Europe 1.47 Japan 21.9% Price To Earnings 11.93 99.2% Equity Asia/Pacific -14.5% ® 0.8% Cash Price To Sales Latin America 03% 1.11 E.Europe/Africa ,1.5% Price To Cash Flow 7.23 Unclassifed 10.8% 410/o 2 0% 20% 40% 60% Return on Equity 18.50% Page 33 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS I �{��,�11�U S 1 T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. III SuN MFS Mutual Fund International Equity Large Cap Core Returns through 313112012 Trailing Performance Calendar Performance 20 40 15 20 10 0 O r e P Elm 07 -20 EW MMOW -5 -40 -10 -60 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 MF Benchmark MF Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception MF 11.07 (4.49) 18.73 (1.58) 5.15 7.07 7.15 Benchmark 11.11 (6.13) 17.72 (3.29) 3.49 5.97 2012 YTD 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 MF 11.07 (10.61) 11.22 31.43 (42.46) 13.24 27.70 16.62 20.85 33.03 (11.79) Benchmark 11.11 (12.40) 8.39 33.72 (44.02) 11.64 27.09 13.41 20.09 39.42 (15.82) Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 2/29/2012 Equity -Top Portfolio Holdings 2/29/2012 Portfolio% Materials 9.4 Nestle SA 2.95% Information Technology ®6.5 Royal Dutch Shell PLC 2.85% Healthcare 9.3 Roche Holding AG 2.29% Standard Chartered PLC 2.18% Telecommunications -5.8 Bayer AG 2.15% Consumer Discretionary 10.5 Sumitomo Mitsui Financial Group Inc 2.04% Consumer Staples 10.1 Barclays PLC 1.84% Industrials 12.6 Rio Tinto PLC 1.84% Westpac Banking Corp 1.83% Financials z3 Vodafone Group PLC 1.78% Energy 9 Utilities _3.7 0% 5% 10% 15% 20% 25% Percentage of Equity Page 34 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 1 R S 1 ADVISORS, Manning & Napier • • Opportunities Mutual Fund Global Equity Large Cap Core Returns through 313112012 Firm Overview well-positioned to benefit from an anticipated upturn in an industry sub-sector due to Key Facts Manning&Napier Advisors, Inc.("Manning&Napier")was established in 1970 in sharply reduced competition and improving demand;and,companies trading at very Benchmark Rochester, NY.Manning&Napier provides domestic&non-U.S.equity,fixed income, low valuations relative to fundamental or break-up value(companies with hidden asset Russell Developed Large Cap multi-asset class,and multiple manager investment solutions to clients consisting of or cash flow value). Taft-Hartley and Corporate benefit plans, individuals,endowments,foundations,and Minimum Investment municipalities.The firm is 100%employee owned. In order to make a purchase,an analyst must prove that a stock meets the strategy $2,000 and pricing disciplines of the firm by receiving a sign-off from an analyst"partner".The Manager Objective recommendation then goes before the Senior Research Group for review.The role of Team The Fund seeks to maximize long-term growth by investing principally in the common this group is to rate the final recommendation according to strategy fit and pricing. In Manager Tenure stocks of companies located around the world.The Fund invests at least 90%of this way,the group is involved only at the final decision making stage,while the 8.7 Yrs assets in non-U.S.equities chosen from a broad range of markets, including analytical work is performed by those with industry expertise.The Fund invests developed and emerging markets and consisting of any market capitalization. primarily in the common stock of foreign companies, but may also invest in ADRs and Shareclass Inception ETFs.The portfolio has no constraints to position or industry weights in the portfolio. 9/1996 PCOCeSS Manning&Napier's equity investment approach is based on a combination of Securities will be sold if they are deemed to be fully valued. Shareclass Assets qualitative company selection strategies and pricing disciplines. Manning&Napier Personnel $6.9 Billion uses a team approach consisting of numerous analysts sharing research with Manning Manning&Napier's Senior Research Group establishes the broad investment policies #of Holdings &Napier's Senior Research Group in order to make investment decisions.The and guidelines used in the management of the Fund.A team of analysts work with the 81 investment team uses top-down macroeconomics analysis and bottom-up fundamental members of the Senior Research Group to develop stock recommendations for the Annual Turnover(2011) research security selection in order to make investment decisions. Fund in line with the Senior Research Group's policies and guidelines.The research 39% group is comprised of eight analysts with an average tenure of 15 years. In addition to Expense Ratio Gross The investment team analyzes factors such as the management,financial condition, being approved by a majority of the Senior Research Group,security purchases and 112 bps and market position of individual companies and selects those that they believe will sales must also be approved by Jeffrey S. Coons, Ph.D.,Senior Analyst;Jeffrey A. make attractive long-term investments. In selecting individual securities,the Herrman,CFA,Senior Analyst;and Brian P. Gambill,CFA,Senior Analyst. Expense Ratio Net investment team uses fundamental analysis and looks for one or more of the following 112 bps characteristics:strong strategic profiles(e.g.,strong market position,benefits from Website technology, market share gains in a mature market,high barriers to entry);companies www.manning-napier.com Phone 585-325-6880 Characteristics 12/31/2011 Market Cap 11,299.67 3 Year Earnings Growth (3.78) Asset Allocation 12/31/2011 Region Analysis 12/31/2011 Dividend Yield 3.17% 10% US/Canada -11% Price To Book Europe 1.76 Price To Earnings 87.2% Equity Japan -5.2% 14.35 2.9% Cash Asia/Pacific _6.6% Price To Sales 0 10.0% Other 0.87 Latin America -5.2% Price To Cash Flow 7.42 Unclassifed 17.5 870.2% 0 r 20 r 40 r 60% Return on Equity 18.37% Page 35 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS I �{��,�11�U S 1 T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. III SuN ADVISORS, Manning & Napier • • Opportunities Mutual Fund Global Equity Large Cap Core Returns through 313112012 Trailing Performance Calendar Performance 25 40 20 20 15 10 0 11111111�0- O&SE-so 5 � 20-17 P 0 40 -5 -10 -60 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 MF --7 Benchmark MF Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception MF 15.69 (7.50) 17.82 (0.76) 6.01 7.72 8.72 Benchmark 11.75 0.28 20.83 (0.50) 4.17 4.95 2012 YTD 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 MF 15.69 (16.14) 9.23 39.12 (40.07) 15.12 33.88 11.33 25.42 30.80 (10.78) Benchmark 11.75 (5.69) 12.43 31.51 (41.19) 9.23 20.12 9.60 15.07 33.77 (19.96) Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 12/31/2011 Equity -Top Portfolio Holdings 12/31/2011 Portfolio% Materials 8.3 Lonza Group AG 4.13% Information Technology 12.4 Amdocs Ltd. 3.83% Healthcare 15.2 Ryanair Holdings PLC ADR 3.28% Telecommunications 2 Schlumberger Ltd.(United States) 2.91% - Dreyfus Cash Management, Inc.-Institutional Shares,0.05%(Id 2.85% Consumer Discretionary 13.4 Sonic Healthcare Limited 2.81% Consumer Staples 22.9 Tesco PLC 2.75% Industrials 12.6 Danone 2.68% Mindray Medical International Limited ADR 2.21% Financials -6.6 Johnson Matthey PLC 2.19% Energy -6.6 Utilities 0% 5% 10% 15% 20% 25% Percentage of Equity Page 36 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS lll///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 11�U S 1 OPPENHEIMERFUNDS" Oppenheimer Devel • • • • Mutual Fund Emerging Markets Equity All Cap Growth Returns through 313112012 Firm Overview when choosing investments include:companies that enjoy a strong competitive Key Facts OppenheimerFunds Inc. ("Oppenheimer")was formed in 1960 as an affiliate of position in their industry;companies with a proven management record and the ability to take advantage of business opportunities;companies with newer or established Benchmark Oppenheimer&Co. Inc.,a securities brokerage firm now known as CIBC g pp p Russell Emerging Markets Oppenheimer Corporation. Oppenheimer,then known as Oppenheimer Management business that are entering into a growth cycle;companies with accelerating earnings Large Cap Corporation,was the investment adviser to one mutual fund,the Oppenheimer Fund. growth and cash flow whose stock is selling at a reasonable price;and,companies in Oppenheimer is owned by its senior management and Massachusetts Mutual Life diverse industries and countries to help reduce the risks of foreign investing,such as Minimum Investment Insurance Company. currency fluctuations and stock market volatility.The Fund has the flexibility to invest Manager in both small and larger companies and is diversified by several countries in order to Leverenz Objective help lower the volatility of emerging markets. The Fund aggressively seeks capital appreciation through investment in companies Manager Tenure with high growth potential in emerging and developing foreign markets. O enheimer's The portfolio manager also considers the effect of worldwide trends on the growth of 4.9 Yrs 9 9 p 9 9 p� 9 9 pp p 9 9 approach is to identify trends,such as the spread of affluence and new technologies particular business sectors and looks for companies that may benefit from those Shareclass Inception that they believe will fuel long-term growth worldwide,which they believe will lead trends.The trends currently considered include: mass affluence,new technologies, 9/2005 them to promising companies at advantageous prices. restructuring,and aging.The portfolio manager does not invest any fixed amount of Shareclass Assets Process the Fund's assets according to these criteria and the trends that are considered may $10.8 Billion The Fund mainly invests in common stocks of issuers in emerging and developing change over time.The portfolio manager monitors individual issuers for changes in the #of Holdings markets throughout the world. Under normal market conditions,the Fund will invest at factors above,which may trigger a decision to sell a security. 123 least 80%of its net assets plus borrowings for investment purposes, in equity Personnel Annual Turnover(2011) securities of issuers whose principal activities are in at least three developing markets. Justin Leverenz, CFA, is responsible for the day-to-day management of the Fund's 34% investments.Mr. Leverenz has been a vice president and portfolio manager of the Expense Ratio Gross The portfolio manager evaluates investment opportunities on a company-by-company Fund since May 2007. Prior to joining the firm, Mr. Leverenz was the Head of 100 bps basis.They conduct fundamental analysis of a company's financial statements and Research for Goldman Sachs in Taiwan and Head of Asian Technology Research management structure.They also consider the company's operations and product Pan-Asia. He is a portfolio manager and an officer of other portfolios in the Expense Ratio Net development,as well as its position in its industry.Generally,characteristics sought OppenheimerFunds complex. 100 bps Website www.oppenheimerfunds.com Phone 800-981-2871 Characteristics 2/29/2012 Market Cap 15,704.98 3 Year Earnings Growth 17.84 Asset Allocation 2/29/2012 Region Analysis 2/29/2012 Dividend Yield 2.08°x° 4.1% Europe _10.3% Price To Book 2.84 Asia/Pacific 43.7% Price To Earnings 95.5% Equity 18.99 _ Latin America 25.6 4.1% Cash Price To Sales 0 0.4% Other 2.25 E.Europe/Africa 15.9/ Price To Cash Flow Unclassifed ®4.6% 13.05 95.5% 0% 10% 20% 30% 40% 50% Return on Equity 24.42% Page 37 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 11�U S 1 OPPENHEIMERFUNDS" Oppenheimer Devel • • • Markets Y Mutual Fund Emerging Markets Equity All Cap Growth Returns through 313112012 Trailing Performance Calendar Performance 40 100 30 80 60 20 40 W—W 20 10 - p 0-7 p 20 1115=40 -10 -60 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 MF W--j Benchmark MF Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception MF 14.91 (4.97) 30.02 8.54 13.38 Benchmark 14.17 (8.68) 26.22 5.16 12.51 13.48 2012 YTD 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 MF 14.91 (17.85) 27.39 82.10 (47.84) 34.30 25.70 Benchmark 14.17 (18.26) 20.45 81.23 (54.54) 39.99 33.63 33.53 24.21 54.36 (12.01) Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Equity Sectors 2/29/2012 Equity -Top Portfolio Holdings 2/29/2012 Portfolio% Materials —5.4 Oppenheimer Institutional Money Market E 4.08% Information Technology 17.8 Infosys Ltd 3.84% Healthcare 01.4 America Movil, S.A.B.de C.V.ADR 3.49% Telecommunications ®5.6 Nhn Corp 3.17% Mexican Economic Development, Inc.ADR 2.22% Consumer Discretionary 11.8 BMF Bovespa SA Bolsa Valores Merc Fut 2.12% Consumer Staples 25.5 Carlsberg AS 1.96% Industrials _43 Baidu, Inc.ADR 1.88% Novatek OAO GDR 1.84% Financials 18.3 Sm Prime Holdings Inc 1.80% Energy 9.9 Utilities 0% 5% 10% 15% 20% 25% 30% Percentage of Equity Page 38 All performance presented is net of fees (NA V). Please see disclosure at the end of this report for additional important information. FOR ONE-ON-ONE PRESENTATIONS III///� �{��,�T T ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. SuN 1 R S 1 VANGUARD Vanguard Total Bond Exchange Traded Fund US Fixed Income Intermediate Term Investment Grade Returns through 313112012 Firm Overview represents a wide spectrum of public,investment-grade,taxable,and fixed income Key Facts The Vanguard Group("Vanguard")began operations on May 1, 1975.The Vanguard securities in the United States.The Fund does this by sampling the Index, meaning Benchmark Funds are independent investment companies that joint) own the Vanguard Group that it holds a range of securities that, in the aggregate,approximates the full Index in p p jointly 9 p. Barclays Intermediate the management company that provides services to the funds on an at-cost basis. terms of key risk factors and other characteristics.All of the Fund's investments will be Aggregate This organizational structure dictates that profits from the company are returned to the selected through the sampling process and at least 80%of the Fund's assets will be fund shareholders in the form of lower expenses. invested in bonds held in the Index.The Fund maintains a dollar-weighted average Minimum Investment maturity consistent with that of the Index,which generally ranges between 5 and 10 Manager Objective years. Volpert/Davis The Fund's investment approach is a"passive management"and is designed to track Manager Tenure the performance of the Barclays Capital U.S.Aggregate Float Adjusted Index,which 11.6 Yrs Shareclass Inception 4/2007 Shareclass Assets $15.3 Billion #of Holdings 14650 Annual Turnover(2011) 75% Expense Ratio Gross 11 bps Expense Ratio Net 11 bps Website www.vanguard.com Phone 877-662-7447 Asset Allocation 12/31/2011 Region Analysis 12/31/2010 Characteristics 12/31/2011 Duration 5.8% 5.0 US/Canada 0.1% Average Maturity 7.20 94.2% Fixed Coupon Percent ® 5.8% Cash 4.31 0! 0 0.1% other Average Credit Quality Unclassifed AA 94.2% 0% 20% 40% 60% 80% 100% Page 39 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N VANGUARD Vanguard Total Bond Market ETF (BND) Exchange Traded Fund US Fixed Income Intermediate Term Investment Grade Returns through 313112012 Trailing Performance Calendar Performance 8 8 6 6 V 4 4 - 2 2 0 0 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 ETF NAV ETF Mkt Val = Benchmark ETF NAV ETF Mkt Val = Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception ETF(NAV) 0.20 7.66 6.69 6.22 ETF(Mkt Val) 0.17 7.84 6.53 6.24 Benchmark 0.66 6.16 6.10 5.90 5.46 5.42 2012 YTD 2011 2010 2009 2008 2007 2006 ETF(NAV) 0.20 7.71 6.50 6.03 5.17 ETF(Mkt Val) 0.17 7.92 6.19 3.34 7.65 Benchmark 0.66 5.97 6.15 6.46 4.86 7.02 4.58 Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Fixed Sectors 12/31/2011 Fixed -Top Portfolio Holdings 12/31/2011 Portfolio% Treasury US Treasury Note 0.625% 1.25% Agency/Quasi Agcy _4.7% US Treasury Bond 6.25% 0.93% Supranational 01.4% US Treasury Note 1.375% 0.79% Agency MBS 26.8% US Treasury Note 1.875% 0.75% Non-Agcy MBS 10.7% US Treasury Note 0.71% CMBS 01.5% US Treasury Note 1% 0.70% Asset Backed(ABS) I0.3% Gnma Ii 30yr Tba Jan 0.63% US Treasury Note 1.875% 0.63% Corporate Bond 20.6% US Treasury Bond 4.5% 0.57% Preferred Stock 10.1% US Treasury Note 2.75% 0.54% Cash&Equivalents �5.8% Municipals 10.8% 0% 10% 20% 30% 40% Percentage of Fixed Page 40 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N VANGUARD Vanguard • • • Exchange Traded Fund US Fixed Income Short Term Investment Grade Returns through 313112012 Firm Overview index style to investing.The Fund looks at all medium and larger issues of U.S. Key Facts The Vanguard Group("Vanguard")began operations on May 1, 1975.The Vanguard government,investment-grade corporate,and investment-grade international dollar- Benchmark Funds are independent investment companies that joint) own the Vanguard Group, denominated bonds that have maturities between 1 and 5 years and are publically p p jointly 9 p. Barclays 1-5 Year US Govt/ the management company that provides services to the funds on an at-cost basis. issued.The Fund does this by sampling the Index, meaning that it holds a range of 9 p Y p Credit This organizational structure dictates that profits from the company are returned to the securities that, in the aggregate,approximates the full Index in terms of key risk factors fund shareholders in the form of lower expenses.Vanguard is organized into two and other characteristics.All of the Fund's investments will be selected through the Minimum Investment major operating divisions,the Individual Investor Group and the Institutional Investor sampling process and at least 80%of the Fund's assets will be invested in bonds held Manager Group,both of which offer a variety of investment services. in the Index.The Fund maintains a dollar-weighted average maturity consistent with Davis Objective that of the Index,which generally does not exceed three years. Manager Tenure The Fund's investment approach is designed to track the performance of the Barclays 7.2 Yrs Capital U.S. Long Government/Credit Float Adjusted Index,with a short-term dollar Shareclass Inception weighted average maturity.The investment team uses a"passive management"or 4/2007 Shareclass Assets $7.7 Billion #of Holdings 1354 Annual Turnover(2011) 60% Expense Ratio Gross 11 bps Expense Ratio Net 11 bps Website www.vanguard.com Phone 877-662-7447 Asset Allocation 12/31/2011 Region Analysis 12/31/2010 Characteristics 12/31/2011 Duration 2.3% 2.7 US/Canada 0.1% Average Maturity 2.80 97.6% Fixed Coupon Percent ® 2.3% Cash 2.46 0! 0 0.0% other Average Credit Quality Unclassifed AA 97.6/ 0% 20% 40% 60% 80% 100% Page 41 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N VANGUARD Vanguard • • • ETF (BSV) Exchange Traded Fund US Fixed Income Short Term Investment Grade Returns through 313112012 Trailing Performance Calendar Performance 5 10 - 4 8 3 6 2 4 0 M_� �� 0 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 ETF NAV ETF Mkt Val = Benchmark ETF NAV ETF Mkt Val = Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception ETF(NAV) 0.43 3.35 3.77 4.62 ETF(Mkt Val) 0.40 3.32 3.50 4.59 Benchmark 0.54 3.41 3.95 4.63 4.43 4.36 2012 YTD 2011 2010 2009 2008 2007 2006 ETF(NAV) 0.43 3.04 4.00 4.44 5.47 ETF(Mkt Val) 0.40 2.95 3.89 1.54 8.45 Benchmark 0.54 3.14 4.08 4.62 5.12 7.27 4.22 Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Fixed Sectors 12/31/2011 Fixed -Top Portfolio Holdings 12/31/2011 Portfolio% Treasury 60.8% US Treasury Note 0.375% 2.00% Agency/Quasi Agcy _11.4% US Treasury Note 2.5% 1.79% US Treasury Note 2.625% 1.78% Supranational 03.5% US Treasury Note 0.875% 1.71% Securitized 10.3% US Treasury Note 1.75% 1.65% US Treasury Note 0.625% 1.59% Corporate Bond 21.6% US Treasury Note 2.375% 1.59% US Treasury Note 0.875% 1.56% Preferred Stock US Treasury Note 0.25% 1.40% Cash&Equivalents 12.3% US Treasury Note 1.875% 1.22% Municipals 10.1% 0% 20% 40% 60% 80% Percentage of Fixed Page 42 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares •xx $ High Yield Corporate Bid Exchange Traded Fund US Fixed Income Intermediate Term High Yield Returns through 313112012 Firm Overview approximating 34.1%,24.6%and 19.9%, respectively,with the remainder owned by Key Facts BlackRock Inc. ("BlackRock")was founded in 1988 and is headquartered in New York institutional and individual investors,as well as BlackRock employees. Benchmark City, NY.The Firm provides investment management, risk management,advisory Objective Barclays US Corporate High services,separate account products, mutual funds,iShares(exchange-traded funds), The Fund seeks results that correspond generally to the price and yield performance, Yield and other pooled investment vehicles for institutional and retail clients worldwide. On before fees and expenses,of the US dollar high yield corporate bond market as Minimum Investment February 15,2006, BlackRock and Merrill Lynch announced an agreement to merge defined by the iBoxx$Liquid High Yield Index.The Index is a rules-based index Merrill Lynch's investment management business,Merrill Lynch Investment Managers, Manager and BlackRock to create a new independent company that will operate under the consisting the most liquid and tradable US dollar-denominated,high yield corporate Mauro/Radell bonds for sale in the US,as determined by iShares.The number of issues in the Index BlackRock name.Additionally,in December 2009, BlackRock completed its merger changes from time to time.Although the Fund will generally invest at least 90%its Manager Tenure with Barclays Global Investors("BGI"). BlackRock's ownership structure has no single assets in the securities of the Index,at times it may invest up to 20%of its assets in 1.2 Yrs majority stockholder and has a majority of independent directors. Merrill Lynch&Co., certain futures,options and swap contracts,cash and cash equivalents,and high yield Shareclass Inception Inc.,a wholly-owned subsidiary of Bank of America Corporation,The PNC Financial corporate bonds not included in the Index.This is done when the firm believes these 4/2007 Services Group, Inc.,and Barclays PLC own economic interests in BlackRock securities will help the Fund track the Index more closely. Shareclass Assets $14.4 Billion #of Holdings 504 Annual Turnover(2011) 16% Expense Ratio Gross 50 bps Expense Ratio Net 50 bps Website www.ishares.com Phone 800-474-2737 Asset Allocation 3/30/2012 Region Analysis Characteristics 3/30/2012 Data Not Available Duration 4.1 Average Maturity Coupon Percent 8.21 98.8% Fixed ® 1.2% Cash Average Credit Quality B 98.8% Page 43 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N ISHARES iShares •xx $ High Yield Corporate l3d Exchange Traded Fund US Fixed Income Intermediate Term High Yield Returns through 313112012 Trailing Performance Calendar Performance 25 60 i 20 40 15 20 10 0 MEU - � 0 -40 1 Qtr YTD 1 Year 3 Year 5 Year 7 Year 10 Year 2011 2010 2009 2008 2007 2006 W ETF NAV _ ETF Mkt Val _ Benchmark ETF NAV _ ETF Mkt Val _j Benchmark Performance Since Q1 2012 1 Year 3 Year 5 Year 7 Year 10 Year Inception ETF(NAV) 4.49 6.48 19.85 6.03 ETF(Mkt Val) 2.61 6.21 20.01 5.62 Benchmark 5.34 6.45 23.87 8.10 8.49 9.24 2012 YTD 2011 2010 2009 2008 2007 2006 ETF(NAV) 4.49 5.88 12.08 40.74 (23.86) ETF(Mkt Val) 2.61 6.75 11.87 28.46 (17.31) Benchmark 5.34 4.98 15.12 58.21 (26.16) 1.87 11.85 Past performance is no guarantee of future results. Chart is for illustrative purposes only and is not representative of the future performance of any particular portfolio or security. Current performance may be lower or higher than performance data quoted. To obtain performance current to the most recent month end, you may reference the fund's website or call the 800 number located under Key Facts on page one of this document. Fixed Sectors 3/3 012 01 2 Fixed -Top Portfolio Holdings 3/30/2012 Portfolio% First Data 12.625% 0.82% Sprint Nextel 144A 9% 0.76% Corporate Bond Hca 6.5% 0.75% Cit Grp 7% 0.72% Intelsat Bermuda 11.25% 0.72% Harrahs Oper 10% 0.67% Cit Grp 144A 5.5% 0.63% Calpine 7.5% 0.61% Cash&Equivalents I1.2% Clear Channel Ww Hldgs 9.25% 0.59% Springleaf Fin 6.9% 0.56% 0% 20% 40% 60% 80% 100% Percentage of Fixed Page 44 All performance presented is net of fees(NAV unless otherwise indicated). Please see disclosure at the end of this report for additional important information. FOR ONE-ON- III///� ONE PRESENTATIONS ONLY. Copyright©2012, Prima Portfolio Services, Inc.All Rights Reserved. Su�{��,�T 11�US 1 T N pll�l� SuNlitusT IV Appendix Important Disclosures SunTrust Private Wealth Management is a marketing name used by SunTrust Banks, Inc. and the following affiliates: Banking and trust products and services are provided by SunTrust Bank. Securities, insurance (including annuities and certain life insurance products) and other investment products and services are offered by SunTrust Investment Services, Inc., a SEC registered broker/dealer and a member of the FINRA and SIPC. Other insurance products and services are offered by SunTrust Insurance Services, Inc., a licensed insurance agency. Investment advisory products and services are offered by SunTrust Investment Services, Inc. and GenSpring Family Offices, LLC (f/k/a Asset Management Advisors, L.L.C.), investment advisers registered with the SEC. SunTrust Investment Services, Inc., SunTrust Bank, their affiliates, and the directors, officers, employees and agents of SunTrust Investment Services, Inc., SunTrust Bank and their affiliates (collectively, "SunTrust") are not permitted to give legal or tax advice. While SunTrust can assist clients in the areas of estate and financial planning, only an attorney can draft legal documents and provide legal services and advice. Clients of SunTrust Investment Services, Inc., SunTrust Bank and their affiliates should consult with their legal and tax advisors prior to entering into any financial transaction or estate plan. If included as a part of the presentation, any Baseline Financial Services, Inc. (Baseline), or Crandall, Pierce & Company (Crandall Pierce), or First Rate (First Rate) statistical data is provided as a service of SunTrust Banks, Inc. and its affiliates (including SunTrust Investment Services, Inc.) by Baseline, Crandall Pierce or First Rate, all of which are unaffiliated third party vendors. While this information is believed to be accurate, SunTrust Banks, Inc., including its affiliates, does not guarantee the accuracy, completeness or timeliness of, or otherwise endorse these analyses or market data. Securities and Insurance Products and Services: •Are not FDIC or any other Government Agency Insured •Are not Bank Guaranteed • May Lose Value SUNTRUST Important Disclosures Asset Allocation does not assure a profit or protect against loss in declining financial markets. Emerging Markets: Investing in the securities of such companies and countries involves certain considerations not usually associated with investing in developed countries, including unstable political and economic conditions, adverse geopolitical developments, price volatility, lack of liquidity, and fluctuations in currency exchange rates. Fixed Income Securities are subject to interest rate risk, credit risk, prepayment risk, market risk, and reinvestment risk. Fixed Income Securities, if held to maturity, may provide a fixed rate of return and a fixed principal value. Fixed Income Securities prices fluctuate and when redeemed, may be worth more or less than their original cost. Hedge funds may involve a high degree of risk, often engage in leveraging and other speculative investment practices that may increase the risk of investment loss, can be highly illiquid, are not required to provide periodic pricing or valuation information to investors, may involve complex tax structures and delays in distributing important tax information, are not subject to the same regulatory requirements as mutual funds often charge high fees which may offset any trading profits, and in many cases the underlying investments are not transparent and are known only to the investment manager. High Yield Fixed Income Investments, also known as junk bonds, are considered speculative, involve greater risk of default and tend to be more volatile than investment grade fixed income securities. International investing entails greater risk, as well as greater potential rewards compared to U.S. investing. These risks include potential economic uncertainties of foreign countries as well as the risk of currency fluctuations. These risks are magnified in emerging market countries, since these countries may have relatively unstable governments and less established markets and economies. Investing in smaller companies involves greater risks not associated with investing in more established companies, such as business risk, significant stock price fluctuations, and illiquidity. Managed Futures and commodity investing involve a high degree of risk and are not suitable for all investors. Investors could lose a substantial amount of money in a very short period of time. The amount you may lose is potentially unlimited and can exceed the amount you originally deposit with your broker. This is because trading security futures is highly leveraged, with a relatively small amount of money controlling assets having a much greater value. Investors who are uncomfortable with this level of risk should not trade managed futures or commodities. Real Estate Investments are subject to special risks, including interest rate and property value fluctuations, as well as risks related to general economic conditions. Because of their narrow focus, sector investments tend to be more volatile than investments that diversify across many sectors and companies. SUNTRUST Important Disclosures The opinions and information contained herein have been obtained or derived from sources believed to be reliable, but SunTrust Investment Services, Inc. (STIS) makes no representation or guarantee as to their timeliness, accuracy or completeness or for their fitness for any particular purpose. The information contained herein does not purport to be a complete analysis of any security, company, or industry involved. This material is not to be construed as an offer to sell or a solicitation of an offer to buy any security. Opinions and information expressed herein are subject to change without notice. STIS and/or its affiliates may have issued materials that are inconsistent with or may reach different conclusions than those represented in this commentary, and all opinions and information are believed to be reflective of judgments and opinions as of the date that material was originally published. STIS is under no obligation to ensure that other materials are brought to the attention of any recipient of this commentary. The information and material presented in this commentary are for general information only and do not specifically address individual investment objectives, financial situations or the particular needs of any specific person who may receive this commentary. Investing in any security or investment strategies discussed herein may not be suitable for you, and you may want to consult a financial advisor. Nothing in this material constitutes individual investment, legal or tax advice. Investments involve risk and an investor may incur either profits or losses. Past performance should not be taken as an indication or guarantee of future performance. STIS shall accept no liability for any loss arising from the use of this material, nor shall STIS treat any recipient of this material as a customer or client simply by virtue of the receipt of this material. The information herein is for persons residing in the United States of America only and is not intended for any person in any other jurisdiction. Investors may be prohibited in certain states from purchasing some over-the-counter securities mentioned herein. The information contained in this material is produced and copyrighted by SunTrust Banks, Inc. and any unauthorized use, duplication, redistribution or disclosure is prohibited by law. STIS's officers, employees, agents and/or affiliates may have positions in securities, options, rights, or warrants mentioned or discussed in this material. SUNTRUST Important Disclosures BarCap Aggregate Bond Index: The broadest measure of the taxable U.S. bond market, including most Treasury, agency, corporate, mortgage-backed, asset-backed, and international dollar-denominated issues, all with investment-grade ratings (rated Baa3 or above by Moody's) and maturities of one year or more. BarCap US Corporate High Yield: The U.S. Corporate High-Yield Index the covers the USD-denominated, non-investment grade, fixed- rate, taxable corporate bond market. Securities are classified as high-yield if the middle rating of Moody's, Fitch, and S&P is Bat/BB+/BB+ or below. The index excludes Emerging Markets debt. BarCap US Treasury Long Index: includes public obligations of the US Treasury with maturities of 10 years or more. CBOE VIX: The CBOE Volatility Index°is a key measure of market expectations of near-term volatility conveyed by S&P 500 stock index option prices. Since its introduction in 1993, VIX has been considered by many to be the world's premier barometer of investor sentiment and market volatility. VIX is often referred to as the "investor fear gauge". Dow Jones Wilshire RESI Index: designed to provide measures of real estate securities that serve as proxies for direct real estate investing, in part by excluding securities whose value is not always closely tied to the value of the underlying real estate. To be included, a company must be both an equity owner and operator of commercial and/or residential real estate. A company must have a minimum total market capitalization of at least $200 million at the time of its inclusion, and at least 75% of the company's total revenue must be derived from the ownership and operation of real estate assets. MSCI All-Country World ex-US Index: is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets, ex-US equities. MSCI All Country World Index: is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. MSCI EAFE Index: The MSCI EAFE Index® comprises 21 MSCI country indices, representing the developed markets outside of North America: Europe, Australasia and the Far East. MSCI Emerging Markets Index: is a free float-adjusted market capitalization index that is designed to measure equity market performance of emerging markets. As of May 27, 2010 the index consisted of the following 21 emerging market country indices: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Morocco, Peru, Philippines, Poland, Russia, South Africa, Taiwan, Thailand, and Turkey. Note:Indexes are unmanaged.An investor cannot invest directly in an index.They are shown for illustrative purposes only and do not represent the performance of any specific investment. SUN TRUST Important Disclosures The MSCI Europe Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of the developed markets in Europe. As of June 2007, the Index consisted of the following 16 developed market country indices: Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, and the United Kingdom. Russell 2000 Index: is comprised of 2000 smaller company stocks and is generally used as a measure of small-cap stock performance. S&P 500 Index: The S&P 500 Index is comprised of 500widely-held securities considered to be representative of the stock market in general. S&P Equal Weight Index (S&P EWI). The index is the equal-weight version of the widely regarded S&P 500. The index has the same constituents as the capitalization weighted S&P 500, but each company in the index is allocated a fixed weight of 0.20% at each quarterly rebalancing. Barclays U.S. Municipal Index: covers the USD-denominated long-term tax exempt bond market. The index has four main sectors: state and local general obligation bonds, revenue bonds, insured bonds, and pre-refunded bonds. DJ-UBS Commodity Index is composed of futures contracts on physical commodities. It currently includes 19 commodity futures in seven sectors. The weightings of the commodities are calculated in accordance with rules that ensure that the relative proportion of each of the underlying individual commodities reflects its global economic significance and market liquidity. MSCI BRIC Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of the following four emerging market country indices: Brazil, Russia, India and China. The MSCI AC (All Country) Asia ex Japan Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of Asia, excluding Japan. As of March2009 the Index consisted of the following 10 developed and emerging market country indices: China, Hong Kong, India, Indonesia, Korea, Malaysia, Philippines, Singapore, Taiwan, and Thailand MSCI Germany: every listed security in the market is identified. Securities are free float adjusted, classified in accordance with the Global Industry Classification Standard (GICSO), and screened by size, liquidity and minimum free float. Note:Indexes are unmanaged.An investor cannot invest directly in an index.They are shown for illustrative purposes only and do not represent the performance of any specific investment. SUN TRUST