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Copyright © 2017 by The Segal Group, Inc. All rights reserved.
ANALYSIS OF INVESTMENT PERFORMANCE
Employees’ Retirement FundFirst Quarter 2017
City of Hollywood
J. Keith Reynolds Vice President & Senior Consultant
Ta b l e o f C o n t e n t s ANALYSIS OF INVESTMENT PERFORMANCE
Section
Financial Market Conditions .......................................................................................................................................... 1
Total Fund ..................................................................................................................................................................... 2
Investment Manager Performance ................................................................................................................................. 3
This performance report ("Report") is based upon information obtained by Segal Marco Advisors, Inc. ("SMA") from third parties over which SMA does not exercise any control. Although the information collected by SMA is believed to be reliable, SMA cannot verify or guarantee the accuracy or validity of such information or the uniformity of the manner in which such information was prepared. The rates of return reflected herein are time weighted and geometrically linked on a monthly basis using a modified Dietz method. Monthly valuations and returns are calculated based on the assumptions that all transactions and prices are accurate from the custodian and/or investment manager. The client to whom Segal Marco Advisors delivers this Report ("Client") agrees and acknowledges that this Report has been prepared solely for the benefit of Client. SMA disclaims any and all liability that may arise in connection with Client’s conveyance (whether or not consented to by SMA) of this Report (in whole or in part) to any third party. Client further agrees and acknowledges that SMA shall have no liability, whatsoever, resulting from, or with respect to, errors in, or incompleteness of, the information obtained from third parties. Client understands that the prior performance of an investment and/or investment manager is not indicative of such investment's and/or investment manager's future performance. This Report does not constitute an offer or a solicitation of an offer for the purchase or sale of any security nor is it an endorsement of any custodian, investment and/or investment manager.
Financial Market Conditions
Summary of Investment Returns
Q1 2017 In Review
6.4% 5.7%7.3%
11.5%
0.8%2.0%
-2.3%
1.6%3.8%
2.4%
14.8%
18.1%
11.7%
17.2%
0.4%
-4.8%
8.7%7.3%
9.1%
6.2%
-6%-4%-2%0%2%4%6%8%
10%12%14%16%18%20%
World Equities* U.S. Equities InternationalEquities*
EMEquities*
U.S. Fixed Income International FixedIncome
Commodities Real Estate Private Equity** Funds of HedgeFunds
QTD 1-Year
Quarterly Synopsis • World equity markets were positive due to continued optimism about the U.S. economy and signs of growth in Europe.• U.S. equity gained in Q1 with solid corporate earnings and optimism that economic growth will continue.• International equity rose as economic fundamentals in Europe improved and the dollar struggled.• Emerging market equity surged in Q1 with stronger Asian economic data and declining nervousness about U.S. trade policy.• U.S. fixed income was nearly flat as investors anticipate further U.S. interest rate hikes after March’s rate increase.• Non-U.S. fixed income was positive for the quarter with investors gravitating toward bonds amid political uncertainty.• Hedge funds benefited from rising stock markets, and particularly from gains in technology and healthcare.
* Net of Dividends** Performance reported as of Q3 2016 because Q4 2016 and Q1 2017 performance data is not yet available.Sources: eVestment Alliance, Hueler Analytics, Investment Metrics, Thomson One
1
* Net of Dividends** Performance reported as of Q3 2016 because Q4 2016 and Q1 2017 performance data is not yet available.Sources: eVestment Alliance, Hueler Analytics, Investment Metrics, Thomson One
Q1 2017 In Review: Index Returns
Asset Class Indices QTD YTD 1-Year 3-Year 5-Year 10-Year
World Equity MSCI World* 6.38 6.38 14.77 5.52 9.37 4.21
U.S. Equity Russell 3000 5.74 5.74 18.07 9.76 13.18 7.54
Non-U.S. Equity MSCI EAFE* 7.25 7.25 11.67 0.50 5.83 1.05
Emerging Market Equity MSCI EM* 11.45 11.45 17.22 1.18 0.81 2.72
U.S. Fixed Income Bloomberg Barclays U.S. Aggregate 0.82 0.82 0.44 2.68 2.34 4.27
Non-U.S. Fixed Income Citigroup Non-U.S. WGBI(Unhedged) 2.02 2.02 -4.79 -2.56 -1.50 2.64
Commodities Bloomberg Commodity Index -2.33 -2.33 8.69 -13.92 -9.54 -6.22
Private Real Estate NCREIF NPI 1.55 1.55 7.27 10.58 10.69 6.72
Private Equity Thomson Reuters Private Equity*** 3.80 6.84 9.08 12.24 13.41 10.37
Hedge Funds HFRI Fund of Funds Composite 2.39 2.39 6.23 1.80 3.22 1.24
2
GDP Growth• Real GDP grew at an annualized rate of 0.7% in Q1. • Positive contributors to GDP were nonresidential fixed
investment, residential fixed investment, exports and personal consumption expenditures.
• Private inventory investment, state and local government spending and federal government spending detracted from GDP growth, along with increased imports.
Employment Picture• The unemployment rate decreased from 4.7% in Q4 to 4.5% at
the end of Q1 2017.• Nonfarm payrolls increased by 533,000 jobs in Q1. • Employment in professional and business services increased,
and education and health services positions rose steadily. Retail jobs fell. Government employment rose in Q1.
Labor Force Participation• The labor force participation rate was 63.0% at the end of March,
the highest it has been since March 2016.• Labor force participation has bounced between 62% and 63%
since 2014.
Q1 2017 In Review: U.S. Economy
60.061.062.063.064.065.066.067.0
Apr-0
7
Nov-0
7
Jun-
08
Jan-
09
Aug-
09
Mar-1
0
Oct-1
0
May-1
1
Dec-1
1
Jul-1
2
Feb-
13
Sep-
13
Apr-1
4
Nov-1
4
Jun-
15
Jan-
16
Aug-
16
Mar-1
7
Rate
(%)
Labor Force Participation Rate
-10.0
-5.0
0.0
5.0
10.0
Q3 20
07Q1
2008
Q3 20
08Q1
2009
Q3 20
09Q1
2010
Q3 20
10Q1
2011
Q3 20
11Q1
2012
Q3 20
12Q1
2013
Q3 20
13Q1
2014
Q3 20
14Q1
2015
Q3 20
15Q1
2016
Q3 20
16Q1
2017
%
U.S. Real GDP GrowthReal GDP %Chg QoQ Real GDP %Chg YoY
0.02.04.06.08.010.012.0
-1,000.0-800.0-600.0-400.0-200.0
0.0200.0400.0600.0
Jul-0
8De
c-08
May-0
9Oc
t-09
Mar-1
0Au
g-10
Jan-
11Ju
n-11
Nov-1
1Ap
r-12
Sep-
12Fe
b-13
Jul-1
3De
c-13
May-1
4Oc
t-14
Mar-1
5Au
g-15
Jan-
16Ju
n-16
Nov-1
6
Rate (%)
Thou
sand
s of J
obs
U.S. Nonfarm Payrolls and Unemployment RateChg in Nonfarm Payroll (Left) Unemployment Rate (Right)
Source this page: FactSet
3
Consumer Confidence and Spending• Consumer confidence continued its post-Presidential election
surge in Q1, reaching a level of 126.• However, personal consumption expenditures fell a bit during
the quarter. • The election of President Donald Trump spurred optimism that
economic growth would continue, but people were less optimistic about their own financial situations.
Retail Sales• Retail sales rose in Q1 but weakened in March.• Retail sales ex motor vehicle sales slid late in the quarter.
Home Prices• Home prices rose 1.5 percent in the fourth quarter*. • Though interest rates rose in December, home prices are not
expected to decline any time soon.• Unusually low housing inventories continue to support home
price gains.
Q1 2017 In Review: U.S. Economy
*The most recent quarterly data available.Source this page: FactSet
-30.00-20.00-10.00
0.0010.0020.00
Apr-0
7Au
g-07
Dec-0
7Ap
r-08
Aug-
08De
c-08
Apr-0
9Au
g-09
Dec-0
9Ap
r-10
Aug-
10De
c-10
Apr-1
1Au
g-11
Dec-1
1Ap
r-12
Aug-
12De
c-12
Apr-1
3Au
g-13
Dec-1
3Ap
r-14
Aug-
14De
c-14
Apr-1
5Au
g-15
Dec-1
5Ap
r-16
Aug-
16De
c-16
S&P/Case-Shiller Composite 20 Home Price Index (% 1 Yr.)
-15.0-10.0
-5.00.05.0
10.0
Apr-0
7Se
p-07
Feb-
08Ju
l-08
Dec-0
8Ma
y-09
Oct-0
9Ma
r-10
Aug-
10Ja
n-11
Jun-
11No
v-11
Apr-1
2Se
p-12
Feb-
13Ju
l-13
Dec-1
3Ma
y-14
Oct-1
4Ma
r-15
Aug-
15Ja
n-16
Jun-
16No
v-16
U.S. Retail Sales(% 1YR) Retail Sales, Total, SA(% 1YR) Retail Sales, Ex. Motor Vehicle & Parts Dealers, SA
8,5009,0009,50010,00010,50011,00011,50012,000
0.020.040.060.080.0
100.0120.0140.0
Jul-0
7No
v-07
Mar-0
8Ju
l-08
Nov-0
8Ma
r-09
Jul-0
9No
v-09
Mar-1
0Ju
l-10
Nov-1
0Ma
r-11
Jul-1
1No
v-11
Mar-1
2Ju
l-12
Nov-1
2Ma
r-13
Jul-1
3No
v-13
Mar-1
4Ju
l-14
Nov-1
4Ma
r-15
Jul-1
5No
v-15
Mar-1
6Ju
l-16
Nov-1
6Ma
r-17
Consumer Confidence and SpendingConsumer Confidence Index (Left) Personal Consumption Expenditures (Right)
4
Monetary Policies/Global Interest Rates• Central bank deposit rates remain negative in most developed
markets.• The United States is the exception—the Federal Reserve raised
its policy rate in March and indicated that more hikes were likely in 2017.
World GDP Growth• Japan GDP growth was predicted to be higher in Q4, but was
relatively flat amid declining government investment.• Eurozone GDP growth rose only slightly. Household
consumption drove growth but net external demand was negative.
Global Employment Picture• Unemployment in developed countries was relatively flat in the
quarter.• Eurozone unemployment edged a bit lower in Q1. German
unemployment was at a post reunification low, though France’s was flat.
• Japan’s unemployment rate fell to 2.8% in February from 3.1% in December.
Q1 2017 In Review: Global Economy
0.0
5.0
10.0
15.0Ju
n-07
Sep-
07De
c-07
Mar-0
8Ju
n-08
Sep-
08De
c-08
Mar-0
9Ju
n-09
Sep-
09De
c-09
Mar-1
0Ju
n-10
Sep-
10De
c-10
Mar-1
1Ju
n-11
Sep-
11De
c-11
Mar-1
2Ju
n-12
Sep-
12De
c-12
Mar-1
3Ju
n-13
Sep-
13De
c-13
Mar-1
4Ju
n-14
Sep-
14De
c-14
Mar-1
5Ju
n-15
Sep-
15De
c-15
Mar-1
6Ju
n-16
Sep-
16De
c-16
Mar-1
7
Rate
%International Unemployment Rates
Eurozone Germany Japan UK USA
-10.0
-5.0
0.0
5.0
Sep-
07
Mar-0
8
Sep-
08
Mar-0
9
Sep-
09
Mar-1
0
Sep-
10
Mar-1
1
Sep-
11
Mar-1
2
Sep-
12
Mar-1
3
Sep-
13
Mar-1
4
Sep-
14
Mar-1
5
Sep-
15
Mar-1
6
Sep-
16
Mar-1
7
%
Real GDP (QoQ %)Eurozone Japan USA China*
*Quarter over quarter data calculations began in 2011Source this page: FactSet
-0.50.00.51.01.5
6/30/2
012
9/30/2
012
12/31
/2012
3/31/2
013
6/30/2
013
9/30/2
013
12/31
/2013
3/31/2
014
6/30/2
014
9/30/2
014
12/31
/2014
3/31/2
015
6/30/2
015
9/30/2
015
12/31
/2015
3/31/2
016
6/30/2
016
9/30/2
016
12/31
/2016
3/31/2
017
%
Central Bank Target RatesJapan Uncollateralized O/N Call Target Rate Eurozone Deposit Facility RateFed Fund Target Rate
5
U.S. Equity
Performance• U.S. equities rose to all-time highs during Q1 2017, with the Dow
Jones Industrial Average breaking 21,000 in March. Broad-based market indices such as the S&P 500 and Russell 1000 delivered returns in excess of long-term averages.
• In a reversal of the trends we saw in 2016, during Q1 2017 large cap stocks outperformed small cap stocks, growth beat value, and quality outperformed more cyclical issues.
Sector Returns• Energy was the most significant laggard in the S&P 500. Oil’s
decline helped lead commodities lower.• Information technology (IT) was Q1’s best performer at 12.5%.
Healthcare delivered strong returns of 8.2% even amid policy uncertainty around President Trump’s failed push to repeal the Affordable Care Act.
• Bond proxy sectors such as utilities and consumer staples rebounded somewhat from a difficult second half of 2016.
Performance vs. Volatility• The CBOE VIX index continues to be a poor indicator of the level
of volatility in equity markets.• The VIX remains well below 20, the level considered to be the
threshold for more stable markets. In contrast, a level above 30 is generally considered to be a measure of market instability.
• The unappreciated level of risk in both domestic and international equity markets has been challenging for many investors with respect to risk management and monitoring investment portfolios.
8.3%6.1%
-6.9%2.4%
8.2%4.4%
12.5%5.7%
-4.3%6.1%
-10% -5% 0% 5% 10% 15%
Cons. Disc.Cons. Staples
EnergyFinancials
HealthcareIndustrials
ITMaterialsTelecom
Utilities
S&P 500 Sector Performance
6.1% 6.0%
8.9%
3.3% 2.5%
5.4%
-0.1%
5.7%
-2%0%2%4%6%8%
10%
S&P 500® Russell1000
Russell1000
Growth
Russell1000Value
Russell2000
Russell2000
Growth
Russell2000Value
Russell3000
U.S. Equity Index Returns
10.0%
11.0%
12.0%
13.0%
14.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
1/3/17 1/17/17 1/31/17 2/14/17 2/28/17 3/14/17 3/28/17
VIX LevelTotal
Retu
rnPerformance vs. Volatility
VIX S&P 500 Russell 2000 Russell Midcap
Sources this page: Investment Metrics, FactSet
Q1 2017 In Review: U.S. Equity
6
Q1 2017 In Review: International Equity
Performance• Equity markets around the globe experienced one of the
strongest starts to a year since 2012. Investors remained optimistic that corporate profitability would be buoyed by the U.S. administration, despite its protectionist trade rhetoric.
• Encouraging economic growth from across the U.S., Europe and Asia, as well as improving employment data and strengthening manufacturing conditions globally, contributed to a robust 7.3% return for the MSCI EAFEindex.
Country Returns• Asian markets were some of the best performers as positive
earnings revisions and easing concerns over a potential U.S. trade war boosted returns.
• European equities delivered strong gains amid positive economic data points and fading political worries about further eurozone breakups after the center-right party win in the Dutch elections.
• At a stock level, Spanish banks Banco de Sabadell and CaixaBank, were among the best performers in European markets, contributing to Spain’s strong 14.8% return.
Sector Performance• The information technology (IT) sector was the top
performer, followed by industrials and consumer staples.• Energy was the only sector to post a negative return, as the
prospect of faster growth in U.S. oil production and rising U.S. stockpiles remained on investors’ minds.
6.4% 7.3%8.6%
11.8%
5.0%4.6%
0%2%4%6%8%
10%12%14%
World EAFE Europe exceptU.K.
Pacific exceptJapan
UnitedKingdom
Japan
MSCI International Equity Index Returns
14.8% 13.5% 13.4%
2.5% 1.9% 1.4%0%
5%
10%
15%
20%
Spain Singapore Hong Kong Canada New Zealand Norway
Notable Country Returns
4.6%8.5%
-2.9%
6.4% 7.1% 8.5%11.2%
6.7% 4.7%7.2%
-5%0%5%
10%15%
Cons
. Disc
.
Cons
. Stap
les
Ener
gy
Finan
cials
Healt
hcar
e
Indus
trials IT
Mater
ials
Telec
om
Utilit
ies
MSCI EAFE Sector Returns
Source this page: Bloomberg
7
Q1 2017 In Review: Emerging Market Equity
Performance• The MSCI Emerging Markets Index rose by 11.5% in Q1, posting
the best quarterly increase in five years. • An improvement in global growth prospects, higher prices for
industrial metals, and a weaker USD all provided a tailwind for returns.
• At the total index level, currency had a positive impact for U.S. investors, with local currency returns coming in 3.7% below the USD results.
Country Returns• China gained on robust industrial production figures and
continued strength in the property market. Korea and Taiwan rallied on strong exports of technology related components.
• India gained as its central bank forecasted strong economic growth for the year and kept interest rates unchanged. The ruling BJP’s success in state elections also provided a tailwind.
• Poland performed the best of all index constituents, as positive economic data increased expectations for growth in 2017. Russia lost the most, hurt by a decline in energy prices.
Sector Performance• All sector returns were positive in Q1.• The technology and industrials sectors were the best performers,
while the energy and healthcare sectors lagged.
11.5%13.4%
2.7%
12.1%
0%
4%
8%
12%
16%
Emerging Markets Asia EMEA Latin America
MSCI Emerging Market Index Returns
12.9%
7.6%4.4%
10.0%
5.5%
13.6%17.0%
12.1%
7.6%10.0%
0%
10%
20%Co
ns. D
isc.
Cons
. Stap
les
Ener
gy
Finan
cials
Healt
hcar
e
Indus
trials IT
Mater
ials
Telec
om
Utilit
ies
MSCI EM Sector Returns
12.9%17.1% 16.9%
11.8%
17.8%
-4.6%-10%
0%
10%
20%
China India Korea Taiwan Poland Russia
Notable Country Returns
Source this page: Bloomberg
8
Q1 2017 In Review: U.S. Fixed Income
Performance• Overall, credit outperformed Treasuries in Q1.• The Bloomberg Barclays U.S. High Yield Index extended its
2016 run, generating 2.7% in Q1. Lower quality names outperformed higher quality names.
• The Bloomberg Barclays U.S. Aggregate Index had strong performance from the investment-grade corporate sector constituent (1.2% for the quarter).
Spreads• All standard U.S. spread sectors were trading below historical
medians at quarter end.• High yield bond spreads ended Q1 below high yield bank loans
at 392 bps over like-duration Treasuries vs. 438 bps over Libor for loans.
Yield Curve• The yield curve flattened modestly in Q1, with the 30- and 10-
year tenors falling 6 bps each, yielding 3.01% and 2.39%, respectively, at quarter end.
• The 2-year nominal Treasury note rose 7 bps to yield 1.26% behind a 25 bps Fed policy hike and inflation repricing.
0.8% 1.0% 0.8%1.6%
0.7%1.3% 1.2%
0.9% 0.5%
2.7%
0.1% 0.4%
0%
1%
2%
3%
4%
U.S.
Aggr
egate
Govt/
Cred
it
Inter
media
teGo
vt/Cr
edit
Long
Govt/
Cred
it
Gove
rnme
nt
Cred
it
Inv G
rade
Corp
orate
Inv G
rade
CMB
S
Mortg
age
U.S.
Cor
pora
teHi
gh Y
ield
Citi 3
-Mon
thT-
Bill
Huele
rSt
able
Value
U.S. Fixed Income Index Returns*
*Bloomberg Barclays Indices, unless otherwise noted.Sources this page: eVestment, Hueler Analytics, Barclays Live, FactSet
0.0
2.0
4.0
1M 3M 6M 1Y 2Y 3Y 5Y 7Y 10Y 30Y
%
Yield Curve12/31/2016 Yield 12/31/2015 Yield 03/31/2017 Yield
0.0
5.0
10.0
15.0
20.0
7/31/2015 12/31/2015 5/31/2016 10/31/2016 3/31/2017
Bloomberg Barclays Option Adjusted SpreadsU.S. Aggregate - OASU.S. Aggregate Credit - Corporate - High Yield / Energy - SEC - OASU.S. High Yield - Corporate - OASU.S. Aggregate Credit - Corporate - Investment Grade - OAS
9
Q1 2017 In Review: International Fixed Income
Global Treasuries• The USD depreciated in Q1, which benefitted international and
global indices with the euro, yen, and other developed ex-U.S. currencies.
Global Fixed Income Index Returns• The Global Aggregate Index was up 1.8% in Q1, while the USD-
hedged version of that index was only up 0.4%. The USD’s weakness held back the hedged index’s performance.
• The Citigroup World Government Bond (1.6%) and Non-U.S.World Government Bond (2.0%) indices also outpaced their hedged counterparts.
Emerging Market Debt• The USD-denominated corporate bond index (CEMBI) fell. The
USD-denominated EMBI Global and the local currency GBI-EM Global Diversified indices gained.
• Commodity prices found a bid in Q1 and meaningful emerging market currency appreciation occurred in pockets of the universe where valuations aren’t supported by fundamentals.
• In Latin America, Brazil and Mexico currencies appreciated 4.3% and 10.7%, respectively, versus the USD.
• In Asia, the South Korean won, Taiwanese dollar, and Indian rupee all appreciated meaningfully by quarter end.
3.9%
-1.3%
6.5%
-4%
-2%
0%
2%
4%
6%
8%
EMBI CEMBI GBI-EM
JP Morgan EMD Index Returns
-1.0
0.0
1.0
2.0
3.0
5/31/2
015
6/30/2
015
7/31/2
015
8/31/2
015
9/30/2
015
10/31
/2015
11/30
/2015
12/31
/2015
1/31/2
016
2/29/2
016
3/31/2
016
4/30/2
016
5/31/2
016
6/30/2
016
7/31/2
016
8/31/2
016
9/30/2
016
10/31
/2016
11/30
/2016
12/31
/2016
1/31/2
017
2/28/2
017
3/31/2
017
Global 10-Year Treasury YieldsUSA Japan UK Germany Canada
1.8%
0.4%
1.6%
0.0%
2.0%
-0.4%-0.5%0.0%0.5%1.0%1.5%2.0%2.5%
Blmb
g Bar
Glob
alAg
greg
ate
Blmb
g Bar
Glob
alAg
greg
ate(H
edge
d)
Citig
roup
WGB
I
Citig
roup
WGB
I(H
edge
d)
Citig
roup
Non-
U.S.
WGB
I
Citig
roup
Non-
U.S.
WGB
I(H
edge
d)
Global Fixed Income Index Performance
Sources this page: FactSet, Investment Metrics, JP Morgan
10
Q1 2017 In Review: Mutual Fund Flows
Equity and Fixed Income Flows• Fixed income received net new inflows of approximately $45.3
billion in Q1 through February 28, 2017*.• Equity experienced net outflows of approximately $5.9 billion
during the same time period. Net inflows of around $2.6 billion in February were not significant enough to offset January’s net outflows of approximately $8.6 billion in the quarter-to-date (QTD) calculation.
Equity Flows• International equity experienced the greatest net inflows QTD
through February 28* with a total of approximately $10 billion.• U.S. large and mid caps were net negative QTD, while small
caps and emerging markets were net positive.
Fixed Income Flows• Investment grade bonds saw the greatest net inflows at
approximately $17 billion QTD through February 28*.• International, high yield and municipal bonds were also net
positive.• The only segment that experienced net outflows was
government (not shown in graph).
-50,000-40,000-30,000-20,000-10,000
010,00020,00030,000
Apr-1
4
Jun-
14
Aug-
14
Oct-1
4
Dec-1
4
Feb-
15
Apr-1
5
Jun-
15
Aug-
15
Oct-1
5
Dec-1
5
Feb-
16
Apr-1
6
Jun-
16
Aug-
16
Oct-1
6
Dec-1
6
Feb-
17
Net N
ew F
lows (
$ milli
ons)
Mutual Fund FlowsBonds Stocks
*The most recent data available.Source this page: FactSet
-25,000
-15,000
-5,000
5,000
15,000
25,000
Mar-1
4Ap
r-14
May-1
4Ju
n-14
Jul-1
4Au
g-14
Sep-
14Oc
t-14
Nov-1
4De
c-14
Jan-
15Fe
b-15
Mar-1
5Ap
r-15
May-1
5Ju
n-15
Jul-1
5Au
g-15
Sep-
15Oc
t-15
Nov-1
5De
c-15
Jan-
16Fe
b-16
Mar-1
6Ap
r-16
May-1
6Ju
n-16
Jul-1
6Au
g-16
Sep-
16Oc
t-16
Nov-1
6De
c-16
Jan-
17Fe
b-17
$ Milli
ons
Equity FlowsUS LC US MC US SC Emerging Markets International
11
Hedge Funds and Fund of Funds• Q1 hedge fund performance as represented by the HFRI Fund
Weighted Composite was positive at 2.4%. The index has gained for four consecutive quarters and has trailing 1-, 3-, and 5-year returns of 8.7%, 2.8%, and 4.0%, respectively.
• The HFRI Fund of Funds Composite Index was also positive for the fourth consecutive quarter and up 2.4% in Q1. The index now has trailing 1-, 3-, and 5-year returns of 6.2%, 1.8%, and 3.2%, respectively.
Hedge Fund Sub-Strategies• Emerging Markets led sub-strategy performance in Q1, up
6.1%, driven largely by India and Asia ex-Japan. • Equity Hedge also posted a solid gain of 3.6% and benefited
from technology and healthcare specific managers. • Macro was the weakest strategy, down -0.2%, driven by Active
Trading and Systematic managers.
Hedge Fund Industry Asset Flows• Total hedge fund industry capital rose for the fourth
consecutive quarter. Industry-wide assets totaled $3.07 trillion by the end of Q1.
• Assets increased by $47 billion as investors increased capital to Event Driven and Trend Following Systematic Macro strategies. Trailing 12-month industry capital increased 7.3%.
• 2016 saw the largest annual outflow since 2009; however, investor outflow slowed to $5.5 billion in Q1 2017, the lowest quarterly outflow since Q4 2015.
Q1 2017 In Review: Absolute Return Strategies
$1,162
$1,424
$1,406
$500
$1,000
$1,500
$2,000
'07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17
HFR Hedge Fund and Fund of Fund Weighted CompositeGrowth of $1000
FOF Composite Fund Weighted Composite S&P 500 Global Aggregate
-5%
0%
5%
10%
15%
20%
Fund ofFund
FundWeighted
EventDriven
EquityHedge
Macro Distressed EmergingMarkets
RelativeValue
Hedge Fund Sub-Strategy PerformanceQTR 1 YR 3 YR 5 YR
$3,066
-5.5
$1,000
$1,500
$2,000
$2,500
$3,000
-160-140-120-100
-80-60-40-20
0204060
Q1 07
Q1 08
Q1 09
Q1 10
Q1 11
Q1 12
Q1 13
Q1 14
Q1 15
Q1 16
Q1 17
Quarterly Asset Flows ($Billions)HF Industry Assets Net Flows
Sources this page: Hedge Fund Research, Inc., eVestment
12
Performance• The total return for private equity funds, comprising
performance across all regions and strategies, was 3.8% in Q3 2016* and 9.1 percent over the 1-year period ending Q3.
• Long-term performance was strong, with double-digit returns for the 5-, 10- and 20-year time periods ending Q3 2016 of 13.4 percent, 10.4 percent, and 12.2 percent, respectively.
• Performance for 2010 through 2014 vintage-year funds has been solid, with double-digit returns for each vintage year.
Fundraising• U.S. private equity funds raised approximately $118.2 billion
in Q4 2016*, resulting in a total of $312.2 billion in fund commitments across 872 fund closings in 2016, around 6% more money and 77 more closings than in 2015.
• Corporate finance strategies, including buyouts and other strategies attracted $213.6 billion across 334 funds in 2016. Buyout funds, especially big buyout vehicles, helped drive overall U.S. private equity fundraising. The $103.9 billion gathered by buyout funds in 2016 marked the largest amount raised since 2008.
Exit Activity• Exit activity declined sharply in Q4 2016*. Compared to Q3,
the number of private equity exits decreased by 10%, while the aggregate value of exits fell 44.3%. The number of exits in 2016 hit its lowest level since 2009, while the aggregate exit value fell to its lowest level since 2014.
• Macro concerns and geopolitical uncertainty weighed heavily on the global IPO and M&A markets, making it the quietest year for IPOs since 2012 and represented a 23% decline in value for M&As compared to the previous year.
050,000
100,000150,000200,000250,000300,000350,000400,000
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
$ Milli
ons
Private Equity Commitments: United StatesOther (Includes fund of funds, mezzanine, and secondaries)VentureBuyout/Corporate Finance
Q1 2017 In Review: Private Equity
0%5%
10%15%20%25%30%
2014 2013 2012 2011 2010 1 Yr. 5 Yr. 10 Yr. 20 Yr.
Horiz
on R
eturn
s (P
ooled
IRRs
)
Vintage Year
Private Equity Performance by Vintage Year and Investment Horizon: All Regions
Total PE Venture Capital Buyouts
Investment Horizon
Sources this page: Thomson Reuters, Private Equity Analyst
-
1,000
2,000
3,000
0
100,000
200,000
300,000
400,000
500,00020
0020
0120
0220
0320
0420
0520
0620
0720
0820
0920
1020
1120
1220
1320
1420
1520
16
$ Milli
ons
Private Equity Exits: All RegionsM&A IPO Number of Deals
Number of Deals
* The most recent data available.
13
Q1 2017 In Review: Real EstateU.S. Private Real Estate• Among NPI property types, industrial continued its relative
outperformance (2.8%) with a 130 bps total return lead on the index's second best performing property type (retail).
• The West outperformed all other regions (2.0%).• Completed real estate deals in Q1 were significantly lower (-33%
QoQ), reflecting a $19bn decrease in aggregate deal value.• High quality U.S. assets have fully recovered in value and, on
average, are now valued 20% in excess of 2007 peak valuations. Despite the continued recovery, current valuations have U.S. assets trading at an overall slight premium to NAV.
Value Add Real Estate• Q1 2017 closed-end private real estate fundraising activity saw a
reversal in momentum from 2016: (42%) YoY; (53%) QoQ.• The number of closed-end funds reaching a final close declined
concomitantly, down from 72 in Q4 2016 to only 38 in Q1 2017.• Value-added funds represented the largest number of funds
closed and capital raised in Q1.• Dry powder increased 3% QoQ, setting a record high level of
$245bn at the end of Q1.
Public Real Estate• Global public real estate stocks saw modest gains in Q1.• The overall global investable property stock universe is trading at
a 2% discount, suggesting public markets may be pricing in a potential decline in asset values.
• Despite the relative value discounts, certain segments of the global listed property markets are trading at premiums, driven by investor demand for defensive exposure and for yield. -10%
-5%
0%
5%
10%
QTD 1-Year 3-Year 5-Year 10-Year
Regional Real Estate Securities PerformanceU.S. Europe Asia
Sources this page: Preqin, NCREIF, NAREIT
0%
5%
10%
15%
20%
25%
QTD 1-Year 3-Year 5-Year 10-Year
Closed End Value Add PerformanceIncome Appreciation
0.0%
5.0%
10.0%
15.0%
NPI ODCE NPI ODCE NPI ODCE NPI ODCE NPI ODCE
QTD 1-Year 3-Year 5-Year 10-Year
NCREIF NPI & Open-End Diversified Core Equity (ODCE)* Performance
Income Appreciation
* The NPI (NCREIF Property Index) is a U.S. direct investment real estate index based on gross, market value weighted returns of individual properties and the ODCE (Open-end Diversified Core Equity) is a fund-level cap-weighted, gross of fee, time-weighted return index.
14
Q1 2017 In Review: Infrastructure
Private Infrastructure Performance • Infrastructure has posted significant returns over the past 3 years
as private market investments have realized price appreciation that has been felt across capital markets.
• Double-digit annualized returns realized in the 3- and 5-year periods were not matched in the 1-year period. Private infrastructure is expected to continue to generate strong single-digit returns while avoiding equity correlation.
Dry Powder and Fundraising• Fundraising has been strong for infrastructure investors over the
past decade as institutional investors have become more active in the space.
• Dry powder has grown significantly as managers have been able to draw capital with a compelling growth and investment story.
• Infrastructure became a hot topic during the 2016 presidential election and Q1 2017 illustrated the sector’s popularity with a record quarterly fundraising total for unlisted infrastructure managers.
Public Infrastructure Performance• The talk of infrastructure during the presidential campaign not only
helped fundraising on the private side but it aided performance for public vehicles.
• Q1 2017 was a great quarter for global infrastructure, as many analysts expected a pickup in economic activity and higher infrastructure spending coming from Washington.
• The backdrop of strong global equities helped public infrastructure generate robust returns.
Sources this page: Preqin, Investment Metrics
8.2%
10.9%
7.2%
9.9% 10.4%
0.0%2.0%4.0%6.0%8.0%
10.0%12.0%
Q1 2017 1 Year 3 Years 5 Years 7 Years
FTSE Global Core Infrastructure 50/50 Index
8.9%11.8% 10.1%
7.7%
0.0%
5.0%
10.0%
15.0%
1 Year 3 Year 5 Year Since Inception(12/31/2007)
Preqin Infrastructure Annualized Return as of 6/30/2016*
$0
$50
$100
$150
$200
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017YTD
$USD
Billi
ons
Dry Powder and FundraisingDry Powder Capital Raised
* Most recent data available
15
Q1 2017 In Review: Commodities and Currencies
Quarterly Commodity Returns• Commodities (-2.3%) ended Q1 down after a strong 2016, when
the Bloomberg Commodity Index posted its first calendar-year gain since 2010.
• Energy and agriculture drove the decline, as natural gas, oil and sugar were negative.
• Industrial metals rose with disruptions at copper mines curbing supply. Prospective U.S. infrastructure investment and Chinese demand also boosted metals.
Sector Returns• The energy sector posted the largest decline in the index. Oil
prices fell due to questionable sustainability of the OPEC production cut and lukewarm prospects for growth in U.S. output.
• Precious metals outperformed, increasing 9.8% for the quarter. Expectations of rising inflation and volatility in other asset classes boosted gold prices.
Currencies • The USD retreated modestly in Q1 after a run up following the
U.S. election.• Higher interest rates and tax reform will be tailwinds for the USD
going forward.
$-
$50
$100
$150
Mar-07 Mar-09 Mar-11 Mar-13 Mar-15 Mar-17
Bloomberg Commodity Index: Growth of $100
Sources this page: Bloomberg, FactSet
-3.0%
9.8% 7.6%
0.1%
-11.4%-15%-10%-5%0%5%
10%15%
Agriculture Precious Metal IndustrialMetals
Livestock Energy
Bloomberg Commodity Index Sector Performance: QTD
-5.00-3.00-1.001.003.005.007.00
12/30/2016 1/30/2017 2/28/2017 3/31/2017
Major World Currencies Indexed to ZeroUS Trade-Weighted Dollar Exchange Rate Index USD per EuroUSD per Yen USD per YuanUSD per Canadian Dollar
16
Q1 2017 In Review: Noteworthy Developments
Financial Assets Outpace Economic Growth in the Current Expansion• As shown in the graph at left below, the current economic expansion is the third longest since 1950, as well as one of the slowest
in terms of economic growth.• Meanwhile, the current bull market in equities is the third strongest over that same time period, as illustrated in the graph at right
below.• This means the value of financial assets has far outpaced underlying economic growth, contributing to a few observations:
• The current state of the capital markets of overvaluation across virtually all asset classes.• The disconnect between the upper and middle classes, since the upper class typically benefits most from gains in financial
assets while slow growth has not benefitted the middle class to the same extent.
Source this page: FactSet
1953
19571960
1969
1973
1979
1981
1990
2001
2007 2017
0%
10%
20%
30%
40%
50%
60%
1 6 11 16 21 26 31 36 41
Cumu
lative
Rea
l GDP
Gro
wth (
%)
Number of Quarters of Economic Recovery
Economic Expansions Since 1950
19571960
19691979
1981
1990
2001
2007
2017
-100%
0%
100%
200%
300%
400%
500%
1 6 11 16 21 26 31 36 41
Number of Quarters of Economic Recovery
S&P 500 Total Return Cumulative Performance Since 1950
17
Q1 2017 In Review: Noteworthy Developments
The Quiet Black Swan• Over the last 5 years the U.S. equity market has outperformed emerging market equities by 12% per annum.• In other words, going long $1.00 in U.S. equities and short $1.00 in emerging markets would have given you $1.75 in a year.• This has occurred even though these two assets classes had a correlation of 0.66 throughout the period.• Using the historical standard deviations and correlations, the probability of this occurring is 1%, or 1-in-99 years.*
* This is according to the Capital Asset Pricing Model, or CAPM, which is a formula that is widely used in finance for the pricing of risky securities.** Ex Ante CAPMSources this page: Investment Metrics, Segal Marco Advisors analytics
$1.75
$0.80
$1.00
$1.20
$1.40
$1.60
$1.80
$2.00
Dec-2
016
Aug-
2016
Apr-2
016
Dec-2
015
Aug-
2015
Apr-2
015
Dec-2
014
Aug-
2014
Apr-2
014
Dec-2
013
Aug-
2013
Apr-2
013
Dec-2
012
Aug-
2012
Apr-2
012
Dec-2
011
U.S. Equity Versus Emerging Market EquityTrailing 5 Years
US EQ / EM EQ US EQ EM EQ
Risk Premium**
Historical StandardDeviation
Historical Correlation
U.S. Equity 6% 11% 1.00 0.66
Emerging Market Equity
8% 16% 0.66 1.00
Long U.S. Equity/
Short EME-1% 12%
Z-Score 2
Probability 1%
18
Q1 2017 In Review: Noteworthy Developments
High Yield in a Rising Rate Environment• Typically, rising interest rates are negative for the bond market. However, high yield bonds have historically performed well in a
rising rate environment. • During the six periods of rising rates over the last 30 years, the high yield market’s median return was 8.1%. Furthermore, in all six
periods, the high yield returns were positive.• Given that we may be headed into another period of rising interest rates, investors should consider high yield bonds as a potential
investment for their portfolio.
Sources this page: Bloomberg, Barclays, BofA Merrill Lynch
Date 10-Year Treasury Yield Annual Performance
Begin End Number of Months Begin End Change 10-Yr.
Treasury
BofAMerrill Lynch
U.S. High Yield
Aug-86 Sep-87 13 6.9% 9.6% 2.7% -8.9% 6.9%
Sep-93 Nov-94 14 5.4% 7.9% 2.5% -8.8% 6.9%
Sep-98 Jan-00 16 4.4% 6.7% 2.2% -7.7% 3.7%
May-03 May-06 37 3.4% 5.1% 1.7% -0.5% 9.3%
Dec-08 Dec-09 12 2.2% 3.8% 1.6% -9.8% 57.5%
Jul-12 Dec-13 17 1.5% 3.0% 1.6% -6.2% 9.5%
Median -8.3% 8.1%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
Aug-
86Oc
t-87
Dec-8
8Fe
b-90
Apr-9
1Ju
n-92
Aug-
93Oc
t-94
Dec-9
5Fe
b-97
Apr-9
8Ju
n-99
Aug-
00Oc
t-01
Dec-0
2Fe
b-04
Apr-0
5Ju
n-06
Aug-
07Oc
t-08
Dec-0
9Fe
b-11
Apr-1
2Ju
n-13
Aug-
14Oc
t-15
Dec-1
6
10-Year Treasury Yield
19
Total Fund Composite
20
Asset Allocation by Segment
SegmentsMarket Value
($)Allocation
(%)
Domestic Equity 125,269,499 40.35
Domestic Fixed Income 75,916,815 24.46
International Equity 63,985,188 20.61
Real Estate 33,612,640 10.83
Cash 6,762,303 2.18
Private Equity 4,877,064 1.57
Performance Bar Chart
Total Fund Composite Policy Index
0.00
5.00
10.00
15.00
20.00
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 2016 2015 2014
3.96 3.96
10.31
6.03
8.127.47
1.34
6.92
4.10 4.10
11.01
7.00
8.86 8.55
1.90
8.13
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Total Fund Composite
Beginning Market Value 303,934,080 303,934,080 293,188,266 281,671,446 237,193,020
Net Cash Flows -5,963,169 -5,963,169 -14,026,357 -31,769,897 -40,465,205
Income 1,339,866 1,339,866 4,898,999 13,557,734 21,018,229
Gain/Loss 11,112,732 11,112,732 26,362,601 46,964,227 92,677,466
Ending Market Value 310,423,510 310,423,510 310,423,510 310,423,510 310,423,510
The City of Hollywood Total Fund Composite
As of March 31, 2017
21
Target Allocation Actual Allocation Allocation Differences
0.0% 10.0% 20.0% 30.0% 40.0% 50.0%-10.0 %-20.0 %
Private Equity Composite$4,877,064
Real Estate Composite$33,612,790
Fixed Income Composite$79,564,562
International Equity Composite$63,985,219
Small / SMID Cap Composite$44,916,448
Large Cap Composite$83,467,426
5.0%
10.0%
30.0%
20.0%
12.5%
22.5%
1.6%
10.8%
25.6%
20.6%
14.5%
26.9%
-3.4 %
0.8%
-4.4 %
0.6%
2.0%
4.4%
AssetAllocation
($)
AssetAllocation
(%)
InterimTarget
Allocation(%)
Differences(%)
MinimumAllocation
(%)
MaximumAllocation
(%)
Total Fund Composite 310,423,510 100.00 100.00 0.00 N/A N/A
Large Cap Composite 83,467,426 26.89 22.50 4.39 15.00 30.00
Small / SMID Cap Composite 44,916,448 14.47 12.50 1.97 7.00 15.50
International Equity Composite 63,985,219 20.61 20.00 0.61 15.00 25.00
Fixed Income Composite 79,564,562 25.63 30.00 -4.37 25.00 37.50
Real Estate Composite 33,612,790 10.83 10.00 0.83 7.00 14.00
Private Equity Composite 4,877,064 1.57 5.00 -3.43 0.00 15.00
The City of Hollywood Total Fund Composite
As of March 31, 2017
22
Total Fund
($) %
Total Fund Composite 310,423,510 100.00
Domestic Equity Composite 128,383,874 41.36
Large Cap Composite 83,467,426 26.89
Northern Trust S&P 500 83,467,426 26.89
Small / SMID Cap Composite 44,916,448 14.47
TSW - SMID Value 20,593,201 6.63
Frontier Capital 24,323,247 7.84
International Equity Composite 63,985,219 20.61
Brandes International Small Cap 17,731,962 5.71
Wellington International 46,253,258 14.90
Fixed Income Composite 79,564,562 25.63
Baird Advisors 53,568,081 17.26
Neuberger & Berman 25,996,481 8.37
Real Estate Composite 33,612,790 10.83
Morgan Stanley 24,221,866 7.80
Principal Enhanced Property Fund 9,390,924 3.03
Private Equity Composite 4,877,064 1.57
NB Crossroads Fund XXI 4,155,005 1.34
HarbourVest Dover Fund IX 722,059 0.23
Infrastructure Composite - 0.00
IFM Global Infrastructure - 0.00
The City of Hollywood Asset Allocation
As of March 31, 2017
23
Performance (%)
1Quarter
Oct-2016To
Mar-20171
Year3
Years5
Years7
Years10
YearsSince
InceptionInception
Date
Total Fund Composite 4.10 5.10 11.01 7.00 8.86 9.08 5.99 7.87 02/01/1991
Policy Index 3.96 4.93 10.31 6.03 8.12 8.57 5.75 7.96
Large Cap Composite 6.04 10.09 17.12 10.34 12.80 12.41 7.06 8.62 09/01/2002
S&P 500 6.07 10.12 17.17 10.37 13.30 12.94 7.51 8.92
Small / SMID Cap Composite 4.41 8.49 21.53 8.38 12.83 13.07 6.63 10.88 09/01/2002
Small / SMID Policy 3.76 10.11 21.53 7.43 12.58 12.43 7.23 10.61
International Equity Composite 7.13 6.48 11.85 4.29 N/A N/A N/A 5.66 05/01/2013
MSCI AC World ex USA (Net) 7.86 6.51 13.13 0.56 4.36 3.82 1.35 2.50
Fixed Income Composite 0.98 -1.50 1.16 2.56 2.26 3.26 3.89 7.51 02/01/1991
Bond Index 0.68 -1.38 0.35 2.25 1.95 2.94 3.91 5.45
Real Estate Composite 1.93 4.75 10.09 13.12 13.40 14.26 N/A 5.41 04/01/2008
Real Estate Policy 1.76 3.85 8.28 11.64 11.68 13.07 5.74 4.94
The City of Hollywood Comparative Performance
As of March 31, 2017
24
Performance (%)
1Quarter
Year ToDate
Oct-2016To
Mar-20171
Year3
Years5
Years7
Years10
YearsSince
InceptionInception
Date
Large Cap Composite 6.04 6.04 10.09 17.12 10.34 12.80 12.41 7.06 8.62 09/01/2002
S&P 500 6.07 6.07 10.12 17.17 10.37 13.30 12.94 7.51 8.92
Northern Trust S&P 500 6.04 6.04 10.09 17.12 10.34 N/A N/A N/A 14.76 11/01/2012
S&P 500 6.07 6.07 10.12 17.17 10.37 13.30 12.94 7.51 14.79
IM U.S. Large Cap Core Equity (SA+CF) Median 5.97 5.97 10.14 16.32 9.80 13.22 12.92 7.74 14.71
Northern Trust S&P 500 Rank 48 48 53 45 38 N/A N/A N/A 48
Small / SMID Cap Composite 4.41 4.41 8.49 21.53 8.38 12.83 13.07 6.63 10.88 09/01/2002
Small / SMID Policy 3.76 3.76 10.11 21.53 7.43 12.58 12.43 7.23 10.61
TSW - SMID Value 3.10 3.10 7.37 18.19 8.29 N/A N/A N/A 10.07 11/01/2013
Russell 2500 Value Index 1.62 1.62 11.12 23.13 7.55 12.92 12.31 6.79 9.10
IM U.S. SMID Cap Value Equity (SA+CF) Median 3.77 3.77 12.07 21.48 8.00 13.06 13.21 8.58 9.45
TSW - SMID Value Rank 61 61 92 73 47 N/A N/A N/A 39
Frontier Capital 5.54 5.54 9.46 24.70 8.01 N/A N/A N/A 11.20 08/01/2013
Russell 2500 Growth Index 6.25 6.25 9.01 19.77 7.23 12.17 13.13 8.47 9.79
IM U.S. SMID Cap Growth Equity (SA+CF) Median 7.35 7.35 9.06 19.27 7.01 11.85 13.56 9.71 9.54
Frontier Capital Rank 76 76 47 11 33 N/A N/A N/A 28
International Equity Composite 7.13 7.13 6.48 11.85 4.29 N/A N/A N/A 5.66 05/01/2013
MSCI AC World ex USA (Net) 7.86 7.86 6.51 13.13 0.56 4.36 3.82 1.35 2.50
Brandes International Small Cap 6.66 6.66 8.69 13.08 N/A N/A N/A N/A 8.79 05/01/2015
MSCI EAFE Small Cap (Net) 7.97 7.97 4.89 10.99 3.60 9.20 8.29 3.03 4.85
IM International Small Cap Equity (SA+CF) Median 8.71 8.71 5.19 11.47 4.35 10.53 10.02 5.05 4.74
Brandes International Small Cap Rank 88 88 10 37 N/A N/A N/A N/A 13
Wellington International 7.31 7.31 5.65 11.39 3.05 N/A N/A N/A 3.47 11/01/2013
MSCI AC World ex USA (Net) 7.86 7.86 6.51 13.13 0.56 4.36 3.82 1.35 0.95
IM International Core Equity (SA+CF) Median 8.04 8.04 5.96 11.64 1.92 7.19 6.32 2.48 2.84
Wellington International Rank 72 72 55 57 32 N/A N/A N/A 40
The City of Hollywood Comparative Performance
As of March 31, 2017
25
The City of Hollywood Comparative Performance
As of March 31, 2017Performance (%)
1Quarter
Year ToDate
Oct-2016To
Mar-20171
Year3
Years5
Years7
Years10
YearsSince
InceptionInception
Date
Fixed Income Composite 0.98 0.98 -1.50 1.16 2.56 2.26 3.26 3.89 7.51 02/01/1991
Bond Index 0.68 0.68 -1.38 0.35 2.25 1.95 2.94 3.91 5.45
Baird Advisors 1.11 1.11 -1.65 1.88 3.42 2.94 4.18 4.25 4.28 10/01/2005
Blmbg. Barc. U.S. Aggregate 0.82 0.82 -2.18 0.44 2.68 2.34 3.48 4.27 4.28
IM U.S. Broad Market Core Fixed Income (SA+CF) Median 0.92 0.92 -1.89 1.01 2.97 2.81 3.97 4.76 4.73
Baird Advisors Rank 26 26 30 24 20 38 34 90 90
Neuberger & Berman 0.72 0.72 -1.32 0.15 1.56 1.50 2.62 3.82 5.58 02/01/1991
Blmbg. Barc. Intermed. U.S. Government/Credit 0.78 0.78 -1.30 0.42 2.01 1.88 2.86 3.76 5.46
90 Day U.S. Treasury Bill 0.10 0.10 0.17 0.30 0.14 0.11 0.11 0.66 2.77
IM U.S. Intermediate Duration (SA+CF) Median 0.81 0.81 -1.04 0.94 2.31 2.23 3.16 4.22 5.90
Neuberger & Berman Rank 75 75 85 89 98 95 91 86 92
Real Estate Composite 1.93 1.93 4.75 10.09 13.12 13.40 14.26 N/A 5.41 04/01/2008
Real Estate Policy 1.76 1.76 3.85 8.28 11.64 11.68 13.07 5.74 4.94
Morgan Stanley 1.92 1.92 4.37 9.27 12.39 12.99 13.96 N/A 5.20 04/01/2008
NCREIF ODCE Equal Weighted 1.83 1.83 4.03 8.61 12.00 12.01 13.48 5.40 4.58
Principal Enhanced Property Fund 1.95 1.95 5.74 12.33 15.41 N/A N/A N/A 15.20 11/01/2013
NCREIF Property Index 1.55 1.55 3.30 7.27 10.58 10.69 11.82 6.72 10.64
26
Performance (%)
2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006
Total Fund Composite 8.55 1.90 8.13 19.67 12.40 0.74 13.24 15.81 -23.73 7.47 11.23
Policy Index 7.47 1.34 6.92 17.92 11.54 2.70 13.36 16.85 -22.38 5.46 11.61
Large Cap Composite 11.89 1.41 13.67 32.45 17.06 -3.31 16.46 29.59 -40.76 8.58 15.25
S&P 500 11.96 1.38 13.69 32.39 16.00 2.11 15.06 26.46 -37.00 5.49 15.79
Small / SMID Cap Composite 19.57 -3.51 10.72 36.00 12.94 1.91 21.00 14.96 -36.71 6.03 15.33
Small / SMID Policy 17.59 -2.90 7.07 37.79 16.35 -4.18 26.85 27.17 -33.79 -1.57 18.37
International Equity Composite 4.08 3.39 -2.90 N/A N/A N/A N/A N/A N/A N/A N/A
MSCI AC World ex USA (Net) 4.50 -5.66 -3.87 15.29 16.83 -13.71 11.15 41.45 -45.53 16.65 26.65
Fixed Income Composite 3.08 0.68 4.57 -1.85 4.44 6.64 6.20 6.02 3.36 6.60 4.52
Bond Index 1.97 1.21 4.12 -1.02 3.56 5.97 6.15 6.46 4.86 7.02 4.57
Real Estate Composite 10.28 15.88 14.03 16.03 11.68 16.33 15.15 -33.00 N/A N/A N/A
Real Estate Policy 8.94 14.71 12.24 12.76 10.91 15.53 15.38 -27.37 -9.40 16.03 16.26
The City of Hollywood Comparative Performance
As of March 31, 2017
27
Performance (%)
2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006
Large Cap Composite 11.89 1.41 13.67 32.45 17.06 -3.31 16.46 29.59 -40.76 8.58 15.25
S&P 500 11.96 1.38 13.69 32.39 16.00 2.11 15.06 26.46 -37.00 5.49 15.79
Northern Trust S&P 500 11.89 1.41 13.67 32.30 N/A N/A N/A N/A N/A N/A N/A
S&P 500 11.96 1.38 13.69 32.39 16.00 2.11 15.06 26.46 -37.00 5.49 15.79
IM U.S. Large Cap Core Equity (SA+CF) Median 10.52 1.28 13.41 32.96 15.70 2.03 14.80 26.50 -35.97 7.13 15.61
Northern Trust S&P 500 Rank 34 49 44 61 N/A N/A N/A N/A N/A N/A N/A
Small / SMID Cap Composite 19.57 -3.51 10.72 36.00 12.94 1.91 21.00 14.96 -36.71 6.03 15.33
Small / SMID Policy 17.59 -2.90 7.07 37.79 16.35 -4.18 26.85 27.17 -33.79 -1.57 18.37
TSW - SMID Value 19.19 -1.03 8.43 N/A N/A N/A N/A N/A N/A N/A N/A
Russell 2500 Value Index 25.20 -5.49 7.11 33.32 19.21 -3.36 24.82 27.68 -31.99 -7.27 20.18
IM U.S. SMID Cap Value Equity (SA+CF) Median 19.38 -2.92 7.21 35.68 16.96 -2.10 25.48 35.58 -35.76 3.30 17.51
TSW - SMID Value Rank 51 30 40 N/A N/A N/A N/A N/A N/A N/A N/A
Frontier Capital 19.96 -6.45 12.35 N/A N/A N/A N/A N/A N/A N/A N/A
Russell 2500 Growth Index 9.73 -0.19 7.05 40.65 16.13 -1.57 28.86 41.65 -41.50 9.69 12.26
IM U.S. SMID Cap Growth Equity (SA+CF) Median 8.43 0.14 5.65 40.05 15.46 -1.74 29.98 37.64 -41.43 14.70 11.06
Frontier Capital Rank 4 95 9 N/A N/A N/A N/A N/A N/A N/A N/A
International Equity Composite 4.08 3.39 -2.90 N/A N/A N/A N/A N/A N/A N/A N/A
MSCI AC World ex USA (Net) 4.50 -5.66 -3.87 15.29 16.83 -13.71 11.15 41.45 -45.53 16.65 26.65
Brandes International Small Cap 10.63 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A
MSCI EAFE Small Cap (Net) 2.18 9.59 -4.95 29.30 20.00 -15.94 22.04 46.78 -47.01 1.45 19.31
IM International Small Cap Equity (SA+CF) Median 1.19 10.39 -3.38 31.13 23.53 -13.62 23.75 45.67 -47.15 9.51 29.40
Brandes International Small Cap Rank 7 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A
Wellington International 1.76 1.86 -2.90 N/A N/A N/A N/A N/A N/A N/A N/A
MSCI AC World ex USA (Net) 4.50 -5.66 -3.87 15.29 16.83 -13.71 11.15 41.45 -45.53 16.65 26.65
IM International Core Equity (SA+CF) Median 1.39 1.13 -3.51 23.97 19.73 -12.34 11.84 33.79 -44.08 12.09 27.73
Wellington International Rank 46 46 39 N/A N/A N/A N/A N/A N/A N/A N/A
The City of Hollywood Comparative Performance
As of March 31, 2017
28
The City of Hollywood Comparative Performance
As of March 31, 2017
Performance (%)
2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006
Fixed Income Composite 3.08 0.68 4.57 -1.85 4.44 6.64 6.20 6.02 3.36 6.60 4.52
Bond Index 1.97 1.21 4.12 -1.02 3.56 5.97 6.15 6.46 4.86 7.02 4.57
Baird Advisors 4.29 0.45 6.62 -2.50 5.35 8.85 7.74 5.76 0.85 6.11 4.44
Blmbg. Barc. U.S. Aggregate 2.65 0.55 5.97 -2.02 4.21 7.84 6.54 5.93 5.24 6.97 4.34
IM U.S. Broad Market Core Fixed Income (SA+CF) Median 3.10 0.82 6.14 -1.56 5.88 7.83 7.24 9.88 3.04 6.87 4.49
Baird Advisors Rank 14 83 29 95 64 9 38 90 59 72 57
Neuberger & Berman 1.50 0.94 2.43 -1.24 4.05 5.74 5.96 8.64 4.48 6.92 4.31
Blmbg. Barc. Intermed. U.S. Government/Credit 2.08 1.07 3.13 -0.86 3.89 5.80 5.89 5.24 5.08 7.39 4.07
IM U.S. Intermediate Duration (SA+CF) Median 2.39 1.31 3.56 -0.53 4.98 5.86 6.42 7.85 4.66 7.23 4.49
Neuberger & Berman Rank 95 83 92 87 72 57 74 41 52 63 72
Real Estate Composite 10.28 15.88 14.03 16.03 11.68 16.33 15.15 -33.00 N/A N/A N/A
Real Estate Policy 8.94 14.71 12.24 12.76 10.91 15.53 15.38 -27.37 -9.40 16.03 16.26
Morgan Stanley 9.23 14.59 14.15 16.20 11.68 16.33 15.15 -33.00 N/A N/A N/A
NCREIF ODCE Equal Weighted 9.27 15.17 12.38 13.36 11.03 15.96 16.14 -30.65 -10.37 16.09 16.15
Principal Enhanced Property Fund 13.34 20.25 13.64 N/A N/A N/A N/A N/A N/A N/A N/A
NCREIF Property Index 7.97 13.33 11.82 10.98 10.54 14.26 13.11 -16.85 -6.46 15.85 16.60
29
Allocation
Market Value($000)
Performance (%)
Oct-2004To
Sep-2005
Oct-2005To
Sep-2006
Oct-2006To
Sep-2007
Oct-2007To
Sep-2008
Oct-2008To
Sep-2009
Oct-2009To
Sep-2010
Oct-2010To
Sep-2011
Oct-2011To
Sep-2012
Oct-2012To
Sep-2013
Oct-2013To
Sep-2014
Oct-2014To
Sep-2015
Oct-2015To
Sep-2016
Oct-2016To
Mar-2017
Total Fund Composite 310,424 9.78 7.74 12.55 -12.77 -2.12 8.82 0.36 20.29 13.62 11.24 1.80 11.06 5.10
Policy Index 8.25 7.64 11.79 -11.28 -1.82 9.29 2.00 19.44 12.76 9.80 0.64 9.85 4.93
The City of Hollywood Comparative Performance
As of March 31, 2017
30
Total Fund Performance
0.0% 2.0% 4.0% 6.0%
Total Fund
Total Fund Benchmark
Total Value Added
4.1%
4.0%
0.1%
Total Value Added:0.1%
0.0% 0.1% 0.2%-0.1 %-0.2 %
Other
Manager Value Added
Asset Allocation
0.0%
0.0%
0.1%
Total Asset Allocation:0.1%
Average Active Weight
0.0% 4.0% 8.0%-4.0 %-8.0 %
Int'l Small Cap
Real Estate
Fixed Income Composite
Int'l Large Cap
Small / SMID Cap
Large Cap
We
igh
t
(%)
0.5%
1.2%
-4.7 %
-0.8 %
1.7%
0.7%
Asset Allocation Value Added
0.0% 0.2% 0.4%-0.2 %
0.0%
0.0%
0.2%
0.0%
0.0%
0.0%
Total Manager Value Added:0.0%
Manager Value Added
0.0% 0.2%-0.2 %-0.4 %
-0.1 %
0.0%
0.1%
-0.1 %
0.1%
0.0%
The City of Hollywood Total Fund Attribution
1 Quarter Ending March 31, 2017
31
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
18.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Total Fund Composite 4.10 (76) 4.10 (76) 11.01 (46) 7.00 (3) 8.86 (11) 9.08 (8) 5.99 (34)¢£
Policy Index 3.96 (82) 3.96 (82) 10.31 (70) 6.03 (32) 8.12 (37) 8.57 (26) 5.75 (47)��
5th Percentile 5.44 5.44 13.24 6.92 9.26 9.24 6.72
1st Quartile 4.84 4.84 11.77 6.13 8.37 8.59 6.11
Median 4.49 4.49 10.82 5.63 7.87 8.12 5.68
3rd Quartile 4.11 4.11 9.93 5.00 7.25 7.58 5.40
95th Percentile 3.47 3.47 8.90 3.99 6.25 6.87 4.53
Population 236 236 232 222 213 205 130
The City of Hollywood Public Plans < $500 Million & 40-70% Equity
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
32
-16.0
-10.0
-4.0
2.0
8.0
14.0
20.0
26.0
32.0
38.0
44.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Total Fund Composite 8.55 (17) 1.90 (9) 8.13 (19) 19.67 (13) 12.40 (58) 0.74 (34) 13.24 (36) 15.81 (88)¢£
Policy Index 7.47 (40) 1.34 (17) 6.92 (48) 17.92 (43) 11.54 (79) 2.70 (6) 13.36 (35) 16.85 (78)��
5th Percentile 9.70 2.27 9.15 21.26 15.27 2.90 16.30 27.79
1st Quartile 8.19 0.96 7.88 18.75 13.81 1.19 13.83 22.57
Median 7.11 0.11 6.82 17.56 12.75 0.05 12.70 19.39
3rd Quartile 6.23 -0.71 5.66 15.85 11.78 -1.23 11.80 17.00
95th Percentile 4.73 -2.29 3.63 12.54 9.99 -2.56 10.71 13.73
Population 378 366 278 245 259 234 218 183
The City of Hollywood Public Plans < $500 Million & 40-70% Equity
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
33
Risk & Return Plan Sponsor — 3 Years Risk & Return Plan Sponsor — 5 Years
Rolling Return and Tracking Error
0.0
2.5
5.0
7.5
10.0
Re
turn
(%)
2.1 2.8 3.5 4.2 4.9 5.6 6.3 7.0
Risk (Standard Deviation %)
ReturnStandardDeviation
Total Fund Composite 7.00 4.60¢£
Policy Index 6.03 4.47��
Median 5.63 5.09¾
0.0
5.0
10.0
15.0
Re
turn
(%)
3.2 4.0 4.8 5.6 6.4 7.2 8.0
Risk (Standard Deviation %)
ReturnStandardDeviation
Total Fund Composite 8.86 5.74¢£
Policy Index 8.12 4.95��
Median 7.87 5.46¾
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
3.0
6.0
-3.0
-6.0
-9.0
Ac
tive
Re
turn
(%)
6/91 9/92 12/93 3/95 6/96 9/97 12/98 3/00 6/01 9/02 12/03 3/05 6/06 9/07 12/08 3/10 6/11 9/12 12/13 3/15 6/16 3/17
The City of Hollywood Total CompositeAs of March 31, 2017
34
Policy Index Weight (%)
Jan-1973
Blmbg. Barc. Intermed. U.S. Government/Credit 45.00
Blmbg. Barc. U.S. Government: Intermediate 25.00
S&P 500 25.00
90 Day U.S. Treasury Bill 5.00
Jan-1995
Blmbg. Barc. Intermed. U.S. Government/Credit 26.00
Blmbg. Barc. U.S. Government: Intermediate 14.00
S&P 500 55.00
Russell 2000 Index 5.00
Jan-2003
Blmbg. Barc. Intermed. U.S. Government/Credit 29.00
Blmbg. Barc. U.S. Government: Intermediate 16.00
S&P 500 40.00
Russell 2000 Index 15.00
Oct-2004
Blmbg. Barc. Intermed. U.S. Government/Credit 30.00
Blmbg. Barc. U.S. Government: Intermediate 15.00
S&P 500 40.00
Russell 2000 Index 15.00
Oct-2005
S&P 500 40.00
Russell 2000 Index 15.00
Blmbg. Barc. U.S. Intermediate Aggregate 45.00
Jul-2006
S&P 500 40.00
Russell 2000 Index 15.00
Blmbg. Barc. U.S. Intermediate Aggregate 40.00
MSCI EAFE (Net) 5.00
Policy Index Weight (%)
Apr-2008
S&P 500 40.00
Blmbg. Barc. U.S. Intermediate Aggregate 35.00
Russell 2000 Index 15.00
MSCI EAFE (Net) 5.00
NCREIF ODCE Equal Weighted 5.00
Sep-2010
S&P 500 40.00
Blmbg. Barc. U.S. Intermediate Aggregate 35.00
Russell 2000 Index 15.00
90 Day U.S. Treasury Bill 5.00
NCREIF ODCE Equal Weighted 5.00
Oct-2010
S&P 500 40.00
Blmbg. Barc. U.S. Intermediate Aggregate 35.00
Russell 2000 Index 15.00
MSCI AC World ex USA (Net) 5.00
NCREIF ODCE Equal Weighted 5.00
May-2013
S&P 500 32.50
Blmbg. Barc. U.S. Intermediate Aggregate 32.50
Russell 2000 Index 12.50
MSCI AC World ex USA (Net) 15.00
NCREIF ODCE Equal Weighted 7.50
Nov-2013
S&P 500 30.00
Blmbg. Barc. U.S. Intermediate Aggregate 32.50
Russell 2500 Index 12.50
MSCI AC World ex USA (Net) 15.00
NCREIF ODCE Equal Weighted 7.50
NCREIF Property Index 2.50
The City of Hollywood Policy Index
As of March 31, 2017
35
The City of Hollywood Policy Index
As of March 31, 2017
Policy Index Weight (%)
May-2015
S&P 500 25.00
Blmbg. Barc. U.S. Intermediate Aggregate 32.50
Russell 2500 Index 12.50
MSCI AC World ex USA (Net) 15.00
MSCI EAFE Small Cap (Net) 5.00
NCREIF ODCE Equal Weighted 7.50
NCREIF Property Index 2.50
36
Periods Ending
BeginningMarket Value
($)
NetCash Flow
($)Gain/Loss
($)
EndingMarket Value
($) %Return
From 02/1991 70,755,814 -989,948 12,022,401 81,788,267 17.12
1992 81,788,267 -1,336,854 5,335,405 85,786,818 6.61
1993 85,786,818 -1,701,361 6,296,512 90,381,969 7.40
1994 90,381,969 -2,167,186 -604,142 87,610,641 -0.65
1995 87,610,641 -7,369,636 28,373,068 108,614,073 26.80
1996 108,614,073 -3,018,593 12,427,929 118,023,409 11.61
1997 118,023,409 -3,547,921 18,037,393 132,512,881 15.53
1998 132,512,881 -3,098,858 18,542,125 147,956,148 14.15
1999 147,956,148 -3,767,247 19,605,945 163,794,846 13.48
2000 163,794,846 -3,956,267 8,750,636 168,589,215 5.40
2001 168,589,215 -4,286,260 -2,541,460 161,761,495 -1.45
2002 161,761,495 -3,046,457 -16,516,527 142,198,511 -10.18
2003 142,198,511 -2,782,412 28,678,451 168,094,550 20.38
2004 168,094,550 -3,400,914 15,868,038 180,561,674 9.61
2005 180,561,674 -2,378,899 6,433,750 184,616,525 3.61
2006 184,616,525 -1,930,035 20,325,723 203,012,213 11.23
2007 203,012,213 -1,809,758 15,134,283 216,336,738 7.47
2008 216,336,738 -518,994 -51,672,638 164,145,106 -23.73
2009 164,145,106 12,591,369 25,994,218 202,730,693 15.81
2010 202,730,693 -1,203,962 25,533,405 227,060,136 13.24
2011 227,060,136 -17,100,000 1,847,245 211,807,381 0.74
2012 211,807,381 5,708,540 26,036,403 243,552,324 12.40
2013 243,552,324 -19,856,941 45,832,555 269,527,938 19.67
2014 269,527,938 14,261,469 19,462,684 303,252,091 8.13
2015 303,252,091 -11,289,150 6,253,257 298,216,198 1.90
2016 298,216,198 -18,200,974 23,918,857 303,934,080 8.55
To 03/2017 303,934,080 -5,963,169 12,452,598 310,423,510 4.10
70,755,814 -92,160,417 331,828,113 310,423,510 626.09
The City of Hollywood Schedule of Investable Assets
Since Inception Ending March 31, 2017
Gain/Loss includes income received and change in accrued income for the period.
37
Investment Manager Performance
38
Domestic Equity
39
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Large Cap Composite
Beginning Market Value 78,145,700 78,145,700 72,509,757 92,439,874 100,096,134
Net Cash Flows 499,972 499,972 -1,000,864 -33,850,865 -71,850,336
Income 143 143 527 531 970,599
Gain/Loss 4,821,611 4,821,611 11,958,006 24,877,886 54,251,029
Ending Market Value 83,467,426 83,467,426 83,467,426 83,467,426 83,467,426
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
3.0
6.0
-3.0
-6.0
Ac
tive
Re
turn
(%)
12/02 9/03 6/04 3/05 12/05 9/06 6/07 3/08 12/08 9/09 6/10 3/11 12/11 9/12 6/13 3/14 12/14 9/15 6/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Large Cap Composite 6.04 6.04 17.12 10.34 12.80 12.41 7.06
S&P 500 6.07 6.07 17.17 10.37 13.30 12.94 7.51
Difference -0.03 -0.03 -0.05 -0.03 -0.50 -0.53 -0.45
The City of Hollywood Large Cap CompositeAs of March 31, 2017
40
-5.0
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Large Cap Composite 6.04 (49) 6.04 (49) 17.12 (50) 10.34 (35) 12.80 (58) 12.41 (64) 7.06 (73)¢£
S&P 500 6.07 (46) 6.07 (46) 17.17 (48) 10.37 (34) 13.30 (42) 12.94 (47) 7.51 (63)��
5th Percentile 10.46 10.46 24.22 12.68 15.57 15.15 10.29
1st Quartile 7.55 7.55 19.03 10.66 13.78 13.52 8.81
Median 5.96 5.96 17.04 9.59 13.16 12.87 7.77
3rd Quartile 4.39 4.39 14.65 8.16 11.99 11.79 6.93
95th Percentile 2.58 2.58 10.22 5.30 9.48 9.78 5.48
Population 1,025 1,025 1,020 996 950 906 811
The City of Hollywood IM U.S. Large Cap Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
41
-40.0
-25.0
-10.0
5.0
20.0
35.0
50.0
65.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Large Cap Composite 11.89 (42) 1.41 (45) 13.67 (37) 32.45 (63) 17.06 (32) -3.31 (82) 16.46 (34) 29.59 (42)¢£
S&P 500 11.96 (41) 1.38 (46) 13.69 (37) 32.39 (65) 16.00 (48) 2.11 (41) 15.06 (52) 26.46 (57)��
5th Percentile 19.51 9.40 17.59 42.37 21.40 8.93 23.37 46.12
1st Quartile 14.08 3.92 14.48 36.63 17.69 3.75 17.40 34.57
Median 10.98 0.93 12.91 33.51 15.83 1.22 15.11 27.61
3rd Quartile 6.70 -2.18 10.70 31.26 13.43 -1.86 13.08 23.00
95th Percentile 0.60 -7.10 5.87 24.90 9.20 -7.13 9.58 15.42
Population 1,095 1,183 1,248 1,285 1,328 1,389 1,456 1,552
The City of Hollywood IM U.S. Large Cap Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
42
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Northern Trust S&P 500
Beginning Market Value 78,145,700 78,145,700 72,509,757 92,439,874 -
Net Cash Flows 499,972 499,972 -1,000,864 -33,850,865 -
Income 143 143 527 531 -
Gain/Loss 4,821,611 4,821,611 11,958,006 24,877,886 -
Ending Market Value 83,467,426 83,467,426 83,467,426 83,467,426 -
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
0.1
-0.1
-0.2
-0.3
Ac
tive
Re
turn
(%)
3/13 6/13 9/13 12/13 3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Northern Trust S&P 500 6.04 6.04 17.12 10.34 N/A N/A N/A
S&P 500 6.07 6.07 17.17 10.37 13.30 12.94 7.51
Difference -0.03 -0.03 -0.05 -0.03 N/A N/A N/A
The City of Hollywood Northern Trust S&P 500As of March 31, 2017
43
-4.0
0.0
4.0
8.0
12.0
16.0
20.0
24.0
28.0
32.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Northern Trust S&P 500 6.04 (48) 6.04 (48) 17.12 (45) 10.34 (38) N/A N/A N/A¢£
S&P 500 6.07 (45) 6.07 (45) 17.17 (44) 10.37 (37) 13.30 (45) 12.94 (49) 7.51 (64)��
5th Percentile 8.09 8.09 22.94 13.17 15.81 15.46 9.66
1st Quartile 6.78 6.78 18.63 10.84 14.00 13.49 8.47
Median 5.97 5.97 16.32 9.80 13.22 12.92 7.74
3rd Quartile 5.04 5.04 14.26 8.38 11.97 11.79 7.11
95th Percentile 3.52 3.52 9.15 5.50 8.90 9.61 6.16
Population 273 273 271 263 246 229 201
The City of Hollywood IM U.S. Large Cap Core Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
44
-30.0
-20.0
-10.0
0.0
10.0
20.0
30.0
40.0
50.0
60.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Northern Trust S&P 500 11.89 (34) 1.41 (49) 13.67 (44) 32.30 (61) N/A N/A N/A N/A¢£
S&P 500 11.96 (33) 1.38 (50) 13.69 (44) 32.39 (59) 16.00 (46) 2.11 (50) 15.06 (44) 26.46 (51)��
5th Percentile 17.91 6.60 18.28 41.55 21.04 8.68 20.35 40.34
1st Quartile 12.56 3.19 15.17 35.74 17.76 4.12 16.63 31.50
Median 10.52 1.28 13.41 32.96 15.70 2.03 14.80 26.50
3rd Quartile 8.67 -0.96 11.33 30.60 13.47 -0.85 12.55 22.47
95th Percentile 4.08 -5.32 7.31 21.77 8.60 -6.24 8.68 15.48
Population 288 310 333 352 359 365 384 412
The City of Hollywood IM U.S. Large Cap Core Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
45
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Small / SMID Cap Composite
Beginning Market Value 43,020,786 43,020,786 38,772,226 40,127,195 40,468,274
Net Cash Flows -810 -810 -2,001,852 -5,117,819 -19,175,009
Income 96,189 96,189 454,280 973,807 1,731,447
Gain/Loss 1,800,283 1,800,283 7,691,794 8,933,266 21,891,737
Ending Market Value 44,916,448 44,916,448 44,916,448 44,916,448 44,916,448
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
5.0
10.0
15.0
-5.0
-10.0
-15.0
Ac
tive
Re
turn
(%)
12/02 9/03 6/04 3/05 12/05 9/06 6/07 3/08 12/08 9/09 6/10 3/11 12/11 9/12 6/13 3/14 12/14 9/15 6/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Small / SMID Cap Composite 4.41 4.41 21.53 8.38 12.83 13.07 6.63
Small / SMID Policy 3.76 3.76 21.53 7.43 12.58 12.43 7.23
Difference 0.65 0.65 0.00 0.95 0.25 0.64 -0.60
The City of Hollywood Small / SMID Cap CompositeAs of March 31, 2017
46
-16.0
-10.0
-4.0
2.0
8.0
14.0
20.0
26.0
32.0
38.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Small / SMID Cap Composite 4.41 (49) 4.41 (49) 21.53 (39) 8.38 (42) 12.83 (51) 13.07 (59) 6.63 (89)¢£
Small / SMID Policy 3.76 (66) 3.76 (66) 21.53 (39) 7.43 (54) 12.58 (59) 12.43 (75) 7.23 (86)��
5th Percentile 9.76 9.76 27.70 12.14 16.32 16.24 11.63
1st Quartile 6.49 6.49 23.10 9.97 14.15 14.55 9.90
Median 4.29 4.29 20.17 7.65 12.87 13.43 8.89
3rd Quartile 2.90 2.90 17.10 6.11 11.63 12.40 7.82
95th Percentile -0.23 -0.23 12.78 3.17 8.82 10.62 6.06
Population 196 196 196 189 177 160 137
The City of Hollywood IM U.S. SMID Cap Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
47
-40.0
-25.0
-10.0
5.0
20.0
35.0
50.0
65.0
80.0
95.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Small / SMID Cap Composite 19.57 (29) -3.51 (74) 10.72 (20) 36.00 (62) 12.94 (78) 1.91 (23) 21.00 (91) 14.96 (98)¢£
Small / SMID Policy 17.59 (37) -2.90 (67) 7.07 (50) 37.79 (48) 16.35 (52) -4.18 (73) 26.85 (51) 27.17 (86)��
5th Percentile 29.11 5.42 14.05 47.67 27.01 6.67 38.26 62.36
1st Quartile 20.48 1.07 9.70 41.41 19.87 1.58 30.24 43.64
Median 16.43 -1.37 7.00 37.45 16.61 -1.74 26.93 35.92
3rd Quartile 10.56 -3.87 3.83 34.28 13.43 -4.49 23.59 30.85
95th Percentile 4.33 -10.16 -2.24 29.23 7.62 -10.35 18.79 20.58
Population 210 222 236 241 255 265 267 272
The City of Hollywood IM U.S. SMID Cap Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
48
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
TSW - SMID Value
Beginning Market Value 19,974,685 19,974,685 19,243,359 20,801,555 -
Net Cash Flows -317 -317 -2,000,961 -5,002,044 -
Income 93,539 93,539 449,397 967,323 -
Gain/Loss 525,294 525,294 2,901,407 3,826,366 -
Ending Market Value 20,593,201 20,593,201 20,593,201 20,593,201 -
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
3.0
6.0
-3.0
-6.0
-9.0
Ac
tive
Re
turn
(%)
3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
TSW - SMID Value 3.10 3.10 18.19 8.29 N/A N/A N/A
Russell 2500 Value Index 1.62 1.62 23.13 7.55 12.92 12.31 6.79
Difference 1.48 1.48 -4.94 0.74 N/A N/A N/A
The City of Hollywood TSW - SMID ValueAs of March 31, 2017
49
-16.0
-10.0
-4.0
2.0
8.0
14.0
20.0
26.0
32.0
38.0
44.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
TSW - SMID Value 3.10 (61) 3.10 (61) 18.19 (73) 8.29 (47) N/A N/A N/A¢£
Russell 2500 Value Index 1.62 (79) 1.62 (79) 23.13 (36) 7.55 (55) 12.92 (54) 12.31 (73) 6.79 (84)��
5th Percentile 7.40 7.40 28.80 11.82 16.61 15.55 11.08
1st Quartile 4.69 4.69 24.79 10.01 14.32 14.12 9.61
Median 3.77 3.77 21.48 8.00 13.06 13.21 8.58
3rd Quartile 2.06 2.06 17.90 6.08 11.87 12.09 7.61
95th Percentile -0.54 -0.54 12.83 3.07 8.80 10.57 6.21
Population 99 99 99 96 94 81 68
The City of Hollywood IM U.S. SMID Cap Value Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
50
-55.0
-40.0
-25.0
-10.0
5.0
20.0
35.0
50.0
65.0
80.0
95.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
TSW - SMID Value 19.19 (51) -1.03 (30) 8.43 (40) N/A N/A N/A N/A N/A¢£
Russell 2500 Value Index 25.20 (23) -5.49 (71) 7.11 (51) 33.32 (72) 19.21 (36) -3.36 (63) 24.82 (57) 27.68 (92)��
5th Percentile 32.15 2.37 14.41 45.36 28.15 5.52 34.06 64.34
1st Quartile 24.24 -0.61 10.15 39.05 20.72 1.20 28.35 43.33
Median 19.38 -2.92 7.21 35.68 16.96 -2.10 25.48 35.58
3rd Quartile 15.41 -5.94 3.84 32.97 14.09 -4.91 22.42 31.20
95th Percentile 11.16 -13.03 -1.52 24.44 10.14 -13.33 17.74 22.53
Population 102 108 115 118 124 124 122 124
The City of Hollywood IM U.S. SMID Cap Value Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
51
-4.0
2.0
8.0
14.0
20.0
26.0 Return
8.0
11.0
14.0
17.0
20.0
StandardDeviation
-4.0
0.0
4.0
8.0
12.0
Tracking
Error
3Years
5Years
3Years
5Years
3Years
5Years
TSW - SMID Value 8.29 N/A 11.05 N/A 4.00 N/A¢
Russell 2500 Value Index 7.55 12.92 12.84 12.16 0.00 0.00�
Median 8.00 13.06 13.09 12.46 4.57 4.32
Up Market Capture
0.0
50.0
100.0
150.0
3Years
Time Periods
88.4
Down Market Capture
0.0
50.0
100.0
150.0
3Years
Time Periods
78.0
Style History Mar-2017 Average Style Exposure
Manager Style
Barclays U.S. Government
Barclays U.S. Long Government/Credit
Barclays 1-3yr Gov/Credit
Barclays US Credit Index
The City of Hollywood TSW - SMID ValueAs of March 31, 2017
52
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Frontier Capital
Beginning Market Value 23,046,101 23,046,101 19,528,867 19,325,639 -
Net Cash Flows -493 -493 -891 -115,775 -
Income 2,650 2,650 4,884 6,484 -
Gain/Loss 1,274,989 1,274,989 4,790,387 5,106,899 -
Ending Market Value 24,323,247 24,323,247 24,323,247 24,323,247 -
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
4.0
8.0
12.0
-4.0
-8.0
Ac
tive
Re
turn
(%)
12/13 3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Frontier Capital 5.54 5.54 24.70 8.01 N/A N/A N/A
Russell 2500 Growth Index 6.25 6.25 19.77 7.23 12.17 13.13 8.47
Difference -0.71 -0.71 4.93 0.78 N/A N/A N/A
The City of Hollywood Frontier CapitalAs of March 31, 2017
53
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
40.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Frontier Capital 5.54 (76) 5.54 (76) 24.70 (11) 8.01 (33) N/A N/A N/A¢£
Russell 2500 Growth Index 6.25 (67) 6.25 (67) 19.77 (42) 7.23 (46) 12.17 (40) 13.13 (61) 8.47 (65)��
5th Percentile 10.74 10.74 27.31 11.03 14.47 16.30 12.61
1st Quartile 9.13 9.13 21.55 8.51 13.00 14.67 10.61
Median 7.35 7.35 19.27 7.01 11.85 13.56 9.71
3rd Quartile 5.65 5.65 16.55 5.61 11.26 12.38 8.04
95th Percentile 2.55 2.55 11.01 3.49 8.43 10.83 5.59
Population 57 57 57 53 46 43 35
The City of Hollywood IM U.S. SMID Cap Growth Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
54
-40.0
-25.0
-10.0
5.0
20.0
35.0
50.0
65.0
80.0
95.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Frontier Capital 19.96 (4) -6.45 (95) 12.35 (9) N/A N/A N/A N/A N/A¢£
Russell 2500 Growth Index 9.73 (34) -0.19 (55) 7.05 (33) 40.65 (48) 16.13 (45) -1.57 (49) 28.86 (59) 41.65 (39)��
5th Percentile 19.43 5.77 13.26 49.07 22.60 6.91 40.84 61.33
1st Quartile 11.97 1.88 8.43 44.74 18.84 2.89 34.72 47.08
Median 8.43 0.14 5.65 40.05 15.46 -1.74 29.98 37.64
3rd Quartile 5.33 -1.45 3.27 37.24 11.81 -4.17 25.66 31.16
95th Percentile 0.05 -6.57 -2.87 33.12 6.62 -9.96 22.34 20.58
Population 63 69 74 74 80 84 87 92
The City of Hollywood IM U.S. SMID Cap Growth Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
55
-5.0
0.0
5.0
10.0
15.0
20.0 Return
8.0
11.0
14.0
17.0
20.0
StandardDeviation
-4.0
-1.0
2.0
5.0
8.0
11.0
Tracking
Error
3Years
5Years
3Years
5Years
3Years
5Years
Frontier Capital 8.01 N/A 14.86 N/A 5.48 N/A¢
Russell 2500 Growth Index 7.23 12.17 14.37 13.52 0.00 0.00�
Median 7.01 11.85 13.36 12.79 4.79 4.37
Up Market Capture
0.0
50.0
100.0
150.0
3Years
Time Periods
102.6
Down Market Capture
0.0
50.0
100.0
150.0
3Years
Time Periods
98.9
Style History Mar-2017 Average Style Exposure
Manager Style
Barclays U.S. Government
Barclays U.S. Long Government/Credit
Barclays 1-3yr Gov/Credit
Barclays US Credit Index
The City of Hollywood Frontier CapitalAs of March 31, 2017
56
International Equity
57
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
International Equity Composite
Beginning Market Value 59,728,521 59,728,521 57,204,106 42,264,498 -
Net Cash Flows - - - 14,999,957 -
Income 226,268 226,268 917,829 2,505,787 -
Gain/Loss 4,030,431 4,030,431 5,863,283 4,214,978 -
Ending Market Value 63,985,219 63,985,219 63,985,219 63,985,219 -
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
3.0
6.0
9.0
-3.0
-6.0
Ac
tive
Re
turn
(%)
9/13 12/13 3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
International Equity Composite 7.13 7.13 11.85 4.29 N/A N/A N/A
MSCI AC World ex USA (Net) 7.86 7.86 13.13 0.56 4.36 3.82 1.35
Difference -0.73 -0.73 -1.28 3.73 N/A N/A N/A
The City of Hollywood International Equity CompositeAs of March 31, 2017
58
-8.0
-4.0
0.0
4.0
8.0
12.0
16.0
20.0
24.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
International Equity Composite 7.13 (74) 7.13 (74) 11.85 (48) 4.29 (18) N/A N/A N/A¢£
MSCI AC World ex USA (Net) 7.86 (55) 7.86 (55) 13.13 (33) 0.56 (80) 4.36 (95) 3.82 (98) 1.35 (90)��
5th Percentile 10.86 10.86 17.57 6.70 12.61 11.11 5.34
1st Quartile 8.73 8.73 13.74 3.58 9.04 7.57 3.76
Median 8.04 8.04 11.64 1.92 7.19 6.32 2.48
3rd Quartile 7.09 7.09 8.77 0.99 5.80 5.27 1.86
95th Percentile 5.75 5.75 5.77 -0.68 4.15 3.97 0.98
Population 167 167 167 152 140 131 104
The City of Hollywood IM International Core Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
59
-55.0
-40.0
-25.0
-10.0
5.0
20.0
35.0
50.0
65.0
80.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
International Equity Composite 4.08 (21) 3.39 (32) -2.90 (39) N/A N/A N/A N/A N/A¢£
MSCI AC World ex USA (Net) 4.50 (20) -5.66 (94) -3.87 (55) 15.29 (96) 16.83 (84) -13.71 (65) 11.15 (57) 41.45 (21)��
5th Percentile 7.84 13.17 2.63 35.74 24.60 -5.90 25.55 50.20
1st Quartile 3.41 4.50 -2.05 27.26 21.96 -10.29 15.14 39.91
Median 1.39 1.13 -3.51 23.97 19.73 -12.34 11.84 33.79
3rd Quartile -0.51 -1.85 -5.35 20.18 17.59 -14.79 9.67 29.21
95th Percentile -3.92 -6.07 -9.26 15.36 15.07 -17.52 6.68 21.46
Population 177 183 176 183 184 189 199 202
The City of Hollywood IM International Core Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
60
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Brandes International Small Cap
Beginning Market Value 16,624,983 16,624,983 15,681,174 - -
Net Cash Flows - - - - -
Income - - - - -
Gain/Loss 1,106,979 1,106,979 2,050,787 - -
Ending Market Value 17,731,962 17,731,962 17,731,962 - -
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
2.0
4.0
6.0
8.0
-2.0
-4.0
Ac
tive
Re
turn
(%)
9/15 12/15 3/16 6/16 9/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Brandes International Small Cap 6.66 6.66 13.08 N/A N/A N/A N/A
MSCI EAFE Small Cap (Net) 7.97 7.97 10.99 3.60 9.20 8.29 3.03
Difference -1.31 -1.31 2.09 N/A N/A N/A N/A
The City of Hollywood Brandes International Small CapAs of March 31, 2017
61
-8.0
-4.0
0.0
4.0
8.0
12.0
16.0
20.0
24.0
28.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 10 Yrs
Brandes International Small Cap 6.66 (88) 6.66 (88) 13.08 (37) N/A N/A N/A¢£
MSCI EAFE Small Cap (Net) 7.97 (72) 7.97 (72) 10.99 (56) 3.60 (62) 9.20 (74) 3.03 (90)��
5th Percentile 11.39 11.39 19.54 8.77 14.07 8.07
1st Quartile 9.84 9.84 14.73 5.67 12.17 6.21
Median 8.71 8.71 11.47 4.35 10.53 5.05
3rd Quartile 7.72 7.72 8.16 2.89 9.07 3.92
95th Percentile 6.06 6.06 5.34 0.34 6.59 1.40
Population 103 103 103 88 79 55
The City of Hollywood IM International Small Cap Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
62
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Wellington International
Beginning Market Value 43,103,538 43,103,538 41,522,932 42,264,498 -
Net Cash Flows - - - - -
Income 226,268 226,268 917,829 2,505,716 -
Gain/Loss 2,923,452 2,923,452 3,812,496 1,483,043 -
Ending Market Value 46,253,258 46,253,258 46,253,258 46,253,258 -
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
2.0
4.0
6.0
8.0
-2.0
-4.0
Ac
tive
Re
turn
(%)
3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Wellington International 7.31 7.31 11.39 3.05 N/A N/A N/A
MSCI AC World ex USA (Net) 7.86 7.86 13.13 0.56 4.36 3.82 1.35
Difference -0.55 -0.55 -1.74 2.49 N/A N/A N/A
The City of Hollywood Wellington InternationalAs of March 31, 2017
63
-8.0
-4.0
0.0
4.0
8.0
12.0
16.0
20.0
24.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Wellington International 7.31 (72) 7.31 (72) 11.39 (57) 3.05 (32) N/A N/A N/A¢£
MSCI AC World ex USA (Net) 7.86 (55) 7.86 (55) 13.13 (33) 0.56 (80) 4.36 (95) 3.82 (98) 1.35 (90)��
5th Percentile 10.86 10.86 17.57 6.70 12.61 11.11 5.34
1st Quartile 8.73 8.73 13.74 3.58 9.04 7.57 3.76
Median 8.04 8.04 11.64 1.92 7.19 6.32 2.48
3rd Quartile 7.09 7.09 8.77 0.99 5.80 5.27 1.86
95th Percentile 5.75 5.75 5.77 -0.68 4.15 3.97 0.98
Population 167 167 167 152 140 131 104
The City of Hollywood IM International Core Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
64
-55.0
-40.0
-25.0
-10.0
5.0
20.0
35.0
50.0
65.0
80.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Wellington International 1.76 (46) 1.86 (46) -2.90 (39) N/A N/A N/A N/A N/A¢£
MSCI AC World ex USA (Net) 4.50 (20) -5.66 (94) -3.87 (55) 15.29 (96) 16.83 (84) -13.71 (65) 11.15 (57) 41.45 (21)��
5th Percentile 7.84 13.17 2.63 35.74 24.60 -5.90 25.55 50.20
1st Quartile 3.41 4.50 -2.05 27.26 21.96 -10.29 15.14 39.91
Median 1.39 1.13 -3.51 23.97 19.73 -12.34 11.84 33.79
3rd Quartile -0.51 -1.85 -5.35 20.18 17.59 -14.79 9.67 29.21
95th Percentile -3.92 -6.07 -9.26 15.36 15.07 -17.52 6.68 21.46
Population 177 183 176 183 184 189 199 202
The City of Hollywood IM International Core Equity (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
65
-10.0
-4.0
2.0
8.0
14.0
20.0 Return
8.0
10.0
12.0
14.0
16.0
StandardDeviation
-4.0
0.0
4.0
8.0
12.0
Tracking
Error
3Years
5Years
3Years
5Years
3Years
5Years
Wellington International 3.05 N/A 11.04 N/A 3.59 N/A¢
MSCI AC World ex USA (Net) 0.56 4.36 12.18 12.82 0.00 0.00�
Median 1.92 7.19 11.66 12.68 4.16 3.91
Up Market Capture
0.0
50.0
100.0
150.0
3Years
Time Periods
94.2
Down Market Capture
0.0
50.0
100.0
150.0
3Years
Time Periods
79.3
Style History Mar-2017 Average Style Exposure
Manager Style
Barclays U.S. Government
Barclays U.S. Long Government/Credit
Barclays 1-3yr Gov/Credit
Barclays US Credit Index
The City of Hollywood Wellington InternationalAs of March 31, 2017
66
Fixed Income
67
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Fixed Income Composite
Beginning Market Value 84,606,867 84,606,867 88,515,210 77,419,927 63,858,112
Net Cash Flows -5,850,639 -5,850,639 -10,001,839 -4,150,843 7,530,345
Income 783,098 783,098 2,525,865 7,022,459 10,951,209
Gain/Loss 25,236 25,236 -1,474,674 -726,981 -2,775,104
Ending Market Value 79,564,562 79,564,562 79,564,562 79,564,562 79,564,562
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
15.0
30.0
-15.0
-30.0
-45.0
Ac
tive
Re
turn
(%)
6/91 9/92 12/93 3/95 6/96 9/97 12/98 3/00 6/01 9/02 12/03 3/05 6/06 9/07 12/08 3/10 6/11 9/12 12/13 3/15 6/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Fixed Income Composite 0.98 0.98 1.16 2.56 2.26 3.26 3.89
Bond Index 0.68 0.68 0.35 2.25 1.95 2.94 3.91
Difference 0.30 0.30 0.81 0.31 0.31 0.32 -0.02
The City of Hollywood Fixed Income CompositeAs of March 31, 2017
68
-2.0
-1.0
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Fixed Income Composite 0.98 (19) 0.98 (19) 1.16 (37) 2.56 (30) 2.26 (49) 3.26 (44) 3.89 (84)¢£
Bond Index 0.68 (81) 0.68 (81) 0.35 (84) 2.25 (56) 1.95 (75) 2.94 (73) 3.91 (81)��
5th Percentile 1.54 1.54 3.19 3.27 3.51 4.50 5.20
1st Quartile 0.91 0.91 1.62 2.64 2.59 3.56 4.50
Median 0.81 0.81 0.94 2.31 2.23 3.16 4.22
3rd Quartile 0.72 0.72 0.54 2.06 1.95 2.92 4.00
95th Percentile 0.52 0.52 0.02 1.66 1.48 2.41 3.51
Population 157 157 157 152 149 139 124
The City of Hollywood IM U.S. Intermediate Duration (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
69
-12.0
-8.0
-4.0
0.0
4.0
8.0
12.0
16.0
20.0
24.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Fixed Income Composite 3.08 (26) 0.68 (90) 4.57 (18) -1.85 (96) 4.44 (64) 6.64 (13) 6.20 (64) 6.02 (72)¢£
Bond Index 1.97 (76) 1.21 (63) 4.12 (29) -1.02 (81) 3.56 (86) 5.97 (45) 6.15 (65) 6.46 (66)��
5th Percentile 4.58 2.10 6.53 1.83 8.82 7.57 9.61 17.27
1st Quartile 3.09 1.58 4.34 -0.05 6.16 6.38 7.08 10.86
Median 2.39 1.31 3.56 -0.53 4.98 5.86 6.42 7.85
3rd Quartile 2.01 1.07 3.13 -0.94 3.94 5.08 5.94 5.85
95th Percentile 1.45 0.35 1.90 -1.72 2.79 3.47 4.93 3.32
Population 168 167 174 182 187 186 187 194
The City of Hollywood IM U.S. Intermediate Duration (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
70
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Baird Advisors
Beginning Market Value 55,884,036 55,884,036 50,911,270 38,567,206 37,606,276
Net Cash Flows -2,925,405 -2,925,405 1,698,894 10,533,095 9,824,763
Income 647,369 647,369 1,903,032 4,951,746 7,778,754
Gain/Loss -37,919 -37,919 -945,116 -483,966 -1,641,712
Ending Market Value 53,568,081 53,568,081 53,568,081 53,568,081 53,568,081
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
2.0
4.0
-2.0
-4.0
Ac
tive
Re
turn
(%)
12/05 6/06 12/06 6/07 12/07 6/08 12/08 6/09 12/09 6/10 12/10 6/11 12/11 6/12 12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Baird Advisors 1.11 1.11 1.88 3.42 2.94 4.18 4.25
Blmbg. Barc. U.S. Aggregate 0.82 0.82 0.44 2.68 2.34 3.48 4.27
Difference 0.29 0.29 1.44 0.74 0.60 0.70 -0.02
The City of Hollywood Baird AdvisorsAs of March 31, 2017
71
-2.0
0.0
2.0
4.0
6.0
8.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Baird Advisors 1.11 (26) 1.11 (26) 1.88 (24) 3.42 (20) 2.94 (38) 4.18 (34) 4.25 (90)¢£
Blmbg. Barc. U.S. Aggregate 0.82 (77) 0.82 (77) 0.44 (78) 2.68 (83) 2.34 (90) 3.48 (89) 4.27 (90)��
5th Percentile 1.46 1.46 3.17 3.99 3.99 5.12 5.50
1st Quartile 1.11 1.11 1.85 3.32 3.22 4.32 5.09
Median 0.92 0.92 1.01 2.97 2.81 3.97 4.76
3rd Quartile 0.82 0.82 0.47 2.77 2.51 3.70 4.49
95th Percentile 0.67 0.67 0.01 2.48 2.27 3.42 4.01
Population 140 140 139 138 136 133 128
The City of Hollywood IM U.S. Broad Market Core Fixed Income (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
72
-12.0
-8.0
-4.0
0.0
4.0
8.0
12.0
16.0
20.0
24.0
28.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Baird Advisors 4.29 (14) 0.45 (83) 6.62 (29) -2.50 (95) 5.35 (64) 8.85 (9) 7.74 (38) 5.76 (90)¢£
Blmbg. Barc. U.S. Aggregate 2.65 (77) 0.55 (74) 5.97 (66) -2.02 (73) 4.21 (90) 7.84 (50) 6.54 (83) 5.93 (88)��
5th Percentile 5.16 1.65 7.67 0.10 8.69 9.01 10.53 18.41
1st Quartile 3.80 1.11 6.76 -1.03 6.87 8.18 8.10 12.85
Median 3.10 0.82 6.14 -1.56 5.88 7.83 7.24 9.88
3rd Quartile 2.66 0.54 5.79 -2.05 5.12 7.25 6.75 7.11
95th Percentile 2.25 -0.05 4.46 -2.56 3.85 5.86 6.04 4.85
Population 151 157 171 183 192 197 207 215
The City of Hollywood IM U.S. Broad Market Core Fixed Income (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
73
1.6
2.4
3.2
4.0
4.8 Return
2.0
2.4
2.8
3.2
3.6
StandardDeviation
-1.0
-0.4
0.2
0.8
1.4
2.0
Tracking
Error
3Years
5Years
3Years
5Years
3Years
5Years
Baird Advisors 3.42 2.94 3.05 3.09 0.45 0.45¢
Blmbg. Barc. U.S. Aggregate 2.68 2.34 2.90 2.86 0.00 0.00�
Median 2.97 2.81 2.88 2.87 0.48 0.52
Up Market Capture
0.050.0
100.0150.0200.0
3Years
5Years
Time Periods
113.7 114.2
Down Market Capture
0.0
50.0
100.0
150.0
3Years
5Years
Time Periods
100.0 104.3
Style History Mar-2017 Average Style Exposure
Manager Style
Barclays U.S. Government
Barclays U.S. Long Government/Credit
Barclays 1-3yr Gov/Credit
Barclays US Credit Index
The City of Hollywood Baird AdvisorsAs of March 31, 2017
74
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Neuberger & Berman
Beginning Market Value 28,722,830 28,722,830 37,603,940 38,852,721 13,970,883
Net Cash Flows -2,925,234 -2,925,234 -11,700,733 -14,683,938 10,032,188
Income 135,730 135,730 622,833 2,070,713 3,128,934
Gain/Loss 63,156 63,156 -529,558 -243,015 -1,135,523
Ending Market Value 25,996,481 25,996,481 25,996,481 25,996,481 25,996,481
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
0.9
1.8
2.7
3.6
-0.9
-1.8
Ac
tive
Re
turn
(%)
6/91 9/92 12/93 3/95 6/96 9/97 12/98 3/00 6/01 9/02 12/03 3/05 6/06 9/07 12/08 3/10 6/11 9/12 12/13 3/15 6/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Neuberger & Berman 0.72 0.72 0.15 1.56 1.50 2.62 3.82
Blmbg. Barc. Intermed. U.S. Government/Credit 0.78 0.78 0.42 2.01 1.88 2.86 3.76
Difference -0.06 -0.06 -0.27 -0.45 -0.38 -0.24 0.06
The City of Hollywood Neuberger & BermanAs of March 31, 2017
75
-2.0
-1.0
0.0
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
Re
turn
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Neuberger & Berman 0.72 (75) 0.72 (75) 0.15 (89) 1.56 (98) 1.50 (95) 2.62 (91) 3.82 (86)¢£
Blmbg. Barc. Intermed. U.S. Government/Credit 0.78 (58) 0.78 (58) 0.42 (81) 2.01 (78) 1.88 (83) 2.86 (80) 3.76 (88)��
5th Percentile 1.54 1.54 3.19 3.27 3.51 4.50 5.20
1st Quartile 0.91 0.91 1.62 2.64 2.59 3.56 4.50
Median 0.81 0.81 0.94 2.31 2.23 3.16 4.22
3rd Quartile 0.72 0.72 0.54 2.06 1.95 2.92 4.00
95th Percentile 0.52 0.52 0.02 1.66 1.48 2.41 3.51
Population 157 157 157 152 149 139 124
The City of Hollywood IM U.S. Intermediate Duration (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
76
-12.0
-8.0
-4.0
0.0
4.0
8.0
12.0
16.0
20.0
24.0
Re
turn
2016 2015 2014 2013 2012 2011 2010 2009
Neuberger & Berman 1.50 (95) 0.94 (83) 2.43 (92) -1.24 (87) 4.05 (72) 5.74 (57) 5.96 (74) 8.64 (41)¢£
Blmbg. Barc. Intermed. U.S. Government/Credit 2.08 (73) 1.07 (76) 3.13 (75) -0.86 (70) 3.89 (77) 5.80 (53) 5.89 (77) 5.24 (84)��
5th Percentile 4.58 2.10 6.53 1.83 8.82 7.57 9.61 17.27
1st Quartile 3.09 1.58 4.34 -0.05 6.16 6.38 7.08 10.86
Median 2.39 1.31 3.56 -0.53 4.98 5.86 6.42 7.85
3rd Quartile 2.01 1.07 3.13 -0.94 3.94 5.08 5.94 5.85
95th Percentile 1.45 0.35 1.90 -1.72 2.79 3.47 4.93 3.32
Population 168 167 174 182 187 186 187 194
The City of Hollywood IM U.S. Intermediate Duration (SA+CF)
As of March 31, 2017
Parentheses contain percentile rankings.Calculation based on quarterly periodicity.
77
-0.1
0.8
1.7
2.6
3.5
4.4 Return
0.8
1.4
2.0
2.6
3.2
StandardDeviation
-0.6
0.1
0.8
1.5
2.2
Tracking
Error
3Years
5Years
3Years
5Years
3Years
5Years
Neuberger & Berman 1.56 1.50 1.86 1.92 0.46 0.39¢
Blmbg. Barc. Intermed. U.S. Government/Credit 2.01 1.88 2.17 2.11 0.00 0.00�
Median 2.31 2.23 2.04 2.08 0.52 0.52
Up Market Capture
0.0
50.0
100.0
150.0
3Years
5Years
Time Periods
82.2 87.3
Down Market Capture
0.0
50.0
100.0
150.0
3Years
5Years
Time Periods
87.0 94.4
Style History Mar-2017 Average Style Exposure
Manager Style
Barclays U.S. Government
Barclays U.S. Long Government/Credit
Barclays 1-3yr Gov/Credit
Barclays US Credit Index
The City of Hollywood Neuberger & BermanAs of March 31, 2017
78
Real Estate
79
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Real Estate Composite
Beginning Market Value 33,955,143 33,955,143 36,186,966 29,419,952 17,469,861
Net Cash Flows -1,011,692 -1,011,692 -5,881,546 -8,510,071 -2,105,393
Income 234,168 234,168 1,000,497 3,055,151 4,587,398
Gain/Loss 435,171 435,171 2,306,872 9,647,758 13,660,925
Ending Market Value 33,612,790 33,612,790 33,612,790 33,612,790 33,612,790
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
3.0
6.0
9.0
-3.0
-6.0
-9.0
Ac
tive
Re
turn
(%)
6/08 12/08 6/09 12/09 6/10 12/10 6/11 12/11 6/12 12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Real Estate Composite 1.93 1.93 10.09 13.12 13.40 14.26 N/A
Real Estate Policy 1.76 1.76 8.28 11.64 11.68 13.07 5.74
Difference 0.17 0.17 1.81 1.48 1.72 1.19 N/A
The City of Hollywood Real Estate CompositeAs of March 31, 2017
80
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Morgan Stanley
Beginning Market Value 23,764,420 23,764,420 26,940,246 22,661,010 17,469,861
Net Cash Flows - - -5,000,000 -7,500,000 -7,500,000
Income 234,168 234,168 1,000,497 3,055,151 4,587,398
Gain/Loss 223,278 223,278 1,281,123 6,005,705 9,664,607
Ending Market Value 24,221,866 24,221,866 24,221,866 24,221,866 24,221,866
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
3.0
6.0
9.0
-3.0
-6.0
Ac
tive
Re
turn
(%)
6/08 12/08 6/09 12/09 6/10 12/10 6/11 12/11 6/12 12/12 6/13 12/13 6/14 12/14 6/15 12/15 6/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Morgan Stanley 1.92 1.92 9.27 12.39 12.99 13.96 N/A
NCREIF ODCE Equal Weighted 1.83 1.83 8.61 12.00 12.01 13.48 5.40
Difference 0.09 0.09 0.66 0.39 0.98 0.48 N/A
The City of Hollywood Morgan StanleyAs of March 31, 2017
81
Rolling Return and Tracking Error
Performance
Gain / Loss
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs
Principal Enhanced Property Fund
Beginning Market Value 10,190,723 10,190,723 9,246,721 6,758,942 -
Net Cash Flows -1,011,692 -1,011,692 -881,545 -1,010,071 -
Income - - - - -
Gain/Loss 211,893 211,893 1,025,749 3,642,054 -
Ending Market Value 9,390,924 9,390,924 9,390,924 9,390,924 -
Rolling 3 Yrs Active Return Rolling Tracking Error Active Return
0.0
2.0
4.0
6.0
-2.0
Ac
tive
Re
turn
(%)
3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 3/16 6/16 9/16 12/16 3/17
1 Qtr YTD 1 Yr 3 Yrs 5 Yrs 7 Yrs 10 Yrs
Principal Enhanced Property Fund 1.95 1.95 12.33 15.41 N/A N/A N/A
NCREIF Property Index 1.55 1.55 7.27 10.58 10.69 11.82 6.72
Difference 0.40 0.40 5.06 4.83 N/A N/A N/A
The City of Hollywood Principal Enhanced Property FundAs of March 31, 2017
82
Private Equity
83
PartnershipsInvestment
TypeInvestment
Strategy
CapitalCommitted
($000)
TotalContribution
($000)
TotalDistribution
($000)
MarketValue($000)
IRR(%)
TVPIMultiple
NB Crossroads Fund XXI Fund Of Funds Other 20,000 4,200 - 4,155 -1.23 0.99
HarbourVest Dover Fund IX Fund Of Funds Secondaries 10,000 800 140 722 13.22 1.08
Private Equity Composite Total Fund Hybrid 30,000 5,000 140 4,877 0.45 1.00
The City of Hollywood Private Equity Composite Overview
March 31, 2017
84
Fund Information
Type of Fund: Fund Of Funds Vintage Year: 2015
Strategy Type: Other Management Fee: Based on Commitments: Year 1: 20bps, Years 2-4: 40bps, Years 5-8: 40 bps, Years 9-10: 5 bps, Years 11-12:0 bps
Size of Fund: 650,000,000 Preferred Return: 8.0%
Inception: 04/15/2015 General Partner: Neuberger Berman Group LLC
Final Close: 10/15/2016
Investment Strategy: NB Crossroads Fund XXI (“Crossroads Fund XXI”) is an investment fund formed by affiliates of Neuberger Berman Group LLC(“Neuberger Berman” or the “Firm”) that seeks to achieve attractive risk-adjusted returns on capital (primarily through long-term capitalgains) by investing in a diversified global portfolio of high-performing private equity funds. Crossroads Fund XXI will also seek to purchaselimited partner interests in more mature private equity funds in the secondary market and to co-invest directly in transactions alongsidehigh-performing private equity firms. Crossroads Fund XXI will be diversified across four strategic asset classes: (i) small and mid-capbuyout; (ii) large-cap buyout; (iii) special situations (primarily distressed debt, turnaround and restructuring strategies); and (iv) ventureand growth capital. While each fund has a target allocation, clients are able to customize their commitment’s allocation betweeninvestment types, even at a <$1m commitment level.
Cash Flow Summary
Capital Committed: $20,000,000
Total Contributions: $4,200,000
Remaining Capital Commitment: $15,800,000
Total Distributions: -
Market Value: $4,155,005
Inception Date: 06/23/2016
Inception IRR: -1.23
TVPI: 0.99
Cash Flow Analysis
Net Asset Value Distribution
Contributions
$0.0
$1,785,000.0
$3,570,000.0
$5,355,000.0
$7,140,000.0
($1,785,000.0)
6/16 9/16 12/16 3/17
Due to the inconsistencies in reporting methodologies among managers, we do not report on Capital Invested, Management Fees,Expenses and Interest. However, the Market Value is net of all fees and expenses, and Total Contributions reflects interest paid.
The City of Hollywood NB Crossroads Fund XXI
As of March 31, 2017
85
Fund Information
Type of Fund: Fund Of Funds Vintage Year: 2016
Strategy Type: Secondaries Management Fee: The average annual management fee is 0.75% oncommitted capital. Year 1: 0.25%, Year 2: 0.50%, Year 3:0.85%, Years 4-7: 1.25%, Year 8: 1.20%, Year 9: 1.15%,Year 10: 1.10%. (0.70% of capital commitments -average annual management fee)
Preferred Return: 8% compounded annually Inception: 06/01/2016
General Partner: HarbourVest Partners
Investment Strategy: The Dover Street Fund IX will seek to be diversified across transaction type, geography, stage, vintage year and industry and is expectedto have approximately 25 - 40 transactions with an average size expected to be between $100 - $150 million. The team has the ability tocommit 10% to primary funds, however this option has seldom been utilized in predecessor funds and the expectation is that it will not beused in Dover Street IX. HarbourVest anticipates that there will not be co-investment opportunities for Limited Partners. HarbourVest hasthe ability to commit up to 30% of proceeds received in new transactions, which may result in more than 100% of the limited partner’scommitment being called over the life of the Fund. HarbourVest may also invest up to 5% in secondary transactions of real estate andinfrastructure assets and debt.
Cash Flow Summary
Capital Committed: $10,000,000
Total Contributions: $800,000
Remaining Capital Commitment: $9,200,000
Total Distributions: $140,256
Market Value: $722,059
Inception Date: 12/16/2016
Inception IRR: 13.22
TVPI: 1.08
Cash Flow Analysis
Net Asset Value Distribution
Contributions
$0.0
$360,000.0
$720,000.0
$1,080,000.0
($360,000.0)
12/16 3/17
Due to the inconsistencies in reporting methodologies among managers, we do not report on Capital Invested, Management Fees,Expenses and Interest. However, the Market Value is net of all fees and expenses, and Total Contributions reflects interest paid.
The City of Hollywood HarbourVest Dover Fund IX
As of March 31, 2017
86
Infrastructure
87
PartnershipsInvestment
TypeInvestment
Strategy
CapitalCommitted
($000)
TotalContribution
($000)
TotalDistribution
($000)
MarketValue($000)
IRR(%)
TVPIMultiple
IFM Global Infrastructure 10,000 - - - - 0.00
Infrastructure Composite Total Fund Hybrid 10,000 - - - - 0.00
The City of Hollywood Infrastructure Composite Overview
March 31, 2017
88