Mutual Fund Service Guide 2008

Providing Comparative Analysis of Mutual Fund Service Providers Since 1986

From the Publishers of Money Management Executive

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Part 1 — Industry Commentary130/30:The Long and Short of It . . . . . . . . . . . . 6By Peter Muldoon

The Business Case for ASP: Critical SuccessFactors for Today’s Investment Firms andAsset Servicers. . . . . . . . . . . . . . . . . . . . . . . . . . . . 8By Paul zur Nieden

Part 2 — Rankings’40 Act Mutual FundsFull-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 10Remote Service Providers . . . . . . . . . . . . . . . . . . . . 10System Sale or Lease Providers. . . . . . . . . . . . . . . . 10

Non-U.S. Domiciled FundsFull-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 11Remote Service Providers . . . . . . . . . . . . . . . . . . . . 11System Sale or Lease Providers. . . . . . . . . . . . . . . . 11

All FundsFull-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 12Remote Service Providers . . . . . . . . . . . . . . . . . . . . 12System Sale or Lease Providers. . . . . . . . . . . . . . . . 12

Part 3 — Five-Year Snapshot’40 Act Mutual FundsFull-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 13Remote Service Providers . . . . . . . . . . . . . . . . . . . . 13System Sale or Lease Providers. . . . . . . . . . . . . . . . 13

Part 4 — Business StatisticsRemote Service Providers . . . . . . . . . . . . . . . . . . . . 14System Sale or Lease Providers. . . . . . . . . . . . . . . . 14Full-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 15

Part 5 — Services . . . . . . . . . . . . . . . . . . . . . . . 18

Part 6 — Company Profiles . . . . . . . . . . . . . 28

Part 1 — Industry CommentaryWhen In Rome (or Luxembourg or China),Global Service Providers Support GlobalStrategies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38By Tom McCullough and Stephen Hooley

Next Generation Technologies AreChallenging Traditional Thinking . . . . . . . . . . . 40By Tim Kan

Inside the Boardroom: Fund Directors OnTheir Changing Roles and Responsibilities . . 41By Linda Hoard

Part 2 — RankingsNumber of AccountsFull-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 42Remote Service Providers . . . . . . . . . . . . . . . . . . . . 42System Sale or Lease Providers. . . . . . . . . . . . . . . . 42Number of Clients Full-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 42

TABLE OF CONTENTS

The 2008Mutual FundService GuideProviding Comparative Analysis of Mutual Fund Service Providers Since 1986

From the Publishers of Money Management Executive

FUND ACCOUNTING SERVICES

TRANSFER AGENT SERVICES

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TABLE OF CONTENTS

Remote Service Providers . . . . . . . . . . . . . . . . . . . . 42System Sale or Lease Providers. . . . . . . . . . . . . . . . 42

Part 3 — Business StatisticsFull-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 44Remote Service Providers . . . . . . . . . . . . . . . . . . . . 46System Sale or Lease Providers. . . . . . . . . . . . . . . . 47

Part 4 — Services . . . . . . . . . . . . . . . . . . . . . . . 48

Part 5 — Five-Year SnapshotNumber of AccountsFull-Service Providers . . . . . . . . . . . . . . . . . . . . . . . 58Remote Service Providers . . . . . . . . . . . . . . . . . . . . 58System Sale or Lease Providers. . . . . . . . . . . . . . . . 58


Part 1 — Industry CommentaryUnder Pressure-The Mutual Fund IndustryStrives to Compete . . . . . . . . . . . . . . . . . . . . . . . 66By Joseph F. Keenan

Valuation Challenges in Today’s Market. . . . . 68Interview with Peter Donatio

Part 2 — RankingsTotal Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70’40 Act Fund Assets . . . . . . . . . . . . . . . . . . . . . . . . . 70’40 Act Domestic Fund Assets. . . . . . . . . . . . . . . . . 70’40 Act Global/International Fund Assets . . . . . . . . 70Open-End Fund Assets. . . . . . . . . . . . . . . . . . . . . . . 72Closed-End Fund Assets . . . . . . . . . . . . . . . . . . . . . 72Unit Investment Trust Assets . . . . . . . . . . . . . . . . . . 72Exchange-Traded Fund Assets . . . . . . . . . . . . . . . . . 72Offshore Fund Assets. . . . . . . . . . . . . . . . . . . . . . . . 72Variable Annuity Assets . . . . . . . . . . . . . . . . . . . . . . 72

Part 3 — Five-Year Snapshot’40 Act Fund Assets . . . . . . . . . . . . . . . . . . . . . . . . . 73Total Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73

Part 4 — Business Statistics. . . . . . . . . . . . . 74

Part 5 — Services . . . . . . . . . . . . . . . . . . . . . . . 76


Part 1 — Industry CommentaryMeaningful Market Data Drives FinancialIntermediary Sales . . . . . . . . . . . . . . . . . . . . . . . 86By Frank Polefrone

Enhancing Relationships with FinancialAdvisors:A Strategic Approach . . . . . . . . . . . .88By Devin Davis

Part 2 — Business StatisticsMail . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89Print . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89Pricing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89Marketing Communications . . . . . . . . . . . . . . . . . . .90Proxy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .90VRU . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .90CRM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .90

Part 3 — ServicesCRM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .91Mail . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .92Marketing Communications . . . . . . . . . . . . . . . . . . .94Pricing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .96Print . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .98Proxy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .100VRU . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .101

Part 4 — Company Profiles . . . . . . . . . . . .102

CUSTODY SERVICES

SHAREHOLDER COMMUNICATIONS SERVICES

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LOCK IN YOUR ADVERTISING SPACE FOR

THE 2009 MUTUALFUND SERVICE GUIDE

Secure your opportunity to reach mutual fund executives with buying power

and authority by planning ahead to advertise in The 2009 Mutual Fund

Service Guide.

Buyers rely on The Mutual Fund Service Guide every year to perform due

diligence, to review and select vendors, and to obtain insight into the changing

directions of the industry. Filled with rankings, statistics and company profiles of

vendor capabilities as well as information on vendors’ assets, number of

accounts and number of clients, The Mutual Fund Service Guide is the

most comprehensive sourcebook available for the industry and will be referred

to numerous times throughout the year.

For more information or to reserve advertising space, please contact

Louis Fugazy at 212.803.8773 or [email protected].

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Look at What Everyone is Talking About

We all know how it is when the annual issue of the Mutual Fund ServiceGuide arrives in the mail or is picked up at the Investment CompanyInstitute’s general membership meeting in Washington in May.

Everyone scrambles to check out the Rankings, Five-Year Snapshots, BusinessStatistics, Services and Company Profiles. After all, that’s what it’s all about—seeing where your company stands in relation to the others.

Once you’ve digested those figures, however, go back and take a look at theIndustry Commentaries located in each section throughout the MFSG.

Industry pundits weigh in on heavy-hitting issues that are top-of-mind formutual fund service providers today. And this year is no exception.Fund Accounting

• Peter Muldoon of Linedata sees if these funds measure up in “130/30:The Long and Short of It.”

• SunGard’s Paul zur Nieden writes about the success factors for investmentfirms and asset servicers in “The Business Case for ASP.”

Transfer Agent• Don’t be fooled by the title “When in Rome (or Luxembourg or China)....”It’s not travel tips Tom McCullough and Stephen Hooley of DST are handing out.

• Envision Financial’s Tim Kan helps unravel some of the confusion in “Next Generation Technologies Are Challenging Traditional Thinking.”

• Linda Hoard of PFPC goes behind closed doors to offer her insight with“Inside the Boardroom: Fund Directors On Their Changing Roles andResponsibilities.

Custody• The term “spitzerization” will be revealed in “Under Pressure-The MutualFund Industry Strives to Compete” by Joseph F. Keenan of BNY MellonAsset Servicing.

• “Valuation Challenges in Today’s Market” is an informative interview withJPMorgan’s Peter Donatio.

Shareholder Communications• Frank Polefrone of Access Data offers a challenge and a solution in“Meaningful Market Data Drives Financial Intermediary Sales.”

• Harte-Hanks’ Devin Davis gives the scoop on “Enhancing Relationshipswith Financial Advisors: A Strategic Approach.”

So you see, it’s not just the numbers that tell the story. MFSG’s IndustryCommentaries are offered as a complement to the statistics.

Think of all you missed by not reading the Mutual Fund Service Guide com-mentaries since the guide was first published in 1986.

Who knows? Your byline might appear next year.Mary Ann Tasoulas

Editor

One State Street, 27th FloorNew York, NY 10004

Phone: 212-803-8200 Fax: 212-292-5216www.sourcemedia.com

EditorMary Ann Tasoulas – [email protected]

201-941-2045

National Account ManagerLouis Fugazy – [email protected]

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James M. Malkin Chairman & CEO

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Steve Andreazza Vice President, Inside Sales & Customer Service

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Anne O'Brien Executive Vice President, Marketing & Strategic Planning

Ying Wong Senior Director, Human Resources

Mutual FundService Guide

The 2008 Mutual Fund Service Guide is published annually by SourceMedia, Inc., One State Street,27th Floor, New York, NY 10004. Subscription Rates - $150 per copy, Domestic; $200, Foreign.POSTMASTER: Send address changes to The 2008 Mutual Fund Service Guide/SourceMedia, Inc.,One State Street, 27th Floor, New York, NY 10004. Reprints of information and bulk discounts areavailable.Copying,photocopying or duplicating the publication without express written permissionof the publisher is prohibited and may constitute copyright infringement subject to liability of upto $100,000 per infringement. ©2008 The 2008 Mutual Fund Service Guide and SourceMedia, Inc.Allrights reserved. Subscribers who would like multiple copies of The 2008 Mutual Fund Service Guide,photocopy permission, back issues and bulk distribution needs should call Denise Petratos at 212.803.6557 or e-mail [email protected].

2008The

Editor’s Note

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Fund Accounting

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http://www.sungard.com/assetarena

Part 1 — Industry Commentary130/30:The Long and Short of It . . . . . . . . . . . . . . . . . . 6By Peter Muldoon

The Business Case for ASP: Critical Success Factors for Today's Investment Firms and Asset Servicers. . . . 8By Paul zur Nieden

Part 2 — Rankings’40 Act Mutual FundsFull-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 10System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 10

Non-U.S. Domiciled FundsFull-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 11System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 11

All FundsFull-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 12System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 12

Part 3 — Five-Year Snapshot’40 Act Mutual FundsFull-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 13System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 13

Part 4 — Business StatisticsRemote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 14System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 14Full-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Part 5 — Services . . . . . . . . . . . . . . . . . . . . . . . . . . 18

Part 6 — Company Profiles . . . . . . . . . . . . . . . 28

FUND ACCOUNTING SERVICES

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Part 1 — Industry Commentary

6 Fund Accounting Services

Today more than ever before there isan increasing trend towards theconvergence of traditional (long-

only) asset managers and their hedgefund cousins. Traditional mutual fundcompanies are reacting to either the over-sized returns or the less volatile perform-ance offered with short investment strate-gies especially in these currently volatilemarkets. Sometimes that can meanadjusting investment styles within exist-ing funds, but what is quickly gaininginterest is a new type of fund, specificallystructured to hold a percentage of shortholdings. Aptly named, “130/30 funds”entail shorting assets up to 30% of theportfolio value and then using the cash totake additional long positions in the assetsthe investor feels will outperform themarket. Similarly there are 120/20 funds.

From a technology point of view,short holdings can create real challengesfor asset managers who have traditional-ly used back-office systems built with abasic, fundamental and structural “long-only” assumption. Unfortunately, it’s notjust a matter of adding a “sell short”menu option to enter short sales trades. Ifan accountant is trying to account for130/30 products with a system that has a“long-only assumption” the challengesthey will almost certainly encountercould pop up all over the core accountingengine; in areas such as tax lot liquida-tion; amortization, interest and dividendincome accruals; and in the computa-tions for various compliance and regula-tory reporting.

When using a system that doesn’t easi-ly account for shorting, tax lot liquidationcan become a major issue. (A tax lot isdefined as a record of the details of a pur-chase or acquisition of a security). Whilethere are many methodologies used to liq-uidate tax lots, FIFO (first-in, first-out),LIFO (last in, first out) and Specific Lot,for example, the logic one uses to liqui-date lots can be problematic if all of a sud-den there are both long and short tax lotsto choose from.

Portfolio reporting is another concernas managers commonly want their shortholdings organized in different ways—segregated or netted by security. Other

surprises canappear as interest,dividends with-holding taxes andamortization mustcontinue to processas they would forlong holdings.Often times anaccountant willalso want shortincome classified separately on variousaccounting ledgers and on the generalledger. This results in lines and lines ofvery established yet complicated corebusiness logic built and tested againstlong-only scenarios for numerous func-tions. These include processing stocksplits, returns of capital, various types ofsecurity exchanges plus the basics likecash settlements, coupons and maturi-ties. It is not likely all of this will operatecorrectly when shorts are thrown in themix. One step removed from the coreaccounting processes are regulatory orcompliance reporting functions such asthose that ensure a fund does not overlyinvest in any one issuer and industry seg-ment. This logic may well need to bemodified to produce accurate results withshort positions.

While a wide range of investmentphilosophies and strategies can happilyco-exist in the world of fund products,back-office accounting practices tend tobe much less dimensional. Fund account-ants tend to agree that the best way toaccount for their funds is to use a singlerobust software solution that keeps themaway from the spreadsheets often createdas stop gap solutions to solve shortcom-ings of their fund accounting system.Second to using spreadsheets are odd“work-arounds” that must be used withinthe accounting system to deal with systemshortcomings. For example, some widelyused systems used in traditional fundshops have work-arounds that requirecompletely separate long and short secu-rity master records for the same security.

Some administrators might attempt tosolve these problems by purchasing a sep-arate fund accounting system just to han-dle their more hedge-like funds. However,

this requires the maintenance of two sys-tems, which can be taxing on staff, redun-dant and full of the risks inherent in keep-ing data in multiple repositories.Additionally, these more hedge orientedfund accounting solutions often lackmany regulatory features that U.S. mutu-al fund groups would take for granted(like U.S. tax classifications on realizedgain/losses and performance reportingsuch as the SEC Yield calculation); andtheir workflow designs are not centeredaround a daily NAV calculation. Otheraccountants are currently living with theirtraditional systems, with all their supple-mental spreadsheets and special work-arounds while they make requests to theirfund accounting system vendor for modi-fications. But realistically, this could take a“long” time—no pun intended. A “long”portfolio was a basic assumption in manytraditional fund accounting systems. It isdoubtful that “long” would have evenbeen considered an “assumption” backwhen these systems were first written—“long” would have been more like a stateof being. To that point, changing a systemso that it is as natural at being short as itis at being long might be like asking aright-handed pitching ace to pitch lefty aswell (to lefty batters of course).

As we look ahead, we will continue tosee the line between traditional andalternative asset management becomemore and more blurred as hedge fundinvestment philosophies become moreand more mainstream. As the pace ofthis convergence accelerates, more tradi-tional firms will be increasingly lookingfor flexible and robust technology plat-forms that can change with them as theygrow. Software vendors that already havea market presence in both traditionaland hedge fund market segments shouldhave a distinct advantage in this blendedlandscape.

Peter Muldoon is an executive vice presi-dent at Linedata Services, in Hackensack,N.J. He runs the operations for the compa-ny’s back-office accounting products, whichincludes a comprehensive U.S. mutual fundand hedge fund accounting solution withover 75 clients in use in 17 countries.

MFSG

130/30:The Long and Short of ItBy Peter Muldoon

Peter Muldoon


Fund Administration | Asset Servicing

© 2008 N

orthern Trust Corporation.

How can you stay focused on delivering results if you’re worrying about data efficiency and accuracy? Rely onNorthern Trust’s single, global operating platform. Functioning seamlessly on a global scale, it delivers meticulouslythe information you need, when you need it, how you need it. So you can keep your eye on the big picture. To learnmore, call Tim Theriault at 866-803-5857 or visit northerntrust.com.

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Over the past several years, theinvestment sector has revealed itsappreciation for the increasingly

sophisticated and secure solutions offeredby leading application service providers(ASPs). A fast, easy-to-implement alterna-tive to costlier installed platforms, ASP’shosted model gives companies access toessential applications such as investmentaccounting and portfolio management sys-tems, while also offering complete hard-ware/software maintenance, support anddisaster recovery—all without compromis-ing a company’s need for control.

Today’s leading ASP providers have thescale necessary to offer cutting-edge solu-tions. This means ASP clients can benefitfrom many current IT initiatives, rangingfrom data mirroring and replication, todisk-to-disk backups and virtualization, allutilizing Internet bandwidth. It also meansthat technology providers can deliver newtechnology and functionality to their ASPclients faster than to their installed clientsby leveraging their ASP infrastructure.

Serving Both Mid-Size and Large Firms As investment firms increasingly see the

value of reducing costs and concentrating ontheir core competencies in today’s complexmarketplace, they are finding it attractive toseek an efficient third-party platform to helpthem meet their goals. Leading ASPproviders are well poised to address suchneeds. For small- to mid-tier buy-side firmswithout the means to support an internalapplication, ASP represents a golden oppor-tunity to cover front, middle and back-officeoperations in a cost-effective and highly effi-cient package, giving investors the potentialfor higher returns and diminished riskthrough technologies that might otherwisebe unattainable. At the same time, the rapidincrease in ASP deployment among largeglobal firms, particularly in investmentaccounting and portfolio-managementapplications, has proven itself many timesover—currently processing trillions in assets.

ASP - ASAPGiven today’s exceedingly fast-moving

markets, launching a new system quickly

and efficiently (andinexpensively) isparamount, andASP does just that,in many instancesallowing clients tobe up and runningin a matter of weeks.Clients must besecure in the knowl-edge that their ASPsolution will be able to easily integrate withinternal trading, custody and reconcilia-tion systems and processes. Using abstrac-tion layers and open standards, leadingvendors have factored in such require-ments, thereby assuring successful ASPdeployment. While providers with a long-standing record of fast and cost-effectivesystem delivery may have a leg up on thecompetition, initial speed to market isn’tthe end-all. The best vendors also ensurethat ongoing upgrades and software instal-lations will be implemented with the samedegree of efficiency, and in many instancescan be loaded at the flip of a switch.

CustomizationThe importance of establishing client

relationships with a focus on individualizedbusiness strategies cannot be overestimated.Top providers can offer solutions that spanthe entire spectrum of workflows and oper-ations, addressing the specific needs of theclient through customized reporting capa-bilities, role-based workflows tailored tomultiple users, connections to multiple mar-ket data sources, and more. Solutions shouldalso be flexible enough to allow the compa-ny to focus on its own client relationships.

SecurityEncrypted communications circuits,

intrusion detection systems, multi-layeredfirewalls and secure storage of authentica-tion credentials have dramatically reducedconcerns over compromising control, andare essential elements for providers seekingaccess to the most mission-critical applica-tions. Additionally, vendors must be able todeliver platforms that sport fast, efficientand error-free VPN or direct-line connec-

tivity, have the ability to connect with mul-tiple-market data sources, and offer easyaccess to data in both shared and dedicat-ed environments.

Stability and ReliabilityWhile price is a compelling factor, relia-

bility of service over the long haul is ofgreatest importance. As such, ASP is bene-ficial only if an experienced, reliable vendoris selected, and clients who perform duediligence on a prospective provider requirea history of stability, ongoing investmentsin product development, and support staffwith the expertise and knowledge to makethe technology work to its fullest extent.

Sealing the DealDemonstrating the value of risk man-

agement first-hand is essential to winningover even the most skeptical clients.Accordingly, vendors should be prepared toshow how the software can specificallyaddress a company’s problem areas, as wellas how the provider’s support staff caneffectively integrate with the client’s ownpersonnel. Additionally, service level man-agement standards offered by the ASPprovider ensure a level of accountabilityoften missing in an internal relationship.This gives businesses more visibility andgreater control of their environment.

Looking AheadAs the trend toward outsourced solu-

tions continues, the need for proven invest-ment-accounting and portfolio-manage-ment solutions bodes well for the future ofASP. At the same time, increased competi-tion will compel providers to continuallymake ASP product innovation a top priori-ty as they refine and develop their platformsas never before, while also distinguishingthemselves through excellent client service.The more complex it becomes to do busi-ness from an operational, compliance andreporting standpoint, the more these bene-fits will assert themselves—and ASP userswill be the winners.

Paul zur Nieden is a vice president forSunGard Institutional Asset Management.

MFSG

The Business Case for ASP: Critical Success Factors forToday’s Investment Firms and Asset ServicersBy Paul zur Nieden

Paul zur Nieden



http://www.jpmorgan.com/wss

Part 2 — Rankings


All data as of 12/31/07

2007 Number ofRank Service Provider Funds

1 State Street Corp. 3,8612 JPMorgan Worldwide 1,0843 PFPC 9184 BNY Mellon Asset Servicing 6925 SEI 6856 Citi 6377 U.S. Bancorp Fund Services 3928 State Street Corp./PAS 3329 Jackson Fund Services 10810 Brown Brothers Harriman 9811 Unified Fund Services 7012 Ultimus Fund Solutions 6213 Northern Trust 6114 ALPS Fund Services 6015 UMB Fund Services 4416 Nottingham Investment 21

Number of Funds

2007 Assets Rank Service Provider ($ millions)

1 State Street Corp. 4,174,0142 JPMorgan Worldwide 773,9663 PFPC 689,1174 BNY Mellon Asset Servicing 592,0945 State Street Corp./PAS 238,8316 Citi 227,5237 SEI 178,2658 U.S. Bancorp Fund Services 175,8499 Northern Trust 83,75110 Brown Brothers Harriman 81,14711 Jackson Fund Services 36,53912 UMB Fund Services 19,04013 Ultimus Fund Solutions 8,35614 ALPS Fund Services 7,53615 Unified Fund Services 2,90016 Nottingham Investment 1,600

Assets

’40 Act Open-End Mutual FundsFull-Service Providers

Remote Service Providers

System Sale or Lease Providers

2007 AssetsRank Service Provider ($ millions)

1 State Street Corp./PAS 884,8682 State Street Corp. 250,203

Assets

2007 Number of Rank Service Provider Funds

1 State Street Corp./PAS 9412 State Street Corp. 72

Number of Funds


1 SunGard Investment Systems 4,066,0232 Linedata Services 272,6953 State Street/Princeton Financial 32,1044 Investment Systems Co. 2,289

Assets

2007 Number ofRank Service Provider Funds

1 SunGard Investment Systems 4,1512 Linedata Services 1,5063 State Street/Princeton Financial 3824 Investment Systems Co. 2

Number of Funds


Part 2 — Rankings

2008 Mutual Fund Service Guide 11



1 JPMorgan Worldwide 7,3272 State Street Corp. 5,7993 Citi 3,8244 BNY Mellon Asset Servicing 1,9595 Northern Trust 1,2026 PFPC 6687 Brown Brothers Harriman 6108 SEI 1879 Nottingham Investment 9

Number of Funds

2007 Assets Rank Service Provider ($ millions)

1 State Street Corp. 2,373,2142 JPMorgan Worldwide 2,305,6053 Citi 955,5584 BNY Mellon Asset Servicing 813,8395 Northern Trust 213,0006 Brown Brothers Harriman 163,1597 PFPC 135,2208 SEI 61,0009 Nottingham Investment 200

Assets

Non-U.S. Domiciled Funds

Full-Service Providers




1 State Street Corp./PAS 30,1872 State Street Corp. 22,700

Assets


1 State Street Corp. 1762 State Street Corp./PAS 6

Number of Funds


1 SunGard Investment Systems 2,816,6372 Linedata Services 944,0123 State Street/Princeton Financial 143,055

Assets


1 SunGard Investment Systems 6,0442 Linedata Services 1,7123 State Street/Princeton Financial 289

Number of Funds


Part 2 — Rankings



1 State Street Corp. 39,7352 BNY Mellon Asset Servicing 27,9853 JPMorgan Worldwide 23,1424 Citi 4,7905 PFPC 1,9886 SEI 1,7677 Northern Trust 1,7038 Brown Brothers Harriman 9119 State Street Corp./PAS 47010 U.S. Bancorp Fund Services 39911 Jackson Fund Services 12912 UMB Fund Services 8613 Unified Fund Services 7514 ALPS Fund Services 7415 Ultimus Fund Solutions 6716 Nottingham Investmernt 51

Number of Funds

All FundsFull-Service Providers




1 State Street Corp./PAS 1,035,9042 State Street Corp. 272,903

Assets


1 State Street Corp./PAS 1,1052 State Street Corp. 248

Number of Funds


1 SunGard Investment Systems 14,235,8782 Linedata Services 1,344,4993 State Street/Princeton Financial Systems78,6094 Investment Systems Co. 2,289

Assets


1 SunGard Investment Systems 52,5742 Linedata Services 4,2643 State Street/Princeton Financial Systems 1,5634 Investment Systems Co. 2

Number of Funds


1 State Street Corp. 16,252,4232 BNY Mellon Asset Servicing 5,015,0383 JPMorgan Worldwide 4,392,2394 Citi 1,272,6735 PFPC 909,0236 Northern Trust 836,7007 SEI 426,0008 State Street Corp./PAS 348,3669 Brown Brothers Harriman 327,61210 U.S. Bancorp Fund Services 178,70911 Jackson Fund Services 57,73412 UMB Fund Services 21,72713 Nottingham Investment 21,32514 ALPS Fund Services 18,26915 Ultimus Fund Solutions 10,97416 Unified Fund Services 3,050

Assets



Part 3 — Five-Year Snapshot

Service Provider 2004 2005 2006 2007 2008ALPS Fund Services 7,160 9,560 ** ** 7,536BNY Mellon Asset Servicing 256,922 238,380 207,574 263,500 592,094Brown Brothers Harriman 34,498 37,476 50,842 57,282 81,147Citi 6,805 6,762 5,430 ** 227,523Jackson Fund Services 8,758 13,064 17,884 26,301 36,539JPMorgan Worldwide Securities Services 286,049 422,911 432,915 564,359 773,966Northern Trust 51,000 50,000 57,089 71,579 83,751Nottingham Investment Administration ** ** ** ** 1,600PFPC 508,135 524,705 601,811 575,700 689,117SEI 160,000 152,419 159,943 165,000 178,265State Street Corp. 2,419,517 2,365,564 2,723,827 3,085,704 4,174,014State Street Corp./PAS 190,853 160,835 146,840 165,164 238,831Ultimus Fund Solutions 3,192 4,117 5,317 6,486 8,356UMB Fund Services 5,406 11,631 14,156 16,379 19,040Unified Fund Services 1,174 1,754 1,802 2,956 2,900U.S. Bancorp Fund Services 105,022 126,776 141,281 151,017 175,849

’40 Act Mutual Fund Assets

Service Provider 2004 2005 2006 2007 2008

State Street Corp. 137,468 227,172 174,205 206,334 250,203State Street Corp./ PAS 808,375 735,972 654,640 723,464 884,868



Investment Systems Co. 1,959 1,993 1,478 1,588 2,289Linedata Services 156,700 195,875 237,239 176,979 272,695State Street/Princeton Financial Systems 103,409 71,100 65,312 68,018 32,104SunGard Investment Systems 2,281,061 2,570,722 2,842,067 3,027,033 4,066,023





Assets listed above are shown in millions of dollars as reported in prior Service Guides. Assets for 2008 are as of 12/31/07 and so on for preceding years.** Information not available


Part 4 — Business Statistics


State Street Corp. State Street/PAS

REMOTE SERVICE FUND ACCOUNTING ASSETS ($ MILLIONS)’40 Act Open-End Mutual Funds — remote service 250,203 884,868’40 Act Closed-End Mutual Funds — remote service 0 96’40 Act Unit Investment Trusts — remote service 0 0Non-US Domiciled Mutual Funds — remote service 22,700 30,187Pension Funds/Master Trust Funds — remote service 0 54,627Bank Common/Collective Funds — remote service 0 13,678Exchange-Traded Funds — remote service 0 0All other funds — remote service 0 6,935Total Remote Assets 272,903 1,035,903FUND ACCOUNTING ASSETS ($ MILLIONS)’40 Act Open-End Mutual Funds 4,424,217 1,123,699’40 Act Closed-End Mutual Funds 382,394 86,839’40 Act Unit Investment Trusts 20,853 0Non-US Domiciled Funds 2,395,914 30,187Pension Funds/Master Trust Funds 5,405,321 109,254Bank Common/Collective Funds 262,445 27,356Exchange-Traded Funds 493,999 0All other funds 3,634,182 6,935Total Fund Accounting Assets 16,525,326 1,384,270CLIENT INFORMATIONTotal # remote funds 248 1,105Total # remote fund complexes 5 13


**Not reported

Investment Linedata State Street/ SunGardSystems Co. Services Princeton Financial Investment

Systems Systems

SALE OR LEASE FUND ACCOUNTING ASSETS ($ MILLIONS)’40 Act Open-End Mutual Funds — sale or lease 2,289 272,695 32,104 4,066,023’40 Act Closed-End Mutual Funds — sale or lease 0 0 182 78,145’40 Act Unit Investment Trusts — sale or lease 0 ** 23,010 6,197Non-US Domiciled Mutual Funds — sale or lease 0 944,012 14,306 2,816,637Pension Funds/Master Trust Funds — sale or lease 0 22,902 45,082 4,757,279Bank Common/Collective Funds — sale or lease 0 0 0 450,298Exchange-Traded Funds — sale or lease 0 0 0 32,238All other funds — sale or lease 0 104,890 65,592 2,029,061Total System Sale or Lease Assets 2,289 1,344,499 78,609 14,235,878FUND ACCOUNTING ASSETS ($ MILLIONS)’40 Act Open-End Mutual Funds 2,289 272,695 32,104 4,066,023’40 Act Closed-End Mutual Funds 0 0 182 78,145’40 Act Unit Investment Trusts 0 944,012 23,010 6,197Non-US Domiciled Funds 0 22,902 14,306 2,816,637Pension Funds/Master Trust Funds 0 0 45,082 4,757,279Bank Common/Collective Funds 0 0 0 450,298Exchange-Traded Funds 0 0 0 32,238All other Funds 0 104,890 65,592 2,029,061Total Fund Accounting Assets 2,289 1,344,499 184,133 14,235,878CLIENT INFORMATIONTotal # system funds 2 4,264 1,563 52,754Total # system fund complexes 1 84 25 898



** Not reported N/A Not Applicable

FULL-SERVICE FUND ACCOUNTING ASSETS ($ millions)

’40 Act Open-End Mutual Funds — full service 7,536 592,094 81,147 227,523 36,539 773,966 83,751 1,600

’40 Act Closed-End Mutual Funds — full service 10,495 76,488 6,747 4,233 188 0 131 0

’40 Act Unit Investment Trusts — full service 0 52,671 116 0 ** 0 ** 0

Non-US domiciled funds — full service 0 813,839 163,159 955,558 ** 2,305,605 213,000 200

Pension Funds/Master Trust Funds — full service 0 2,915,288 225 54,570 ** 832,340 ** 0

Bank Common/Collective Funds — full service 0 17,164 N/A 26,173 ** 0 244,003 0

Exchange-Traded Funds — full service 0 86,403 1,113 0 ** 12,000 ** 0

All other funds — full service 238 461,091 71,605 4,616 21,007 468,328 297,900 19,400

Total Full-Service Assets 18,269 5,015,038 327,612 1,272,673 57,734 4,392,239 836,700 21,325TOTAL FUND ACCOUNTING ASSETS ($ millions)

’40 Act Open-End Mutual Funds 7,536 592,094 81,147 227,523 36,539 773,966 83,751 1,600

’40 Act Closed-End Mutual Funds 10,495 76,488 6,747 4,233 188 0 131 0

’40 Act Unit Investment Trusts 0 52,671 116 0 0 0 ** 0

Non-US domiciled funds 0 813,839 163,159 955,558 0 2,305,605 ** 200

Pension Funds/Master Trust Funds 0 2,915,288 225 54,570 0 832,340 ** 0

Bank Common/Collective Funds 0 17,164 N/A 26,173 0 ** 244,003 0

Exchange-Traded Funds 0 86,403 1,113 0 0 12,000 ** 0

All other funds 238 461,091 71,605 4,616 21,007 468,328 508,815 19,400

Total Assets 18,269 5,015,038 327,612 1,272,673 57,734 4,392,239 836,700 21,200CLIENT INFORMATION

Total # full-service funds 74 27,985 911 4,790 129 23,142 1,703 51

Total # full-service fund complexes 23 1,810 105 332 5 158 268 22

BUSINESS ESSENTIALS

# of trades per year 102,000 ** ** 6,207,744 183,287 ** ** 20,000

# of trades/accountant/year 4,250 ** ** 5,474 7,331 ** ** 1,111

# of funds/accountant 3 ** ** 4.2 5 ** 4.3 3

% total firm revenue from full service 23 ** ** ** 100 ** ** 68

% total FA revenue from full service 100 ** ** ** 100 ** 100 100

% for proprietary funds 16 4 ** 0 83 0.1 17 0

% for third party funds 84 96 ** 100 17 0.9 83 100

# offices outside of the US 0 70 7 18 0 9 4 0

# offices in Europe 0 25 4 7 0 5 4 0

# offices in North America (Non-US) 0 13 2 3 0 0 0 0

# offices in Asia 0 21 2 7 0 1 0 0

# offices in Australia 0 3 0 0 0 1 0 0

# offices in South America 0 5 0 1 0 ** 0 0

PERSONNEL

# of accountants 42 ** ** 1,134 25 ** 397 18

% of staff with specialized designations 10 ** ** 11 16 ** ** 15



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FULL-SERVICE FUND ACCOUNTING ASSETS ($ millions)

’40 Act Open-End Mutual Funds — full service 689,117 178,265 4,174,014 238,831 8,356 19,040 2,900 175,849

’40 Act Closed-End Mutual Funds — full service 20,690 3,000 382,394 41,230 2,618 ** 50 2,860

’40 Act Unit Investment Trusts — full service 2,701 N/A 20,853 0 0 ** ** 0

Non-US domiciled funds — full service 135,220 61,000 2,373,214 0 0 ** ** 0

Pension Funds/Master Trust Funds — full service 0 3,837 5,405,321 54,627 0 ** ** 0

Bank Common/Collective Funds — full service 12,609 65,015 262,445 13,678 0 ** 100 0

Exchange-Traded Funds — full service 0 N/A 493,999 0 0 ** ** 0

All other funds — full service 48,686 115,000 3,634,182 0 0 2,687 ** 0

Total Full-Service Assets 909,023 426,000 16,252,423 348,366 10,974 21,727 3,050 178,709TOTAL FUND ACCOUNTING ASSETS ($ millions)

’40 Act Open-End Mutual Funds 689,117 178,265 4,424,217 1,123,699 8,356 19,040 ** 175,849

’40 Act Closed-End Mutual Funds 20,690 3,000 382,394 86,839 2,618 ** ** 2,860

’40 Act Unit Investment Trusts 2,701 N/A 20,853 0 0 ** ** 0

Non-US domiciled funds 135,220 61,000 2,395,914 30,187 0 ** ** 0

Pension Funds/Master Trust Funds 0 3,837 5,405,321 109,254 0 ** ** 0

Bank Common/Collective Funds 12,609 65,015 262,445 27,356 0 ** ** 0

Exchange-Traded Funds 0 N/A 493,999 0 0 ** ** 0

All other funds 48,686 115,000 3,634,182 6,935 0 2,687 ** 0

Total Assets 909,023 426,000 16,525,326 1,384,270 10,974 21,727 ** 178,709CLIENT INFORMATION

Total # full-service funds 1,988 1,767 39,735 470 67 86 75 399

Total # full-service fund complexes 245 242 12,544 2 27 37 30 102

BUSINESS ESSENTIALS

# of trades per year 4,200,000 N/A ** N/A ** ** 35,000 325,470

# of trades/accountant/year ** N/A ** N/A ** ** 2,917 2,932

# of funds/accountant ** N/A 5 N/A 4.8 4.1 5.8 6

% total firm revenue from full service ** N/A 81 N/A 16 ** 24 12

% total FA revenue from full service 100 N/A 81 N/A 100 100 100 100

% for proprietary funds 6.08 N/A ** N/A 0 26 ** 14

% for third party funds 93.92 N/A ** N/A 100 74 100 86

# offices outside of the US 5 15 38 0 0 ** 0 0

# offices in Europe 4 5 18 0 0 ** 0 0

# offices in North America (Non-US) 0 7 4 0 0 ** 0 0

# offices in Asia 0 2 9 0 0 ** 0 0

# offices in Australia 0 N/A 3 0 0 ** 0 0

# offices in South America 0 N/A 1 0 0 ** 0 0

PERSONNEL

# of accountants ** 354 2,797 N/A 14 21 12 111

% of staff with specialized designations 15 N/A ** N/A 7.14 15 3 15

** Not reported N/A Not Applicable


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Other publications reporting on mutual funds and other money management products rehash each other’s news day in and day out. Money Management Executive goes way beyond the headlines and run-of-the-mill stories to focus on the concerns of upper management and their supporting sales, marketing, regulatory, product development, operational and distribution teams. Each weekly issue along with the daily updated website and daily e-newsletter delivered at 8 am provide all of the intelligence and insight you need to plan out your corporate strategies and stay on top of the ever-changing industry. Don’t waste another minute. Subscribe or set up a no-risk free trial to Money Management Executive by visiting www.mmexecutive.comor calling 888.807.8667.

Look Past The Clutter

MFSG_page27.qxd 4/19/07 9:30 PM Page 1


Part 5 — Services


**Not reported N=Not available U=In use A=Available D=In development

DOMESTIC SECURITIESStraight asset-backed securities U U U U U U U U U UCommercial paper U U U U U U U U U UCommon stock U U U U U U U U U UCorporate bonds U U U U U U U U U UDemand notes U U U U A A U U U AFloating-rate bonds/notes U U U U U U U U U UFutures U U U U N U U U U UMunicipal bonds U U U U U U U U U AMutual funds U U U U A U U U U UOptions on futures U U U U N U U U A AOptions U U U U N U U U U UPreferred stock U U U U U U U U U URepurchase agreements A U U U U U U U U UReverse repurchase agreements U U U U A A U U U ATime deposits U U U U U U U U U URights/warrants U U U U U U U U U UWhen-issued securities U U U U U U U U U AZero coupon bonds U U U U U U U U U UGICs U U N U A A U U U USICs U U N U A A U U U UCDs U U U U A U U U U UTIPs U U U U A U U U U AINTERNATIONAL SECURITIESCommon stock U U U U N U U U U UCorporate bonds U U U U N U U U U UCurrencies U U U U N U U U U AFloating-rate bonds/notes U U U U N U U U U AForwards U U U U N U U U U AFutures U U U U N U U U U AGilts A U U U N A U U U AGovernment bonds/notes U U U U N U U U U AIndex-linked gilts A A U U N A U U U NOptions U U U U N U U U U UPreferred stock U U U U N U U U U ATime deposits A U U U N U U U U ARights/warrants U U U U N U U U U AZero coupon bonds U U U U N U U U U ACDs A U U U N U U U U A

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DOMESTIC SECURITIESStraight asset-backed securities U U U U U U U U U UCommercial paper U U U U U U U U U UCommon stock U U U U U U U U U UCorporate bonds U U U U U U U U U UDemand notes U U U U U U U U U UFloating-rate bonds/notes U U U U U U U U U UFutures U U U U U U A U U UMunicipal bonds U U U U U U U U U UMutual funds U U U U U U U U U UOptions on futures U U U U U U A U U UOptions U U U U U U U U U UPreferred stock U U U U U U U U U URepurchase agreements U U U U U U U U A UReverse repurchase agreements U U U U U U A U A UTime deposits U U U U U U A A A URights/warrants U U U U U U U U U UWhen-issued securities U U U U U U U U U UZero coupon bonds U U U U U U U A U UGICs U U U U U U A A U USICs U U U U U U A A A ACDs U U U U U U A A U UTIPs U U U U U U U U U UINTERNATIONAL SECURITIESCommon stock U U U U U U U U U UCorporate bonds U U U U U U U A U UCurrencies U U U U U U U U U UFloating-rate bonds/notes U U U U U U U A U UForwards U U U U U U U U U UFutures U U U U U U A U U UGilts U U U U N U A A A AGovernment bonds/notes U U U U U U U U U UIndex-linked gilts A U U U N U A A A AOptions U U U U U U A A U UPreferred stock U U U U U U U U U UTime deposits U U U U U U A A A URights/warrants U U U U U U U U U UZero coupon bonds U U U U U U A A U UCDs U U U U U U A A U U


Part 5 — Services


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SYSTEMS CAPABILITIESOnline entry of trade dataOn trade date U U U U U U U U U UT+1 U U U U U U U U U UAny as-of date A U U U U U U U U UOnline editing/verification for validity/logic U U U U U U U U U UUser can input additional data U U U U A A U U U UFor prospectus/regulatory/compliance monitoring U U U U A U U U U UElectronic trade interface with client's system U U U U A U U U U UGenerate journal entries for trade data U U U U U U U U U UAdjustmentsCorrecting original trade N U U U N U U N N UReversing/re-entering trade U U U U U U U U U UOnline transaction history maintenanceDate range U U U U U U U U U UCUSIP U U U U U U U U U UTransaction type U U U U U U U U U UDisplay live trades U U U U U U U N U NMonitor stock loans U U D N U U U N A URecord salesFIFO U U U U U U U U U ULIFO U U U U A A U U U UHighest cost U U U U A A U U U ULowest cost U U U U A A U U A UClosest to average cost A U U U A A U U U ULeast tax liability A U N U N A U U U AAdjust lots for dividends, splits U U U U U A U U U UAccounting for wash sales U U U U U A U U U UProvide audit trail of activity U U U U U U U U U UProcess short-term instruments without CUSIP U U U U N A U U U USecurity master add/trade short-term one screen U U U U N U U U N AReflect trade data in portfolio valuation on entry U U U U U U U U U NTrade settlementBased on custodian download U U U U A U U U N UIn currency other than trade currency U U U U N A U U U ADefault to end-of-day exchange rates U U U U N N U U U AMultiple local currencies in one fund U U U U N U U U U UMultiple base currencies A U U U N N U U U UTax-withholding and reclaim processing U U U U A U U U U UTranslate online local currency balance to base U U U U N U U U U A

Part 5 — Services



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SYSTEMS CAPABILITIESOnline entry of trade dataOn trade date U U U U U U U A U UT+1 U U U U U U U U U UAny as-of date U U U U U U U U N UOnline editing/verification for validity/logic U U U U U U U U D UUser can input additional data U U U U U U U U U UFor prospectus/regulatory/compliance monitoring U U U U U U A U U UElectronic trade interface with client's system U U U U U U A U U UGenerate journal entries for trade data U U U U U U U U U UAdjustmentsCorrecting original trade U U U U U U U U N NReversing/re-entering trade U U U U U U U U U UOnline transaction history maintenanceDate range U U U U U U U U U UCUSIP U U U U U U U U U UTransaction type U U U U U U U U U UDisplay live trades U U U U U U U U U UMonitor stock loans A U U U U U N A U NRecord salesFIFO U U U U U U U U U ULIFO U U U U U U U A U AHighest cost U U U U U U U U U ULowest cost U U U U U U A A U UClosest to average cost U U U U U U A A U ALeast tax liability U U U U U U U A U AAdjust lots for dividends, splits U U U U U U U U U UAccounting for wash sales U N U U U U U U U UProvide audit trail of activity U U U U U U U U U UProcess short-term instruments without CUSIP U N U U U U U U U NSecurity master add/trade short-term one screen U N U U U U U A N NReflect trade data in portfolio valuation on entry U U U U U U U U U UTrade settlementBased on custodian download A U N U U U U A N UIn currency other than trade currency U U U U U U U U U UDefault to end-of-day exchange rates U U U U U U U U U UMultiple local currencies in one fund U U U U U U U U U UMultiple base currencies U U U U U U N A N ATax-withholding and reclaim processing U U U U U U U U U UTranslate online local currency balance to base U U U U U U U U U U


Part 5 — Services


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PRICING AND VALUATIONAutomated pricing interfaceIDC U U U U U U U U U UBear Stearns U U U U N A U N U UFRI A U U N N A U U A AJ.J. Kenney U U U U N A U U U AReuters U U U U U U U N U UFair Value Pricing U U U U N U U U U UManual override prices from external services U U U U U U U U U UOnline viewingCurrent prices from external sources U U U U U U U U U UHistorical prices from external sources U U U U U U U U U UPermit exchange rates base to local U U U U N U U U U UManual entry30-day rates U U U U N A U U A U60-day rates U U U U N A U U A U90-day rates U U U U N A U U A U180-day rates U U U U N A U U A UCross-currency rates A U U U N A U U A ADomestic prices U U U U U A U U A ULocal currency prices U U U U N A U U A USpot rates U U U U N A U U A UAutomated interface30-day rates U U U U N U U U U U60-day rates U U U U N U U U U U90-day rates U U U U N U U U U U180-day rates U U U U N U U U U UCross-currency rates N U U U N U U U U UDomestic prices U U U U U U U U U ULocal currency prices U U U U N U U U U USpot rates U U U U N U U U U UAutomated calculationCross-currency rates N U U U N U U U U NForward contract interpolation U U U U N U U U U NInformation and reportsDifferent funds/price for one CUSIP U U U U U U U U U ARepricing trades after a price change U U U U N U U U U UCompare pricing sources and data U U U U U U U U U UMatrix pricing N U D U N A U N U UPricing reports available prior to valuation U U U U U U U U U UList of daily prices by fund online U U U U U U U U U A

Part 5 — Services



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PRICING AND VALUATIONAutomated pricing interfaceIDC U U U U U U U U U UBear Stearns U U U U U U A A N UFRI U U N U U N A A N AJ.J. Kenney U U U U U U U A N UReuters U U U U U U A U U UFair Value Pricing U N U U U U U U N UManual override prices from external services U U U U U U U U U UOnline viewingCurrent prices from external sources U U U U U U U U U UHistorical prices from external sources U U U U U U U U U UPermit exchange rates base to local U U U U U U U U U UManual entry30-day rates U U U U U U U A U A60-day rates U U U U U U U A U A90-day rates U U U U U U U A U A180-day rates U U U U U U U A U ACross-currency rates U N U U U U U U U ADomestic prices U U U U U U U U U ULocal currency prices U U U U U U U U U USpot rates U U U U U U U U U UAutomated interface30-day rates U U U U U U U A U U60-day rates U U U U U U U A U U90-day rates U U U U U U U A U U180-day rates U U U U U U U A U UCross-currency rates U N U U U U U A U UDomestic prices U U U U U U U U U ULocal currency prices U U U U U U U U U USpot rates U U U U U U U U U UAutomated calculationCross-currency rates U U U U U U U U U AForward contract interpolation U U U U U U U U U UInformation and reportsDifferent funds/price for one CUSIP U U U U U U U U N URepricing trades after a price change U U U U U U U U U UCompare pricing sources and data U U U U U U U U N UMatrix pricing U N U U U U U N N NPricing reports available prior to valuation U U U U U U U U U UList of daily prices by fund online U N U U U U U U U U

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List of changes in securities by fund online N U U U N U U U U AElectronic reporting to outside service providers U U U U U U U U U UPricing with no other functions inhibited U U U U U U U U U UCalculating NAV & offering priceDomestic funds U U U U U U U U U UInternational funds U U U U N U U U U UAutomated CTCI NASDAQ interface U U U U N U U N U U1-, 7- & 30-day SEC yields U U U U U U U U U USEC yield over any 30-day period U U U U N U U U U URecalculate historical NAVs in real time N U A U A U U U U UAutomated fund of funds processing N U U U N U U N A AReport stale prices U U U U U U U U U UReport prices entered manually U U U U A U U U U UOnline portfolio valuation reporting U U U U A U U U U AINCOME AND AMORTIZATIONSecurity accounting/postingDividend payments U U U U U U U U U UFutures variation margin U U U U N U U U U AInterest payments U U U U U U U U U UMortgage payups/paydowns U U U U A U U U A UOption expirations U U U U N U U U A UReclaims U U U U N U U U U USecurity maturities U U U U U U U U U UStock splits U U U U U U U U U UStock dividends U U U U U U U U U UTax withholding U U U U N U U U U UWash sale adjustment of cost basis N U A N N A U U A ADaily interest variable/short-term/long-term securities U U U U U U U U U UDaily interface for variable rate change U U U U A U U U U UDiscount accretion, straight-line methodBest call date N U U U N A U U U AExplicit call date U U A U N A U U U UWorst call date U U U U N U U U A AMaturity call date U U U U U A U U U UUser-defined date U U U U N A U U U UDiscount accretion, scientific methodBest call date N U U U N A U U U AExplicit call date U U A U N A U U U AWorst call date U U U U N U U U A AMaturity call date U U U U U A U U U AUser-defined date U U U U N A U U U A

Part 5 — Services



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List of changes in securities by fund online U U U U U U U U N UElectronic reporting to outside service providers U U U U U U U U U UPricing with no other functions inhibited U U U U U U U U U UCalculating NAV & offering priceDomestic funds U U U U U U U U U UInternational funds U U U U U U U U U UAutomated CTCI NASDAQ interface U N U U U U U U U U1-, 7- & 30-day SEC yields U U U U U U U U U USEC yield over any 30-day period U U U U U U U U U URecalculate historical NAVs in real time U U N U N U U U U UAutomated fund of funds processing U U U U U U U U N UReport stale prices U U U U U U U U U UReport prices entered manually U U U U U U U U U UOnline portfolio valuation reporting U U U U U U U U U UINCOME AND AMORTIZATIONSecurity accounting/postingDividend payments U U U U U U U U U UFutures variation margin U U U U U U A U U UInterest payments U U U U U U U U U UMortgage payups/paydowns U U U U U U U U U UOption expirations U N U U U U U U U UReclaims U U U U U U U U U USecurity maturities U U U U U U U U U UStock splits U U U U U U U U U UStock dividends U U U U U U U U U UTax withholding U U U U U U U U U UWash sale adjustment of cost basis U N U U U U A U U UDaily interest variable/short-term/long-term securities U U U U U U U U U UDaily interface for variable rate change U U U U U U A U N UDiscount accretion, straight-line methodBest call date U U U U U U A A U NExplicit call date A U U U U U A A U NWorst call date U U U U U U A A U AMaturity call date U U U U U U A U U UUser-defined date U U U U U U A A N UDiscount accretion, scientific methodBest call date U U U U U U U U U NExplicit call date A U U U U U U U U AWorst call date U U U U U U U A U AMaturity call date U U U U U U U U U UUser-defined date U U U U U U U A N U


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Premium amortization, straight-line methodBest call date N U U U N A U U U AExplicit call date U U A U N A U U U UWorst call date U U U U N U U U A AMaturity call date U U U U U A U U U UUser-defined call date U U U U N A U U U UPremium amortization, scientific methodBest call date N U U U N A U U U AExplicit call date U U A U N A U U U AWorst call date U U U U N U U U A AMaturity call date U U U U U A U U U AUser-defined call date U U U U N A U U U ACORPORATE ACTION/CAPITAL CHANGESProcess domesticallyCash dividends U U U U U U U U U UCUSIP changes U U U U U U U U U UExchanges U U U U N U U U U UFull calls U U U U U U U U U UIssuing rights/warrants U U U U N U U U U UMaturities U U U U U U U U U UMergers U U U U U U U U U UName changes U U U U U U U U U UPartial calls U U U U U U U U U USpinoffs U U U U U U U U U UStock dividends U U U U U U U U U UStock splits U U U U U U U U U UTenders U U U U U U U U U UUnit splits U U U U N U U U U ULiquidations U U U U A U U U U UReturn of capital U U U U A U U U U UProcess internationallyCash dividends U U U U N U U U U USEDOL/ VALOREN changes U U U U N U U U U UExchanges U U U U N U U U U UFull call U U U U N U U U U UIssuing rights/warrants U U U U N U U U U UMaturities U U U U N U U U U UMergers U U U U N U U U U UName changes U U U U N U U U U UPartial calls U U U U N U U U U USpinoffs U U U U N U U U U U

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Premium amortization, straight-line methodBest call date U U U U U U A A U NExplicit call date A U U U U U A A U UWorst call date U U U U U U A A U UMaturity call date U U U U U U A A U UUser-defined call date U U U U U U A A N UPremium amortization, scientific methodBest call date U U U U U U U U U NExplicit call date A U U U U U U U U UWorst call date U U U U U U U A U AMaturity call date U U U U U U U U U UUser-defined call date U U U U U U U A N UCORPORATE ACTION/CAPITAL CHANGESProcess domesticallyCash dividends U U U U U U U U U UCUSIP changes U U U U U U U U U UExchanges U U U U U U U U U UFull calls U U U U U U U U U UIssuing rights/warrants U U U U U U U U U UMaturities U U U U U U U U U UMergers U U U U U U U U U UName changes U U U U U U U U U UPartial calls U U U U U U U U U USpinoffs U U U U U U U U U UStock dividends U U U U U U U U U UStock splits U U U U U U U U U UTenders U U U U U U U U U UUnit splits U U U U U U A A U ULiquidations U U U U U U U U U UReturn of capital U U U U U U U U U UProcess internationallyCash dividends U U U U U U U U U USEDOL/ VALOREN changes U U U U U U U U U UExchanges U U U U U U U U U UFull Call U U U U U U U U U UIssuing rights/warrants U U U U U U U U U UMaturities U U U U U U U U U UMergers U U U U U U U U U UName changes U U U U U U U U U UPartial calls U U U U U U U U U USpinoffs U U U U U U U U U U


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Part 6 — Company Profiles


ALPS Fund Services, Inc.Lisa B. Mougin Vice President, National Sales Director 1290 Broadway, Suite 1100Denver, CO 80203Phone: 303-623-2577Fax: 303-623-7850 Email: [email protected] Web: www.alpsinc.comYear FA services began: 1996

ALPS Fund Services offers a full-servicepartnership approach to a select group ofmutual fund clients looking for truly cus-tomized service. We have become a leader inthe mutual fund industry by continuallyproviding exceptional customer service toeach and every one of our clients.

Clients experience a seamless extension oftheir own workforce as they outsource serv-ices to ALPS. Our turnkey package includescompliance, creative services, distribution,fund accounting, fund administration, legal,marketing, shareholder servicing, tax andtransfer agency services to open-end, closed-end, exchange-traded funds and hedgefunds. Our services are tailored to meet yourneeds and our consultative approach pro-vides an integrated, client-oriented alliance.

We consider ourselves to be a partner toour clients, not a vendor, and we provideservice beyond what is required in our con-tracts. Part of what makes this possible is thatALPS has made a conscious decision to con-trol growth, so that we never have to com-promise our service levels or our reputationin the industry for delivering tailored, high-touch services. By following this philosophy,ALPS has demonstrated a consistent abilityover the years to grow revenues while main-taining high levels of service and excellence.

While fund companies share a number ofcommon functions, each have some uniqueneeds; identifying and developing thoseareas is part of what differentiates ALPS. Butdon’t take our word for it—read what ourclients had to say in the Global Custodian2007 Mutual Fund Administration Survey.ALPS was ranked #1 in the industry in thefollowing categories: Domestic ServiceProviders, Fixed Income Funds and EquityFunds. In addition, ALPS handily beat theindustry benchmark scores (the averagescore of all survey participants) in each ofeight service areas: Client Services, Value,Fund Accounting, Transfer Agency,Distribution Support, Portfolio Servicing,

Fund Reporting and Compliance.Once you do, we think you’ll find that

ALPS lives up to its mission statement: We area dynamic financial services firm built on rela-tionships. We have a contagious enthusiasm forour people, our clients, our business partners,and our mutual opportunities for success.

BNY Mellon Asset ServicingJoseph KeenanManaging DirectorOne Wall Street, 25th FloorNew York, NY 10285Phone: 212-635-7150Fax: 212-635-4587Email: [email protected]: www.bnymellon.comYear FA services began: 1978

BNY Mellon Asset Servicing can providefund accounting services to all pooled struc-tures in any of the world’s leading funddomiciles. Our services include calculatingand reporting NAVs in an accurate and time-ly manner, computing yields, reconcilingaccounts, maintaining expense files, coordi-nating bill payments, maintaining brokerand commission ledgers, assisting with SECrequirements, producing fund documenta-tion, and responding to inquiries duringaccount audits. From this comprehensivesuite of services, and using innovative tech-nology, we create solutions for the widestrange of fund structures and performanceobjectives.

Our global pricing and valuation plat-form is a real-time, full multicurrency,accounting system. The system generatesdaily NAV calculations, according to industryguidelines, automatically interfaces withcompliance, performance, and financialreporting software, and handles multi-man-aged funds using the following methods:advisor accounting, hierarchical valuations,or manager reporting. Fund accounting datais available online, via our Internet portal,through which clients can access compre-hensive real-time reporting and functionalityincluding valuation tools, daily cash balancesand forecasts, pricing history, security trans-action history, general ledger entries, excep-tion based reporting, and ad hoc queries.

Overall, fund accounting is a key businessfor BNY Mellon Asset Servicing, and we pro-vide these services to registered open andclosed-end mutual funds, offshore funds,separate and commingled accounts, com-mon and collective trusts, investment part-

nerships, hedge funds, exchange-tradedfunds, and unit investment trusts. We con-tinually reinvest in the technology and per-sonnel needed to deliver the superior valueclients expect from one of the world’s lead-ing financial institutions.

Brown Brothers HarrimanPeter PoulinManaging Director40 Water StreetBoston, MA 02109Phone: 617-772-2344Email: [email protected]: www.bbh.comYear FA services began: 1975

BBH is an industry leader in fundaccounting and administration services,having provided these services to the globalinvestment industry for over 30 years.We areconsistently ranked at the top of industrysurveys for the modules that make up ourintegrated full service offering, includingglobal custody, investment administration,and accounting, as well as securities lendingand foreign exchange. Today, we provideaccounting and administration services forclient groups representing over $500 billion.

Our current range of offerings incorpo-rates flexible service models, innovativetechnology solutions, and development sup-port of our clients’ products. (Ranging frombasic single-class funds to complex fundsusing derivatives, fund-of-funds, real estatefunds, multi-manager accounts, etc.)

BBH was the first financial institution tocomplete a successful implementation of theEagle STAR® multi-currency global invest-ment accounting system to support its glob-al business across all asset classes and instru-ment types. The system provides integratedreporting via BBH’s single web-based portal,BBH WorldView®, alongside its otheradministration and custody products.

CitiJames NolanManaging Director100 Summer Street, Suite 1500Boston, MA 02110Phone: 617-824-1397Fax: 617-824-1477Email: [email protected]: www.transactionservices.citigroup.comYear FA services began: 1986



Through its Global Transaction Servicesgroup, Citi delivers the industry’s most com-prehensive suite of customized fundaccounting solutions supporting a widerange of fund structures across the globe.Our fund accounting capabilities haveearned Citi “Best-in-Class” status fromGlobal Custodian’s most recent “MutualFund Administration Survey.” With over 20years of industry experience Citi’s account-ing group has unparalleled knowledge of thesecurities markets. This team also brings adepth of experience across all facets of fundoperations, ensuring a seamless integrationof service solutions.

Citi can process the most complex secu-rities instruments and fund structures,including fund-of-funds, master-feeder,130/30s, multi-class, lifecycle, target-date,multi-manager and investment partner-ships. With Citi’s breadth of capabilities,sophisticated infrastructure and operationalefficiencies, our clients are well positioned tofocus on managing and growing fund assets.Our services include:

• Securities pricing / fair valuation• Portfolio accounting• NAV calculation• Reconciliation• Data management • Web-based reportingCiti has set high standards for the accu-

racy of NAVs and NASDAQ timeliness, andwe consistently exceed our benchmarks.Citi’s daily NAV generation process is sup-ported by an industry-leading technologyplatform, supplemental systems and anextensive array of proprietary and cus-tomized application solutions. Our best-of-breed technology is tightly integrated withall key fund support processes, includingfund compliance, financial reporting, fundperformance and tax services. The flexibili-ty of our platform combined with theexpertise of our accounting professionals,allows Citi to provide a high degree of cus-tomized reporting to our clients.

The driving force behind all of our solu-tions is Citi’s experienced personnel. Thefund accounting group employs an exten-sively trained and quality driven staff with asenior management team that averages morethan 20 years of industry experience. Citicontinually recruits outstanding profession-als and provides career development oppor-tunities, which correlates to a stable work-force and service continuity for our clients.

In addition to fund accounting, Citioffers the industry’s broadest spectrum ofsupport services for fund managers includ-ing, fund administration, transfer agency,compliance, regulatory support, alternativeinvestment services and front- and middle-office asset manager solutions. GlobalTransaction Services is also a trusted custo-dian of over $12.5 trillion in client assets.Our centralized client-servicing model pro-vides a single point of contact across all dis-ciplines. We are dedicated to fostering trueclient partnerships based on a collaborativeculture. Sponsors of a multitude of invest-ment strategies and product offerings turnto Citi for innovative and tailored solutions.

Investment Systems Ronni BialoskyPresident37840 Jackson RoadMoreland Hills, OH 44022Phone: 440-247-2865Fax: 440-247-4961Email: [email protected]: www.investmentsystems.comYear FA services began: 1984

ISC provides a full portfolio accountingsystem for mutual funds. The package is acomprehensive yet cost effective solution formanaging the accounting function in-house, thereby maintaining complete con-trol over the process.

The software is designed to be flexibleand can be customized to meet any specialrequirements. Interfaces to general ledgers,custodians and a variety of pricing servicesare available. A graphical interface providesan easy means of navigating the system.Extensive reporting and inquiry capabilitiesallow easy access to all your data in a varietyof formats. An interface to a website can becustomized. Reports can be converted toPDF documents for a common format.

The software runs on an IBM Iseriesserver, which is both extremely reliable andscalable as your business needs may grow.The data is stored in a relational databasewhich provides easy access for report writ-ers and data extracts. The software is con-stantly being enhanced to meet changingrequirements.

ISC provides ongoing support, systemenhancements and maintains a close work-ing relationship with our clients. We alsolicense the Shareholder Accounting System,

a no-load mutual fund transfer agent systemas well as the Bonds Payable System fororganizations issuing bonds.

Jackson Fund ServicesMark D. NerudPresident225 West Wacker DriveSuite 950Chicago, IL 60606Phone: 312-338-5801Fax: 312-236-3911Email: [email protected]: jacksonfundservices.comYear FA services began: 1998

Jackson Fund Services, a division ofJackson National Life Insurance Company,offers customized solutions to meet theaccounting and administration needs of smalland mid-size fund groups and investmentadvisers.

Headquartered in Chicago, Jackson FundServices provides a wide range of qualityservices to 133 funds with over $57 billion inassets.

Jackson Fund Services provides compre-hensive fund accounting and administrativeservices to both registered and non-regis-tered investment companies utilizingSunGard’s INVEST ONE investmentaccounting system. INVEST ONE, the lead-ing investment accounting system, is an inte-grated U.S. domestic and global multicur-rency, multi-class investment accountingsystem that accounts for virtually every typeof investment security.

Administrative services offered includestart-up assistance, financial reporting, taxservices, expense budgeting, regulatoryadministration and compliance—includingChief Compliance Officer (CCO) support.

We are committed to providing the high-est level of service and accuracy. Because ofour unique size and structure, we have theresources to meet your growing needs whilealso providing the customized solutions,individual attention and access to key per-sonnel that you would expect from a busi-ness partner.

JPMorgan Worldwide Carl J. FerraraManaging Director1 Chase Manhattan Plaza9th FloorNew York, NY 10005-1401Phone: 212-552-2839





Email: [email protected]: www.jpmorgan.com/wssYear: FA services began: 1970

JPMorgan Worldwide SecuritiesServices delivers a full range of products forfund managers and their institutional/retailclient base, including custody, fund account-ing, transfer agency, administration, per-formance measurement and compliance.Weoffer an on-the-ground approach to servicethrough our 25 regional service centersworldwide, delivering an end-to-end arrayof services that includes trading, capital mar-kets, financing and operating services.

JPMorgan’s accounting system has thecapabilities for accounting for many types ofportfolios, including mutual funds, com-mon trust, commingled trusts, privateaccounts, separate accounts, multimanagerfunds, exchange-traded funds and multicur-rency funds. JPMorgan provides accountingservices for over 15,700 accounts worldwide,representing total assets of $3.6 trillion. Weleverage our global accounting system andworldwide expertise across our offices toshare best practices and implement innova-tive solutions for our clients.

Through strategic investments in ouraccounting product and people, we havedeveloped several competitive advantages:

• Experienced, Quality People. JPMorganFund Accounting has a breadth of experiencethat spans the industry’s most challenginginvestment products and structures, includ-ing multiclass, multimanager, offshore fundsand complex derivative investment strategies.

• Single Global Accounting System.JPMorgan uses one accounting system glob-ally (excluding Australia), enablingeconomies of scale, broad product knowl-edge that is transferable across regions, andpass-the-book capabilities for those fundsrequiring service in multiple locations.

• Full Integration. The accounting systemprovides a high level of embedded controls,integration with other key business areas andfunctionality to deliver a seamless service toour investment management client base. Ouraccounting system is fully integrated with ourcustody, transfer agency, compliance, tax andperformance measurement systems, allowingfor the highest degree of first-time qualitytrade and shareholder data to be integratedinto the accounting system.

• Control Environment and RiskManagement. The accounting management

team has established and continually reviewsthe operational procedures, staff perform-ance standards and tools that are critical to adaily valuation environment.

• Client Reporting and Delivery.JPMorgan Worldwide Securities Servicesoffers a number of vehicles and methods fordelivering information and data to itsclients. Accounting data can be deliveredthrough direct transmission or Internetdelivery to provide clients with criticalinformation in the method that best meetstheir needs.

Linedata ServicesJoyce KarpelVice President of Sales401 Hackensack AvenueHackensack, NJ 07601Phone: 201-996-9300Email: [email protected]: www.ldsam.comYear FA services began: 1989

Linedata Services (NYSE Euronext: LIN)is the global technology leader for invest-ment software, solutions, and support.Linedata Services Asset Management(www.ldsam.com) provides comprehensive,scalable solutions to the buy-side, with morethan 950 clients, 1,100 sites, and 13,000 usersin 40 countries. Linedata Services AssetManagement manages the entire investmentprocess from pre-trade through post-settle-ment for mutual and institutional funds,hedge funds, fund administrators, primebrokers, and private wealth companies.

Linedata’s fund accounting solutionMFact is a fully integrated system thataddresses all functions of mutual fund, hedgefund, and pension fund accounting andadministration. MFact meets the accountingdemands of any organization managing oradministering pooled investment funds.From trade entry to NAV calculation, MFactcan handle complex securities and fundstructures, foreign exchange considerations,as well as regulatory compliance and report-ing needs. MFact features on-line access andreporting, a highly flexible and integratedgeneral ledger for all types of securities, andfully integrated income, expense and valua-tion functions, eliminating the need for off-line spreadsheet applications.

MPartner is a powerful accounting solu-tion for investment partnerships and hedgefunds that automates capital activity and

profit and loss allocations for complexmulti-tiered fund structures such as masterfeeders, class/series and funds-of-funds.MPartner provides book accounting, han-dles the tax and regulatory issues specific tocross-fund investments and simplifies taxaccounting for hedge funds.

Linedata Services Asset Management hasother complementary offerings that addressthe specific technology requirements of thebuy-side, including MShare, a highly scala-ble shareholder accounting (transfer agency)system, Linedata Compliance, a multi-user,enterprise-wide global compliance solution,LongView Trading, an award-winning tradeorder management system, and theBeauchamp line of hedge fund solutions.

Northern TrustMichael BlakeVice President 50 S. LaSalle StreetChicago, IL 60603Phone: 312-444-5655Fax: 312-444-5258Email: [email protected]: www.northerntrust.comYear FA services began: 1970

Northern Trust offers a full range of serv-ices to its global fund clients, including: fundaccounting, fund administration, transferagency and shareholder servicing, trusteeservices and custody. With fund accountingoffices located in Chicago, Dublin, Limerick,Guernsey, London and Luxembourg,Northern Trust services a wide variety offund structures and investment objectives,including but not limited to: registeredmutual funds, collective investment funds,trust funds, offshore funds, partnerships andhedge funds.

Northern Trust has been providing fundaccounting services for our institutionalclients for over 20 years. We have approxi-mately 600 staff involved in the provision offund accounting services for our clients glob-ally, and we currently provide fund account-ing services for over 2,800 funds representingUS$981 billion in assets. Northern Trust uti-lizes SunGard’s Invest One fund accountingsystem, which is integrated into our globalcustody system for straight-through transac-tion processing, data feeds and client report-ing. As a result of our straight-through pro-cessing approach, fund accountants are ableto better focus their energies and resources


on the refinement and enrichment of clientdata, which consistently results in accurateinformation and timely reporting.

Fund accounting is a key component ofour fund administration offering to invest-ment managers and fund companies world-wide. As such, we have made significantinvestments in the advancement of ourcapabilities in 2007, and we remain commit-ted to the delivery of superior services goingforward.

Nottingham Investment Kip MeadowsFounder & CEO116 S. Franklin StreetRocky Mount, NC 27804Phone: 800.525.3863Fax: 252.442.4226Email: [email protected]: www.ncfunds.comYear FA services began: 1989

Perhaps you need comprehensive servic-es for a mutual or hedge fund, or innovativesolutions for a foundation or governmentbudget to increase yields and reduce idlefunds. At Nottingham, we concentrate onthe depth of your investment administrationneeds so that you can focus on your invest-ment goals. We understand striving to meetthe investment objectives your investorsdemand requires your constant attention.This is where we can help.

Nottingham Investment Administrationspecializes in fund accounting and adminis-tration services for mutual funds, hedge funds,foundations, endowments, and governmentbudgets and investment pools. Our team offund accountants, shareholder representatives,information technology professionals, andlegal/compliance group works closely with ourclients to develop ingenious, tailor-made unit-ized accounting and reporting solutions thatimprove efficiency, timeliness, and accuracy.

Headquartered in North Carolina,Nottingham is one of the largest, independ-ently owned unitized accounting providersin the United States, currently administeringmore than $20 billion in assets.

Our client relationships go further thanmeeting market closing deadlines orpreparing financial reporting. Nottinghamprides itself on striving to provide individu-alized service of the highest quality as wellas the best solutions available to advisorsand organizations that desire efficiency butdo not want the expense or infrastructure

necessary to maintain records on their own.Working with Nottingham:

• Enables diversified asset allocation.• Generates more revenue.• Saves time so managers can focus on

trading.• Offers flexibility.• Provides compliance and security

assurance.• Allows for continuous solution

development.We leverage our knowledge and experi-

ence to avoid a cookie-cutter approach, thusoffering customized systems and processesthat help our clients gain economies of scalethat will ultimately improve investmentreturns.

PFPC Inc.Jay F. NusblattSenior Vice President Senior Managing Director301 Bellevue ParkwayWilmington, DE 19809Phone: 302-791-2000Email: [email protected] Web: www.pfpc.comYear fund accounting services began:1972

PFPC offers a comprehensive fundaccounting and administration solution,delivered by a seasoned, multi-disciplinedstaff, to support mutual funds, alternativeinvestments and offshore vehicles.

PFPC processes the industry’s most com-plex security instruments and fund structuresworldwide, including fund-of-funds,master/feeder, multi-class, multi-manager andinvestment partnerships. Our full range ofadministration services includes financialreporting, tax services featuring an automatedwash sale capability, treasury and regulatoryservices.

Controlling risk is critical to our clientsand the funds we service, so we have devel-oped a comprehensive internal controlstructure, resulting in an excellent NAVaccuracy rate. In addition, an outside auditorconducts an independent SAS 70 reviewevery six months and the results of thatreview are shared with clients.

PFPC’s automated compliance moduleprovides reporting of IRC, SEC and prospec-tus compliance. We also offer a variety ofservices designed to help chief complianceofficers (CCOs) comply with SEC Rule 38a-1under the Investment Company Act of 1940.

PFPC’s tax services leverage our 30 yearsof experience as a leading fund accountingprovider. With our comprehensive suite ofservices, you benefit from a dedicated staff ofprofessionals to assist you, along with analyt-ical tools to make strategic portfolio invest-ment decisions in a timely, efficient manner.

PFPC’s regulatory administration servic-es include the fund library, a secure, online,searchable compilation of a fund’s mostimportant documents, including boardmeeting minutes, prospectuses, statements ofadditional information, shareholder reportsand key fund procedures and contracts.

Our Internet-based accounting and cus-tody data repository and analytics suiteenables easy access to portfolio, issue, trans-action and distribution information, NAVhistory and more, for queries, reports andexporting current and historical data.

PFPC’s Mutual Fund Dashboard, pow-ered by Coates Analytics, offers automated,actionable intelligence on the key metrics foryour fund, delivered in an easy-to-under-stand format. Our customized Dashboardsimplifies fund oversight by delivering thedata you need when you need it.

PFPC is a leading provider of processing,technology and business solutions to theglobal investment industry. We specialize increating and delivering personalized solu-tions tailored to fit the specific preferencesand evolving requirements of our clients. Amember of The PNC Financial ServicesGroup, PFPC offers a comprehensive arrayof securities and investor services. In addi-tion to fund accounting and administration,we offer alternative investment services,international fund services, global custodyand securities lending. PFPC also providestransfer agency and shareholder services,advanced output solutions, distributionservices, banking transaction services, sub-accounting and managed account services.

Princeton Financial® SystemsA State Street Company

Lorne WhitmoreVice President, Global Sales & ProductManagement600 College Road EastPrinceton, NJ 08540Phone: 613-599-2464Fax: 609-987-9320Email: [email protected] Web: www.pfs.comYear FA services began: 1992






Princeton Financial’s PAM comprehen-sive functionality automates the entireinvestment process, fully integrating yourfront-, middle- and back-office functions tofacilitate straight-through processing of yourinvestment operations. PAM allows you tostreamline your operations, reduce youroverhead costs and achieve greater controlover your business.

Because of Princeton Financial’s develop-ment discipline and PAM’s object-orientedapproach, PAM has emerged as the only glob-al system with the functionality and technol-ogy to meet the needs of major institutionalinvestors. PAM’s capabilities provide fullfunctionality with the integration providedby PAM, your front-, middle- and back-officeoperations will achieve greater efficiencies.

PAM’s comprehensive capabilities coverthe entire investment process, including:Portfolio management, recordkeeping, com-pliance, reconciliation, settlement, account-ing—including full multi-currency capabili-ties, mutual fund and unit trust pricing andmultiple bases accounting, performancemeasurement, analytics and reportingstrong implementation and client support.Princeton Financial’s dedicated team ofimplementation experts is there to guide youevery step of the way as you convert fromyour existing system to PAM.

We continue to provide a high level ofsupport through our dedicated client andtechnical support staff, which is based in ourglobal operations centers. You can also useour highly regarded online support system toreport and track problems, and our researchand resolution of them. Available as an ASPSolution, PAM offers you an opportunity torun a functionally robust investment man-agement system without the overhead of anin-house data center. Through a web brows-er, you can have real-time access to ePAM®,our ASP solution. Princeton Financialassumes responsibility for the PAM software,hardware capitalization, network and appli-cations management, while providing youwith round-the-clock support.

We provide high levels of security, per-formance and reliability through our experi-enced staff and sophisticated data center.Princeton Financial® Systems, a whollyowned subsidiary of State StreetCorporation, is a leading provider of invest-ment management and accounting systemsand ASP services for global institutionalinvestors. Its flagship PAM® investment man-

agement systems provide comprehensive STP-ready functionality that can be licensed for in-house use or accessed via the Internet. PAMsystems are currently used worldwide by over350 leading investment managers, insurancecompanies, mutual funds and unit trusts, pen-sion funds, hedge funds, endowments, banksand corporations, which manage combinedtotal assets over US $3 trillion. PrincetonFinancial has offices located in the UnitedStates, United Kingdom, Belgium, Australia,Singapore, Amsterdam and Canada. For moreinformation, visit Princeton Financial’s web-site at www.pfs.com.

SEIGary HarrisVice President & National SalesDirector1 Freedom Valley DriveOaks, PA 19456Phone: 610-676-1270Email: [email protected]: www.seic.com/imsYear FA services began: 1981

SEI is a leading global outsourcer of assetmanagement, investment processing andinvestment operations solutions. The com-pany’s innovative solutions help corpora-tions, financial institutions, financial advi-sors, and affluent families create and managewealth. As of September 30, 2007, throughits subsidiaries and partnerships in which thecompany has a significant interest, SEIadministers $423 billion in mutual fund andpooled assets and manages $202 billion inassets. SEI serves clients, conducts or is regis-tered to conduct business and/or operationsfrom more than 20 offices in over a dozencountries. For more information, visitwww.seic.com.

SEI’s Investment Manager Services unitis a leading independent provider of busi-ness operating solutions to investment man-agement organizations worldwide. Ourclients are retail and institutional investmentmanagers with global offerings that span theinvestment management industry. Ourcomplete services provide everything fromfund accounting and administration to dis-tribution and compliance, in addition toother value-added services.

We integrate best-of-class technology,best practices and people from around theworld into a total operations outsourcingsolution that is tailored to each of our clients.Our wide-ranging industry expertise and

capabilities enable us to create an end-to-end operating solution that is customized tofit your products, your existing systems, andthe client experience you want to deliver.

At the same time, we look beyond youroperating needs to your overall businesschallenges. Business and regulatory knowl-edge is embedded in everything we do. Thatknowledge is not only built into our serviceoffering, it is integral to our ongoing clientrelationships. We partner with you, ourclients, to help you advance operationally,tactically, and strategically—in short, to bemore competitive on every level.

By taking advantage of SEI’s capabilitiesand expertise, you can:

• Focus on your competitive strengthsand core competencies—managingmoney and servicing your clients.

• Control risk and better manage allinformation related to your business.

• Gain competitive insights and action-able strategies by leveraging SEI’s indus-try knowledge.

• Capitalize on new growth opportunitiesby leveraging our flexible and scalableinfrastructure.

• Take advantage of a wide range of oper-ational and distribution solutions asyour needs evolve.

State Street CorporationPete L. Thurmond, Jr.Senior Vice PresidentState Street Financial CenterOne Lincoln StreetBoston, MA 02111-2900Phone: 617-664-6676Fax: 617-664-7733Email: [email protected]: www.statestreet.comYear FA services began: 1924 for fullservice, 1984 for remote service

State Street services more than 44% ofthe U.S. mutual fund market, and providesthe industry’s most comprehensive array ofcustomized investment solutions to mutualfund managers. These solutions cover theentire investment spectrum, from researchand analytics to multiasset-class trade execu-tion to complex fund accounting andadministration. As the world’s leadingprovider of financial services to institutionalinvestors, we offer the fully integrated prod-ucts and services they need to be successful.Our Services Include:


• Global custody• Multicurrency fund accounting• Daily pricing• Fund administration • Brokerage services• Transition management• Investment management• Multiasset-class trading and research• Cash management• Securities lending• Performance measurement and analytics• Investment operations

(“middle-office”) services • Wealth management services• Transfer agency services.

Our Core StrengthsInvestment in the Future

For growth-based companies to succeed,they have to partner with service providersthat possess the resource capacity and com-mitment to deliver necessary today, and theforesight to build for tomorrow. State Streethas a long tradition of investing in thefuture. We have consistently invested 20 to25% of our operating budget in technology,and plan to continue investing at this samerate over the next three to five years.

Global ExperienceState Street has been a leader in the

mutual funds industry since 1924, growingwith the market to meet the changing needsof our customers. For example, whenMerrill Lynch “invented” multiclass fundsin 1988, we developed the first multiclassaccounting system to support them. Ourproduct includes a detailed set of allocationprocedures that serve as the basis for cus-tomers’ filings with the Securities andExchange Commission. As a result of ourspecialized solution, State Street’s procedureshave become the industry standard.

As the largest accounting agent for dailyvalued domestic mutual funds, we generatepricing for more than 10,000 funds everyday and price more than 40% of the mutualfund market. State Street also submits morethan 6,000 net asset values (NAVs) to NAS-DAQ daily—4.5 times the number of NAVsproduced by the second-ranked provider.

Approximately 56% of the mutual fundsState Street prices have multiple classes. Wehave extensive experience in accounting forvery large, highly complex portfolios withstructures that involve various mixes ofcomplex securities in multi-manager, multi-

class master-feeder and offshore funds.Our experience in accounting, custody,

administration and shareholder servicinghas been extremely valuable to institutionalinvestors around the world. State Streetexperts were members of the working partythat formulated the regulations for OpenEnded Investment Companies (OEICs) inthe United Kingdom. We now service morethan 100 OEICs and have assisted our cus-tomers, including Morgan Stanley andMartin Currie, among others, in launchingOEICs, converting existing unit trust fundsto OEICs and converting bid/ask-priced unittrusts to single pricing.

Focus on Key InitiativesDerivatives

State Street customers and the market ingeneral are increasingly using OTC deriva-tives, with interest rate swaps and creditdefault swaps being the most rapidly grow-ing product types. As client demand hasgrown, so has the processing complexity andrisk for clients. Industry utilities (e.g.,Deriv/SERV, SwapsWire) have entered toautomate selected functions, with the goal oftransforming a paper-based process into astraight-through process. State Street isrolling out an OTC derivatives processingplatform that will allow customers to fulfilltheir derivative processing needs in conjunc-tion with our traditional asset servicing andcustodial businesses.

Each service can be selected individuallyor as a package to meet the full range of pro-cessing needs across the OTC derivativesprocessing lifecycle. The State Street plat-form—which will span the middle and backoffice—will have the highest level ofautomation (straight-through processing)in the market and will be based on industrystandard FpML, enabling links to industryutilities. State Street is investing in resourcesand expertise to ensure a smooth transitionduring customer implementation, as well as“Centers of Excellence” to provide high-quality customer service for ongoing needs.

Private EquityPrivate equity is the largest segment of the

alternative investment market and is antici-pated to grow at a compound annual growthrate of 14% to $2.8 trillion in 2010. An esti-mated 15% of private equity fund sponsorsoutsource back- and middle-office services.With the acquisitions of Investors Financial

and Palmeri Fund Administrators in 2007,State Street’s Private Equity FundAdministration Group currently servicesapproximately 91 fund sponsors managingmore than 330 primary funds globally, repre-senting over $83 billion of committed capi-tal. We also service 5% of the total privateequity market and 31% of outsourced assetsunder management. Palmeri FundAdministrators and Investors Financial usethe same investment accounting and investorreporting platform: InvestAI/Equitrak.Investors Financial and State Street’s custodyplatforms provide identical functionality andthe PrivateEdge technology complementsthe fund administration offering by provid-ing performance and analytics services.

Performance and AnalyticsState Street’s Investment Analytics capa-

bilities encompass a wide range of informa-tion and tools that support the investmentdecision process and risk management activ-ities. We continually expand our productand service capabilities to assist customers inevaluating plan and portfolio results.

Planned near-term enhancementsinclude:

• Compliance: advanced workflow to include alerts routing to internal staffand to asset managers; expanded alerts notification through My State Street Alert Center; expanded graphical reporting.

• Risk Measurement: additional report-ing and data frequency, user-defined scenario analysis.

• Alternatives: Expansion of real estate portfolio management capabilities through Private Edge Request™.

• Performance and Attribution:Expansion of reporting capabilities, cal-culations and measures, and user interface-related enhancements.

• A series of internal enhancements to increase automated data flow and auditing capabilities.

Several new and expanded services andanalytics capabilities were also added tomy.statestreet.com, State Street’s secure web-based platform for customer data and appli-cations. My.statestreet.com allows customersaccess to a consolidated view of theiraccount information, performance meas-urement and risk analysis tools, State Streetresearch reports on global financial marketsand securities lending tools.






Enhancements implemented include:• Investment Compliance Dashboard

and Interactive Fail Management - Fromsimple to complex, tests can be performedat any desired portfolio level for a widerange of criteria.

• Risk Measurement - Integrated capabil-ities offer an intuitive, interactive onlinereporting interface with extensive aggrega-tion and drill-down capabilities.

• Alternative Assets Analysis Online /Private Edge - Analyze your alternativeassets portfolio online, any time.Capabilities allow you to browse, sort andevaluate characteristics, investment sum-maries, financial statements and legal termsat the composite, partnership and portfoliocompany level.

• Daily Performance Services - Dailyaudited returns offered to the aggregate,portfolio, sector, industry and security levelon the my.statestreet.com platform.

• Plan Attribution Reporting - Create orreceive attribution based on customizedhierarchies with attribution concentrationsalong the spectrum from Total Fund toIndividual Portfolio.

• Headquarters Reporting Service(HQR) - A consolidated and coherent viewof select investment information acrossplans and portfolios in multiple countries,encompassing both plans that are servicedby State Street and those that are servicedby other providers.

• Quick Query - Offers users the abilityto create, run, view, edit, copy, schedule,standardize, save and delete queries. Usersmay filter to see only their own queries orinclude queries standardized by other users.

At State Street, we understand the need forservice solutions centered around controllingcosts, developing and launching competitivenew investment products and expandingglobally. We also realize the importance andconvenience of having all servicing needs metby a single provider. That is why we focus onflexibility in our service model, bundling ourcapabilities within a customizable frameworkthat meets the unique needs of each invest-ment manager.

State Street Corp./PASJim DobbieVice President801 Pennsylvania AvenueKansas City, MO 64105Phone: 816-871-1817Fax: 816-871-1910

Email: [email protected]: www.statestreetpas.comYear FA services began: 1980 for bothfull and remote service

State Street’s Portfolio AccountingSystem (PAS) is a fully integrated multicur-rency system providing investment manage-ment and accounting for leading investmentcompanies. PAS combines the power ofmainframe processing with an easy to useweb-based Graphical User Interface (GUI).Automated data feeds and straight-throughprocessing (STP) ensure efficient and accu-rate data entry. InfoQuest, our data ware-house, allows users access to refresh, queryand retrieve virtually all system data. PASAlert provides an automated checks andcontrols process, greatly increasing back-office accounting operating efficiencies.

PAS processes and calculates market val-ues and NAVs for over 1,800 portfolios, over2,300 classes of shares and over $1 trillion inassets daily. PAS can be used as a remote orfull service accounting solution providingthe advantages of software development,data processing operations, training andsupport without the high cost and risk ofoperating your own system.

Evolving through more than 25 years ofservice, PAS delivers a solution that is robust,solid and dependable. PAS processes a widevariety of fund types from mutual funds toUnit Trusts, separate accounts, off shorefunds, hedge funds, and more. PAS supportsall types of account structures includingmulti-class, master feeder, multi-managedor any combination. PAS accounts for themost complex security types from deriva-tives, mortgage-backs, Swaps and Tips.

In 2007 PAS brought greater automationto accounting operations and expanded sup-port for international funds. New featuresassist with compliance of FAS 157 standards,automation of foreign security master set-up and enhanced Fund-of-Fund processing.For international funds, PAS implementedthe addition of an average cost accountingmethod, support for compliance with IFRSFair Value, tracking of IFRS TransactionCosts, and dual sourcing of dividends.

Our 2008 enhancements continue tofocus on increasing automation and supportfor international funds. Projects include asecurity master customization project thatwill allow clients to create new security mas-ters real-time through automated transmis-

sions, enhanced PAS Alert and TURBO pro-cessing, and a user defined calendar. PAS con-tinues to provide solutions that address thecomplexities faced by investment accountingoperations making PAS the most widely usedremote accounting product today.

SunGard Asset ArenaVic KhannaSenior Vice President3 Post Office SquareBoston, MA 02109Phone: 617-728-7722Fax: 617-482-5682Email: [email protected] Web: www.sungard.com/AssetArenaYear FA services began: 1984

SunGard Asset Arena is a global familyof software solutions to meet a comprehen-sive range of investment servicing needs.The Asset Arena family provides in-houseand ASP solutions to the buy-side invest-ment management industry for trading,portfolio management, compliance, invest-ment accounting, investor accounting,transfer agent record keeping, and perform-ance measurement and attribution andmore. Asset Arena solutions support thecomplex needs of many of the largest finan-cial services firms in the world representingin aggregate over $18 trillion in assetsprocessed daily by these solutions.

SunGard’s Asset Arena InvestmentAccounting (formerly InvestOneEnterprise), one of the industry’s most trust-ed investment accounting solutions, is thepowerful, innovative, and industry-leadinginvestment accounting solution proven toimprove operational efficiencies. A config-urable, enterprise solution based on anextensible and scalable service-orientedarchitecture, Asset Arena InvestmentAccounting processes more than $12 trillionin assets and helps meet the needs of a rangeof financial institutions, including many ofthe world’s largest banks and financial serv-ices companies. Asset Arena InvestmentAccounting accounts for virtually any kindof security held in nearly any kind of fund—from mutual funds and pension funds tohedge funds, funds-of-funds, bank com-mingled funds, offshore trusts, and morespecialized funds.

A real-time, multicurrency system sup-porting straight-through processing, AssetArena Investment Accounting features aplatform-independent architecture that is


available on an ASP or installed basis, inte-grated Business Process Management(BPM), message-based integration withthird-party systems and data sources, a metadata-driven architecture and extensive web-based administration features for easy systemconfiguration and maintenance. With aneasy-to-use Dynamic Desktop interface andfeatures designed to streamline back-officeoperations, Asset Arena InvestmentAccounting helps improve fund accountingand operational efficiencies. Features includea customizable browser-based DynamicDesktop with role-based workflows, extend-ed reporting capabilities, and the ExceptionManager Module which helps processaccounting exceptions on a more proactivebasis by employing customized rules.

With annual revenue exceeding $4 bil-lion, SunGard is a global leader in softwareand processing solutions for financial servic-es, higher education, and the public sector.SunGard also helps information-dependententerprises of all types to ensure the conti-nuity of their business. SunGard serves morethan 25,000 customers in more than 50countries, including the world’s 50 largestfinancial services companies.

Ultimus Fund Solutions, LLCBob DorseyManaging Director225 Pictoria DriveSuite 450Cincinnati, OH 45246Phone: 513-587-3401Fax: 513-587-3450Email:[email protected]: www.ultimusfundsolutions.comYear FA services began: 1999

Ultimus Fund Solutions provides highlypersonal and comprehensive mutual fundservices to small- and medium-sized fundgroups. We offer mutual fund organization,administration, distribution, fund account-ing, transfer agent and shareholder services.And we’re unique. By supporting only a lim-ited number of clients, we deliver highlyindividual and unsurpassed service. Whilethis may contradict today’s business philoso-phy of “Grow, Grow, Grow,” our philosophyis “Your Fund Matters.”

At Ultimus, we provide comprehensivefund accounting services in an industrywhere accuracy and timeliness are critical.Our experienced accounting professionals

work in an environment of strong internalcontrols providing the highest level of per-sonalized service. Our fund accounting serv-ices include: calculating and reporting dailynet asset values, determining cash availabili-ty, maintaining general ledgers, preparingfinancial statements and reports, calculatingfund performance and providing cus-tomized management reporting.

Ultimus utilizes SunGard’s INVESTONE® investment accounting system, ver-sion 05.210, the leading multi-currencyinvestment accounting system in use today.Ultimus accesses INVEST ONE® on aremote basis via a networked PC environ-ment which connects to SunGard utilizing adedicated line.

Additionally, Ultimus utilizes FundStation.net™ from ConfluenceTechnologies to calculate the performanceof our client’s mutual funds and their after-tax rates of return. This system is also usedto transmit daily reports to investors, ana-lysts and advisors.

UMB Fund ServicesLonnie MacdonaldSenior Vice PresidentBusiness Development Manager803 West Michigan StreetMilwaukee, WI 53233Phone: 414-299-2209Email: [email protected]: www.umbfs.comYear FA services began: 1992

Enjoy peace of mind with UMB FundServices providing your fund accountingand administration services. We handle theday-to-day operational details, meetingevery deadline, and providing outstandingaccuracy, leaving no loose ends. What’smore, our compliance services help you besure you’re meeting regulatory require-ments.

UMB Fund Services’ fund accountingand administration team offers solid experi-ence, expertise, a full range of accountingcapabilities and an exceptional track record.Our strong system of controls has ensuredwe’ve met NAV reporting deadlines virtually100% of the time. We perform fundaccounting and administration services for awide variety of fund types, including regis-tered funds (open and closed), load and no-load funds, common and pooled trustfunds, money market, bond, equity, interna-tional, municipal, tax-free, REITs, multi-

class and fund-of-funds, separate accounts,investment partnerships, alternative invest-ment products, hedge funds, registeredfund-of-funds, master-feeder, offshorefunds, and private equity. We’re also experi-enced in handling special situations such asfund mergers and conversions.

Our core fund accounting system isLinedata’s Mutual Fund Accounting system(MFACT). This robust system featuresmulti-currency and foreign exchangeaccounting, automated data interfaces, easyinterface of data extracts via spreadsheets,database management and “ad-hoc” reportwriting capabilities.

We’re fully automated for enhanced effi-ciency, offering automated trade interfaces,automated custody reconciliations, andautomated transmission of NAVs to NAS-DAQ, transfer agencies, websites and VRUs.If you have special needs, talk to us. Yourpreferences determine our approach. UMBFund Services has 60 years of mutual fundexperience and currently services more than125 clients with assets of over $200 billion.We offer a complete line of investment prod-uct services, including administration, fundaccounting, investor services and transferagency, distribution, marketing, custody,cash management and alternative invest-ment product services. Our mission is toprovide solutions that save you time andmoney, while providing the best service inthe industry to you and your clients.

Unified Fund ServicesMike LandisVice President, Fund Accounting andFund Administration2960 North Meridian StreetSuite 300Indianapolis, IN 46208Phone: 317-917-7425Fax: 317-631-3701Email: [email protected]: www.unifiedfunds.comYear Fund Accounting Services Began:1983

Unified Fund Services provides high-quality, comprehensive fund accounting andfund administration services for mutualfunds. Supported by the state-of-the-artMfact Accounting system, developed byLinedata Systems (formerly GIS), Unified’sseasoned accounting staff utilizes exactingand thorough work processes developedfrom years of experience servicing many dif-




ferent types of funds. By employingmethodical procedures and utilizing multi-ple controls, we are able to ensure superioraccuracy. Unified’s Fund Accounting andFund Administration Departments are alsosubject to annual internal (separate InternalAudit Department) and external (SAS70)audits, designed to evaluate work processesand established control procedures.

As a Fund Accountant, Unified providesthe following services: calculates a daily netasset value per share; reconciles daily cashpositions to custodians and brokers, andreports cash available for investing to theinvestment advisor; reconciles and recordsall daily expense accruals; records and veri-fies daily income accruals; maintains allsecurity transactions for NAV calculation;enters fund share transactions for NAV cal-culation; reviews and reconciles schedule ofpositions with custodial and broker state-ments; submits accounting reports to clients;submits NAV and distribution informationto NASDAQ; calculates all dividend distri-butions; and calculates yields in accordancewith regulatory guidance.

As a Fund Administrator, Unified pro-vides the following service: prepares semi-annual and annual financial statements;completes monthly and quarterly compli-ance testing; calculate and report Portfolioperformance to outside services as directedby Trust Management; compile data for andprepare, with respect to the portfolios, FormN-Q required pursuant to Rule 30b-1-5;coordinate the preparation and filing of allrequired Trust filings with the Commission;Prepare Board material for all BoardMeetings as deemed necessary by the Trust;and other duties as necessary.

Unified furnishes value-added productsand integrated business solutions not alwaysavailable from stand-alone providers. Theseinclude a growing list of Internet capabilities;customized website development and host-ing; and trust, qualified plan, distribution,and fulfillment services. Experience, technol-ogy, and most of all, client-oriented staffmakes Unified an ideal business partner.

U.S. Bancorp Fund Services Bob KernDirector of Sales615 East Michigan StreetMilwaukee, WI 53202Phone: 414-765-5678Fax: 414-212-7360Email: [email protected]

Web: www.usbfs.comYear FA services began: 1987

U.S. Bancorp Fund Services, LLC pro-vides the benefit of 38 years of servicingmutual funds and investment managementfirms. We provide specialized talent andtechnology resources to support over $700billion in client mutual fund assets acrossour various services. Our single source solu-tion for all mutual fund investment productservices allows fund sponsors to offer com-petitive, economical products expertlyadministered. We provide fund accountingservices for all types of registered investmentproducts and instruments. Our services areavailable either independently or integratedwith our other fund services, including:

• Fund Administration & ComplianceServices;

• Transfer Agent & Shareholder Services;• Custody & Lending Services;• Distribution Services;• Alternative Investment Product

Administration.

Valuation Quality Assurance – Withaccuracy and precision, U.S. Bancorp FundServices produces over 13,000 NAVs and fac-tors each month. Our specialized investmentaccounting professionals are organized intodedicated client service teams, providingcustomized, personal attention to our clientsthroughout the entire process. The combi-nation of our experienced managementteam and our adherence to strict daily con-trols provides quality assurance for ourclients. Our fund accounting quality meas-urements and reporting include accuracyand timeliness of all valuations within strictservice level standards.

Most Current Technology – We utilizethe most current fund accounting andinvestment securities applications available.Our fund accounting platform, EagleSTAR®, is a state-of-the-art fund accountingsoftware system and our AdvisorInformation Source (AIS) data warehouseweb portal provides the most flexible accessto portfolio and securities data. All fundaccounting and portfolio data can be cus-tomized in user-defined, flexible format anddelivery options. Sample service featuresinclude:

• On-line real-time NAV status ControlCenter;

• Automated security pricing validation;

• Price variances based upon tolerance edits;

• Customized security master file;• Automated NAV delivery and integra-

tion with websites, transfer agent, third parties;

• 24/7 on-line access to portfolio, securi-ty position, NAV, and transaction data;

• Standard or user-defined reporting.

Complete Service Integration – Since1969, U.S. Bancorp Fund Services has pro-vided an integrated package of services formutual fund clients. We have integrated thedata and service delivery of our fund admin-istration and compliance, fund accounting,custody, transfer agent, and distributionservices. This provides mutual fund boardsand fund sponsors with a seamless, efficient,turn-key service solution.




Transfer Agent

DST Vision—a decade of excellenceDST Vision, the leading Web site for financial intermediaries, is celebrating more than a decade

of innovation, transforming how advisors and mutual funds interact.

Our mission is to streamline mutual fund operations while enhancing an advisor’s practice.

That’s why we offer information from more than 240 mutual funds, including 24 of the top 25

wholesale distributed funds. Advisors also can access variable annuities and retirement plans,

plus a wide array of robust and essential tools that streamline mutual fund operations and

enhance advisor efficiency.

What’s next? We have added non-traded real estate investment trusts. For the first time,

advisors can see aggregated REIT information alongside their other client investments. Plus,

in the coming months, we evolve the overall Vision experience with a new look, new features,

new content, and a new perspective.

For the last 10 years, Vision has changed how mutual

funds and advisors work together. Watch how Vision

continues to evolve. To learn more about Vision,

contact Kyle Mallot at [email protected] or

visit www.dstvision.com.

5026.74881.Vision Ad FNL.indd 1 4/7/08 10:06:46 AM


http://www.dstsystems.com/

http://www.dstvision.com/

http://www.dstvision.com/


Part 1 — Industry CommentaryWhen in Rome (or Luxembourg or China), Global Service Providers Support Global Strategies . . . . . 38By Tom McCullough and Stephen Hooley

Next Generation Technologies Are ChallengingTraditional Thinking . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40By Tim Kan

Inside the Boardroom: Fund Directors On TheirChanging Roles and Responsibilities. . . . . . . . . . . . . . 41By Linda Hoard

Part 2 — RankingsNumber of AccountsFull-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 42System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 42

Number of Clients Full-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 42System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 42

Part 3 — Business StatisticsFull-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 46System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 47

Part 4 — Services . . . . . . . . . . . . . . . . . . . . . . . . . . 48

Part 5 — Five-Year SnapshotNumber of Accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58Full-Service Providers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58Remote Service Providers . . . . . . . . . . . . . . . . . . . . . . . . . . 58System Sale or Lease Providers. . . . . . . . . . . . . . . . . . . . . . 58

Part 6 — Company Profiles . . . . . . . . . . . . . . . 59


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38 Transfer Agent Services


When in Rome (or Luxembourg or China), GlobalService Providers Support Global StrategiesBy Tom McCullough and Stephen Hooley

As industry observers report a shift inthe pace of fund growth interna-tionally, the world’s top asset man-

agers are increasingly looking abroad fornew opportunities.

According to the European Fund andAsset Management Association (EFAMA),Europe is now home to collective fundsrepresenting approximately 35% of theglobal investment fund industry’s total netassets. While the U.S. maintains about 46%of total net assets, European-domiciledfunds have gained in size and growth whilethe U.S. fund market share has declined inthe last few years.

The foreign regulatory and economicclimate favors the establishment of collec-tive funds in domiciles abroad, particularlyin Europe. For example, the EuropeanUnion directive for Undertakings forCollective Investment in TransferableSecurities (UCITS) allows collective fundsto be marketed within all countries that area part of the European Union, providedthat the fund and fund managers are regis-tered within the country.

The benefits of being able to register andsell in 42 different countries haven’t beenlost on global managers. In fact, UCITSproducts are being sold in an increasingnumber of jurisdictions. According to arecent KNEIP report, Luxembourg leadsother foreign domiciles in the number offoreign funds registered for sale in Asiancountries. Developing markets in SouthAmerica,Asia and the Middle East representcompelling opportunities for firms lookingto gain global assets.

Against this backdrop, global asset man-agers have begun to rationalize their fundproduct lines in order to gain economies ofscale and realize greater efficiencies. By oper-ating and managing assets from one domi-cile and working with a single transfer agentand a single custodian, global asset managersreduce expenses and maintain greater con-trol of their distribution strategies.Facing Global Challenges

Recent growth of collective funds operat-ing under various distribution models sug-gests that the globalization trend will contin-ue for the foreseeable future. As asset man-

agers look to take advantage of new markets,they must be aware of the challenges uniqueto international fund operations and distri-bution. They face a wide range of tax struc-tures, regulatory requirements and riskmanagement concerns, including local lan-guage requirements, multiple trading plat-forms and local market practices.

In these conditions, it is critical that glob-al asset managers engage trusted technologyand service providers that are positioned tohelp them meet these challenges. Followingare a few critical qualities that asset man-agers should demand from their technologyand service providers.Local market knowledge and support

Asset managers require more than a cur-sory understanding of local business condi-tions. Their providers must be experts onthe local markets, with in-depth knowledgeof key factors surrounding distribution, per-formance reporting and compensationschemes. Deceptively small issues such aswhether market practice is to use commas ordecimals when transacting can have million-dollar implications. Understanding nuancesin custom and culture can make the differ-ence between building local product sup-port and remaining a foreigner in an unfa-miliar market. On-the-ground supportteams can be crucial to smoothing the wayas asset managers encounter language andcultural issues around the globe.Global technology solutions

As asset managers sell their products inmultiple markets, their systems must inter-act with local financial networks, integratewith specialist software that provides juris-dictional expertise and offer a level of e-commerce appropriate for each particularmarket. Their technology service providermust have the scale and capital required tocreate industrial-strength solutions, as well

as the ability to integrate with local best-in-breed applications as necessary to reducetime to market and limit exposure.

Complex compensation and perform-ance structures in different markets must bedeveloped as new products are introduced.Additionally, asset managers want to have asingle view of their customers’ holdings andcumulative value, along with reporting thatsupports distribution decisions across alltheir product lines. In order to managethese decisions and meet increasingly com-plex demands, asset managers require inte-grated workflow, database support andweb-enabled reporting.

In addition, the selection of the righttechnology service provider can go a longway in mitigating expenses associated withserving multiple markets and channels. Aservice provider prepared to deliver cost-effective offshore processing locations, aswell as workflow to control and distributework and maximize straight-through pro-cessing (STP), is critical to realizing opera-tional efficiencies on a global scale.Long-term commitment

Distributing globally is not a one-offexercise for the asset manager. Regulatoryrequirements continue to evolve and devel-op at different paces in different countries.Products and distribution channels change.New centers of wealth and investmentemerge. Technology and service providersmust continuously invest in their solutions,and global asset managers must be assuredthat their suppliers are committed to sup-porting them for the long term.

Distributing globally presents manyexciting opportunities and rewarding chal-lenges. As the European UCITS modelbecomes more widely accepted, asset man-agers will be able to continue to standardizetheir product ranges. In this continuouslydeveloping global marketplace, the choiceof the right global service provider becomesa critical step toward a successful interna-tional business model.

Tom McCullough is chief operating officer ofDST Systems, Inc. and Stephen Hooley ischairman of International Financial DataServices.

MFSG

Tom McCullough Stephen Hooley


Meeting the challenges of theGlobal Investments Marketplace.

For more information, call Craig Hill at 816-843-8894 or visit our website at: www.bostonfinancial.com.

MFSG08_Page039.pdf 4/22/08 1:54 PM Page 1

http://www.bostonfinancial.com



The technology world has changed sodramatically that we tend to loseperspective over time. The

teenagers and college students of todayhave grown accustomed to technology,which was truly inconceivable for theirparents. Many of the business leaders of2008 can recall when there were nomicrowaves, no fax machines and com-puters were “dumb” text based terminalsused for specific business applications.Those younger than the Baby Boomer arebusinesses’ next leaders. They grew upwith technology beyond the dreams of theprior generation and they are challengingtraditional thinking. The technologiesseen as rocket science as few as 25 yearsago now represent basic commodities.

With these extreme advances in capa-bility and continuously decreasing costs,businesses are expecting their IT systemsto be as accessible, valuable and intuitiveto become an ever increasing force in thedelivery of their products and services.Unfortunately, in many cases withinmature industries, huge investments infirst generation technologies have beenextended over time resulting in technolo-gy anchors holding back progress.

The question today is how long can acompany remain competitive on legacysystems that may have such inherent limi-tations? This question applies to technolo-gy requirements such as real time andopen access to data as well as the ability toexploit the education and experience ofour employees. Our employees are com-fortable with and expect graphical inter-faces, real-time data access, and flexibilityto rapidly adopt changes in business rulesand processes. Enabling business applica-tions to the point where their usability andaccess to information is on par with theYahoo!s and iPhones of the world providethe optimum environment. It is this typeof “instant gratification” that is requiredacross the board to maintain pace intoday’s business world.

It has been long known that systemsbased on the “legacy” tools and program-ming languages are inflexible, difficult tonavigate and expensive to maintain. Yet

they remain promi-nent in the financialservices industrydue to historicalinvestments andaversion to change.Companies havehad to “wrap” theircore technology toproduce the aura of “instant gratification.”Business leaders must question how theycan bring the real world of today into theirbusiness to create differentiation andlong-term sustainability while attendingto employee and customer expectations.Rapid time to market, 24 X 7 access, openintegration, real-time data access throughintuitive user interfaces and the retentionof talent are difficult to achieve in a busi-ness world of depressing margins usinglegacy technologies. Yet today’s technologyallows us to meet these objectives.

In today’s world, companies areexploiting modern technologies by focus-ing resources on innovation as opposed tomaintenance while keeping the profitabil-ity pressures in check. Firms are providingtheir employees instant access to informa-tion and opportunities to think beyondthe traditional, leveraging their life andeducational experiences. All while creatingcost efficiencies for their organizations. Asan example, Hewlett Packard clients haveexperienced a total cost of ownership sav-ings of up to 80% transitioning frommainframe technology. Further, compa-nies find integration with the core systemand its surrounding applications simplerand cheaper using modern web servicestechnology. Through modern technology,mission critical applications no longerneed to be locked into archaic, ring-fencedenvironments. Without the need to re-write millions of lines of code, companies

can take advantage of next-generation sys-tems to quickly launch best-of-breed solu-tions to create product and service differ-entiation.

Many of today’s business leaders havecome to accept the need for systems toshut down overnight to update data whileconsumers have the opposite expectationof having 24 X 7 access to their informa-tion. Through the use of intuitive graphi-cal user interfaces, modern day systemsprovide what most people have come totake for granted: easy to use software thatleverages today’s expectations of continu-ously available systems and technologythat distills complex processes into effort-less ones without the need to learn com-plex commands, dramatically reducingoperator training time and increasingaccuracy, while providing open standardsfor employee innovation.

Technology educators focus on thetechnology of today. Attracting and retain-ing employees who are excited about usingtechnology to advance the firm is difficultwhen you are asking the younger genera-tion to step into our past. Stifling the cre-ativity of our younger employees drives uplabor costs due to the “graying” of theworkforce and employee turnover. Thesupply and demand of programmersversed in the older programming lan-guages, willing to work in restrictive tech-nology environments or the sheer volumeof code dictates a premium price com-pared to the huge pool of labor for stan-dardized modern day languages.

At Envision, we have long understoodthe advantages of leveraging emergingtechnology and our clients are benefitingfrom our vision. Our clients see the clearadvantages of flexible and open technolo-gy and more and more companies are tak-ing a closer look at how they can use thetechnology of today to create product dif-ferentiation and innovation, provide con-tinuous access to information, attract andretain employees, and reduce costs to taketheir business to the next level.

Tim Kan is president of Envision FinancialSystems, Inc.

MFSG

Next Generation Technologies Are ChallengingTraditional ThinkingBy Tim Kan

Technology educatorsfocus on the technology

of today.

Tim Kan


Inside the Boardroom: Fund Directors On TheirChanging Roles and ResponsibilitiesBy Linda Hoard

While mutual fund shareholdershave benefited from the newregulations that emerged in

the wake of the market-timing and late-day trading scandals uncovered in 2003,the burden of regulatory compliance hascombined with the growing complexityof financial services to place significantdemands on fund boards. A survey ofmore than 150 fund directors and exec-utives commissioned by PFPC illus-trates the challenges boards face, fromheavier workloads to greater risk of per-sonal liability to difficulties findingexperienced directors.

The impact of the added demands onfund boards is clear. Two-thirds of direc-tors—including three in four independ-ent directors and almost all of those withmore than 15 years experience—saidtheir job is harder than it used to be.Many are devoting longer hours to boardbusiness, with a third of directors spend-ing more than 200 hours annually ontheir board responsibilities. Serving on afund board requires a significant com-mitment for what is usually a second job.Even two-thirds of independent direc-tors, often assumed to be retirees, areunder age 65 and likely to have addition-al work responsibilities.Personal Liability

Directors are also concerned about agrowing risk of personal liability, andmore than a third of interested directorshave taken out supplemental personal lia-bility coverage.

These concerns are discouraging somedirectors from continuing to serve: Onein four directors said that at least onemember of their board has resignedbecause of the time required or their con-cerns about liability. Moreover, this ismaking it more difficult to recruit newoutside directors and qualified candi-dates for audit committees, particularlythe financial experts required bySarbanes-Oxley—troublesome given thatboards already are fishing in a very smallpool of qualified, available candidates.

The breadth and complexity of directorconcerns add to the workload. For

instance, the surveyresults indicate thatindependent direc-tors, especially, arefocused on evaluat-ing performance andensuring that thepricing and valuationof portfolio securitiesare accurate, tasksthat are both crucial and challenging with-in the current market environment. Theyalso stress the review and approval of serv-ice provider contracts, which require anin-depth understanding of such functionsas transfer agency, custodianship and fund

administration. With half of all boardmembers overseeing 10 or more funds, theamount of operational detail that must bemastered can be daunting.

With increased workloads a given,directors are developing ways to handletheir responsibilities more effectively.Many directors have tools such as elec-tronic board books and designated pass-word-protected websites; full access topast board minutes, shareholder reportsand key fund contracts; and educationthrough conferences and paid member-ships in industry associations.

However, according to the survey

results, not all directors have equal accessto these tools. Interested directors aremore likely than independent directors toreceive regular in-house training and lap-top computers provided by the invest-ment advisor, while the directors of small-er funds lack the tools and support avail-able to their larger counterparts.

Both independent and interesteddirectors are nearly unanimous in sayingthey enjoy their jobs and plan to continueto serve, and most would recommendboard service to others. In spite of thisoptimistic view, the bottom line for themutual fund industry would appear to bethat growing responsibilities, greaterworkloads and increasing concerns overpersonal liability are weighing on fundboards and making it harder to attractnew directors.Recruit and Retain

Mutual fund complexes can take stepsto recruit and retain qualified boardmembers, especially outside directors.The survey suggests that a key step is toprovide greater support and resources toboards, including education, training andanalytical tools that can make work moreefficient. Additionally, boards shouldprovide appropriate compensation fordirectors’ work, taking into account theincrease in time commitments. Finally,fund boards should ensure that directorsare provided insurance sufficient to alle-viate the fear of potential litigation with-out adequate coverage.

The directors of mutual fund boardshave extraordinary discretion and powerover investments that are vital toAmericans’ personal economic securityand the functioning of our market econ-omy. It is essential to have dedicated,well-qualified individuals serve on theseboards, and fund complexes must takeevery step possible to attract and retainthe best of the best. Only that will ensurethe continued high caliber of mutualfund directors.

Linda Hoard is senior vice president andsenior counsel, PFPC, a member of ThePNC Financial Services Group.

MFSG

Linda Hoard



A survey of more than150 fund directors and

executives commissionedby PFPC illustrates thechallenges boards face,from heavier workloads

to greater risk of personal liability to difficulties finding

experienced directors.


Part 2 — Rankings

2007 Number of Rank Service Provider Clients

1 Northern Trust 1852 PFPC 1463 U.S. Bancorp Fund Services 1204 Boston Financial Data Services 1165 Citi 946 JPMorgan Worldwide Securities Services 637 DST Systems 418 UMB Fund Services 319 Nottingham Investment Administration 2610 Unified Fund Services 2211 ALPS Fund Services 18

Number of Clients

2007 Number of Rank Service Provider Accounts (Ks)

1 Boston Financial Data Services 25,4002 PFPC 19,2023 DST Systems 8,6004 U.S. Bancorp Fund Services 2,7855 Citi 1,0006 JPMorgan Worldwide Securities Services 3647 ALPS Fund Services 3508 Northern Trust 3499 UMB Fund Services 28610 Unified Fund Services 10911 Nottingham Investment Administration 24

Number of Accounts




1 DST Systems 110,5002 PFPC 36,0383 SunGard 9,9814 JPMorgan Worldwide Securities Services 5

Number of Accounts


1 SunGard 2092 DST Systems 1463 PFPC 164 JPMorgan Worldwide Securities Services 2

Number of Clients


1 Envision Financial Systems 5,7502 SunGard 2,0003 Linedata Services 2504 Investment Systems Co. 23

Number of Accounts


1 Envision Financial Systems 28(Tie for 1st) Linedata Services 282 Investment Systems Co. 23 SunGard 1

Number of Clients

Data as of 12/31/07

Rankings for number of accounts based on open accounts in open-end U.S. mutual funds




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CLIENT INFORMATION# Mutual fund complexes 18 116 94 41 63 185# Portfolios 196 11,972 1,900 3,222 555 90# Open-end U.S. mutual fund shareholder accounts (Ks) 350 25,400 1,000 8,600 364 349# Closed-end U.S. mutual fund shareholder accounts (Ks) 0 0 3 17 0 0# Mutual fund complexes added/lost in 2007 3/(1) (7) 47 1 31/(12) 0# Shareholder accounts added/lost in 2007 97,241/(28,350) 1,700,000 800,000 40 283,132 104,026# Clients outside of the U.S. ** ** 162 38 32 **# Clients operate offshore funds ** ** 162 11 20 **# Clients sell funds in their country of domicile ** ** 162 27 ** **# Offices outside of the U.S. ** ** 7 4 4 **SERVICE SUMMARYOverflow facilities N Y Y Y Y **DC participant recordkeeping N Y N Y N NPortfolio accounting Y N Y N Y YDomestic custody N N Y N Y YGlobal custody N N Y N Y YRequire funds to sign multiyear contract Y N N N N YOffer hybrid servicing (mix of full and remote service) Y Y Y Y Y NPERSONNELAverage industry experience (years) 4 ** 11 ** 16 5Average tenure with company (years) 2 6.9 4 10.4 7 4Quality incentives available Y Y Y Y Y YIn-house fulfillment facility N N N N N NTYPE OF FUNDS SERVICEDNo-Load Funds U U U U U UFront Load Funds U U U U U DCDSC (Back Load) Funds U U U U U DSpread Load Funds U U U U U NMultiple Class Funds U U U U U UMoney Market Funds U U U U U UContractual Plans A U U U N NVariable Annuities U U U U N NClosed-End Funds N U U U U NOffshore Funds A U U U U AForeign Managed Funds N U U U U AState Investment Pool U U U U U N



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CLIENT INFORMATION# Mutual fund complexes 26 146 31 22 120# Portfolios 26 4,475 138 209 548# Open-end U.S. mutual fund shareholder accounts (Ks) 24 19,202 286 109 2,785# Closed-end U.S. mutual fund shareholder accounts (Ks) 0 19,479 0 0 406# Mutual fund complexes added/lost in 2007 2 10/(4) 6 1/(1) 9# Shareholder accounts added/lost in 2007 4 1,542,255 42,183 39,973 258,618# Clients outside of the U.S. 7 116 0 ** 1# Clients operate offshore funds 7 116 0 ** **# Clients sell funds in their country of domicile 7 ** 0 ** 1# Offices outside of the U.S. 0 5 0 ** 0SERVICE SUMMARYOverflow facilities N Y N N NDC participant recordkeeping N N N Y NPortfolio accounting Y Y Y Y YDomestic custody Y Y Y Y YGlobal custody Y Y Y Y YRequire funds to sign multiyear contract N N N N NOffer hybrid servicing (mix of full and remote service) Y Y Y N YPERSONNELAverage industry experience (years) 5.7 ** 9.4 4.5 16.98Average tenure with company (years) 5.7 6.57 5.4 2.6 14.47Quality incentives available Y Y Y N YIn-house fulfillment facility Y N Y N NTYPE OF FUNDS SERVICEDNo-Load Funds U U U U UFront Load Funds U U U U UCDSC (Back Load) Funds U U A U USpread Load Funds A U A U NMultiple Class Funds U U U U UMoney Market Funds U U U U UContractual Plans N N N U UVariable Annuities U U N U UClosed-End Funds A U A N UOffshore Funds U U U N UForeign Managed Funds U U U U UState Investment Pool U A N N U



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CLIENT INFORMATION# Mutual fund complexes 146 2 16 209# Portfolios 10,262 50 25 **# Open-end U.S. mutual fund shareholder accounts (Ks) 110,500 5 36,038 9,981# Open-end for brokers performing subaccounting (Ks) 1,855 ** 36,023 0# Closed-end U.S. mutual fund shareholder accounts (Ks) 27 0 0 0# Mutual fund complexes added/lost in 2007 11 0 -1 1/(1)# Shareholder accounts added/lost in 2007 7,141,793 2,411 4,002,726 611,682# Clients outside of the U.S. 8 ** 0 1# Clients operate offshore funds 0 ** ** 1# Clients sell funds in their country of domicile 8 ** ** 1# Offices outside of the U.S. 4 ** 5 50+SERVICE FUNCTIONSOverflow facilities Y Y Y NDC participant recordkeeping Y Y N YPortfolio accounting N Y Y YDomestic custody N Y Y NGlobal custody N Y Y NRequire funds to sign multiyear contract Y N N YOffer hybrid servicing (mix of full and remote service) Y Y Y YPERSONNELAverage industry experience (years) ** 16 ** **Average tenure with company (years) 10.4 7 6.57 **Quality incentives available Y Y Y **In-house fulfillment facility N N N **TYPE OF FUNDS SERVICEDNo-Load Funds U U U UFront Load Funds U U U UCDSC (Back Load) Funds U U U USpread Load Funds U U U UMultiple Class Funds U U U UMoney Market Funds U U U UContractual Plans U N N NVariable Annuities U N U NClosed-End Funds U U U NOffshore Funds U U U UForeign Managed Funds U U U UState Investment Pool U U A U


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CLIENT INFORMATION# Purchase or licensing clients 28 2 28 1# Open-end, for brokers performing sub-accounting (Ks) 5,750 23 250 2,000# Closed-end U.S. mutual fund shareholder accounts (Ks) 0 0 ** 0# Clients added/lost in 2007 0 0 4 0# Clients outside of the U.S. 3 0 17 1# Clients operate offshore funds 3 0 17 0# Clients sell funds in their country of domicile 3 0 17 1# Offices outside of the U.S. 1 0 9 50+SERVICE SUMMARYDC participant recordkeeping ** N ** YPortfolio accounting ** Y ** YDomestic custody ** N ** NGlobal custody ** N ** NSYSTEM SALE OR LEASE FEATURESSource code available N Y N YSource code held in escrow Y Y Y YOn-line help Y N Y YDatabase open to other applications Y Y Y YDatabase ODBC compliant Y Y Y YSystem can be customized Y Y Y YSUPPORTPhone support Y Y Y YDial in support Y Y Y YWeb page support Y Y Y YSeparate fee for support N Y Y YTYPE OF FUNDS SERVICEDNo-Load Funds U U U UFront Load Funds U N U UCDSC (Back Load) Funds U N U USpread Load Funds U N U UMultiple Class Funds U D U UMoney Market Funds U U U UContractual Plans U N U NVariable Annuities N N U NClosed-End Funds D N U NOffshore Funds U N U UForeign Managed Funds U N U UState Investment Pool U N U U


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Part 4 — Services


MAJOR SERVICE FEATURESDocument management and retrieval facilitiesElectronic document imaging U U U U U U UDocument & data on single screen U U U U U U UAutomated document distribution U U U U U A UCharacter recognition N U U U U U A Instant hard copy output of images U U U U U N UAutomatic faxing of images U U U U U N UFinancial controlReal-time updates to transactions U U U U U N UReal-time portfolio cash reporting U U U U U N UIntegrated with fund accounting system U U U U U U UAutomated DDA reconciliations U U U U U U UCost basis accounting/performanceCost basis reporting U U U U U U UIndividual performance results A U U U U D AAccount statementsIntegrated across multiple services N U U U U N NAutomated telephone serviceInquiries/customer transactions U U U U U N USYSTEM CAPABILITIES SALESDirect salesFed funds purchases U U U U U N UHold funds for check to clear U U U U U U UOverride load level U U U U U N UOverride minimum U U U U U N UAutomatically calculate ROA U U U U U N UWire order salesOn line entry of phone orders U U U U U A USupport NSCC Fund/SERV U U U U U U UDealer input via PC (non-Internet) N U U U U N UDealer input via PC (Internet) U U U U U N UAssign shares before registration N U U U U N UAging report of unpaid items U U U U U U UNASD letters U N U N N N APartial payment capability U U U U U U ASplit registration capability U U U U U N AAccess to orders byDealer's name U U U U U N UDealer's branch designation U U U U U N URep number U U U U U N UDealer confirmation number U U U U U N U


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Part 4 — Services


MAJOR SERVICE FEATURESDocument management and retrieval facilitiesElectronic document imaging U U U U U U U UDocument & data on single screen U U U U U U U UAutomated document distribution A U A U U U D UCharacter recognition A A U U A A D UInstant hard copy output of images A U A U U U U UAutomatic faxing of images A U U U U A U AFinancial controlReal-time updates to transactions U U N U U U U UReal-time portfolio cash reporting U U N U U A A UIntegrated with fund accounting system U U U U U A U UAutomated DDA reconciliations U U U U U A U UCost basis accounting/performanceCost basis reporting U U U U U U U UIndividual performance results U D U U D U U UAccount statementsIntegrated across multiple services U N N U A N U NAutomated telephone serviceInquiries/customer transactions U U U U U U U USYSTEM CAPABILITIES: SALESDirect salesFed funds purchases U U N U U U U UHold funds for check to clear U U N U U U U UOverride load level U A U U U U U UOverride minimum U U U U U U U UAutomatically calculate ROA U A U U U U U UWire order salesOn-line entry of phone orders U U A U U U U USupport NSCC Fund/SERV U U U U U U U UDealer input via PC (non-Internet) U N N U A A A NDealer input via PC (Internet) U A U U U A A NAssign shares before registration U U U N U U A UAging report of unpaid items U U A U U U U UNASD letters U A N U U N A UPartial payment capability U N N N A A A NSplit registration capability U N U N N U A AAccess to orders byDealer's name U A U U U U U UDealer's branch designation U A U U U U U URep number U A U U U U U UDealer confirmation number U U U U U U U U

Services


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Part 4 — Services



Part 4 — Services

NSCC control number U U U U U U UHistory of orders forTwo weeks U U U U U U U30 days U U U U U U U90 days U U U U U U UUnlimited U U U U U U ULetters of Intent (LOI)On-line access to LOI N U U U U N UAutomatic warning reports N U U U U N USystem-generated letters N U U U U N UEscrow automatically calculated U U U U U N UEscrow automatically released U U U U U N UPurchase pick up for back-dated LOI U U U U U N UMultiple accounts and funds U U U U U N URights of accumulationLink multiple accounts and funds U U U U U N UOn-line display of ROA value/level N U U U U N UContingent deferred sales chargeAging of purchases U U U U U N UApply liquidation to oldest shares U U U U U N UCalculate appreciation U U U U U N UTrack exchanges U U U U U N UCommission statementsPaper U U U U U N UComputer tape U U U U N N UFloppy disk U U N U A N UTransmission U U U U U N UNSCC Commission System U U U U U N UTrail commissions U U U U U N UCommission information on-lineBy dealer U U U U U N ABy branch U U U U U N ABy rep U U U U U N ACalculate trail commissionsBased on "record date" U U U U N N UAverage daily balance U U U U U N UVary method by dealer U U U U N N UVary rates by dealer U U U U U N UBonus rates by dealer U U U U U N UBonus rates by fund U U U U U N UTiered rates by asset size U U U U U N U

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Part 4 — Services



NSCC control number U U U U U U U UHistory of orders forTwo weeks U U U U U U U U30 days U U U U U U U U90 days U U U U U U U UUnlimited U N U U U U U ULetters of Intent (LOI)On-line access to LOI U A A U U U U UAutomatic warning reports U A A U U U U USystem-generated letters U A A U U U A UEscrow automatically calculated N A A U U U U UEscrow automatically released N A A U U U U UPurchase pick up for back-dated LOI U A A U U U U UMultiple accounts and funds U A A U U U U URights of accumulationLink multiple accounts and funds U A U U U U U UOn-line display of ROA value/level U A A U U U U UContingent deferred sales chargeAging of purchases U A U U U A U UApply liquidation to oldest shares U A U U U A U UCalculate appreciation U A U U U A U UTrack exchanges U A U U U A U UCommission statementsPaper U U U U U U U UComputer tape U N A N U A N AFloppy disk U N N N A A N ATransmission U A U U U U U UNSCC Commission System U A U U U U U UTrail commissions U A U U U U U UCommission information on-lineBy dealer U D U U D U U UBy branch U D U U D U U UBy rep U D U U D U U UCalculate trail commissionsBased on "record date" U A A N A A U UAverage daily balance U A U U U U U UVary method by dealer U A U U U A U AVary rates by dealer U A U U U U U UBonus rates by dealer U A A U U A A UBonus rates by fund U A A A U A A UTiered rates by asset size U A U U U A U A

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SYSTEM CAPABILITIES: ASSET ALLOCATIONBased on multiple plans U U U U U N UAcross multiple accounts U U U U U N UIncluding non-fund products N U A U N N AIncluding external funds N U U U N N URe-balance feature U U U U U N USYSTEM CAPABILITIES: DIVIDENDSOverlapping record/pay dates forDividend U U U U U U UShort-term gain U U U U U U UMid-term gain U U U U A U ULong-term gain U U U U U U UStock split/stock dividend U U U U U U UReturn of capital U U U U U N UDaily accruals separately forDividends U U U U U U UShort-term capital gains U N U N N N ULong-term capital gains U N U N N N UInterest U U U U U N UProcess offering price dividend andAuto-calculate ROA discounts U U U U U N UAuto-calculate LOI discounts U U U U U N UAuto-pay commissions to dealers U U U U U N UPayment optionsCash distribution by check U U U U U U UCash distribution by fed wire U U U U U U UCash distribution by ACH U U U U U N UReinvest in same fund U U U U U U UReinvest in another fund U U U U U U UReinvest in certificates U U U U U N UIssue check in lieu of fractionals U U U U A N UHold cash U U U U N N USplit cash and reinvest U U U U U N UPayment to multiple payees U U U U U U UReinvest from non-IRA to IRA account U U U U U U UReinvest from IRA to non-IRA account U U U U U U UReinvest from outside fund complex U U A U A N A SYSTEM CAPABILITIES: MAINTENANCEDo routine maintenance changesRecord of date of the change U U U U U U UOn-line history of changes U U U U U N U

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SYSTEM CAPABILITIES: ASSET ALLOCATIONBased on multiple plans N N A U N U U UAcross multiple accounts U U A U U U U UIncluding non-fund products N N A A N N N NIncluding external funds N N A U N N N NRe-balance feature N U A U U U U USYSTEM CAPABILITIES: DIVIDENDSOverlapping record/pay dates forDividend U U U U U U A UShort-term gain U U U U U U A UMid-term gain U U U U N A A NLong-term gain U U U U U U A UStock split/stock dividend U N U U U U A UReturn of capital U U U U U U A UDaily accruals separately forDividends U U U U U U A UShort-term capital gains U U U U U A A ULong-term capital gains U U U U U A A UInterest U U U U A N A UProcess offering price dividend andAuto-calculate ROA discounts U A A U A U A AAuto-calculate LOI discounts U A U U A U A AAuto-pay commissions to dealers U A U U A U A APayment optionsCash distribution by check U U U U U U A UCash distribution by fed wire U U U U U U A UCash distribution by ACH U U U U U U A UReinvest in same fund U U U U U U A UReinvest in another fund U U A U U U A UReinvest in certificates N A N N N A N AIssue check in lieu of fractionals U A U N N N N AHold cash U A A N A U A NSplit cash and reinvest U A A U U U A UPayment to multiple payees U A U U U U A NReinvest from non-IRA to IRA account U U A U U U A UReinvest from IRA to non-IRA account U U A U U U A UReinvest from outside fund complex U N N N A N N NSYSTEM CAPABILITIES: MAINTENANCEDo routine maintenance changesRecord of date of the change U U U U U U U UOn-line history of changes U U U U U U U U

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Cross-reference to source, image or microfilm U U U U U U UHard copy journal of changes U U U U U N UAbility to key verify changes U U U U U U UGlobal changes to multiple accounts Dealer main office changes U U U U U N UBranch office changes U U U U U N URep changes U U U U U N UWholesaler changes U U U U U N UTerritory reassignments U U U U U N UAccount number changes U U U U U N USYSTEM CAPABILITIES: EXCHANGESSelect accounts with phone exchange privilege U U U U U U USelect accounts identified by a timing service N U U U U N USYSTEM CAPABILITIES: REDEMPTIONSSelect accounts with phone redemption privileges U U U U U UAutomatic transfer of proceeds via ACH U U U U U U UAutomated input from check writing privilege U U U U U N UAutomated input from credit card charges N U U U U N ADaily report of money to be wired N U U U U U USYSTEM CAPABILITIES: TRANSFERSPrevent out-of-proof conditions U U U U U U UAuto transfer account options to new account U U U U U N UCarry cost basis with a transfer U U U U D U ATransfer by single transactionFrom one account to many U U U U U N UFrom many accounts to one U N U N U N UOne certificate N U U U A N UMultiple certificates N U U U A N UConsolidate duplicate accountsVia transfer U U U U U U UOther automated means U U U U U N UAutomatic match list U N U N U N UAutomatic consolidation U N U N U N UIf certificates exist U N U N N N USYSTEM CAPABILITIES: CERTIFICATESPrint certificates by computer N U U U D U UShow certificate address on-line N U U U U U UShow certificate address off-line N U U U U N U

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Cross-reference to source, image or microfilm U U A U U U U UHard copy journal of changes U U U U U U A UAbility to key verify changes U U U U D U A AGlobal changes to multiple accountsDealer main office changes U U A U U U U UBranch office changes U U A U U U U URep changes U U A U U U U UWholesaler changes U A A U U A U UTerritory reassignments U A A U U A U UAccount number changes N A A U N N U ASYSTEM CAPABILITIES: EXCHANGESSelect accounts with phone exchange privilege U U U U U U U USelect accounts identified by a timing service U N A U U A U USYSTEM CAPABILITIES: REDEMPTIONSSelect accounts with phone redemption privileges U U U U U U U UAutomatic transfer of proceeds via ACH U U U U U U U UAutomated input from check writing privilege U U A U U U U UAutomated input from credit card charges N N A N U N N ADaily report of money to be wired U U U U U U U USYSTEM CAPABILITIES: TRANSFERSPrevent out-of-proof conditions U U U U U U U UAuto transfer account options to new account U U N U U U U UCarry cost basis with a transfer U U U U U N U UTransfer by single transactionFrom one account to many N U A U U U U UFrom many accounts to one N N A U U A U UOne certificate N A N U N A A UMultiple certificates N A N U N A A UConsolidate duplicate accountsVia transfer U U A U U U A UOther automated means N N A U N N A UAutomatic match list N A A N U N A NAutomatic consolidation N A A A U N A NIf certificates exist U N N A N N A NSYSTEM CAPABILITIES: CERTIFICATESPrint certificates by computer A N N U U N N UShow certificate address on-line A A N U U N N UShow certificate address off-line A A N U U N N U

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Stopped certificate numbers on-lineFor inquiry U U U U D U UFor editing U U U U D N UBy reason code U U U U D N USYSTEM CAPABILITIES: ADJUSTMENTSIdentify reasons for reversals U U U U U U UPeriodic operator error statistics U U U U U N UX-reference to hard copy/microfilm U U U U U N UReverse/reprocess with trail/recalculationsAffected distributions U U U U U A UDealer commissions U U U U U N UGain/loss on transaction U U U U U N USYSTEM CAPABILITIES: WITHDRAWAL PLANSMake periodic payments based onPrescribed dollar amount U U U U U U USpecified number of shares U U U U U U UPercentage of the account value U U U U U N UPrescribed number of payments U U U U U U ULife expectancy U U U U U N UPay non-registered holdersSplit among multiple payees U U U U U N UUse a payee for specific payments U U U U U A USend confirm to registered holder U U U U U A USYSTEM CAPABILITIES: PROXY PROCESSINGProxy record date calculation U U U U U A AProvide proxy mailing & tabulation N U U U N A AProxy trial run before actual date N U U U N N AShow mixed votes (omnibus accounts) N U U U N N AInfo via computer at annual meeting N U U U N N AProvide on-line proxy informationBy individual shareholder N U U U N A ACumulative by fund N U U U N A AAutomatic machine-readable proxies N U U U N N AOn-line proxy voting N U U U N N AOn-line proxy tabulation N U U U N N ASelect based on proxy responses:Large non-voting accounts N U U U N U AAccounts with negative votes N U U U N N AGeographical non-voting accounts N U U U N N AFinal how voted list N U U U N A A

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Stopped certificate numbers on-lineFor inquiry A N N U U N U UFor editing A N N U U N U UBy reason code A N N U U N A USYSTEM CAPABILITIES: ADJUSTMENTSIdentify reasons for reversals U U U U U U U UPeriodic operator error statistics U U A U U U U UX-reference to hard copy/microfilm U A N U U U A UReverse/reprocess with trail/recalculationsAffected distributions U U U U U U U UDealer commissions U A U U U U U UGain/loss on transaction U U U U U U U USYSTEM CAPABILITIES: WITHDRAWAL PLANSMake periodic payments based onPrescribed dollar amount U U U U U U U USpecified number of shares U U U U U U U UPercentage of the account value U U U U U U U UPrescribed number of payments U U U U U U U ULife expectancy N U U U U U U UPay non-registered holdersSplit among multiple payees U U A U U U U UUse a payee for specific payments U U A U U U U USend confirm to registered holder U U U U U U U USYSTEM CAPABILITIES: PROXY PROCESSINGProxy record date calculation A U U U U U U UProvide proxy mailing & tabulation A A U U U N U NProxy trial run before actual date A A A U U N U UShow mixed votes (omnibus accounts) A N N U A N U NInfo via computer at annual meeting A N A U A N ** NProvide on-line proxy informationBy individual shareholder A N U U U N U NCumulative by fund A N U U U N U NAutomatic machine-readable proxies A N N U U N U NOn-line proxy voting A N A U A N U NOn-line proxy tabulation A N A U A N U NSelect based on proxy responses:Large non-voting accounts A N N U A N U NAccounts with negative votes A N N U A N U NGeographical non-voting accounts A N N U N N U NFinal how voted list A A N U A N U N

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Full-Service Provider 2004 2005 2006 2007 2008ALPS Fund Services 34 99 ** 220 350Boston Financial Data Services 19,700 21,200 23,100 23,700 25,400Citi 182 123 133 *** 1,000DST Systems 6,500 7,900 7,800 7,500 8,600JPMorgan Worldwide Securities Services 1,467 98 67 81 364Northern Trust ** ** ** 302 349Nottingham Investment Administration ** ** ** ** 24PFPC 31,650 19,768 17,749 17,660 19,202UMB Fund Services 216 217 232 243 286Unified Fund Services 127 115 ** 109 109U.S. Bancorp Fund Services 2,000 2,015 2,289 2,526 2,785

Number of Accounts

Remote Provider 2004 2005 2006 2007 2008DST Systems 81,400 84,300 94,400 98,300 110,500JPMorgan Worldwide Securities Services ** 12 12 9 5PFPC 31,958 25,688 29,683 32,035 36,038SunGard 11,485 8,745 8,862 9,538 9,981

Number of Accounts

System Sale or Lease Provider 2004 2005 2006 2007 2008Envision Financial Systems 4,000 4,200 4,400 5,100 5,750Investment Systems Co. 40 27 ** 35 23Linedata Services 125 100 90 200 250SunGard 2,000 2,200 2,000 2,000 2,000

Number of Accounts




Number of accounts listed above are shown in thousands as reported in prior year Service Guides.Data for 2008 based on open accounts in open-end U.S. mutual funds as of 12/31/07.** Not reported




ALPS Fund Services, Inc.Lisa B. Mougin Vice President, National Sales Director 1290 Broadway,Suite 1100Denver, CO 80203Phone: 303-623-2577Fax: 303-623-7850 Email: [email protected] Web: www.alpsinc.comYear TA service began: 1997

ALPS Fund Services offers a full-servicepartnership approach to a select group ofmutual fund clients looking for truly cus-tomized service. We have become a leader inthe mutual fund industry by continuallyproviding exceptional customer service toeach and every one of our clients.

Clients experience a seamless extensionof their own workforce as they outsourceservices to ALPS. Our turnkey packageincludes compliance, creative services, distri-bution, fund accounting, fund administra-tion, legal, marketing, shareholder servicing,tax and transfer agency services to open-end,closed-end, exchange-traded funds andhedge funds. Our services are tailored tomeet your needs and our consultativeapproach provides an integrated, client-ori-ented alliance.

We consider ourselves to be a partner toour clients, not a vendor, and we provideservice beyond what is required in our con-tracts. Part of what makes this possible is thatALPS has made a conscious decision to con-trol growth, so that we never have to com-promise our service levels or our reputationin the industry for delivering tailored, high-touch services. By following this philosophy,ALPS has demonstrated a consistent abilityover the years to grow revenues while main-taining high levels of service and excellence.

While fund companies share a number ofcommon functions, each have some uniqueneeds; identifying and developing those areasis part of what differentiates ALPS. But don’ttake our word for it—read what our clientshad to say in the Global Custodian 2007Mutual Fund Administration Survey. ALPSwas ranked #1 in the industry in the followingcategories: Domestic Service Providers, Fixed-Income Funds and Equity Funds. In addition,ALPS handily beat the industry benchmarkscores (the average score of all survey partici-

pants) in each of eight service areas: ClientServices, Value, Fund Accounting, TransferAgency, Distribution Support, PortfolioServicing, Fund Reporting and Compliance.

Once you do, we think you’ll find thatALPS lives up to its mission statement: Weare a dynamic financial services firm built onrelationships. We have a contagious enthusi-asm for our people, our clients, our businesspartners, and our mutual opportunities forsuccess.

Boston Financial Data Services, Inc.

Craig HillVice President, Mutual Fund Sales330 West 9th StreetKansas City, MO 64015Phone: 816-843-8894Fax: 816-843-8652Email: [email protected]: www.bostonfinancial.comYear TA services began: 1973

Boston Financial has been providing themutual fund industry with a complete rangeof bundled and shared outsourcing servicesfor 35 years. Boston Financial’s focus, experi-ence, and commitment to our clients isunmatched in the industry. Our ability tobalance performance today with servicecapabilities for tomorrow provides ourclients with a strong competitive advantage.

Whether your funds are retail or institu-tional based, broker or third-party distrib-uted, Boston Financial will work with you todesign and execute a service delivery planthat supports your specific operationalneeds while also meeting your long-rangestrategic business goals. We provide a full-line of end-to-end services ranging fromfront-end mail processing, shareholdertransaction processing, reconciliation andcontrol, call center, and tax withholding andreporting, through output media.

Boston Financial offers a comprehensivecompliance program, Compliance+™ to helpour customers and their Chief ComplianceOfficers (CCOs) meet the requirements ofRule 38a-1. By staying current on industrytrends, we help clients proactively addressever-changing compliance regulations.

In addition, Boston Financial offers fundcompanies a broad range of compliance andregulatory services. Our innovative 22c-2

solution enables you to address this complexregulation with a suite of services thatinclude a flexible operating model, cus-tomized reporting, and data managementmonitoring. A dedicated trade surveillancegroup allows us to work closely with yourCCO to develop a solution tailored to yourcompliance needs.

Beyond open-end mutual fund transferagency services, our other principal lines ofbusiness are:

• Retirement Plans• 529 Plans• Managed Accounts• REITs• Settlement Administration Boston Financial provides you the dual

benefits of delivering solutions for the finan-cial services industry today, while at the sametime investing for tomorrow. Our perform-ance-based organization ensures that youwill immediately see the efficiencies, accura-cy, timeliness, controls, and security of aworld-class operation. Together with ourcorporate partners DST Systems, Inc. andState Street Corporation,Boston Financial’strack record for developing new andenhanced products and services is unsur-passed in the industry.

CitiJim NolanManaging Director100 Summer StreetSuite 1500Boston, MA 02110Phone: 617-824-1397Email: [email protected]: www.transactionservices.citigroup.comYear TA Services Began: 1984

Through its Global Transaction Servicesgroup, Citi is one of the largest TransferAgent providers in North America withshareholder accounts in excess of 10 million.Our transfer agency capabilities have earnedCiti “Best-in-Class” status from GlobalCustodian’s “Mutual Fund AdministrationSurvey” for the past four years as well as theNational Quality Review (NQR) “Five-Star”rating from 2003 to date.

We provide customized shareholder serv-icing solutions to domestic and offshoreclients, supporting both retail and institu-tional clients whose products are sold direct-






ly or through intermediaries. With a servicemodel aligned by distribution channel—broker/dealers, financial planners, registeredinvestment advisors, institutional servicingteams and direct shareholders—Citi catersto the unique requirements and expecta-tions of a particular client constituency.

We offer customized shareholder servicesaccommodating all processing require-ments. Our services include:

• Consolidated statements• Cash sweep• Draft processing• VRU customer service• Internet-based account serviceClients benefit from our best-of-breed

technology and rigorous service and qualitycontrol standards. Citi’s strict operating con-trols were designed to minimize risk to thefund and to our clients. Citi employs a dedi-cated 22c-2 monitoring team as well as acomprehensive anti-money laundering andfraud prevention program.

The driving force behind all of our solu-tions is Citi’s experienced personnel. Thetransfer agency group employs an extensive-ly trained and quality driven staff with a sen-ior management team that averages morethan 20 years of industry experience. Citicontinually recruits outstanding profession-als and provides career development oppor-tunities, which correlates to a stable work-force and service continuity for our clients.

In addition to its award-winning transferagency services, Citi offers fund and partner-ship accounting, fund administration, com-pliance, regulatory support, alternativeinvestment services and front- and middle-office asset manager solutions. GlobalTransaction Services is also a trusted custo-dian of over $12.5 trillion in client assets.Our centralized client servicing model pro-vides a single point of contact across all dis-ciplines. We are dedicated to fostering trueclient partnerships based on a collaborativeculture. Sponsors of a multitude of invest-ment strategies and product offerings turnto Citi for innovative and tailored solutions.

DST Systems, Inc.Michael J. TobinVice President of Mutual Fund Sales333 West 11th StreetKansas City, MO 64105Phone: 617-483-2151Fax: 617-483-2629

Email: [email protected]: www.dstsystems.comYear TA services began: 1969 for fullservices, 1973 for remote service

As the leading provider of mutual fundservicing in the U.S, DST Systems, Inc.(DST®) offers comprehensive access to fundinformation for shareholders, financial advi-sors, client service representatives, and oper-ations managers. With fully integrated solu-tions on a single platform, we collaboratewith clients to provide state-of-the-art tech-nology and flexible servicing options.

Continual investment in innovationensures that our technology is relevant totoday’s business challenges and preparescustomers for the future. Solutions such asintegrated compliance and transparencytools place DST at the forefront of currentindustry initiatives.

DST’s shareholder recordkeeping plat-form also integrates with our AWD® busi-ness process management suite to provideautomated workflow, process efficiencies,and customer service tools.

For shareholder self-servicing, DSToffers a variety of Internet-based function-ality, wireless devices, and voice-responseapplications with natural language speechrecognition. These options include func-tions for new account setup, accountinquiry, transaction processing, and elec-tronic communication.

As DST’s premier Web site for financialadvisors, DST Vision® is a single point ofaccess to comprehensive shareholder detailfrom more than 270 mutual fund, variableannuity and REIT companies. Features suchas custom portfolio capabilities, e-mail alerts,and batch statements set Vision® apart as themost extensive site of its kind.

We offer an innovative solution to thedemands of 22c-2 and data sharing.Regardless of the data source, we provide asingle point of access to clean, actionableinformation. Our rules-based engine,TA2000®, currently maintains ROA, mar-ket timing and frequent trader rules formore than 280 mutual fund companies,making our solution the most comprehen-sive in the industry.

Additional DST solutions include retire-ment plan recordkeeping and administra-tion; call center and customer support; sub-

accounting; and 529 Plan processing.DST provides international mutual fund

accounting, shareholder servicing, andinvestment management solutions throughInternational Financial Data Services (ajoint venture with State Street Bank andTrust Company) and DST International.These companies build technology solutionsthat accommodate the needs of the interna-tional financial services marketplace.

With ongoing investment in an integrat-ed solution platform, DST is committed tothe growth of our clients, development ofour technology, and the future of the mutu-al fund industry.

Envision Financial SystemsBrian JonesExecutive Vice President18101 Von Karman AvenueSuite 1420Irvine, CA 92612Phone: 714-247-0030 X114Fax: 443-836-2353Email: [email protected]: www.enfs.comYear T/A System sale/ lease began:1997

Envision Financial Systems, Inc. is aleading provider of innovative, scalable andadaptable transfer agency and shareholderrecordkeeping solutions for the AssetManagement industry.

Envision’s product suite provides fundcompanies and service providers integrat-ed solutions to: improve shareholder serv-icing; increase productivity; reduce costs;and create operating efficiencies throughthe use of flexible open technology stan-dards, rule based application architectureand intuitive graphical user interfaces.These attributes make Envision’s productseasy to use and designed to optimizetransfer agency resources for improvedperformance.

Envision’s flagship product is the award-winning PowerAgent transfer agency andshareholder recordkeeping system.PowerAgent is a real-time, highly intuitive,full featured rules based transfer agency sys-tem specializing in ’40 Act Mutual Funds,alternative investments, advisor and directsold 529 plans, and protected principal funds.PowerAgent comes complete with over 500validation features to ensure compliance with


regulatory, company and fund policies.PowerAgent can be hosted at your site or

run remotely in a Software as a Servicemodel. Other features of PowerAgentinclude, complete load and no-load capabil-ities, multi currency support, institutionalmoney market fund support, dealer servicesand a DTCC interface.

Envision also offers complementaryproducts which are integrated withPowerAgent and include PAFlow, an imag-ing and workflow system; PACash, an awardwinning real-time portfolio managementcash availability dashboard; and PAWeb, ashareholder and Financial ServiceIntermediary Internet inquiry and tradingportal. Like PowerAgent these surround sys-tems provide you the tools to increase oper-ational efficiency, and service quality.

To address rule 22c-2 Envision offers itsClarity Compliance solution as an On-Demand Software Service. This solutionallows fund companies and serviceproviders, regardless of your transfer agencysystem, the ability to import shareholdertrading data and efficiently monitor activityagainst established trading rules. The systemis completely configurable and includesBusiness Process Management to help youautomate processing workflows.

All of Envision’s products are designedfrom the ground up to adopt and exploitopen-industry standard technologies andallow unlimited capabilities to import andexport data with your enterprise systems.This provides a stable, future-proof founda-tion for critical business applications.

Investment SystemsCompany

Ronni BialoskyPresident37840 Jackson RoadMoreland Hills, OH 44022Phone: 440-247-2865Fax: 440-247-4961Email: [email protected]: www.investmentsystems.comYear TA system sale/lease began:1984

The Shareholder Accounting System is atransfer agent system for no-load mutualfunds. This software provides a cost effectivemethod for maintaining control over share-holder servicing by keeping the function in-

house. The Shareholder Accounting Systemruns on the most reliable business system onthe market, the IBM iSeries (AS/400), offer-ing a secure and scalable architecture. Theclient/server environment integrates withWindows/MSOffice and Lotus Domino.The data is stored in a relational databaseproviding easy access for report writers anddata extracts. The software is constantlybeing enhanced to meet changing require-ments. The system supports a seamless inter-face with NSCC for FundServ, ACATS andNetwork processing. Processing is availableto support Market Timing reports. An inter-face to a website can be customized.

ISC provides ongoing support, systemenhancements and maintains a close work-ing relationship with our clients. ISC alsolicenses the Portfolio Accounting System,which performs fund accounting for mutualfunds, as well as the Bonds Payable Systemused by organizations issuing bonds.

JPMorgan WorldwideSecurities Services

Carl J. FerraraManaging Director1 Chase Manhattan Plaza9th FloorNew York, NY 10005-1401Phone: 212-552-2839Email: [email protected]: www.jpmorgan.com/wssYear: FA services began: 1970

JPMorgan Worldwide SecuritiesServices provides transfer agency serviceswithin the institutional and retail mutualfund markets, utilizing the SunGard®Investar*ONE real-time recordkeeping sys-tem. SunGard uses IBM’s operating system,IMS transaction monitor, IMS and DB2databases, DCE and MQSeries middlewareand a variety of supporting products. Thisoperating system is designed to meet theneeds of each distribution channel.

To meet the strategic goals of each trans-fer agency client, we have the flexibility tooffer both full-service and shared servicingmodels. JPMorgan has provided premierretail and institutional transfer agency serv-ices to the mutual fund industry for morethan 20 years.

Strengths of JPMorgan’s transfer agencyservice include:

• Client service teams are dedicated to

specific mutual fund clients.• All team associates are cross-trained to

process transactions, respond to shareholdercorrespondence, perform quality controlfunctions and answer telephone inquiries.

• Our management team members haveextensive industry experience, averagingapproximately 25 years. Associates have anaverage of four years of experience.

• We are recognized industry experts andmaintain memberships in the InvestmentCompany Institute and The NationalInvestment Company Service Association(NICSA). These active memberships ensurethat we remain informed of all changes with-in the mutual fund industry, developingsolutions in conjunction with our clientsbased on their individual needs.

Linedata ServicesJoyce KarpelVice President Sales401 Hackensack AvenueHackensack, NJ 07601Phone: 201-996-9300Fax: 201-996-9340Email: [email protected]: www.ldsam.comYear TA system sale/lease began:1998

Linedata Services (NYSE Euronext: LIN)is the global technology leader for investmentsoftware, solutions, and support. LinedataServices Asset Management(www.ldsam.com) provides comprehensive,scalable solutions to the buy-side, with morethan 950 clients, 1,100 sites, and 13,000 usersin 40 countries. Linedata Services AssetManagement manages the entire investmentprocess from pre-trade through post-settle-ment for mutual and institutional funds,hedge funds, fund administrators, primebrokers, and private wealth companies.

MShare is a state-of-the-art transferagency and shareholder record-keeping sys-tem that’s ideal for both retail and institu-tional investment funds. Completely scalableand employing the most recent advances inclient/server technology, MShare supports awide range of sizes and types of transferagency operations, both onshore and off-shore. MShare is fully integrated withMPartner, providing a single platform forboth unitized and capital based investors.From proprietary fund groups focusing on




shareholder services, institutional groupsserving high-net-worth investors and theinstitutional marketplace, to third-partytransfer agencies and organizations servinglarge numbers of retail shareholders; MShareprovides an intuitive, rules-based processingand inquiry system designed to respond tothe industry’s most exacting and demandingservice environments.

MShare is supported by Oracle DBMS.With its open architecture, client/server-based system, MShare is highly flexible andeasily customized. Using a table-driven hier-archy that begins at the fund family level andcontinues to the level of fund/class, investor,shareholder, and transaction, MShare givesservicing reps rapid access to critical accountinformation with a minimum of keystrokes.

Linedata Services Asset Management hasother complementary offerings that addressthe specific technology requirements of thebuy-side, including:

• MFact, a mutual fund accounting sys-tem that meets the investment manage-ment, portfolio accounting, daily NAV cal-culation, and regulatory compliance andreporting needs for mutual funds, hedgefunds and pension funds;

• Linedata Compliance, a multi-user,enterprise-wide global compliance solution;

• LongView Trading, an award-winningtrade order management system, and;

• Beauchamp hedge fund solutions.

Northern TrustMichael BlakeVice President 50 S. LaSalle StreetChicago, IL 60603Phone: 312-444-5655Fax: 312-444-5258Email: [email protected]: www.northerntrust.comYear TA services began: 1990

Northern Trust offers a full range of serv-ices to its global fund clients, including: fundaccounting, fund administration, transferagency and shareholder servicing, trusteeservices and custody. Northern Trust hasbeen providing Transfer Agency servicessince 1993. Today we maintain almost500,000 open shareholder accounts world-wide with over 300,000 in the United States.In addition, Northern Trust has a dedicatedworldwide staff of over 300 industry profes-

sionals currently servicing 178 clients.Northern Trust’s U.S. Transfer Agency

platform is built on strong technology andan efficient processing philosophy. Ourrecordkeeping system is SunGard’sInvestar*ONE, one of the world’s largestrecordkeeping systems and supports over12.5 million accounts. We use SunGard’sworkflow imaging system, EXP AG, to facil-itate an efficient, paperless environment.

Investar*ONE is fully integrated with ourFund Accounting platform, SunGard’s InvestOne, and with our global custody and bank-ing platforms, allowing for straight-throughprocessing for client transactions. As a resultof our straight-through processing approach,our Transfer Agency professionals are able tofocus on providing the highest quality clientservicing and ensuring highly accurate clienttransaction entry.

In addition to providing full transactionprocessing services, including NSCC tradingand online shareholder access, NorthernTrust has the capabilities to develop andoperate a full-service call center for ourclients. All Northern Trust client servicingstaff is FINRA registered.

Transfer Agency is a key component of ourfund administration offering to investmentmanagers and fund companies worldwide. Assuch, we have made significant investments inthe advancement of our capabilities in 2007,and we remain committed to the delivery ofsuperior services going forward.

Nottingham InvestmentAdministration

Kip MeadowsFounder & CEO116 S. Franklin StreetRocky Mount, NC 27804Phone: 800-525-3863Fax: 252-442-4226Email: [email protected]: www.ncfunds.comYear FA services began: 1989

Perhaps you need comprehensive servic-es for a mutual or hedge fund, or innovativesolutions for a foundation or governmentbudget to increase yields and reduce idlefunds. At Nottingham, we concentrate onthe depth of your investment administrationneeds so that you can focus on your invest-ment goals. We understand striving to meetthe investment objectives your investors

demand requires your constant attention.This is where we can help.

Nottingham Investment Administrationspecializes in fund accounting and adminis-tration services for mutual funds, hedgefunds, foundations, endowments, and gov-ernment budgets and investment pools. Ourteam of fund accountants, shareholder repre-sentatives, information technology profes-sionals, and legal/compliance group worksclosely with our clients to develop ingenious,tailor-made unitized accounting and report-ing solutions that improve efficiency, timeli-ness and accuracy.

Headquartered in North Carolina,Nottingham is one of the largest, independ-ently owned unitized accounting providersin the United States, currently administeringmore than $20 billion in assets.

Our client relationships go further thanmeeting market closing deadlines or prepar-ing financial reporting. Nottingham pridesitself on striving to provide individualizedservice of the highest quality as well as thebest solutions available to advisors andorganizations that desire efficiency but donot want the expense or infrastructure nec-essary to maintain records on their own.

Working with Nottingham:• Enables diversified asset allocation.• Generates more revenue.• Saves time so managers can focus on

trading.• Offers flexibility.• Provides compliance and security

assurance.• Allows for continuous solution

development.We leverage our knowledge and experi-

ence to avoid a cookie-cutter approach, thusoffering customized systems and processesthat help our clients gain economies of scalethat will ultimately improve investmentreturns.

PFPC Michael DeNofrioExecutive Vice President4400 Computer DriveWestborough, MA 01581Phone: 508-871-9665Fax: 508-871-9030Email: [email protected]: www.pfpc.comYear TA service began: 1973




PFPC offers clients comprehensive, inte-grated transfer agency services along withflexible delivery options—from full-serviceto shared servicing and remote arrange-ments. We are a leading provider of process-ing, technology and business solutions to theglobal investment industry, with over 35years of experience providing a comprehen-sive array of investor recordkeeping, distri-bution and shareholder servicing capabili-ties. PFPC ranks among the nation’s toptransfer agent service providers for mutualfund complexes and is the industry’s largestprovider of subaccounting services, withover 72 million shareholder accounts.

PFPC has extensive experience helpingclients to expand their capabilities, maintaina technical edge, maximize internalresources, grow revenues and stay ahead ofcompetitors. Our wide range of transferagency services includes shareholder record-keeping, broker/dealer services, health sav-ings account services, automated remittanceprocessing, 529 processing and aggregation,online cost basis accounting, a browser-based integrated desktop solution, datarepository and analytics suite, and profes-sional telesales/teleservicing. Our serviceofferings also help facilitate quick entry intokey markets, such as managed accounts.

PFPC continues to bring significantincremental value to clients, creating innova-tive solutions to help them meet the complexchallenges of profitable growth in an increas-ingly difficult business climate. Our recentacquisitions of Albridge Solutions® andCoates Analytics, LP are important mile-stones in a 35+ year history of delivering cut-ting-edge business solutions to both assetmanager and brokerage firms. Our com-bined companies draw on a wealth of opera-tional expertise, rich transactional data andpowerful analytics—all designed to providedeeper insights into advisor and investorneeds so that clients can deliver more target-ed products and services.

Albridge, the leader in powering wealthmanagement tools and platforms for finan-cial advisors, expands PFPC’s family of advi-sor-focused services, including our industry-leading subaccounting business,AdvisorCentral® and the ADVISORport®unified managed account platform.Albridgeoffers greater reach into the independentand insurance broker/dealer channels. Basedon relationships with 150 financial institu-

tions and more than 100,000 financial advi-sors, clients can penetrate this importantchannel more efficiently.

Coates, the market leader in distributiondata and technology services, helps fund man-agement and sales teams work smarterthrough its powerful analytics engine andintelligent, easy-to-use Web-based dashboardapplications. Coates enriches data throughrobust tools to drive distribution strategy,including how best to target the right opportu-nities, develop the right products, measurewholesaler success, deepen shelf-space pene-tration and optimize sales force and territoryeffectiveness. Coates also helps our clients meettheir internal and regulatory requirements.

A member of The PNC FinancialServices Group, PFPC offers a comprehen-sive array of investor and securities services.In addition to transfer agency services, weoffer shareholder communication services,advanced output solutions, banking transac-tion services, subaccounting, managedaccount services, fund accounting andadministration, global custody, securitieslending, alternative investment services andinternational fund services.

SunGardMike MellesSenior Vice President and ProductManager2300 Main StreetSuite 400Kansas City, MO 64108Phone: 816-460-3217 Fax: 816-472-8230 Email: [email protected]:www.sungard.com/InvestarOne/Year TA service began: 1969

With annual revenue exceeding $4 bil-lion, SunGard is a global leader in softwareand processing solutions for financial servic-es, higher education and the public sector.SunGard also helps information-dependententerprises of all types to ensure the conti-nuity of their business. SunGard serves morethan 25,000 customers in more than 50countries, including the world’s 50 largestfinancial services companies.

SunGard Financial Systems providesmission-critical software and IT services toinstitutions in virtually every segment of thefinancial services industry including the

mutual fund marketplace where our inte-grated solutions are used for portfolioaccounting, trading, compliance, definedcontribution recordkeeping, reconciliationand transfer agency support.

Investar*ONE is a performance-proven,scalable, real-time mutual fund recordkeep-ing solution with Global reach. The systemprovides 24/7 real-time processing, XML-enabled data, real-time APIs, and a comple-ment of capabilities, all delivered through thestrength and security of SunGard.

Investar*ONE features a Rich InternetApplication user interface that requires noinstallation of software on user workstations,reducing IT administration costs andincreasing system accessibility. Our browser-based interface can be tailored for the opera-tional requirements of various products andgeographic locations. The Rich InternetApplication is further complemented byother browser products and Portal connec-tions offered with Investar*ONE forInvestors and Financial Intermediaries.

For Investor self-servicing, Investar*ONE’s OnlineAccess browser and InteractiveVoice Response options allow shareholdersto obtain real-time account information andplace financial transactions. Moreover, theInvestar*ONE OnlineAccess product enablesinvestors to establish new accounts, updateaccount information or download transac-tion data online.

In providing excellent support to mutualfund distributors, Investar*ONE offers com-prehensive NSCC capabilities, real-timeinteractive Portal connections serving finan-cial advisors, and multiple interfaces with dis-tributors located within and outside the U.S.

Investar*ONE supports operational effi-ciency with real-time reporting of individualtransactions and consolidated financialactivity along with integration to comple-mentary SunGard products. For example,Investar*ONE integrates SunGard’s EXPworkflow application which providessophisticated workflow, imaging, reporting,analytical and business process managementsupport for Investar*ONE clients.

In 2008, SunGard will complete a multi-million dollar project to re-platform theInvestar*ONE system to a server-basedstructure utilizing an Oracle database. Theupdate will further enhance the efficiency,accessibility, portability and scalability ofInvestar*ONE.




UMB Fund ServicesLonnie MacdonaldSenior Vice PresidentBusiness Development Manager803 West Michigan StreetMilwaukee, WI 53233Phone: 414-299-2209Email: [email protected]: www.umbfs.comYear TA services began: 1995

Flexibility, superior technology and unpar-alleled service make UMB Fund Services anexcellent choice to be your transfer agent.

We utilize two outstanding platforms toenhance the breadth, power, efficiency andflexibility of our transfer agent services:SunGard’s PowerImage and Investar*ONE.PowerImage provides a complete imagingand automated workflow solution for ourtransfer agent, capturing incoming requestsand outgoing correspondence made viamail, e-mail and fax. Investar*ONE has out-standing integration capabilities with thePowerImage platform and is the only truereal-time TA processing solution amongmajor financial services systems.

UMB Fund Services also offers leading-edge applications for on-line and interactivevoice response services that maximize thebenefits of real-time transaction posting. Inaddition, our proprietary tool, AdvancedReporting Solutions, gives you control ofshareholder data analysis, providing a user-friendly, on-line interface that allows easydata manipulation, view customization, andad-hoc report creation.

While technology is key to enhancingservice and efficiency, it is only part of theequation. It takes qualified, well-educatedand highly trained people to use technologyproperly to serve you and your shareholders.In many respects, the human factor becomesmore crucial with each technologicaladvance.

UMB Fund Services takes great pride inhiring well-qualified people focused on pro-viding you with the highest level of service.We get the details right, while taking an inno-vative, results-oriented approach to prob-lem-solving. Call us to learn how our uniqueapproach to providing transfer agent servicescan better serve your needs.

Our mission is to provide integrated solu-

tions that save you time and resources, whileoffering unparalleled service to you and yourclients. With 60 years of mutual fund experi-ence and currently servicing clients with over$200 billion in assets, we offer a complete lineof investment product services, includingadministration, fund accounting, investorservices and transfer agency, distribution,marketing, custody, cash management andalternative investment product services.

Unified Fund Services, Inc.Matt MillerVice President431 N. Pennsylvania StreetIndianapolis, IN 46204-6110Phone: 317-917-7035Fax: 317-266-8756Email: [email protected]: www.ufsonline.comYear TA services began: 1963

Unified provides seasoned, customer-ori-entated service for start-up and existingmutual funds. Offering both standalone andseries trust solutions, we utilize a Windowsenvironment and flexible, real-time technol-ogy to support retail and institutional fundsthat are load, no-load and multi-class.

Services include:• Start-up & Conversion• Transfer Agency• Fund Accounting• Fund Administration• Distribution and Marketing• Internet and Web Service• NSCC Fund/SERV and Networking• FulfillmentUnified’s commitment to quality and

desire to help shareholders and advisorsmakes us an ideal business partner.We inviteyou to contact us.

U.S. Bancorp Fund Services, LLC

Bob KernDirector of Sales615 East Michigan StreetMilwaukee, WI 53202Phone: 414-765-5678Email: [email protected]: www.usbfs.comTA services began: 1969

For more than 35 years, fund sponsors

committed to excellence in investment man-agement have sought partnership with U S.Bancorp Fund Services to extend excellencein service to their investors. Fund sponsorscan be confident that U.S. Bancorp FundServices will offer and provide the products,services, technology and expertise necessaryto equal and exceed exacting standards.

In more than three decades of transferagent services, U.S. Bancorp has developed astrong service culture where client andshareholder satisfaction are paramount.Equally strong is our compliance culture andadherence to the internal controls that wehave implemented in response to industrychallenges. Our professional and experi-enced staff focuses on accuracy, responsive-ness, and value with every client, customer,and financial intermediary contact. Thetenure of our team allows us to anticipateclient needs and to offer customized serviceand business solutions in an evolving marketplace. Generating ideas and solutions withthe resources to support them is the corner-stone of our commitment.

U.S. Bancorp Fund Services combinesthe expertise of our staff, and state-of-the-arttechnology which includes DST’s TA 2000,the leading shareholder record keeping sys-tem, to provide numerous options forinvestor, financial intermediary and fundsponsor access to service and information.Investors and financial advisors have oppor-tunities to establish new accounts, executetransactions, perform maintenance, viewaccount history, prospectus and tax formsusing online as well as voice capabilities. Tosupport your distribution channels, finan-cial advisors can take advantage of DSTVision as a single point of Internet access toview and place trades in client portfolios, toobtain client data downloads for customizedreporting and to view media. Fund sponsorshave multiple alternatives for retrieving datato monitor cash flows and analyze distribu-tion channels and trading activity.

Dedication to service, commitment toexcellence, innovation in product offeringsand superior technology make U.S.Bancorp Fund Services a clear leader intransfer agent servicing and a key partnerfor your mutual fund.




Fund AccountingTransfer Agent

CustodyShareholder Com

munications

You make decisions about the market every day. You need to analyze the impact every second.

Who’s helping you?

Having the precise information you need, delivered the instantyou need it, is critical. BNY Mellon Asset Servicing offers the local experts, products, and tools to support your investment decisions around the clock, around the world. We’re here for the long term,helping you reach your highest goal.

To learn more, please contact:

US: Joseph Keenan+1 212 635 7150

EMEA: Robert Darmanin +44 207 163 3444

ASIA: Richard Surrency+656 4320 227

bnymellon.com/assetservicing

Dedicated asset servicing support.

©2008 The Bank of New York Mellon Corporation. Authorized and Regulated by the Financial Services Authority. Products and services provided by various subsidiaries of The Bank of New York Mellon Corporation.

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Part 1 — Industry CommentaryUnder Pressure-The Mutual Fund Industry Strivesto Compete . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66By Joseph F. Keenan

Valuation Challenges in Today's Market . . . . . . . . . . 68Interview with Peter Donatio

Part 2 — RankingsTotal Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70’40 Act Fund Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 70’40 Act Domestic Fund Assets. . . . . . . . . . . . . . . . . . . . . . 70’40 Act Global/International Fund Assets . . . . . . . . . . . . . 70Open-End Fund Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . 72Closed-End Fund Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . 72Unit Investment Trust Assets . . . . . . . . . . . . . . . . . . . . . . . 72Exchange-Traded Fund Assets . . . . . . . . . . . . . . . . . . . . . . 72Offshore Fund Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 72Variable Annuity Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . 72

Part 3 — Five-Year Snapshot’40 Act Fund Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73Total Assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73

Part 4 — Business Statistics. . . . . . . . . . . . . . 74

Part 5 — Services . . . . . . . . . . . . . . . . . . . . . . . . . 76

Part 6 — Company Profiles . . . . . . . . . . . . . . 80

CUSTODY SERVICESCUSTODY SERVICES

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66 Custody Services


For the first half of the new millenni-um the U.S. Mutual Fund Industrydeftly demonstrated its resiliency,

having weathered the challenges posed bythe burst of the tech bubble, the crisis ofconfidence and regulatory scrutiny drivenby the spitzerization (probably not a termthat will find its way into the 2008 versionof Merriam-Webster’s Collegiate Dictionary)of the fund industry, poor relative perform-ance due to historically low interest ratesand muted stock market returns, and therapid emergence of new more agile struc-tures—Hedge Funds and Exchange-TradedFunds (ETFs) presented significant threatson both the alpha and beta ends of theinvestment continuum.

The last two and one half years of thedecade have offered quite a turnaround formany battered fund families. With a strongmarket driven tailwind at its back, investorsbought fund shares in droves—in particu-lar within their defined contribution retire-ment accounts which still hold more thanhalf of their assets in mutual funds. Thosefund companies that delivered superiorperformance outpaced their competitors ingathering assets, and firms that embracedproposed rules for transparency and inde-pendent oversight rapidly regained thetrust of their investors.

While the industry successfully negotiat-ed the turbulent waters it found itself induring the last several years, the forces ofincreased competition are still lashing hardat the hulls of the traditional funds busi-ness. Hedge funds continue to gather assetsat an exponential rate from “sophisticatedinvestors,” and ETFs have led the chargeamong traditional retail investors in termsof new net inflows driven by their inherenttransparency, ease of use, tax efficiency, andsignificantly lower total cost.

To respond to these competitive threats,active and passive managers alike havebegun to reinvent themselves through theusage of sophisticated strategies includingembracing leverage and shorting via “hedgefund lite” approaches. Traditional funds arealso using more complex derivative instru-ments within their long only portfolios inorder to maximize potential returns and

minimize overall risk.Additionally, many tra-ditional index fundsponsors have dramati-cally lowered fees torespond to the challengeposed by the demon-strated success of verylow cost exchange listedproducts.

The regulatory environment hasn’t madeit any easier for the fund industry to com-pete either. Sarbanes-Oxley, CCO Rules,greater disclosure requirements of portfolioholdings and incentives paid for distribu-tion, fair valuation and pricing transparencyrules have all added significant costs in anenvironment where revenue compression isa troubling reality. Fortunately for the tradi-tional fund companies, it seemed as if thetrend toward greater regulatory oversightwould also temper the unbridled success ofthe hedge fund industry, and the lengthy ’40Act exemptive application process at leastserved to limit the number of firms eachyear that would be able to secure approval tolaunch ETFs...or so it seemed.

Broadly the regulators appear to haveturned their attention away from morestringent oversight of unregistered portfo-lios to a collective sigh of relief from thehedge fund industry. Additionally therecent shift in the ETF approval applicationlogjam at the SEC has led to the launch ofan astounding number of new productsduring the last two years, with even morenew sponsors expected to enter the fraywhen the Commission moves forward withplans to formally codify the ETF structureand “fast track” the approval of both passiveand now active portfolios willing toembrace specific guidelines for the regulardisclosure of their holdings.

In spite of the many challenges theindustry faces, it would be foolish to consid-er the traditional funds business down forthe count just yet, however. The one-twopunch of distribution and brand awarenessthat the mutual fund industry possesses,coupled with the sheer force of more than$10 trillion in assets under managementmake the industry a formidable opponent

for any upstart structure seeking to unseatthe dominant position enjoyed by tradition-al mutual funds. In particular, mutual fundscontinue to be the product of choice within401(k) programs, and the vast majority ofretail investors and fee based advisors stillpurchase actively managed funds for theiraccounts. Many fund companies havebegun to develop 130/30 funds designed todeliver enhanced returns, and leading firmsare now seriously considering the develop-ment of exchange traded products to roundout their suite of fund offerings.

As mature U.S. fund franchises seek toaddress the many pressures they now face,including the wave of retiring Baby Boomersdestined to cash in their long-term invest-ments to support their coming retirementyears, the range of capability of chosen fundservice providers gains even greater promi-nence. In an era of reduced margins, manyleading fund companies are now striving tofocus solely on their core competencies ofproduct creation, management and distri-bution in order to control the overallexpenses of their businesses, and in doing sohave sought out strategic alliances with serv-ice providers committed to the long-termsuccess of their franchise. Now more thanever it is essential that fund companies formmutually beneficial partnerships with ven-dors who will help guide them through therapidly evolving regulatory environment,assist them with the launch of new productsand the processing of complex investments.Those companies who stand ready to step into support fund firms’ needs for robust mid-dle-office support, will be particularly wellpositioned to capture the maximum benefitfor their unwavering commitment to theirfund company clients. Every heavyweightchampion needs the right team in its corner,and the most successful fund companies inthe years to come will have a team of top-notch legal counsel, auditors, custodians andadministrators poised to wipe the sweatfrom their brow or if necessary jump intothe ring on their behalf.

Joseph F. Keenan is a managing director andhead of relationship management and salesfor BNY Mellon Asset Servicing.

MFSG

Under Pressure-The Mutual Fund Industry Strives toCompeteBy Joseph F. Keenan

Joseph F. Keenan


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68 Custody Services


Following is an interview with PeterDonatio, Executive Director, FundAccounting & Administration for

JPMorgan Securities Services.Recent difficulties in the credit markets

have elevated mutual fund clients’ con-cerns in a number of areas, particularlyaround fair valuation and pricing. Givenrecent turbulent market conditions andthe dislocation in the credit market, it’s nosurprise that valuations have moved to theforefront of the mutual fund industry’sbiggest challenges.

With multiple pricing vendors operat-ing in the marketplace against the lack of asingle fair value pricing standard, mutualfund clients are demanding greater trans-parency and more detail from their serviceproviders in regard to the process and dataemployed in circumstances where fair mar-ket values are not readily available. Add tothis backdrop the pricing of derivatives andother non-traditional investment instru-ments, combined with the absence of read-ily available market quotations andincreased pressure on funds themselves toadhere to tightening corporate-governancestandards, and the valuation challenge facingmutual funds becomes even more complex.A Best-Practice Solution

The most compelling reason in favor ofa standardized approach is that when themarketplace operates according to differ-ing and inconsistent pricing procedures,pricing differences can result.

“Because the objective of fair-value pric-ing is not standardized or clearly delineat-ed, the manner and degree to which fundsmake fair-value adjustments can vary wide-ly between funds,” says Peter Donatio,Executive Director, Fund Accounting &Administration for JPMorgan SecuritiesServices.FAS 157: Now in Effect

Financial Accounting Standard No. 157,Fair Value Measurement, took effect for cal-endar-year companies with the start of the2008 fiscal year, offering fund companiessome prospect for consistency. While thesingle definition of fair value as well as theestablished framework for measuring fairvalue that FAS 157 brings should result inincreased consistency and comparability infair-value measurements, FAS 157 remains

complex. Complianceexperts agree that manycompanies will need torely on outside expert-ise to comply with FAS157, especially in regardto its more complex val-uations. Althoughgroups such as theFASB’s ValuationResource Group are dis-seminating guidance on FAS 157, thereremains a critical need for particularizeddirection as fund companies embark onvaluations under FAS 157 for the first time.

“Mutual fund boards and chief compli-ance officers (CCOs) are heavily reliant onservice providers’ expertise in deliveringaccurate security valuations, whether thesecurity has halted trading, broker quoteshave dried up on that security or it repre-sents an exotic derivative that is valuedonly on a monthly basis,” Donatio says.JPMorgan’s Approach: An Amalgam ofBest-Practices

JPMorgan works in partnership withmutual fund clients to confront these chal-lenges head-on. The firm leverages themulti-dimensional capabilities of theentire JPMorgan franchise to assist clientsin on-boarding new processes, proceduresand technology platforms and applicationsin regard to managing and triumphingover the challenge of valuation fund firmsface today.

Specifically supporting funds in manag-ing the valuation challenge is a centralizedstructure. “At JPMorgan, a centralized val-uation team controls all aspects of the pric-ing process,” says Donatio, “which leads togreater seamlessness and tighter controls.”

Greater flexibility is another advantage.“JPMorgan’s centralized pricing teamworks individually with clients to cus-tomize reporting solutions,” says Donatio.

With many of the bank’s competitorsoffering reporting from a decentralized,manual basis, or, through a one-size-fits-allapproach, Donatio explains, “Our structureand our philosophy have enabled us to pro-vide a significantly higher degree of flexibil-ity to our fund clients, through a process inwhich best-practices are shared and imple-mented much more rapidly and seamlessly.”

A centralized pricing system:• Allows securities to be priced at the asset

type or position level, or, at variousintervals.

• Permits “second-sourcing” of all equityand, where available, fixed incomesecurities.

• Lends itself to a more structured, validand reliable process based on verifiablesources.

• Enhances client communication. “Ourstructure allows us to work very closelywith clients on any halted, suspended orstale-priced security, enabling communi-cation on these events early enough tosecure a prompt decision,” says Donatio.

Expertise Around FAS 157-Meeting aCritical Need

With the practical implications andimplementation challenges of FAS 157now at hand, fluency is critical in assistingclients in adjusting to this new regulatoryguidance. Fortifying the level of consulta-tion and expertise the bank provides itsfund clients on this critical development isJPMorgan’s specific internal committee,which is dedicated to reviewing all aspectsof FAS 157 and its potential impact onmutual fund clients.

“We continue to work side-by-side withour technology and auditing partners toalign our systems with the new rules,”Donatio says. “Our aim is to offer our fundclients an agility and flexibility unseen else-where in the service provider universe.”The Global Franchise Advantage

The depth and breadth of the JPMorganglobal franchise also translates into a com-petitive advantage in regard to valuation.JPMorgan’s prominent presence in mostglobal markets provides close access tobest-practices in valuation from a multi-tude of sources, allowing for innovationand development. And, because theJPMorgan franchise is highly integrated,consistent implementation across theorganization is easily facilitated.

“The markets are changing everyday,and JPMorgan’s global reach allows usgreater access to assist our clients in thefuture challenges they face,” says Donatio.“Our ability to customize solutions forclients is a tactical way of leveraging ourglobal reach, every day.” MFSG

Valuation Challenges in Today’s Market

Peter Donatio


DISTINGUISHING EXCELLENCEIN THE CRITICAL WORK OF FUND TECHNOLOGY AND OPERATIONS EXECUTIVES

2007 WINNERSLEADERSHIP1st PlaceChristopher L. Wilson, Head of Mutual Funds & Product Management, Columbia Funds

INNOVATION1st PlaceT. Rowe Price

EFFICIENCIES1st PlaceDTCC

Money Management Executive’s 6th Annual

Fund OperationsAwardsMoney Management Executive’s 2008 Fund Operations AwardsRecognize people in the back office who make things happen. Our panel of industry judges will be selecting notable individuals, teams or fund companies who have excelled in four categories:

NEW MEDIAOriginal, strategic thinking and/or partnership with a communications, software or fund operations specialist to create a Web 2.0 solution or next-generation medium to serve asset management clients and/or investors.

LEADERSHIPHonoring a back-office executive or service provider for his or her contribution to the profession.

INNOVATIONDistinction in the use of cutting-edge technologies by mutual fund companies.

EFFICIENCIES/STREAMLININGRecognizing an individual, back-office team or firm that has used technology and organizational restructuring to improve their firm’s bottom line and service.

Deadline for entries is Friday, July 18, 2008. Winners will be announced in September 2008.

For more information about this year’s Awards or how to enter, please visit www.mmexecutive.com.

NEW

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Part 2 — Rankings

70 Custody Services

2007 AssetsRank Custody Provider ($ millions)

1 State Street Corporation 4,089,2712 JPMorgan Worldwide 1,769,4873 BNY Mellon Asset Servicing 1,503,0774 U.S. Bancorp Fund Services 574,5135 Brown Brothers Harriman 427,2556 PFPC 379,9117 Northern Trust 200,1168 UMB Fund Services 62,0969 Union Bank of California 28,790

10 Fifth Third Bank 5,200

’40 Act Domestic Fund Assets


1 JPMorgan Worldwide 957,7772 State Street Corporation 677,5763 BNY Mellon Asset Servicing 219,5694 Brown Brothers Harriman 164,0035 Northern Trust 21,8076 PFPC 17,2517 UMB Fund Services 15,3888 U.S. Bancorp Fund Services 6,8679 Union Bank of California 2,010

10 Fifth Third Bank 825

’40 Act Global/International Assets



1 State Street Corporation 4,766,8472 JPMorgan Worldwide 2,797,0223 BNY Mellon Asset Servicing 1,722,6464 Brown Brothers Harriman 652,4015 U.S. Bancorp Fund Services 581,3806 PFPC 397,1627 Northern Trust 222,6978 UMB Fund Services 77,4849 Union Bank of California 30,800


’40 Act Fund Assets


1 BNY Mellon Asset Servicing 23,100,0002 JPMorgan Worldwide 15,946,0003 State Street Corporation 15,299,1874 U.S. Bancorp Fund Services 4,184,8705 Northern Trust 4,100,0006 Brown Brothers Harriman 1,979,0007 PFPC 719,3028 Union Bank of California 257,0009 Fifth Third Bank 223,000

10 UMB Fund Services 126,812

Total Assets


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Part 2 — Rankings

72 Custody Services


1 State Street Corporation 290,7712 BNY Mellon Asset Servicing 85,0573 PFPC 14,8914 JPMorgan Worldwide 7,3765 Brown Brothers Harriman 4,0176 U.S. Bancorp Fund Services 2,8307 UMB Fund Services 644


1 State Street Corporation 886,5072 JPMorgan Worldwide 581,0003 BNY Mellon Asset Servicing 448,5154 Northern Trust 230,6005 PFPC 80,9776 U.S. Bancorp Fund Services 16,2707 UMB Fund Services 510

Closed-End Fund Assets


1 State Street Corporation 4,476,0762 JPMorgan Worldwide 2,789,6453 BNY Mellon Asset Servicing 1,640,5344 Brown Brothers Harriman 648,3845 U.S. Bancorp Fund Services 581,3806 PFPC 374,4957 Northern Trust 222,6978 UMB Fund Services 76,8409 Union Bank of California 30,800


Open-End Fund Assets


1 State Street Corporation 494,1772 BNY Mellon Asset Servicing 86,4033 JPMorgan Worldwide 42,1004 Brown Brothers Harriman 1,1135 PFPC 43

Exchange-Traded Fund Assets


1 State Street Corporation 369,2712 JPMorgan Worldwide 143,2303 UMB Fund Services 11,9524 BNY Mellon Asset Servicing 7,0545 U.S. Bancorp Fund Services 4,523

Variable Annuity AssetsOffshore Fund Assets


1 BNY Mellon Asset Servicing 52,671

Unit Investment Trust Assets




BNY Mellon Asset Servicing 1,246,115 1,385,858 1,305,426 1,500,018 1,722,646Brown Brothers Harriman 305,000 380,000 506,000 614,376 652,401Fifth Third Bank 23,027 22,648 21,286 9,900 5,800JPMorgan Worldwide Securities Services 1,572,712 1,782,105 2,314,869 2,339,961 2,797,022Northern Trust 70,316 139,563 143,496 170,934 222,697PFPC 400,550 397,360 417,715 353,367 397,162State Street Corporation 3,094,323 3,088,044 3,441,976 3,800,000 4,766,847UMB Fund Services 54,825 46,702 64,765 62,064 77,484Union Bank of California 20,071 26,487 20,246 31,669 30,800U.S. Bancorp Fund Services 148,384 175,000 476,895 554,973 581,380

’40 Act Fund Assets


BNY Mellon Asset Servicing 8,300,000 9,700,000 10,900,000 13,000,000 23,100,000Brown Brothers Harriman 900,000 1,130,000 1,340,000 1,741,000 1,979,000Fifth Third Bank 194,010 182,191 196,312 219,970 223,000JPMorgan Worldwide Securities Services 7,602,000 9,321,497 11,249,522 13,903,000 15,946,000Northern Trust 2,155,100 2,648,700 2,900,000 3,300,000 4,100,000PFPC 558,947 637,170 636,718 639,737 719,302State Street Corporation 9,400,000 9,497,000 10,120,700 11,900,000 15,299,187UMB Fund Services 101,433 70,900 81,180 111,631 126,812Union Bank of California 155,000 204,000 209,000 230,090 257,000U.S. Bancorp Fund Services 1,738,000 2,225,000 2,428,300 4,029,100 4,184,870

Total Assets

Assets listed above are shown in $ millions as reported in prior year Service Guides. Assets for 2008 are as of 12/31/07 and so on for preceding years.**Not reported




74 Custody Services

ASSETS ($ millions)Total Assets Under Custody 23,100,000 1,979,000 223,000 15,946,000 4,100,000Total ’40 Act Fund Assets 1,722,646 652,401 5,800 2,797,022 222,697’40 Act Open-End Domestic Funds 1,503,077 427,255 5,200 1,768,070 200,116’40 Act Open-End Global Funds 211,445 162,408 825 956,622 21,807’40 Act Open-End Emerging Market 4,447 58,721 ** 64,953 774Total ’40 Act Open-End Fund Assets 1,640,534 648,384 5,827 2,789,645 222,697’40 Act Closed-End Domestic Funds 77,988 0 ** 1,417 0’40 Act Closed-End Global Funds 7,069 1,594 ** 1,154 0’40 Act Closed-End Emerging Market 0 2,423 ** 4,805 0Total ’40 Act Closed-End Fund Assets 85,057 4,017 ** 7,376 0’40 Act UITs 52,671 ** ** 0 0United Kingdom UITs 301,818 ** ** 980,100 171,014Offshore Funds 448,515 ** ** 581,000 230,600ETFs 86,403 1,113 ** 42,100 0Variable Annuities 7,954 ** ** 143,230 0All Other Types of Funds 5,176,297 ** ** 11,402,548 3,475,683% Custody Assets Domestic 65 74.2 93 72 52% Custody Assets Global (Mature) 30 20.7 4 21 38% Custody Assets Global (Emerging) 5 5.1 2 7 10NUMBER OF FUNDS SERVICEDOpen-End Funds 2,985 741 44 1,039 463Closed-End Funds 256 10 ** 28 0UITs 6,044 ** ** 1,623 420Offshore Funds 445 971 ** 953 698ETFs 323 12 ** 90 0Variable Annuities 36 ** ** 198 0All Other Types of Funds 2648 ** ** ** 2,967Total Number of Funds Under Custody 12,737 1,734 44 3,931 4,548NUMBER OF CLIENTSDomestic 77 40 20 41 13Global 54 30 3 28 13Emerging Markets 21 21 ** 18 1Offshore 98 90 ** 74 150ETFs 20 4 ** 6 0Variable Annuities 6 ** ** 6 0VITAL STATISTICSTier 1 Ratio (%) 9.32 ** ** 8.40 9.7Publicly Traded Y N Y Y YClosely Held N Y N N NNew Owner in Past 12 Months Y N N N NTotal Shareholder Equity ($ millions) 29,400 ** 9,160 146,986 4,200% 2007 Revenue from Custody 32 ** 37 ** **STAFFTotal # of Custody Employees 12,000 2,313 200 10,141 7,259% Annual Custody Staff Retention Rate 94 ** 90 ** 95# Accounts per Manager 3 to 5 ** 10 to 20 ** 6 to 8

Business Statistics

**Not reportedData as of 12/31/07

BNY Mellon Asset Servicing

Brown Brothers Harriman

Fifth Third Bank

JPMorganWorldwide Northern Trust



ASSETS ($ millions)Total Assets Under Custody 719,302 15,299,187 126,812 257,000 4,184,870Total ’40 Act Fund Assets 397,162 4,766,847 77,484 30,800 581,380’40 Act Open-End Domestic Funds 359,793 3,816,796 61,452 28,790 574,513’40 Act Open-End Global Funds 14,702 659,280 15,388 2,010 6,867’40 Act Open-End Emerging Market 222 49,297 3,219 1,000 773,700Total ’40 Act Open-End Fund Assets 374,495 4,476,076 76,840 30,800 581,380’40 Act Closed-End Domestic Funds 14,115 272,475 644 0 2,830’40 Act Closed-End Global Funds 776 18,296 0 0 0’40 Act Closed-End Emerging Market 0 2,274 0 0 0Total ’40 Act Closed-End Fund Assets 14,891 290,771 644 0 2,830’40 Act UITs 0 0 0 ** 0United Kingdom UITs 0 6,648 0 ** 0Offshore Funds 80,977 886,507 510 ** 16,270ETFs 43 494,177 0 ** 0Variable Annuities 0 369,271 11,952 ** 4,523All Other Types of Funds 202,767 9,639,185 48,817 2,058 3,583,480% Custody Assets Domestic 93.3 79 87.7 95 99% Custody Assets Global (Mature) 5.8 20 9.8 4 1.2% Custody Assets Global (Emerging) 0.8 1 2.5 1 0.5NUMBER OF FUNDS SERVICEDOpen-End Funds 900 3,265 183 104 1,397Closed-End Funds 48 496 1 0 12UITs 3 118 0 ** 0Offshore Funds 414 2,171 5 0 3ETFs 3 290 0 0 0Variable Annuities 0 395 80 0 149All Other Types of Funds 76,138 29,096 15,282 32 247,370Total Number of Funds Under Custody 2,085 35,831 15,551 104 1,397NUMBER OF CLIENTSDomestic 49 140 29 37 219Global 22 108 5 12 15Emerging Markets 3 39 0 6 8Offshore 36 209 5 ** 3ETFs 2 14 0 ** 0Variable Annuities 0 21 3 ** 3VITAL STATISTICSTier 1 Ratio (%) 6.8 ** 13.74 8.4 6.48Publicly-Traded Y Y Y Y YClosely Held N N N N NNew Owner in Past 12 Months N N N N NTotal Shareholder Equity ($ millions) 14,900 ** 891 4,669 21,046% 2007 Revenue from Custody ** 82 28 20 16.3STAFFTotal # of Custody Employees 260 1,778 75 700 343% Annual Custody Staff Retention Rate ** 91 85 95 74.7# Accounts per Manager varies 4 to 6 varies 35 45

Business Statistics

**Not reported

PFPCState Street

Corp.UMB FundServices

Union Bank ofCalifornia

U.S. Bancorp Fund Services



Part 5 — Services

76 Custody Services

BASIC SERVICESCredit financing Y Y Y Y YLetters of credit Y Y Y Y NReal-time custody reporting Y Y Y Y YService for tri-party repurchase agreements Y Y Y Y YTri-party repurchase agreements/equity collateral Y Y Y Y YForeign exchange services Y Y Y Y YTax reclaim services Y Y Y Y YRegulatory filings Y Y Y Y YFinancial statement preparation Y Y Y Y YDomestic proxy services Y Y Y Y YOverseas proxy services Y Y Y Y YCash management services Y Y Y Y YCharge separately for cash movements and FX Y Y N Y YFund accounting services Y Y N Y YFund administration services Y Y N Y YTransfer agent services Y N N Y YFull-service brokerage domestically Y Y Y Y YFull-service brokerage overseas Y Y N Y NPre-trade portfolio compliance Y N N N YPost-trade portfolio compliance Y Y N Y YOn-line compliance data Y Y N Y YTreasury services Y Y Y Y YPartnership accounting Y Y N Y YProprietary dial-up lines Y Y N Y YGovernment securities clearance services Y N Y Y NDisaster recovery plans Y Y Y Y YSTIF vehicles Y Y Y Y YAgency securities lending Y Y Y Y YNon-custody lending Y Y N Y YSub-advisory investment services Y Y Y Y YDraft processing for check-writing Y Y N Y YACH and EFT services Y Y Y Y YPerformance measurement Y Y N Y YRisk analysis Y Y N Y YM&A advisory services Y Y N Y NProprietary funds for creating spokes N Y N N Y

Services

**Not reported

BNY Mellon AssetServicing

Brown BrothersHarriman

Fifth Third Bank



BASIC SERVICESCredit financing Y Y Y Y YLetters of credit Y Y Y Y YReal-time custody reporting Y Y Y Y YService for tri-party repurchase agreements Y Y Y Y YTri-party repurchase agreements/equity collateral Y Y Y Y YForeign exchange services Y Y Y Y YTax reclaim services Y Y Y Y YRegulatory filings Y Y Y N YFinancial statement preparation Y Y Y N YDomestic proxy services Y Y Y Y YOverseas proxy services Y Y Y Y YCash management services Y Y Y Y YCharge separately for cash movements and FX Y ** Y Y YFund accounting services Y Y Y N YFund administration services Y Y Y N YTransfer agent services Y Y Y N YFull-service brokerage domestically N Y Y Y YFull-service brokerage overseas N Y Y N NPre-trade portfolio compliance N N Y N NPost-trade portfolio compliance Y Y Y Y YOn-line compliance data Y Y Y Y YTreasury services Y Y Y Y YPartnership accounting Y Y Y N YProprietary dial-up lines Y Y Y Y YGovernment securities clearance services Y Y Y Y YDisaster recovery plans Y Y Y Y YSTIF vehicles Y Y Y Y YAgency securities lending Y Y Y Y YNon-custody lending Y Y N Y YSub-advisory investment services N Y Y Y YDraft processing for check-writing Y Y Y N YACH and EFT services Y Y Y Y YPerformance measurement N Y Y Y YRisk analysis N Y Y N NM&A advisory services N N ** N YProprietary funds for creating spokes N Y Y N Y

Services

**Not reported

PFPCState Street

Corp.UMB Fund Services



Part 5 — Services



Part 5 — Services

78 Custody Services

Interest on cash in foreign currency Y Y N Y YDisclosing spread on interest paid/cash balances N N N N NClient workstations Y Y Y Y YSupport for fund of funds activity Y Y N Y YSupport for master/feeder structures Y Y N Y YDaily consolidated cash forecasting Y Y N Y YCheck disbursement services for dividends Y N Y Y YStraight-through processing Y Y N Y YAutomated reconciliation Y Y Y Y Y

SECURITIES LENDING# Countries where can lend 63 22 ** 31 49# Countries lending 30 22 ** 30 49% of Mutual fund assets participating 28 ** ** 26 10% of Lendable portfolio on loan 23 ** ** 22 20

PARTICIPATING ORGANIZATIONSFederal Reserve Y N Y Y YDepository Trust Y Y Y Y YEuroclear Y Y Y Y YCEDEL Y N Y N YClearstream Y N Y Y YEmerging Market Networks Y Y N Y Y

INTERNET SERVICESClient workstation accessible via the Internet Y Y Y Y YClient access to on-line market information Y Y N Y YInternet home page Y Y Y Y YClients access information through home page Y Y N Y YCommunicate with clients using the Internet Y Y Y Y Y

SUBCUSTODIAL RELATIONSHIPSEurope Y Y Y Y YAsia Y Y Y Y YMiddle East Y Y Y Y YAfrica Y Y Y Y YLatin America/Central America/Caribbean Y Y Y Y Y

Services

**Not reported

BNY Mellon AssetServicing

Brown BrothersHarriman

Fifth Third Bank



Part 5 — Services

**Not reported

Interest on cash in foreign currency Y Y Y Y YDisclosing spread on interest paid/cash balances Y Y Y Y YClient workstations Y Y Y Y YSupport for fund of funds activity Y Y Y Y YSupport for master/feeder structures Y Y Y Y YDaily consolidated cash forecasting Y Y Y Y YCheck disbursement services for dividends Y Y Y N YStraight-through processing Y Y Y Y NAutomated reconciliation Y Y Y Y Y

SECURITIES LENDING# Countries where can lend 30 35 18 18 27# Countries lending 30 35 1 18 27% Mutual fund assets participating 22 15 3.3 65 6.5% of Lendable portfolio on loan 12.5 ** 23 24 37

PARTICIPATING ORGANIZATIONSFederal Reserve Y Y Y Y YDepository Trust Y Y Y Y YEuroclear Y Y Y Y YCEDEL Y Y N Y YClearstream Y Y Y Y YEmerging Market Networks N Y Y Y Y

INTERNET SERVICESClient workstation accessible via the Internet Y Y Y Y YClient access to on-line market information Y Y Y N YInternet home page Y Y Y Y YClients access information through home page Y Y Y Y YCommunicate with clients using the Internet Y Y Y Y Y

SUBCUSTODIAL RELATIONSHIPSEurope Y Y Y Y YAsia Y Y Y Y YMiddle East Y Y Y Y YAfrica Y Y Y Y YLatin America/Central America/Carribbean Y Y Y Y Y

Services

PFPCState Street

Corp.UMB Fund Services





80 Custody Services

BNY Mellon Asset ServicingJoseph KeenanManaging DirectorOne Wall Street25th FloorNew York, NY 10285Phone: 212-635-7150Fax: 212-635-4587Email: [email protected]: www.bnymellon.comYear Custody services began: 1875

With over $23 trillion under custodyand administration, BNY Mellon AssetServicing’s approach to the custody busi-ness is exceptional and distinctive, and wehave positioned ourselves as a truly globalprovider. Our global funds services teamprovides clients with full service custody,fund accounting, transfer agency and fundadministration capabilities, including:state-of-the-art systems and interfaces,extensive global network, trade settlementand cash management, flexible solutions toclient specific information delivery needs,and online access to fund information. Inaddition, we provide hedge fund adminis-tration, an increasingly important andgrowing service to institutional investors.With our broad set of capabilities, we aremeeting the needs of firms who are seekingcustodians with extensive hedge fundexpertise worldwide. Integrated servicesmay also include: 24-hour foreignexchange, performance measurement andrisk analytics, offshore fund administra-tion, and global securities lending.

Our commitment to the custody busi-ness is substantiated by our proven ability toprovide innovative products to address theneeds of each individual client. What setsBNY Mellon Asset Servicing apart from thecompetition is our people, technology andinnovative solutions. More than 12,000highly trained, dedicated individuals locatedworldwide devote 100% of their time to ourasset servicing clients, products and services.

Real-time trade status, security posi-tions and multicurrency cash movementsare maintained and executed by our inter-nally developed online security movementand control system. We provide clients withonline access to real-time custody, account-ing, instruction processing, and foreignexchange as well as a variety of referencematerials and market updates.

Our systems are continually enhanced

to anticipate and meet innovative industryproducts and services. Most prominently,Eagle Investment Systems Corp., develop-er of Web-based investment managementsoftware solutions, continues to have itsproducts integrated across BNY MellonAsset Servicing franchise. Eagle’s web-based investment servicing platforms sig-nificantly enhance the range and techno-logical sophistication of investment sup-port services available from us.

Brown Brothers HarrimanJames KentManaging Director40 Water StreetBoston, MA 02109Phone: 617-772-1040Fax: 617-772-2263Email: [email protected]: www.bbh.comYear Custody services began: 1928

Global CustodyRecognized as the “Best of the Best”

global custodian by Global Investor maga-zine based on the consistency of our per-formance in their annual survey and the #1global custodian for fund managers in the2007 “Global Custodian Global CustodySurvey,” Brown Brothers Harriman (BBH)provides global financial services to manyof the world’s largest sophisticated institu-tional investors and financial institutions.

BBH Investor Services has been a mar-ket leader for over 75 years and provideslocal relationship management in sevendomiciles worldwide, servicing over $2 tril-lion in total assets under custody. BBH pro-vides custody, accounting, administration,securities lending, outsourcing solutions,foreign exchange, data connectivity androuting services (Infomediary®) and off-shore fund solutions.

Factors contributing to our success as aglobal custody provider can be attributedprimarily to our partnership structure, rela-tionship orientation, and operational excel-lence and commitment to the business.Partnership Structure

BBH's partnership structure allows us toinvest for the long-term with our seniormanagement immersed in day to day busi-ness performance. This hands-on manage-ment style has allowed us to anticipate andrespond successfully to changing financialclimates for close to 200 years.

Relationship OrientationBBH’s first priority is solving the busi-

ness needs of our clients, and we areuniquely positioned to assist them inachieving sustainable cost efficiencies whileidentifying opportunities to improve share-holder value.Operational Excellence

BBH is at the forefront of initiatives tostreamline operational processes and real-ize efficiencies for our clients. Our goal isto understand each client’s strategy and todeliver services in ways that assist theseclients in meeting their business objec-tives, thereby improving and enhancingprofitability.Commitment to the Investor ServicesBusiness

The Investor Services division is BBH’slargest business line. BBH began offeringcustody services in 1928, expanding to glob-al custody in 1963 when our firm's majorU.S. clients began to acquire non-U.S. secu-rities. Today, Investor Services & Markets isBBH’s largest line of business both in termsof revenue contribution and employees.

Fifth Third BankMike DaileyDirector, Global Securities Services38 Fountain Square Plaza1090CDCincinnati, OH 45263Phone: 866-719-0014Fax: 513-534-4735Email: [email protected]: www.53.comYear Custody services began: 1920

Fifth Third Bank's Global SecuritiesServices division, with approximately $223billion under it's care, offers a broad arrayof services to the mutual fund market.Through our CUSTODY PLUS offering, weprovide: global custody, securities lending,foreign exchange, institutional brokerage/transition management, cash management,treasury management and a full line ofcommercial services. Fifth Third is a diver-sified financial services company headquar-tered in Cincinnati, Ohio. For further infor-mation, please call 866-719-0014.

JPMorgan WorldwideSecurities Services

Carl J. FerraraManaging Director


80 Custody Services



1 Chase Manhattan Plaza9th FloorNew York, NY 10005-1401Phone: 212-552-2839Email: [email protected]: www.jpmorgan.com/wssYear Custody services began: 1939

JPMorgan Worldwide SecuritiesServices delivers a full range of productsfor fund managers and theirinstitutional/retail client base, includingcustody, fund accounting, transfer agency,administration, performance measurementand compliance. We manage client rela-tionships across the firm with a combina-tion of product suite and geographicalmanagement and infrastructure that noother firm in the world can deliver.

We offer an on-the-ground approach toservice through our 25 regional service cen-ters worldwide. In addition to a full suite ofglobal custody and related products,JPMorgan delivers an end-to-end array ofservices that includes trading, capital mar-kets, financing and operating services.

JPMorgan draws on its core product andorganizational strengths to provide a pre-mier global custody offering strengthenedby the support of an exceptional invest-ment bank.

As such, a broad array of ancillary prod-ucts available across the franchise comple-ment Worldwide Securities Services’ coreproduct set, enabling us to build a robustproduct offering for mutual fund clientsaround the globe. Today, JPMorgan pro-vides services to more than 2,200 clients,representing assets in excess of $15.6 tril-lion across all regions.

The fundamentals of our broader busi-ness strategy include leveraging the fullrange of JPMorgan Chase products andexpertise to deliver a superior range ofhigh-quality financial products and servic-es to our clients; providing state-of-the-artsystems and technology and continuallyinvesting in our infrastructure to adapt tochanging industry needs; maximizing ourclient’s bottom line by delivering innovativeoperating and information services thathelp mitigate risk and increase efficiency;and emphasizing a partnership approachwith our clients.

JPMorgan has created a high-touch,high-tech environment for our mutualfund clients, who receive the highest-quali-

ty full-service product offering from a largeglobal custodian while reaping the benefitsof a “business within a business.” This strat-egy has enabled us to create a distinctivefund servicing capability that takes advan-tage of our size and scale while retaining thepersonal service that sets us apart.

Northern TrustMichael BlakeVice President 50 S. LaSalle StreetChicago, IL 60603Phone: 312-444-5655Fax: 312-444-5258Email: [email protected]: www.northerntrust.comYear Custody services began: 1889

Northern Trust, as a leader in asset serv-icing, fund administration and advisoryservices to investment managers and fundcompanies worldwide, remains committedto delivering superior services with anemphasis on client relationships.

We are focused on continuing to deliverfour key benefits to our clients:

• a strong risk and control environment;

• faster, more accurate results;• greater access to higher quality

information; and• innovations that create advantages for

our clients.In addition to our core custody services,

our clients can benefit from these NorthernTrust services:

• Fund accounting • Fund administration • Transfer agency & shareholder services • Trustee services • Securities lending • Cash management • Risk management and investment

policy monitoring • Performance analysis• Treasury services • Foreign exchange • Systems consulting • Commission management • Investment operations outsourcing • Sub-advisory services • Transaction services • Brokerage/Execution services• Banking• Distribution opportunitiesNorthern Trust believes in capability-

driven expansion to complement ourexisting capabilities and expertise in theservicing of funds. We have made signifi-cant investments in the advancement ofour capabilities in 2007, including the roll-out of the following new U.S. fund admin-istration services:

• Direct Hedge Funds • Hedge Fund of Funds • Private Equity FundsNorthern Trust is working on new prod-

uct offerings, particularly in Asia, the deliv-ery of enhanced performance and risk serv-ices, and further automating and creatingindustry standards around derivatives.

PFPCPaul ChiManaging Director and Vice PresidentGlobal Custody and SecuritiesLending301 Bellevue ParkwayWilmington, DE 19809Phone: 302-791-2000Email: [email protected] Web: www.pfpc.comYear custody services began: 1972

PFPC provides comprehensive globalcustody services to U.S. and internationalmutual funds and alternative investmentcompanies as well as other institutionalinvestors. We combine a highly personal-ized approach with the breadth and depthof services necessary to deliver the custodyand securities lending services you need,when and where you need them, the wayyou want them.

PFPC custody services include safekeep-ing and securities processing, recordkeep-ing, real-time corporate actions notifica-tion and processing, electronic interfaceswith the fund accounting agent, and cashmanagement, securities lending and for-eign exchange capabilities.

Our automated cash management capa-bilities help clients “sweep” excess cash.Clients choose from a variety of cash sweepproduct options.

PFPC’s securities lending programoffers fund clients an opportunity to gener-ate incremental income on portfolio securi-ties that would otherwise remain idle. Ourprogram focuses on enhancing fund rev-enues and maintaining a low risk profile.PFPC’s programs incorporate managementof cash collateral and detailed reporting of



82 Custody Services


82 Custody Services

loan activity, collateralization, profitabilityand spreads.

PFPC’s Web-enabled data repositoryand analytics suite provides customizedreporting and data extracts for global cus-tody as well as securities lending informa-tion.

PFPC is a leading provider of process-ing, technology and business solutions tothe global investment industry. We special-ize in creating and delivering personalizedsolutions tailored to fit the specific prefer-ences and evolving requirements of ourclients. A member of The PNC FinancialServices Group, PFPC offers a comprehen-sive array of securities and investor services.In addition to global custody and securitieslending services, PFPC offers fund account-ing and administration, alternative invest-ment services, international fund services,and banking transaction services. PFPCalso provides transfer agency and share-holder services, advanced output solutions,distribution services, subaccounting andmanaged account services.

State Street CorporationPete L. Thurmond, Jr.Senior Vice PresidentState Street Financial CenterOne Lincoln StreetBoston, MA 02111-2900Phone: 617-664-6676Fax: 617-664-7733E-mail:[email protected]: www.statestreet.comYear Custody services began: 1924

State Street services more than 44 per-cent of the U.S. mutual fund market, andprovides the industry’s most comprehen-sive array of customized investment solu-tions to mutual fund managers. These solu-tions cover the entire investment spectrum,from research and analytics to multiasset-class trade execution to complex fundaccounting and administration. As theworld’s leading provider of financial servic-es to institutional investors, we offer thefully integrated products and services theyneed to be successful.

Our Services Include:• Global custody• Multicurrency fund accounting• Daily pricing• Fund administration

• Brokerage services• Transition management• Investment management• Multiasset-class trading and research• Cash management• Securities lending• Performance measurement and

analytics• Investment operations

(“middle-office”) services • Wealth management services• Transfer agency services

Our Core StrengthsInvestment in the Future

For growth-based companies to suc-ceed, they have to partner with serviceproviders that possess the resource capacityand commitment to deliver necessarytoday, and the foresight to build for tomor-row. State Street has a long tradition ofinvesting in the future. We have consistent-ly invested 20 to 25 percent of our operat-ing budget in technology, and plan to con-tinue investing at this same rate over thenext three to five years.Global Experience

State Street has been a leader in themutual funds industry since 1924, growingwith the market to meet the changing needsof our customers. For example, whenMerrill Lynch “invented” multiclass fundsin 1988, we developed the first multiclassaccounting system to support them. Ourproduct includes a detailed set of allocationprocedures that serve as the basis for cus-tomers’ filings with the Securities andExchange Commission. As a result of ourspecialized solution, State Street’s proce-dures have become the industry standard.Focus on Key InitiativesDerivatives

State Street customers and the market ingeneral are increasingly using OTC deriva-tives, with interest rate swaps and creditdefault swaps being the most rapidly grow-ing product types. As client demand hasgrown, so has the processing complexityand risk for clients. Industry utilities (e.g.,Deriv/SERV, SwapsWire) have entered toautomate selected functions, with the goalof transforming a paper-based process intoa straight-through process. State Street isrolling out an OTC derivatives processingplatform that will allow customers to fulfilltheir derivative processing needs in con-junction with our traditional asset servicingand custodial businesses.

Private EquityPrivate equity is the largest segment of

the alternative investment market and isanticipated to grow at a compound annualgrowth rate of 14 percent to $2.8 trillion in2010. An estimated 15 percent of privateequity fund sponsors outsource back- andmiddle-office services. With the acquisi-tions of Investor Financial and PalmeriFund Administrators in 2007, State Street’sPrivate Equity Fund Administration Groupcurrently services approximately 91 fundsponsors managing more than 330 primaryfunds globally, representing over $83 billionof committed capital.Performance and Analytics

State Street’s Investment Analytics capa-bilities encompass a wide range of informa-tion and tools that support the investmentdecision process and risk managementactivities. We continually expand our prod-uct and service capabilities to assist cus-tomers in evaluating plan and portfolioresults.

At State Street, we understand the needfor service solutions centered around con-trolling costs, developing and launchingcompetitive new investment products andexpanding globally. We also realize theimportance and convenience of having allservicing needs met by a single provider.That is why we focus on flexibility in ourservice model, bundling our capabilitieswithin a customizable framework thatmeets the unique needs of each investmentmanager.

UMB Fund ServicesLonnie MacdonaldSenior Vice PresidentBusiness Development Manager803 West Michigan StreetMilwaukee WI 53233Phone: 414-299-2209Email: [email protected]: www.umbfs.comYear Custody services began: 1947

UMB Fund Services is the provider ofchoice for many of the nation’s leadingfinancial service companies. With 60 yearsof experience in the custody business, UMBviews client relationships as partnershipsand tailors its services to optimize opera-tional efficiencies and straight-throughprocessing routines. Customers receive thehighest-quality service from UMB’s experi-


enced administrative professionals, timelyand accurate securities processing in a flex-ible operating environment, proactive set-tlement and income crediting policies,client-specific technology solutions andvalue-priced fee structures.

UMB utilizes a real-time multi-curren-cy custody system that enables our staff toreview the status of trades, positions, enti-tlements, cash/currency balances, historyand all other detail related to your invest-ment portfolios. For our clients, we offerWeb access to fund-specific informationthrough UMB TrustDirect®. Our clientscan view on-line their trades, cash and FXmovements, the previous day’s activity(blotter), a current-day forecast updatedthroughout the day, traded and settledpositions, 15 months of portfolio historyand cash/currency balances. TrustDirect®also allows our clients to download theirportfolio transaction and asset detail into aspreadsheet or database format.

Our custody product is integrated withother systems, numerous client and vendorplatforms/applications, Depository TrustCompany (DTC) and the Federal Reserve.We support automated wire transfer capa-bilities and files, remote deposit, lockboxservices, ARP, ACH and shareholder checkand draft processing. Furthermore, systemintegration with our clients’ trading,accounting and shareholder record-keep-ing systems supports intraday trade files,auto-affirmation routines, position recon-cilement, cash forecasting and the automat-ed upload of shareholder activity to yourcustody portfolio. Depository integrationsupports the flow of trades, affirmations,entitlements and other data between UMB,DTC and the Federal Reserve throughoutthe day.

In addition to core custody processing,UMB Fund Services offers a complete line offund and portfolio services includingadministration, fund accounting, investorservices and transfer agency, distribution,marketing, Blue Sky compliance, alternativeinvestment services, securities lending andan extensive array of cash managementproducts.

Union Bank of CaliforniaKevin GalvinVice President350 California Street11th Floor

San Francisco, CA 94104Phone: 415-705-5021Fax: 415-705-5052Email: [email protected]: www.uboc.comYear Custody services began: 1914

Union Bank of California, N.A. is a full-service commercial bank providing a broadmix of financial services: consumer andsmall business banking; middle marketbanking; real estate finance; corporatebanking; correspondent banking; tradefinance; personal and business trust servic-es; domestic and global custody; and secu-rities lending.

Union Bank of California maintains along-standing commitment to securitiesprocessing and today administers $257 bil-lion in client assets under administration.Through its Institutional Services & AssetManagement Division, Union Bank sup-ports fully integrated global and domesticsecurities services, custody and securitieslending for financial institutions, mutualfunds, investment advisors, insurance com-panies, foundations and endowments.Union Bank also supports complete servic-es for traditional retirement and otheremployee benefit plans. We are also a full-service corporate trust provider.


Bob KernDirector of Sales615 East Michigan StreetMilwaukee, WI 53202Phone: 414-765-5678Fax: 414-212-7360Email: [email protected]: www.usbfs.comYear Custody services began: 1853

With over three decades of experience,U.S. Bancorp Fund Services, LLC under-stands the challenges facing fund sponsors.By providing the right combination ofexperienced industry experts and state-of-the-art technology, U.S. Bancorp FundServices ensures delivery of the highestquality service. Our single source solutionfor mutual fund and alternative investmentproduct services allows fund sponsors tooffer competitive, economical products.Our Custody services are available inde-pendently or in conjunction with our other

fund services, including:· Transfer Agent & Shareholder Services· Fund Administration & Compliance · Fund Accounting · Prospect Services · Alternative Investment Administration · Distribution & Marketing Services · Securities & Lending Tailored Fund Custody Services – As

one of the nation's largest custodian serv-ice providers, U.S. Bancorp custody profes-sionals assist each client with unique, cus-tomized transaction activity, corporateactions, trade settlements, income collec-tion, and reporting. We support domesticand global securities processing for allinvestment types. With standard and cus-tomizable query options, our online cor-porate action notification enables users toview and submit responses to corporateactions. We maintain an array of invest-ment vehicles for daily short-term cash,from treasury products to automatedsweep options at very competitive rates.Our custody accounting system is availableonline and offers customized reportingand flexible trade interfaces for each advi-sor.

Securities Lending Services – Not onlydoes U.S. Bancorp specialize in securitieslending for mutual funds, but we also man-age all aspects of the lending program sothat your funds can maximize lending rev-enue. We monitor the credit quality of aselect, approved list of borrowers and wemaintain an SEC registered 2a-7 moneymarket collateral investment pool to pro-tect your investment. Our lending programaverages twice the industry utilization rates,generating more securities on loan andmore corresponding revenue for ourclients. We offer complete support to ourlending clients, including online access toloan and revenue information, securityrestrictions and a trading desk of lendingexperts.

Complete Service Integration – Since1969, U.S. Bancorp Fund Services has pro-vided an integrated package of services formutual fund clients. We have integrated thedata and service delivery of our fundadministration and compliance, fundaccounting, custody, transfer agent, anddistribution services. Our consultativeapproach combines experience with pre-mier technology to provide clients withservices tailored to fit their unique needs.




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Part 1 — Industry CommentaryMeaningful Market Data Drives FinancialIntermediary Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . 86By Frank Polefrone

Enhancing Relationships with Financial Advisors:A Strategic Approach. . . . . . . . . . . . . . . . . . . . . . . . . . 88By Devin Davis

Part 2 — Business StatisticsMail . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89Print . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89Pricing. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 89Marketing Communications . . . . . . . . . . . . . . . . . . . . . . . 90Proxy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90VRU . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90CRM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90

Part 3 — ServicesCRM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 91Mail . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 92Marketing Communications . . . . . . . . . . . . . . . . . . . . . . . 94Pricing. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96Print . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 98Proxy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100VRU . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 101

Part 4 — Company Profiles. . . . . . . . . . . . . . 102

SHAREHOLDER COMMUNICATIONS SERVICES

085-101_MFSG08 ver3.qxd 4/18/08 12:55 PM Page 85

86 Shareholder Communications Services


More than 90% of all mutual fundsales are made through financialintermediaries. Selling to these

intermediaries, however, can be very frus-trating and inefficient. This frustrationstems from the fact that historically, accessto detailed sales and market informationabout financial intermediaries has beenalmost impossible to gather. It is onlyrecently that new technologies haveemerged to provide fund companies withan enterprise wide solution to aggregate,process and analyze detailed sales and assetflows from multiple financial intermediarytrading platforms.

Clouded the PicureThe shifting dynamics of mutual fund

sales between different types of financialintermediaries has further clouded the pic-ture for national sales managers trying tofocus finite resources on an expandingnumber of financial intermediaries. In thepast, a large mutual fund firm could focusmost of its resources and attention on alimited number of large WirehouseBroker/Dealers to drive sales. Today, a suc-cessful firm must have a focused sales effortacross multiple financial intermediarychannels to include Wirehouse B/Ds,Regional B/Ds, Regional Banks,Independent Registered InvestmentAdvisors (RIAs) and Insurance Companies.

A recent report from an Ignites pollindicated that 48% of fund companiesnamed the RIA channel as the market seg-ment that will produce the most asset flowsin 2008. (The second largest channel wasWirehouse B/Ds with 27%). The salesapproach to RIAs, however, is very differ-ent than the sales tactics used to sell toBroker/Dealers. Independent RIAs expectmutual fund salespeople to understandtheir firm’s overall investment approach,the clientele they serve, and the manner inwhich investment decisions are madewithin the RIA firm. Without meaningfulmarket data, mutual fund sales managersfind that it is very difficult to understandthese important factors about RIAs andgain traction in the financial intermediary

channel that they expect to produce themost sales.

The Solution: Combine Detailed TradingData with Important Market Information

To help your sales staff effectively targetand communicate with all types of finan-cial intermediaries, your firm will need toprovide easy access to business intelligenceinformation about that intermediary.Mutual fund companies need businessintelligence tools and technology plat-forms that will integrate detailed tradingdata gathered from financial intermediaryplatforms with rich market data aboutthose intermediaries. Providing this com-bination of trading data with marketdemographic information takes the guess-work out of managing sales and enablesnational sales managers to point their salesteam to their best prospects.

Web native technologies provide capa-bilities to integrate data from multipledatabases, which provides market insightinto financial intermediaries not availableto mutual fund companies in the past.One of the most important points of inte-gration is comparing the current sales anRIA firm has with your firm, versus thetotal assets managed by the RIA. By com-paring this information a “Share ofWallet” calculation can be determined.When this information is combined withother market demographic data related toinvestment and business preferences, RIAclient profiles can be created. At this point,sales management is in a position to com-pare client profiles with prospect informa-tion to identify their best prospects.

The Result: Can Access to This InformationReally Drive Sales?

When business intelligence tools areused to profile best clients and identifyideal prospects that have similar charac-teristics, the sales process gets much moreefficient and results in more assets gath-ered. Many firms estimate that their salesstaff can waste up to 30% of their timedealing with administrative tasksrequired to qualify their best clients and

prospects, or simplycalling on the wrongprospects due to thelack of market infor-mation. When clientand prospect profilesare developed andmade available tosalespeople through aCRM system, or a

hand-held device, the salespeople at yourfirm have everything they need at theirfingertips. This information about finan-cial intermediaries enables them to drivesales and grow your business.

The ability to easily identify your bestclients and prospects becomes especiallyimportant if you consider the confusionthat can occur when some RIAs are duallyregistered—have their own firm, but alsoretain a Broker/Dealer license as a registeredrepresentative with a Broker/Dealer. Theability to track “break-away brokers” andunderstand the differences in the type ofbusiness they do as an Advisor versus a B/Dis also an important ingredient for successwhen selling to financial intermediaries.

If your firm cannot identify where thesales are coming from, and cannot com-bine trading information with marketdata that provides important demograph-ic information about your clients andprospects, your firm is destined to fallbehind in sales. Whether your sales team’sincreased efficiencies amount to a 30%increase in sales, or help your limited staffreach their sales goals with 30% less costdue to increased efficiency, the results canbe dramatic. In short, access to the rightinformation does matter, and can have abig impact on your firm’s success sellingthrough financial intermediaries.

Frank Polefrone, senior vice president, isresponsible for product development andmarketing for Access Data, the leadingprovider of enterprise reporting and datamanagement services for financial servicesfirms representing over $2.5 trillion in assetsunder management. For more informationabout Access Data, visit www.accessdc.com.

MFSG

Frank Polefrone

Meaningful Market Data Drives Financial Intermediary SalesThe Challenge: Access to Meaningful Market Data

By Frank Polefrone


WOULDN’T IT BE GREAT IF YOUR

BEST PROSPECTS STOOD OUT

FROM THE CROWD?

Introducing AccessDiscoverySM, an exclusive offering

from Access Data and Discovery providing Mutual

Fund Companies a clear, concise picture of their

best financial intermediary clients and ideal prospects.

With AccessDiscovery, your firm can now match

detailed sub accounting trade data with important

market and demographic information to create profile

ratings for sales representatives and Advisors.

For more information please contact Chip Miller

at 1-888-799-1744 or visit www.accessdc.com.


http://www.accessdc.com/



Financial advisors constantly receivecommunications from the investmentmanagers with whom they work. The

communications come in varying forms,including sales oriented (field wholesalersand sales desks) and marketing driven(direct mail, e-mail, Internet). For these“touches” to be successful, each interactionopportunity needs to compliment the finan-cial advisor’s perception of the investmentmanager’s brand and capabilities, as well asprovide continual value to the financial advi-sor’s business. In addition, many investmentmanagement firms need to overcome thedifficulty of aligning their sales and market-ing activities to work in unison with oneanother so that the client experience isunique, yet consistent.Integrated Technology

Firms need to identify and close gaps intheir technology that will improve the clientexperience. This can be achieved by carefulanalysis of their customer relationship man-agement (CRM), transaction history, cam-paign management and web systems.

Investment management firms spend alarge amount of their annual budgets onimproving their websites, micro sites andCRM systems. How do they ensure maxi-mum return and organizational alignment?How does sales management ensure a CRMsystem is not only a log of client activity, butalso a source of intelligence for wholesalerson the desk and in the field?

The key is to extract the intelligence thatsales and marketing needs to build strongerrelationships. By ensuring the firm’s technol-ogy is able to provide channel marketingmanagers and wholesalers with a singularview of the client experience and prefer-ences, their marketing campaigns and value-add programs can be launched in a moreeffective manner. Not having key informa-tion on the financial advisor linked to a sin-gle data system leaves the sales and market-ing units poorly aligned and unable to per-form their duties as best as possible.Business Intelligence

From “in-person” sales meetings to “e-mail marketing,” senior management teamsneed to assess every manner of communica-tion on a continual basis, to determine howeach vehicle serves to build stronger rela-

tionships in their inter-mediary channels. Oncetechnology systemsspeak to each other, thefirst step to buildingstrategic communica-tions is to identify andbuild some high-levelsegmentation of thesales model. Today, thetypical investment management firm derivesmore than 80% of its sales business from just20% of its financial advisor population.

How then can investment firms createscale among wholesalers to reach a largeruniverse of top financial advisors?

The answer lies in an enhanced businessintelligence and modeling capability toidentify additional promising advisors andto convert them into clients more quicklyand personally through multiple commu-nication channels. This requires not onlyconducting full-scale analysis of data oncurrent clients, but also working withwholesalers to understand better the salesprospect pipeline.

From acquisition to onboarding, andthen from conversion to creating loyal finan-cial advisors, business intelligence and mod-eling capabilities allow firms to: identifyfinancial advisors that are gaining or losingmomentum in their activity and deliveringtrigger-based marketing programs to stempoor behaviors; identify financial advisorsthat should qualify for clubs or value-addprograms to enhance loyalty with businessadvocates; and monitor and manage growthin financial advisor relationships to ensureactivities are working as expected.Advanced Communications

Once an investment firm has updatedintelligence around the sales business, it cannow start to build more aggressive market-ing programs and communications toenhance the client experience. Creating mar-keting communications based on financialadvisor behaviors and preferences will allowmarketing to work with wholesalers moreintelligently as they start building strongerrelationships within their territory.

By combining 1:1 marketing techniquesand advanced analytics, marketing man-agers can develop truly personalized mes-

sages, product information and offers forvarious types of financial advisors. Thisallows marketing to have a stronger impacton the sales process and become a truepartner to the sales force. It also allows mar-keting to create test designs for their pro-motions and campaigns to understandwith certainty, which mechanisms areworking most effectively.Snapshot: Targeting and the Bottom Line

One investment management firmneeded to differentiate its brand messagingand product offering in an ocean of com-petitors. At the same time, the firm waslooking for creative strategies to help itimprove how its sales and marketingorganizations interacted during the cycle ofacquiring new financial advisors.

The firm applied a strategic planningmethodology with a six-step process thatincluded business model assessment,business goals identification, current dis-tribution model, target distributionmodel, migration strategy and implemen-tation plan.

The firm gathered a complete under-standing of its distribution model, identify-ing its challenges as well as opportunities forimprovement. The assignment included adetailed analysis of the financial advisors’trading behaviors and communication pref-erences, wholesaler contact and the use ofmarketing collateral. From this analysis, anew approach for marketing to financialadvisors was created.

The targeted approach drove bottom-line results. Financial advisors who receivedthe new structured marketing in a timelyfashion placed their clients into $325,000worth of the investment firm’s products inone year versus $120,000 for a non-targetedcontrol group.

An effective turnkey financial advisoroptimization program is one that is based ondeep expertise in marketing strategy, analyt-ics and modeling, and creative strategy. As aresult, at every point in the process, brandengagement is strengthened and the finan-cial advisor relationship is improved withthe investment firm.

Devin Davis is vice president of strategy,financial markets for Harte-Hanks.

MFSG

Enhancing Relationships with Financial Advisors: A Strategic ApproachBy Devin Davis

Devin Davis



# # Fund Fund # ISO OperationYears in # Mailing Seasonal % of % of Fund 9000 Hours

Service Provider Mailing Employees Employees Employees Business Revenue Clients Certified (Hrs./Day)

The Altman Group 4 175 20 as needed 65 25 100+ N as neededAsset Communications 20+ 12 outsourced 0 75 ** 25 N 8/5Capital Fulfillment Group 7 120 4 ** 100 50 41 N 11.5/5Computershare 20 120 90 125-150 98 ** 100 N 24/7DST Output 38 3,000 ** ** ** ** 200+ ** 24/7Harte-Hanks 50+ 7,500 3000 ** 10 10 20+ N variesMerrill Corporation 24 6,300 150 ** 25 25 150 Y 24/7PFPC 18 4,845 200+ 55 80 ** 400+ N 24/6RR Donnelley 30+ 60,000+ ** ** ** ** 100+ Y 24/7Smart Source Services 20 65 40 as needed 25 20 100+ N 9/7Smith-Edwards-Dunlap 17 135 10 0 ** ** ** N 24/5

Mail

**Not reported

Years in # # Printing Fund % of Fund % # FundService Provider Printing Employees Employees Print Business of Revenue Clients

Asset Communications 20 12 ** 75 20-25 25Bowne & Company 235 ** ** ** ** **Bowne GCom2 Solutions 16 235 100 80 10 5,500+Capital Fulfillment Group 8 131 32 100 20 41Command Financial Press 18 150 40 70 35 32Computershare Communication Services 12 90 70 30 ** 30DST Output 38 3,000 ** ** ** 200+Hanson Printing Company 72 40 12 8 9 8Merrill Corporation 40 6,300 410 25 25 150PFPC 19 4,845 200+ 80 ** 400+RR Donnelley 144 60,000+ ** ** ** 100+Smart Source Services 20 65 40 25 25 25Smith-Edwards-Dunlap 135 135 125 ** ** **

Print

Years in # Fund % of Fund % # FundService Provider Pricing Employees Pricing Business of Revenue Clients

Standard & Poor's Securities Evaluations 36+ 113 50 ** 800+Street Software Technology 30 ** 10 ** **Telekurs Financial 78 1,350 ** ** **

Pricing





**Not reported

Years in Marketing # Fund % # FundService Provider Communications Employees of Business Clients

Asset Communications 20 12 75 25BergerBrown Communications 25 6 50 1Capital Fulfillment Group 7 131 100 41Harte-Hanks 50+ 7,000 ** 20+Kanter and Company 12 4 100 9Langton Cherubino Group 13 9 25 3Merrill Corporation 40 6,300 25 150PFPC 13 4,845 100 400+RR Donnelley 40+ 60,000+ ** 100+S2 Marketing + Communications 25+ 17 100 15Smart Source Services 20 65 25 25+Suasion Resources 27 18 50 variesUMB Fund Services 15+ 171 98 125U.S. Bancorp Fund Services 8 545 100 250Wechsler Ross & Partners 23 60+ 50 10

Marketing Communications

Years in # Fund % # FundService Provider Proxy Employees of Business Clients

The Altman Group 10 175 65 100+Computershare Fund Services 20 120 98 250DST Output 38 3,000 ** 200+PFPC 19 4,845 100 400+RR Donnelley 30+ 60,000+ ** 100+

Proxy

Years in # Fund % # FundService Provider VRU Employees of Business Clients

ARGOS Computer Systems 27 ** 75 **PFPC 13 4,845 100 400+

VRU

Years in # # CRM Fund % Fund % # FundService Provider CRM Employees Employees of Business of Revenue Clients

Access Data 8 125 60 90 ** 40Capital Fulfillment Group 8 131 2 100 0 41Harte-Hanks 50+ 7,000 750 <10 <10 20+Merrill Corporation 10 6,300 50 25 <2 150PFPC 10+ 4,845 ** 100 ** 400+SalesFocus Solutions 9 ** ** 100 100 **SalesPage Technologies 23 28 25 80 80 52

CRM


Part 3 — Services

Service Provider

Transaction reporting Y Y Y Y Y Y YTransaction reporting: Supermarket participants Y N Y Y Y Y YTransaction reporting: Omnibus participants Y N Y Y Y Y YAsset reporting Y N Y Y Y Y YAsset reporting: Supermarket participants Y N Y Y Y Y YAsset reporting: Omnibus participants Y N Y Y Y Y YMarketing reporting Y Y Y Y Y Y YMarketing reporting: Supermarket participants Y N Y Y Y Y YMarketing reporting: Omnibus participants Y N Y Y Y Y YPerformance reporting N N Y Y Y Y YPerformance reporting: Supermarket participants N N Y Y Y Y YPerformance reporting: Omnibus participants N N Y Y Y Y YImplementation of new system Y Y Y Y Y Y YConversion of existing systems Y Y Y Y Y Y YOrder entry management Y Y Y Y Y Y YData cleaning Y Y Y Y Y Y YInventory management Y Y Y Y Y Y YLiterature fulfillment management Y Y Y Y Y Y YContact management Y Y Y Y Y Y YE-mail integration Y N Y Y Y Y YWireless communication capability Y Y Y Y Y Y YRemote synchronization Y Y Y Y Y Y YProduct sales data integration Y Y Y Y Y Y YRepresentative consolidation Y N Y Y Y Y YWholesaler territory management Y Y Y Y Y Y YWholesaler tracking Y Y Y Y Y Y YTransfer agent interface Y Y Y Y Y Y YFulfillment company interface Y ** Y Y Y Y YElectronic business plans N N Y Y N Y Y

CRM

**Not reported


Access Data

CapitalFulfillment

Group Harte-HanksMerrill Corp. PFPC

Sales Focus

Sales Page


Part 3 — Services


LIST PROCESSINGBar Code Y Y Y Y Y YCheshire Labels Y Y N Y N YDiskette Y Y Y Y Y YConsolidating Y Y Y Y Y YCR-RT Sort Y Y ** Y Y YHouseholding Y Y N Y Y YInkjet/Laser Y Y Y Y Y YMagnetic Tape Y Y N Y N YMerge/Purge Y Y Y Y Y YNTH Select Y Y Y Y Y YPiggyback Y Y N Y N YP/S Y Y Y Y Y YSort Y Y Y Y Y YINSERTINGMaximum stations on inserter 4 6 5 7 6 8Intelligent/selected inserting Y Y N Y Y YDemographic variables supported 6 ** unlimited unlimited unlimited 4ENVELOPE SIZENumber 10 Y Y Y Y Y YNumber 11 Y Y Y Y Y Y6x9 Y Y Y Y Y Y9x12 Y Y Y Y Y YOTHER CAPABILITIESOn-site post office(s) N Y N Y Y YBurst/fold continuous feed forms Y Y N Y Y YUSPS address standardization Y Y Y Y Y YIn-house postal verification/acceptance Y Y N Y Y YBulk shipment delivery Y Y Y Y Y YLocal bulk delivery Y Y N Y Y YTruck from National BMC/SCF mail drops Y N N Y N YFirst class mail pre-sort Y Y Y Y Y YINVENTORYWarehouse inventory facilities Y Y Y Y Y YSecured and insured inventory Y Y Y Y Y YComputer-generated tracking Y Y Y Y Y YPC-to-PC on-line review Y Y Y Y Y YOrder inventory by modem/fax Y Y Y Y Y YDistributive print/mail service Y N Y Y Y YLITERATURE FULFILLMENTInbound literature fulfillment Y Y Y Y N YTurnaround time ** within 24 hours same day as req'd ** as neededDaily order transmission capacity unlimited unlimited unlimited as req'd ** as neededFulfillment hours of operation 8 to 6 9 to 5 8 to 7:30 8 to 8 ** varies# domestic fulfillment sites 1 ** 5 3 ** 7# non-U.S. fulfillment sites 0 0 0 ** ** variesKIT ASSEMBLYAutomated Y Y Y Y ** YBy hand Y Y Y Y N YFULFILLMENT REQUESTS VIADirect mail Y Y Y Y N YFax Y Y Y Y N YInternet Y Y Y Y N YModem Y N Y Y N YToll-free number Y Y Y Y N Y

Mail

**Not reported

The AltmanGroup

AssetCommunications

CapitalFulfillment Group Computershare DST Output Harte-Hanks


**Not reported

LIST PROCESSINGBar Code Y Y Y Y YCheshire Labels Y Y Y Y NDiskette Y Y Y Y YConsolidating Y Y Y Y YCR-RT Sort Y Y Y Y YHouseholding Y Y Y Y NInkjet/Laser Y Y Y Y YMagnetic Tape Y Y Y Y YMerge/Purge Y Y Y Y YNTH Select Y N N Y YPiggyback Y N Y Y NP/S Y Y Y Y YSort Y Y Y Y YINSERTINGMaximum stations on inserter 8 6 18 6 6Intelligent/selected inserting Y Y Y Y NDemographic variables supported unlimited ** unlimited 3 **ENVELOPE SIZE Number 10 Y Y Y Y YNumber 11 Y Y Y Y Y6x9 Y Y Y Y Y9x12 Y Y Y Y YOTHER CAPABILITIESOn-site post office(s) Y N Y Y NBurst/fold continuous feed forms Y Y Y Y NUSPS address standardization Y Y Y Y YIn-house postal verification/acceptance Y Y Y Y NBulk shipment delivery Y N Y Y YLocal bulk delivery Y Y Y Y YTruck from National BMC/SCF mail drops Y N Y Y NFirst class mail pre-sort Y Y Y Y YINVENTORYWarehouse inventory facilities Y Y Y Y YSecured and insured inventory Y Y Y Y YComputer-generated tracking Y Y Y Y YPC to PC on-line review Y Y Y Y YOrder inventory by modem/fax Y N Y Y YDistributive print/mail service Y Y Y Y NLITERATURE FULFILLMENTInbound literature fulfillment Y N Y Y YTurnaround time same day ** <24 24 variesDaily order transmission capacity unlimited ** continuously hourly 2Fulfillment hours of operation 12 ** 24/7 8 to 5 8# domestic fulfillment sites 6 ** 27 7 1# non-U.S. fulfillment sites 0 ** 10 multiple 0KIT ASSEMBLYAutomated Y N Y Y NBy hand Y N Y Y YFULFILLMENT REQUESTS VIADirect Mail Y ** Y Y YFax Y ** Y Y YInternet Y ** Y Y YModem Y ** Y Y YToll-free number Y ** Y Y Y

Part 3 — Services


MailMerrill Corp. PFPC RR Donnelley Smart Source Smith-Edwards-Dunlap


SERVICESWriting Y Y Y Y N Y YGraphic Design Y N Y Y N Y YCopywriting Y Y Y Y N Y YEditing Y Y Y Y N Y YProofreading Y Y N Y N Y YConsulting Y Y Y Y Y Y YBranding Y Y Y Y Y Y YForeign language translations Y Y N N N Y YPrepress preparation Y Y Y Y N Y YPrinting Y Y Y Y N Y YWebsite design & development Y Y Y Y N Y YReview for NASD compliance Y Y N Y N Y YPRODUCTSQuarterly reports Y Y Y ** N Y YSemi-annual reports Y Y Y ** N Y YAnnual reports Y Y Y ** N Y YProspectuses Y Y Y ** N Y YSimplified prospectuses Y Y Y ** N Y YBroker/dealer communications Y Y Y Y N Y YProduct kits Y Y Y Y N Y YNewsletters Y Y Y Y N N YMagazines Y Y N ** N N YSpeeches Y Y N ** N N YByline articles Y Y N ** Y N YPress releases Y Y N ** Y N YPortfolio manager interviews ** Y N ** Y N YSales literature Y Y Y Y N N YWebsites Y Y Y Y N N YCD-ROM presentations Y Y Y Y N Y YFORMATS AVAILABLEHard copy (print) Y Y Y Y N Y YMulti-media Y Y Y Y N Y YInternet Y Y Y Y N Y YAudio visual Y Y Y Y N Y YCD-ROM Y Y Y Y N Y YVideo Y Y Y ** N Y YMulti-media laptop presentations Y Y Y Y N Y YPRODUCT SUPPORTMutual funds Y Y Y Y Y Y YRetirement plans Y Y Y Y N Y YOffshore funds Y Y N Y Y Y YAnnuities Y Y Y Y N Y YInstitutional products Y Y Y Y Y Y YBank mutual funds Y Y Y Y Y Y YUITs Y Y Y Y N Y Y


Part 3 — Services

Asset Comm. BergerBrown

CapitalFulfillment

Group Harte-HanksKanter &Company

MerrillCorporation PFPC



**Not reported

SERVICESWriting N Y Y Y Y Y YGraphic Design N Y Y Y Y Y YCopywriting N Y Y Y Y Y YEditing Y Y Y Y Y Y YProofreading Y Y Y Y Y Y YConsulting Y Y Y Y Y Y YBranding N Y Y Y Y Y YForeign language translations Y N Y N Y N NPrepress preparation Y Y Y Y Y Y NPrinting Y Y Y Y Y Y NWebsite design & development N Y Y Y Y Y YReview for NASD compliance Y N Y Y Y Y NPRODUCTSQuarterly reports Y Y Y Y Y Y NSemi-annual reports Y Y Y Y Y Y NAnnual reports Y Y Y Y Y Y NProspectuses Y N Y N Y Y NSimplified prospectuses Y Y Y N Y Y NBroker/dealer communications Y Y Y Y Y Y YProduct kits Y Y Y Y Y Y YNewsletters Y Y Y Y Y Y YMagazines Y Y Y Y Y Y YSpeeches N Y Y Y Y N NByline articles N Y Y Y Y N YPress releases N Y Y Y Y Y YPortfolio manager interviews N Y Y Y Y Y YSales literature Y Y Y Y Y Y YWebsites Y Y Y Y Y Y YCD-ROM presentations Y Y Y Y Y N YFORMATS AVAILABLEHard copy (print) Y Y Y Y Y Y YMulti-media Y Y Y Y Y Y YInternet Y Y Y Y Y Y YAudio visual N Y Y Y Y Y YCD-ROM Y Y Y Y Y Y YVideo Y Y Y Y Y Y YMulti-media laptop presentations Y Y Y Y Y Y YPRODUCT SUPPORTMutual funds Y Y Y Y Y Y YRetirement plans Y Y Y Y Y Y YOffshore funds Y Y Y Y N Y YAnnuities Y Y Y Y Y Y YInstitutional products Y Y Y Y Y Y YBank mutual funds Y Y Y Y Y Y YUITs Y Y Y Y Y Y Y


Part 3 — Services

RR DonnelleyS2 Marketing +

Communications Smart Source

ServicesSuasion

ResourcesUMB Fund Services

U.S. BancorpFund Services

Wechsler Ross& Partners



Part 3 — Services

DOMESTIC PRICINGADRs Y ** YADRs - trader prices N ** **Convertible securities Y ** YCommon stock Y ** YPreferred stock - perpetual Y ** YPreferred stock - redeemable Y ** YCorporate bonds Y ** YCorporate notes Y ** YCorporate commercial paper Y ** YFloating rate notes Y ** YGovernment Treasury bonds Y Y YGovernment Treasury bills Y Y YGovernment notes Y Y YFNMAs Y Y YFHLMCs (Freddie Macs) Y Y YGNMAs Y Y YSallie Maes Y Y YNellie Maes Y ** YRuthie Maes N ** YInverse Floaters Y Y YMortgage-backed securities Y Y YMunicipal bonds Y ** YMunicipal notes Y ** YPrivate Placements Y ** YREITs Y ** YRepurchase agreements Y ** **Rights/warrants Y ** YVariable annuities Y ** YWhen-issued securities Y ** YZero-coupon bonds Y Y YETFs Y ** YDERIVATIVE PRICINGABSs Y Y YCMOs Y Y YCommodity options Y ** YEquity options Y ** YForward contracts Y ** YFinancial futures Y ** YIndex futures Y ** YIndex options Y ** YInterest rate options Y ** YMortgage-backed securities Y Y YOptions on futures Y ** YCorporate strips Y ** YGovernment strips Y Y YStructured notes Y Y YSwaps - equity Y ** **Swaps - interest rate Y ** YSwaptions Y ** **Caps Y ** YFloor Y ** Y

Pricing

**Not reported

S&P Securities Evaluations Street Software Technology Telekurs Financial



**Not reported**Not reported

INTERNATIONAL PRICING GDRs Y ** YCorporate bonds Y Y YCorporate debt Y ** YCurrency contracts - forward Y ** YCurrency contracts - spot Y ** YCurrency options Y ** YEurobonds Y ** YExchange-traded equities Y ** YGov't bonds (sovereign debt) Y ** YIndex futures Y ** YIndex options Y ** YPrivate debt Y ** YEquities - publicly traded Y ** YEquities - thinly traded Y ** YWorld Bank bonds Y ** YPRIMARY MARKETS PRICINGAsia Y ** YAustralia Y ** YEurope Y ** YNorth America Y ** YPacific Y ** YSouth Africa Y ** YEMERGING MARKETS PRICINGAfrica Y ** YAsia Y ** YEast Europe (newly independents) Y ** YIndia and bordering countries Y ** YLatin America Y ** YPacific Rim Y ** YSERVICES OFFERED Direct interfaces Y Y YInternet connectivity Y Y Y3rd party info delivery Y Y YCustomization for reporting Y Y YModified tolerance checks Y ** YCORPORATE ACTIONSDirect feed for corporate actions Y ** YNon-U.S. firms Y ** YRETRIEVE NON-U.S. ACTIONS FROMFT Interactive Data/Extel N ** **Standard and Poor's Y ** **Reuters Y ** **DISASTER RECOVERYHot site team ready Y Y YBackup system immediately available Y Y YDisaster recovery always available Y Y Y

Pricing

Part 3 — Services

S&P Securities Evaluations Street Software Technology Telekurs Financial



Part 3 — Services

TRADITIONAL PRINT401(k) documents Y Y N Y Y Y YProspectuses Y Y Y Y Y Y YAnnual reports Y Y Y Y Y Y YAccount applications Y Y N Y N Y YConsolidated statements N Y N Y N Y YDaily confirmations N Y N Y N Y YBroker statements N Y Y N N Y YMarketing materials Y Y Y Y Y Y YEnvelopes Y N Y Y Y Y NProxy materials N Y N N Y Y YRegistration statements N Y N N Y Y YRedemption checks N Y N N N Y YCheckwriting checks N N N N N Y NVA documents N Y N Y Y Y YOffset printing base stock Y N Y Y Y Y NELECTRONIC DELIVERY401(k) documents Y Y N Y Y Y YProspectuses Y Y Y Y Y Y YAnnual reports Y Y Y Y Y Y YAccount applications Y Y N Y Y Y YConsolidated statements N Y N Y N Y YDaily confirmations N Y N Y N Y YBroker statements N Y N N N Y YMarketing materials Y N Y Y Y Y YProxy materials N N Y N Y Y YRegistration statements N N N N Y Y YVA documents Y Y N Y Y Y YSERVICE CAPABILITIESProofreading Y Y Y N Y Y NDiskette alteration/File manipulation Y Y Y Y Y Y NTypesetting Y Y Y N Y Y YPrint on demand (POD) Y Y Y Y Y Y NPOD integrated with fulfillment Y Y Y Y Y Y NDesktop publishing Y Y Y Y Y Y NComputerized inventory tracking Y Y Y Y Y Y YDistributive printing Y Y Y Y Y Y YDocument management Y Y Y Y Y Y YDocument building/distribution Y Y Y Y Y Y YDocument storage: hard copy Y N Y Y N Y YDocument storage: microform N N N N N Y YDocument storage: CD-ROM Y N Y Y N Y YDatabase management Y Y Y Y Y Y YDigital imaging Y N Y Y Y Y Y

Print

AssetCommunications

Bowne & Company

Bowne GCom2Solutions

Capital Fulfillment

Group

CommandFinancial

PressComputershareCommunication DST Output



TRADITIONAL PRINT401(k) documents N Y Y Y Y YProspectuses N Y N Y Y YAnnual reports Y Y N Y Y YAccount applications N Y N Y Y YConsolidated statements N Y Y Y Y YDaily confirmations N Y Y Y Y YBroker statements N Y Y Y Y YMarketing materials Y Y Y Y Y YEnvelopes Y Y N Y Y YProxy materials Y Y Y Y Y YRegistration statements N Y N Y Y YRedemption checks N Y Y Y Y NCheckwriting checks N Y N Y Y NVA documents N Y Y Y Y NOffset printing base stock N Y N Y Y YELECTRONIC DELIVERY401(k) documents N Y Y Y Y NProspectuses N Y Y Y Y NAnnual reports N Y Y Y Y NAccount applications N Y N Y Y NConsolidated statements N N Y Y Y NDaily confirmations N N Y Y Y NBroker statements N N Y Y Y NMarketing materials N Y Y Y Y NProxy materials N Y Y Y Y NRegistration statements N Y N Y Y NVA documents N Y Y Y Y NSERVICE CAPABILITIESProofreading N Y N Y Y YDiskette alteration/File manipulation Y Y N Y Y YTypesetting Y Y N Y Y YPrint on demand (POD) Y Y Y Y Y YPOD integrated with fulfillment Y Y Y Y Y YDesktop publishing Y Y N Y Y YComputer inventory tracking Y Y Y Y Y YDistributive printing N Y Y Y Y NDocument management Y Y Y Y Y NDocument building/distribution Y Y Y Y Y NDocument storage: hard copy N Y Y Y Y NDocument storage: microform N Y Y Y Y NDocument storage: CD-ROM Y Y Y Y Y NDatabase management N Y Y Y Y NDigital imaging Y Y Y Y Y N

Print


HansonPrinting

Merrill Corporation PFPC

RR Donnelley

Smart SourceServices

Smith-Edwards-Dunlap

Part 3 — Services



Part 3 — Services

SOLICITATION PREPARATIONRecordholder tape conversion Y Y Y Y NInspector for shareholder meetings Y Y N Y NStrategic planner for s/h meetings Y Y N Y YShareholder profile analysis Y Y N Y NProfit analysis for efficient mailing Y Y Y Y NAssist in design of materials Y Y Y Y YSupply other printed enclosures Y Y Y Y YHousehold proxies Y Y Y Y YPrint on proxiesText Y Y Y Y YNames, addresses, shares Y Y Y Y YMail proxies directly toRecordholders Y Y Y Y YBrokers, banks for street accounts Y Y N Y YSOLICITATION SERVICESSeparate disaster recovery site Y Y Y Y YProxy solicitation services Y Y Y Y **Merger/acquisition proxy services Y Y N Y **Solicit recordholders, street, instl. accts. Y Y N Y **Provide search/distribution svcs. Y Y N Y **Keep contact w/agents' proxy depts. Y Y N Y **Record shareholder conversations Y Y Y Y **Daily analyses of overall results Y Y Y Y **Mass calls to ind. recordholders Y Y Y Y **Contact shareholders internationally Y Y N Y **Interactive VRU systems for votes Y Y Y Y **Answer recordholders' questions Y Y Y Y **Accept incoming calls/votes Y Y Y Y **Accept incoming calls/reg. accts. Y Y Y Y **Accept incoming calls/street accts. Y Y N Y **Touch-tone voting Y Y Y Y **Internet voting Y Y Y Y **Coordinate calls w/tabulation agents Y Y Y Y **PROXY TABULATION SERVICESProxy tabulation services Y Y Y Y **ADP interface for street positions Y Y Y Y **Optical scanning for proxy tabulation Y Y Y Y **Real-time, on-line tabulation system Y Y Y Y **Client on-line access to voting results Y Y Y Y **Report unvoted proxies (many shares) Y Y Y Y **Analysis of voter shareholder profiles Y Y N Y **

Proxy

The Altman Group

Computershare Fund Services DST Output PFPC RR Donnelley




Part 3 — Services

CALLERS CANAccess an account by number Y YAccess an account by SSN Y YAccess the system by phone Y YAccess the system by computer Y **Access help within the system Y YUse action-specific help function Y YExit the system to speak to a rep Y YTransfer to individuals, extensions Y YLeave a message Y YReturn to prior menus Y YSkip ahead bypassing prompts Y YChange their own PINs Y YCustomize their VRU selections Y YObtain current fund price/yields Y YObtain historical fund price/yields Y YObtain customer account balances Y YObtain customer portfolio balances Y YObtain year-end account balances Y YObtain recent transaction history Y YObtain recent fund DIVs/Cap gains Y YObtain total return information Y YHear recent information bulletins Y YHear fund objectives/descriptions Y YObtain stock/bond index updates Y YHear the MF firm's market outlook Y YObtain MF firm's mailing address Y YExchange from one fund to another Y YOrder literature fulfillment Y YOrder checkbooks Y YRedeem by wire to a bank account Y YRedeem via check to home address Y YPurchase shares via ACH Y YRedeem shares via ACH Y YOrder tax forms Y YOrder account statements Y YRequest materials to be faxed Y YSYSTEM FEATURESUtilizes existing phone equipment Y YVoice recognition capabilities Y YMonitoring and security features Y YCustomization for each client Y YVocabulary design consultation Y YInternet connectivity Y YCall management reporting Y YReal-time information retrieval Y YDedicated service contact Y YEmergency backup to re-route calls Y YClients can update their system Y Y24/7 operational capability Y Y

VRUARGOS

ComputerSystems PFPC




Part 4 — Company ProfilesPart 4 — Company Profiles

Access Data Corp.Frank PolefroneSenior Vice PresidentTwo Chatham Center, 2nd FloorPittsburgh, PA 15219Phone: 412-201-6077Fax: 412-201-6088Toll Free: 1-888-790-1744Email: [email protected] Web: www.accessdc.comServices offered: CRM

Access Data Corp. is the leadingprovider of enterprise reporting and datamanagement services for mutual fundcompanies. Access Data’s flagship prod-uct, SalesVision, provides a suite of busi-ness applications including ShareholderCompliance (22c-2), Sales Reporting,and Compensation Tracking. Today,financial services firms representing over$2.5 trillion in assets under managementare benefiting from Access Data’s solu-tions and services.

Access Data Insight Services providesSalesVision clients with outsourcedoperational and analytical services forenterprise sales reporting, customer rela-tionship management (CRM), compen-sation tracking and 22c-2 compliancemonitoring. Working with your manage-ment team, Access Data business expertswill provide insight into “best practices”for your 22c-2 shareholder complianceand analysis as well as an in depth inter-pretation of your sales and compensa-tion results.

AccessDiscovery, a new product offeringfrom Access Data and Discovery, is designedto provide fund companies a clear, concisepicture of their best clients and idealprospects. With AccessDiscovery, firms willfinally be able to match trade data with mar-ket information allowing them to createprofile ratings of reps and identify their bestsales and cross selling opportunities.

The Altman Group, Inc.Paul J. TorreSenior Managing Director60 East 42nd StreetSuite 405New York, NY 10165Phone: 212-400-2610

Fax: 717-754-7409Email: [email protected]: www.investorconnect.comServices offered: mail, proxy

The Altman Group, Inc. (TAG) is a fullservice proxy management firm servicingmutual funds, insurance and public com-panies in all aspects of the shareholdermeeting process. These services includeinitial planning and development, design,printing, mailing, tabulation, solicitationand vote certification for both annual andspecial shareholder meetings. Our suc-cesses are derived from the knowledge,enthusiasm and work ethic of our execu-tive proxy staff. In our pursuit of clientsatisfaction and dedication to success, wehave been awarded the proxy solicitorTOPS award two consecutive terms. TheTOPS award is awarded to the solicitationfirm with the highest overall customersatisfaction ratings.

The executive staff at TAG is made upof a team of industry leading executives,who combined, have over 100 years ofsolicitation experience. In addition to ourexecutive team, we have developed state-of-the-art mail, tabulation and call centertechnology enabling us to provide customprint and communication solutions foreach client’s unique proxy campaignsrequirements.

ARGOS Computer SystemsGresford PriestleyVice President, Marketing110 West 32nd Street, 3rd FloorNew York, NY 10001Phone: 212-594-5400Fax: 212-967-1195Email: [email protected]: argoscomp.comServices offered: VRU

ARGOS Computer Systems is the recog-nized leader in offering complete turnkeysolutions, as well as designing and imple-menting customized software for the finan-cial services market. We are an IBM solutionsprovider, and AUDIO/1 IVR is the mostfunctionally advanced of any in the mutualfund industry, providing quality solutions tomeet the demands of the industry.

Users can access our high-performanceIVR via touch-tone and natural languagespeech recognition. The system is capableof handling Web-based services, touchscreens, and wireless devices. AUDIO/1interfaces with all types of data and hostformats of the fund record keepers orback-office systems. All files, including hostfiles, are presented to the script in a uni-form manner. This offers immunity fromexternal changes.

An interface to Oracle, Sybase, XMLand other custom systems is available.AUDIO/1 also contains a set of libraryfunctions that allow our IVR to collectDNIS information, as well as provide calltransfer and screen-pop coordination. Thisintegration facility provides a seamlesstransfer for customers from self-servicemode to assisted live-agent interactionswithout loss on content.

We provide support for VoIP, includingenhanced call-routing functions withspeaker independent, continuous speech,and voice recognition applications. Wealso support computer-telephone integra-tion featuring a synchronized host datascreen along with the call transfer (screenpop). ARGOS can take total responsibilityfor installation of the system at your facil-ities, including hardware and software, orprovide the service to you, with all facili-ties and staff required to run the system.As we have in past implementations, ourstaff will work closely with your companyto develop an optimum system to meetyour requirements.

Our applications also have a cross-industry focus. Other areas where oursolutions work well include 401(k) definedbenefit plans and human resources.

Asset Communications, Inc.Christina ShieblerManaging Director1764 Prospector Avenue, Suite 1Park City, UT 84060Phone: 435-645-9108Fax: 435-649-3793Email: [email protected]: www.assetcommunications.comServices offered: mail, marketing com-munications, print

102-112_MFSG08_SC_Profiles.v2.qxd 4/18/08 12:57 PM Page 102

Asset Communications, Inc. is a fullservices marketing and communicationsfirm specializing in the financial servicesindustry. We provide strategic consulting,financial writing, design development,Internet design, traditional print and mail-ing services. Our staff has worked in thefinancial industry since 1988 and offeryears of experience. We offer a network offinancial strategists and writers. Many ofthese individuals hold securities licensesand certifications.

Asset Communications provides fullservice mailing capabilities including data-base management, laser and ink jet tech-nology, print-on-demand printing andmailing, and an on-location post office.Strategic partners operate two to threeshifts year around. Quality control proce-dures ensure accuracy and timely delivery.

Our area of expertise is to work withthe designer/marketing manager to effec-tively plan the mailing service, ensuringaccuracy and quality.

We are in the process of expanding ourInternet design capabilities, includingtracking and response reporting through aproprietary software.

Our principal business is financial serv-ices marketing and communications. Weoffer turnkey services or à la carte pricingfor individual services.

As a printing broker, AssetCommunications maintains vendor rela-tionships with numerous vendors through-out the country. We provide due diligenceon quality printers with a competitive pric-ing advantage as well as full range of tech-nology and state-of-the-art equipment. Ateach step of the manufacturing process,Asset Communications works with ourstrategic partners to effectively plan yourprint project including press supervision.

The partners we have selected are highquality shops, with a competitive pricingadvantage.

BergerBrown Communications, Inc.

Laura J. BergerChairman & CEO215 Ridgedale AvenueFlorham Park, NJ 07932Phone: 973-410-0500Fax: 973-410-0600

Email: [email protected]: www.bergerbrown.comServices offered: marketing communication

BergerBrown Communications is anationally recognized public relations andmarketing communications firm, special-izing in serving the needs of the financialservices industry. Our mission is to provideour clients with world-class financial com-munications services that meet the highestprofessional standards.

As a client driven firm, BergerBrowntakes a pro-active approach to helpingour clients achieve their goals, allowingthem to maximize the benefits of usingprint, television, radio and electronicmedia to enhance your company’s expo-sure and position your spokespeople asindustry experts.

Regardless of your funds’ investmentperformance, it is important to communi-cate strongly and consistently to the invest-ing public. BergerBrown’s team of talentedprofessionals has the skills necessary topromote a strong positive image toinvestors and raise your fund’s visibilityand credibility in the marketplace.

We have been building relationshipswith the media for over twenty years, andhave strong, long-term relationships withreporters, editors and producers. Thisprovides us with invaluable access, so thatwe can facilitate interviews, present accu-rate information and shape stories in sig-nificant ways.

Our clients appear regularly in presti-gious publications such as: The Wall StreetJournal, The New York Times, InvestmentNews, Pensions & Investments, Barron’s,Institutional Investor Newsletters, MoneyMagazine, Business Week, and Kiplinger’sPersonal Finance. They are also seen onCNBC, Fox Business News, Bloombergand PBS’s Wealth Track.

BergerBrown Communications offers afull range of public relations services,which will guide your company in reachinglarge numbers of your target audience.

We would like the opportunity to dis-cuss how we can strategically positionyour fund in the marketplace, and we wel-come the chance to put our knowledge towork for you.

Bowne & Company, Inc.Tom SiedzikDirector of Sales55 Water StreetNew York, NY 10041Phone: 212-658-5301Email: [email protected]: www.bowne.comServices offered: print

Bowne & Company, Inc. offers an end-to-end solution for meeting the complexneeds and changing regulations of funddisclosure. Our range of integrated prod-ucts and services enable investment andfund administration firms to create, man-age and produce reports, prospectuses andother disclosures accurately and efficiently.Our products provide commercial-gradesolutions for increasingly complex fundstructures and global financial reportingrequirements. Our services range fromEDGARization and XBRL-production totypeset and distribution of financialreporting and fund disclosures.

Bowne GCom2 SolutionsKevin FlavinVice President, Sales and Marketing500 West Dutton Mill RoadAston, PA 19014Phone: 610-364-0200, ext. 4261Fax: 610-364-0210E-mail: [email protected]: www.bowne.com/about/gcom2.aspServices offered: print

Bowne GCom2 Solutions offers an end-to-end solution for meeting the complexneeds and changing regulations of funddisclosure. Our range of integrated prod-ucts and services enable investment andfund administration firms to create, man-age and produce reports, prospectuses andother disclosures accurately and efficiently.Our products provide commercial-gradesolutions for increasingly complex fundstructures and global financial reportingrequirements. Our services range fromEDGARization and XBRL-production totypeset and distribution of financialreporting and fund disclosures.






Capital Fulfillment GroupThomas J. MatsonManaging Director, Sales & Marketing75 Research RoadHingham, MA 02043Phone: 781-783-6500Fax: 781-783-5061Email: [email protected]: www.cfgweb.comServices offered: CRM, mail, marketingcommunications, print

Capital Fulfillment Group (CFG)brings a new standard of excellence insophisticated fulfillment solutions exclu-sively to the financial services industry.Our real-time, online customized fulfill-ment programs offer the most responsive,efficient, and cost-effective methods tosupport the distribution needs of salesand marketing.

We know that excellence in clientrelationships requires excellence incommunication—not just between aclient and CFG, but between our clientsand their customers. That is why westrive to provide better, faster, easier ful-fillment solutions.

We enhance our fulfillment programswith complementary offerings throughthree distinct divisions; CFGDigital,dynamic, personalized print-on-demandand direct mail solutions; CFGCreative,integrated marketing communications andgraphic design services; and CFGRewards,a measurable corporate and personalreward premium program.

Entering our eighth year, we will con-tinue our philosophy of making strategicinvestments and empowering clients withthe most comprehensive sales and market-ing tools in the industry.

Command Financial PressBruce BezpaVice President, Marketing75 Varick StreetNew York, NY 10013Phone: 212-274-0070Fax: 212-334-8783Email: [email protected]: www.commandfinancial.comServices offered: print

Command Financial Press, one of thecountry’s largest privately held financialprinters, offers the latest in technology-based solutions and personalized service tothe investment company community. Aspart of Command’s philosophy, and in fur-therance of our goal of working withclients in a partnership mode, Commandoffers a comprehensive and integratedsolution “under one roof.” The services weoffer include document creation, typeset-ting, proofreading, customer service, con-tent management, web-based project andworkflow management, language transla-tion, traditional and electronic fulfillment,and EDGAR services. Additionally, we haveextensive in-house press capacity includingweb offset, sheet fed, and on-demandprinting, as well as full bindery capabilities.

Our latest innovation, CommandAutomated Typesetting System (CAPS), isa web-based content and document man-agement tool for automating the prospec-tus creation process through a “virtuallibrary” of content that can be reusedacross various documents. For prospectus-es, this effort has been spearheaded by anexperienced ’40 Act attorney who hashelped ensure that the application is end-user driven. Client benefits related to thisproduct include reduced costs associatedwith drafting/editing; reduced costs associ-ated with legal review; reduced legal liabil-ity associated with possible incorrect orincomplete information; and improvedspeed to complete your SEC filings. Werecently launched our shareholder reportmodule of CAPS, which is led by an expe-rienced fund administrator. This moduleaddresses the SOI, financial statements,notes to the financial statements, and othersections of shareholder reports. In the sec-ond quarter of 2008, Command willlaunch our integration module, which willbridge our prospectus module with ourshareholder report module, creating a sin-gle platform and data source.

Computershare FundServices

Cynthia BoudreauExecutive Vice President, Sales &Marketing250 Royall StreetCanton, MA 02021

Phone: 781-356-4533Fax: 781 356 4152Email: [email protected]: www.computershare.comServices offered: mail, print, proxy

Computershare Fund Services (“CFS”)is the single source for all proxy and share-holder meeting requirements. Fund execu-tives chose us for their mega-proxiesbecause of our management talent, inno-vative technology, call center capacity andcontinually evolving service offerings.Large, full-service campaigns haveincreased our back office contacts anddeepened our extensive proprietary tele-phone number database—factors that helpclients of all sizes. For the second wave ofthese mega-campaigns we were able toreview voting patterns and used their pre-ferred voting methodologies to target indi-viduals who previously participated so asnot to spend campaign dollars on unre-sponsive shareholders.

CFS’ technology provides shareholderswith a better voting experience while max-imizing vote gathering and timely record-ing for our clients. Using our Smarttm dataprocessing and vote recording systemsgives CFS a greater hit rate than standardvoting methods. The proxy SmartCardtmallows us to group all of a shareholder’spositions within a single proxy statementonto one voting card. Regardless of votingmethod all funds owned appear exactly asrepresented on the proxy card, and all thepositions can be voted with one controlnumber. If casting a TeleVotetm, the repre-sentative also sees all positions held andother accounts that are “linked” to thatshareholder. The TeleVote systemimproves our vote gathering results—anunmatched 65% response when connect-ed to the right party.

Votes received are tabulated and postedto our web-based reporting site within thehour. Clients can review voted data when-ever they want. As the meeting dateapproaches, updates are in their handsimmediately allowing for targeted decisionmaking to best achieve results and insureefficiency in targeting shareholders whohave not yet voted.

In total compliance with the SEC’s new




“notice and access” rules, Computershareoffers mutual fund and annuity issuers theability to utilize its cost-saving features.

CFS offers advanced print and mailingsolutions for non-proxy compliance mail-ings. Our industry-unique NOBO mailingprogram saves customers money even afterpurchasing NOBO shareholder records.CFS’ NoEnvelope.comtm full-service elec-tronic delivery includes capturing of con-sent, notification of document availabilityand e-delivery failure follow-up.

To see why we are the firm of choice forproxy and compliance mailing services, callCindi Boudreau at 781-356-4533 or [email protected].

DST OutputCheryl KananowiczVice President, Financial Services Sales 125 Ellington RoadSouth Windsor, CT 06074Phone: 860-290-7270Fax: 860-290-7269Email: [email protected]: www.dstoutput.comServices offered: mail, print, proxy

DST Output delivers the best products,quality, service and innovation at a com-petitive price to help solve our clients’print, postal, and electronic communica-tion needs. We help clients improve rela-tionships by leveraging the latest technolo-gies, including the use of color and person-alization to create forceful, integrated printand electronic communications.

Leveraging over 35 years of experi-ence, DST Output clients can select vari-ous cost-effective document outputoptions, including high speed digitalcolor. Our online, secure Customer Portalis the gateway to auditing, job tracking,statement production reporting, andpostage reports, as well as our campaignmanagement toolset to support adminis-trative and operational needs. Nationallocations and use of corporate-ownedworld-class Winchester Data Center dataprocessing offers additional levels ofredundancy and security.

DST Output clients create, schedule andtarget on-statement messages, graphicsand inserts to manage the customer lifecy-cle using online campaign management

tools, integrated with statement produc-tion. We also offer sophisticated directmarketing services and award-winningdesign services.

In addition, our electronic deliverymodular solution provides the ability topresent the same document for viewing toas many audiences as required.Information can be stored for as long asbusiness needs dictate, using formatsincluding Web-based PDF or HTML, orCD/DVD and COM. Secure e-mail distri-bution is available.

Through our eProxy platform, consent-ing shareholders can access electronic ver-sions of their proxy material via linksreceived by e-mail. The solution is inte-grated with our consent management andvoting platforms. DST Output can supportour clients in complying with the SEC’snew Internet Availability of ProxyMaterials rule. We can also deliver printedproxies as needed.

We work closely with the UnitedStates Postal Service® and often con-tribute to solutions development thathelps our clients and the mail industrycreate mail efficiencies and streamlinepostal expenses. In addition, we can helpclients to implement strategies to allevi-ate the impact of rising postage coststhrough optimized mail piece design,consolidated mailings, permit imprintutilization and improved Move Updatecompliance.

Hanson Printing CompanyPaul CiconePrincipal200 Montello StreetP.O. Box 1990Brockton, MA 02303Phone: 800-696-3590Fax: 508-588-4516Email:[email protected]: www.hansonprinting.comServices offered: print

Massachusetts-based Hanson PrintingCompany celebrates its 72nd anniversaryin 2008. With our recent change in own-ership and ongoing commitment to con-tinually invest in new technology, thecompany is well positioned to maintain

its reputation as one of the premieremulti-color printers in our area. A corpo-rate focus on productivity and profitabili-ty will lead Hanson Printing through thenext 70 years.

We continue to focus on job planningand customer communication to assure thateach project can be produced on time, with-in budget and at the highest quality. Livingup to the adage that printing is “more thanink on paper” we continue to suggest alter-native stocks, different size options and opti-mal ink usage to assist our clients in produc-ing a job that is printable and economical.Our digital prepress workflow with comput-er-to-plate technology, efficiently processeswork for our 2 through 6 color presses. Weare a two shift plant that offers maximumproduction capacity to meet customer’sdeadlines. In-house bindery, fulfillment andfinished goods inventory assure additionalvalue added service for our clients. In early2006, we added digital color “print ondemand” services, as an adjunct to ourmulti-color sheet-fed capabilities, for proj-ects where turnaround times may be short,print runs low or where customization orversioning are needed.

At the present time, we work with sever-al clients in the mutual funds/financialmarket producing fund sheets, sales/mar-keting materials, mailers, newsletters andpostcards. We also offer consultation onmailing specifications and postage consid-erations to ensure that items arrive in themost timely and economical manner.

Harte-Hanks Inc.Contact Harte-Hanks200 Concord Plaza Dr.San Antonio, TX 78216-6942Phone: 866-494-2667Email: [email protected]: www.harte-hanks.comServices provided: CRM, mail, marketing communications

Harte-Hanks, Inc. is a worldwide,direct and targeted marketing companythat provides direct marketing services tolocal, regional, national and internationalcompanies. Among our clients are Fortune1000 companies in consumer and busi-ness-to-business markets across theAmericas, Europe and the Pacific Rim.




Harte-Hanks is vertically focused, withfinancial services being one of our largestsegments, with specialization in solutionsfor the challenges facing broker/dealer andinvestment management firms.

Harte-Hanks delivers world-class directmarketing solutions that enable clients toacquire new financial advisor and clientrelationships, keep them active longer, andincrease their value. Our clients gaininsights about advisors' and clients’ knownbehaviors and preferences so they can con-tinually refine marketing models and busi-ness decisions, and improve marketing ROI.

No matter how complex a firm’sneeds, we make it happen. That meansemploying the appropriate communica-tion channel(s) to influence the targetaudience: traditional mail and e-mail,outbound and inbound calls from cus-tomers and prospects, fulfillment and e-marketing. It means using the Web toattract and grow relationships, usingprint on demand when the value of per-sonalization is evident, and buildingstrategic marketing plans that improveresponse and satisfaction while measur-ing program effectiveness to guide con-tinuous improvement.

Kanter and Company, LLCVictoria OdinotskaPresident5313 Lee Highway, 2nd FloorArlington, VA 22207Phone: 703-534-2150Fax: 703-534-6199Web: www.kanter-associates.comServices offered: marketing communi-cations

Kanter and Company enhances clients’marketing and branding efforts byincreasing awareness of their funds andmanagers through a steady flow of public-ity in newspapers, magazines, online newsservices, TV and radio. We are well knownfor our especially good relationships withfinancial journalists.

Our primary focus and expertise isdeveloping publicity for funds, managersand investment firms through very closeworking relationships with national andregional news media. We provide our clientswith a daily news media database search for

any coverage of their firms. We also arrangefor media training when needed.

Langton Cherubino GroupDavid LangtonPrincipal119 West 23rd StreetSuite 700New York, NY 10011Phone: 212-533-2585Fax: 212-533-2448Email: [email protected]: langtoncherubino.comServices offered: marketing communications

Langton Cherubino Group createscommunication programs that effectivelycombine content and imagery in ways thatinspire interaction and response.

We’re a New York-based firm with over12 years experience in delivering smart andcompelling solutions for communicationprograms. Our approach results in creativeand unique designs that are innovative, freshand distinctive. Langton Cherubino Groupprovides comprehensive branding solutionsthat cross all media experiences including:

• Corporate Identity• New Media• Print• Web• Exhibits• Signage• PackagingLangton Cherubino Group works with

leading financial service firms to developstrategic communications programs tar-geted to shareholders, brokers, andprospective investors for retail and institu-tional sales.

Marketing Communications compo-nents include:

• Annual Reports• Branding / Identity/ Logo Design• Capabilities Programs• E-marketing newsletters and emails• Fact sheets• Fund Commentary• Interactive Marketing (Flash, Video

presentations)• Sales Literature• Shareholder Communications• Tradeshow Exhibits• Websites

Merrill CorporationRoy GrossPresident, Marketing andCommunication Solutions 225 Varick StreetNew York, NY 10014Phone: 212-229-6602Fax: 212-367-5989Email: [email protected]: www.merrillcorp.com

Merrill Corporation is a leadingprovider of outsourcing solutions for mar-keting and compliance driven businesscommunication and information manage-ment. Merrill’s services include documentand data management, litigation support,branded communication programs, fulfill-ment, imaging and printing. Merrill’s targetmarkets include the legal, financial services,healthcare, insurance and real estate indus-tries. With more than 6,300 people in over70 domestic and 15 international locations,Merrill empowers the communications ofthe world’s leading companies.

Merrill is an industry-leading providerof financial printing and related servicesincluding SEC EDGAR and XBRL filings,corporate finance, public and privatetransactions, M&A transactions andshareholder communications. Our com-prehensive communications solutions aretailored to the specific needs of mutualfund and variable annuity companies, aswell as retirement plan providers andfinancial advisors.

We offer a broad range of technology-enabled products that empower ourclients to create and manage variable con-tent documents such as prospectuses,shareholder reports, fact sheets, retirementplan kits and personalized marketing pro-grams. Each custom solution addresses thefull communications life cycle from pointof creation through filing and distribu-tion. Merrill emphasizes continuousanalysis of efficiency and effectiveness ofall integrated programs.

Merrill’s virtual data room (VDR)solution, Merrill DataSite, is a completeand secure virtual data room solutiondesigned to optimize the due diligenceprocess and accelerate transactions forasset sales and purchases, M&A transac-


tions, merger integration and IPO transac-tions. Accessible from any Internet brows-er, DataSite allows multiple parties andprospective buyers to participate concur-rently from anywhere, dramatically reduc-ing transaction time and complexity.

Merrill Brink International provides awide range of language services, includingtranslation, localization, internationaliza-tion and globalization services. In addi-tion, Merrill Brink has also developed aunique set of tools for the integration withdocument management systems, budget-ing and translation project management.

Merrill Corporation works with someof the world’s most recognized brands,providing a broad range of production,distribution and corporate identity andcompliance services. Our brand manage-ment expertise assures quality, consistencyand exceptional cost savings.

PFPCFor CRM:Chuck GallantSenior Vice President66 BroadwayLynnfield, MA 01940Phone: 781-477-4115Email: [email protected]

For mail, print and proxy services: Michael DeNofrioExecutive Vice President66 Broadway Lynnfield, MA 01940 Phone: 508-871-9665Fax: 508-871-9030Email: [email protected]

For marketing communications:John MarchandVice President 4400 Computer DriveWestborough, MA 01581 Phone: 508-871-9050Email: [email protected]

For VRU: Leo Boyle Director 4400 Computer Drive Westborough, MA 01581 Phone: 508-871-9541 Fax: 508-871-9958

Email: [email protected] Web: www.pfpc.comServices offered: CRM, print/mail,proxy, marketing communications,VRU

Service Offered CRM: PFPC’s customer management

suite is a robust, Web-based desktop solu-tion. Integrated with our core recordkeep-ing functionality, it provides investmentcompanies with innovative functionalityincluding enhanced call center, corre-spondence, transfer of assets, problemresolution, e-forms, workflow manage-ment, intelligent character recognitionand contact manager capabilities. Thismodular suite of tools enables clients toimprove efficiencies and strengthen theirrelationships with investors across multi-ple service channels.

Print/Mail: PFPC provides extensive,one-stop output capabilities. With morethan 18 years of experience and a dedicatedwarehouse operation, PFPC has significantexpertise in producing high-resolution,variable-image documents. We operatestate-of-the-art, 600 DPI high-speed laserprinters and intelligent inserting and pre-sort equipment. Our automated mail oper-ation uses automated bar codes to controlthe process for both straightforward insert-ing and selective inserting. E-delivery offerspresentment of key financial documentsvia the Internet in PFD for HTML, alongwith e-notification, suppression and elec-tronic bill payment and presentment capa-bilities. From traditional transaction out-put, like statements and confirms, to newfulfillment, print-on-demand and com-mercial printing, PFPC offers a singlesource to meet our clients’ output needs.

Proxy: PFPC’s proxy services are a com-prehensive offering that cover every aspectof the proxy process. With our team oftrained mutual fund professionals, PFPCutilizes many strategies to ensure that fundproposals reach quorum. Our share strati-fication analysis, robust tabulation capabil-ity, open and modular technology, state-of-the-art call center and print mail capabili-ties are all key differentiators in the proxyservices marketplace.

Marketing Communications: PFPCtakes an individualized approach to mar-keting communications needs. Our teamof marketing professionals focuses onbuilding programs to support businessobjectives and asset growth goals. Key tothis approach is our ability to help firmsunderstand their various customer basesand facilitate delivery of targeted market-ing programs. We provide a comprehen-sive offering, including customer profilingand market segmentation, research, strate-gic planning, marketing planning and awide range of marketing, sales and share-holder communications programs.

VRU: PFPC’s voice response servicesprovide maximum flexibility, offeringclients options to use the existing templatewith minor modifications or to develop afull-scale customized application.Comprehensive features available throughthe touch-tone and speech recognitionbased voice response platform includeaccount balance, transaction history,checkbook reorder, statement orders, taxform orders, trading, fund price inquiry,fund dividend inquiry, fund capital gaininquiry, fund watch list, historic prices,year-end information, fund objectives,total return and yield information andportfolio manager commentary.

Other Services: PFPC is a leadingprovider of processing, technology andbusiness solutions to the global investmentindustry. A member of The PNC FinancialServices Group, PFPC offers a comprehen-sive array of investor and securities servic-es. In addition to shareholder communica-tions services, we offer transfer agencyservices, advanced output solutions, bank-ing transaction services, subaccounting,managed account services, fund account-ing and administration, global custody,securities lending, alternative investmentservices and international fund services.

RR DonnelleyJohn Hagerty, Vice President - NewBusiness Development andApplications RR Donnelley Global InvestmentMarkets 20 Custom House Street






Boston, MA 02110 Phone: 617-345-4313Fax: 617 345 4385 Email: [email protected] Web: www.rrdgim.com

Steve Keca, Director - ProductDevelopment RR Donnelley Business CommunicationServices 111 S. Wacker Drive Chicago, IL 60606 Phone: 630-313-7183Fax: 630-377-4620 Email: [email protected] Web: www.bcs.rrd.comServices provided: mail, marketingcommunications, print, proxy

RR Donnelley is the world’s premierfull-service provider of print and relatedservices. An $11 billion, Fortune 300 cor-poration, we have an unparalleled networkof over 60,000 employees in more than 600locations worldwide available to you 24hours a day, 7 days a week. For the globalinvestment marketplace, we leverage thecapabilities of the world’s largest printer toproduce compliance materials, marketingmaterials, statements and notices.

Investment Markets ServicesRR Donnelley Global Investment

Markets manages, produces, and deliverscompliance and marketing communica-tions for the global investment market-place. Whether your communicationsneed is print, electronic or both, ourunparalleled range of capabilities, indus-try-centric solutions and superior technol-ogy combine with our process, contentmanagement, RightMix optimization andcompliance expertise to make it easier foryou to reach your investors and complywith SEC regulations.

From start to finish, we focus on ensur-ing regulatory compliance, keeping costs incheck and building your brand while deliv-ering your documents with accuracy andspeed. Our consistent, professional andresponsive service teams, who are solelyfocused on 1940 Act business, partner withyou to bring added predictability andpeace-of-mind. That’s why we are theindustry leader at providing all of the key

capabilities required for investor commu-nications—composition, offset and tradi-tional print, digital print and print ondemand, e-Delivery, data management,and fulfillment with online ordering andinventory management.

Business Communications Services RR Donnelley’s Business Communi-

cations Services (BCS) is a leading providerof print, mail, and e-delivery of statements,invoices, and related documents. We useinnovative data management and imagingtechniques, such as our revolutionary IPScolor imaging platform, to make yourclient contacts more profitable.

Our nationwide network of productionand support facilities provide you withexperienced professionals and the mostadvanced technology to endure the righttools for each project. We produce over 1.5billion vital customer mailings each yearfor nearly a thousand clients nationwide.

For more information, contact yourlocal sales representative or visit our web-sites at www.rrdgim.com andwww.bcs.rrd.com.

s2 marketing+communications

Stephen SchmiederPresident656 West Randolph StreetSuite 3EChicago, IL 60661Phone: 312-382-9000Fax: 312-335-1292Email: [email protected]: www.s2b2b.comServices offered: marketing communications

s2 marketing+communications sup-plies a rare balance of strategic insight,creative thinking and tactical know-howto businesses that market to other busi-nesses. We are a team of financial veteranswho know the market, the language, thechallenges and the opportunities of thefinancial industry.

From branding to campaigns to theWeb, our clients call on us to be an exten-sion of their staffs, where ideas areexchanged, insights are shared, and goals

are achieved. With over 27 years of experi-ence, we help our clients capture mindsharebefore marketshare, leverage brand capitaland gain a better return on ideas. s2 helpsmove the decimal point for our clients.

• Strategic planning• Brand architecture and integration• Net marketing• Sales support• Advertising• Shareholder and Advisor

communications

SalesFocus SolutionsKathy WalshSales Manager2401 Kerner BoulevardSan Rafael, CA 94901Phone: 1-888-325-6277 x 4523Fax: 415-485-4823Email: [email protected]: www.salesfocussolutions.comServices offered: CRM

SalesFocus Solutions is a premierprovider of sales and compliance report-ing software for the Financial Servicesindustry. Our MARS product is used bymutual fund firms, banks, insurancecompanies, brokerages and RIA firms togrow asset, increase profitability, reduceoperating expenses and to address busi-ness challenges such as SEC Rule 22c-2compliance reporting.

The new MARS compliance reportingmodule provides fund firms with a power-ful integrated application to effectivelymanage all aspects of your 22c-2 compli-ance program, including; analyzing salesdata coming from your transfer agent orfrom intermediaries providing detail foromnibus account trades, identifying suspi-cious trading activity based upon yourfirm’s specific criteria and managing allcompliance related activities. MARS seam-lessly integrates with other CRM solutionsto enhance your sales and asset reporting.

Some additional features include: mar-ket timer tracking, omnibus sub-accounttransparency, business analytics, sales/assetreporting on all product types and prod-ucts and MARS is available onBlackberries, Palm, and IPAQ devices.

MARS will provide your business with acompetitive advantage.




Sales Page TechnologiesMichael PessettiVP Sales and Marketing2725 Airview BoulevardSuite 301Kalamazoo, MI 49002Phone: 269-567-7406Fax: 269-567-7427Email: [email protected]: www.salespage.comService offered: CRM

SalesPage Technologies, a leadingprovider of Customer RelationshipManagement software, is committed toworking closely with companies large andsmall to transform challenges into oppor-tunities. Our core values center around adedication to service, superior quality andconstant innovation. We take great pride inthe technological, professional and busi-ness expertise of our dedicated employees,each of whom understands that SalesPageTechnologies’ ongoing success depends onsatisfied clients and a continuing quest forhigh-quality innovation. SalesPageTechnologies views each new clientengagement as the beginning of a long-term relationship and the opportunity tosolve some of the most pressing issues fac-ing businesses today and tomorrow.

Committed to serving the investmentmanagement industry for more than 15years, SalesPage developed the SalesPageFinancial CRM solution to address the spe-cific needs of the financial services com-munity. SalesPage Financial gives compa-nies real-time access to mission-criticalinformation via standard web browsersand mobile devices. The targeted compo-nents of SalesPage Financial include:Transfer Agent interfaces, compliancetools, sales/asset reporting, contact man-agement, calendar/activity management,literature fulfillment and territory/channelManagement. These features serve yourtotal business including the Wholesale andRetail Distribution channels as well asInstitutional and Insurance Sales organiza-tions. The growing list of clients forSalesPage includes Allianz, BlackRockFunds, Eaton Vance, Federated Investors,ING Funds, JPMorgan, Old MutualCapital, and Phoenix Investments.

Smart Source ServicesArt TweedieVice President321 Commonwealth RoadWayland, MA 01778Phone: 508-661-6802Fax: 508-661-6900Email: [email protected]: www.smartsourcellc.comServices offered: mail, marketing com-munication, print

Smart Source Services is your printsolution for all your print & print/mailneeds. As a BPO (Business ProcessOutsourcer) we work with category lead-ing providers and specialists who areknown to be best-in-class productionfacilities. We work with some of America’slargest companies to provide statementprocessing, other print mail applications,inventory management products andservices for operational, marketing andcollateral print, warehousing, distributionand fulfillment services through our eightstrategically located nationwide distribu-tion centers, other graphic and data basedservices, direct mail, print-on-demand,promotional products for branding andevents planning. NOW, all of this can beoffered under “GateKeeper,” our uniqueinventory management, web-based pro-gram. GateKeeper allows our clients torealize costs savings up to 30%, using yourown supplier base (offering cost-pluspricing also).

Smart Source Services helps its clientscommunicate with their customers andprospects by delivering a closed-loopapproach to the marketing and communi-cations process. Our team of experiencedprofessionals function as an extension ofyour marketing department as we assistyou in each step involved in the develop-ment of strategic communications. LetSmart Source Services help you generate“Fresh Ideas” that improve your brand andimage. As we help you measure the effect ofthe program, we help you to maximize yourmarketing investment and measure its ROI.Our focus is on execution and whether it’sa single project or an integrated campaign,you can count on Smart Source Services todeliver quality results that add value.

We can build a campaign from start tofinish by combining variable on-demandand digital four-color printed informationtailored to meet your marketing goals.

Smith-Edwards-DunlapCompany

Robert McNameeVice President2867 E. Allegheny AvenuePhiladelphia, PA 19134Phone: 215-425-8800Fax: 215-425-9715Email: [email protected]: www.sed.comServices offered: mail, print

Smith-Edwards-Dunlap Company is ageneral Commercial/Financial Printer inPhiladelphia, PA. Our company wasfounded in the 1870s and has been servingthe financial and commercial printingmarket in the Northeast area ever since.Diversity of capability is the keystone ofour offerings to the Mutual Fund Industry.We can provide single color financial doc-uments on our web presses, as well as high-end marketing materials. Our in-housemailing and fulfillment capability com-pletes the package.

Standard & Poor’s Securities Evaluations, Inc.

A wholly owned subsidiary of TheMcGraw-Hill CompaniesFrank Ciccotto Senior Vice President55 Water Street45th Fl.New York, NY 10041Web: standardandpoors.com/pricingServices Offered: Pricing

Standard & Poor’s SecuritiesEvaluations, Inc. ("SPSE") provides inde-pendent fixed-income evaluations onapproximately 2.9 million North Americanand Non-North American fixed incomeinstruments. It also distributes to its clientbase evaluations and equity pricing servic-es of other unaffiliated firms1. In total,SPSE provides coverage for more than sixmillion global securities. Clients use our




evaluations to help monitor portfolios, cal-culate margin, analyze holdings, calculatenet asset values and provide prices onclient statements. Our team of evaluators,proprietary-pricing systems, methodologyand customer support uniquely positionus as a leader in global pricing services.

Asset coverage available as either a feedor through a web front-end includes: U.S.Municipal, U.S. Corporate, Treasury,Agencies, CMO, ABS, CMBS, MBS,Municipal Indices, Municipal YieldCurves, Equities, International FixedIncome, Syndicated Loans, Certificate ofDeposits (CD), Interest Rate Swaps, CreditDefault Swaps, CDOs and other complexsecurity types. Bonds evaluated byStandard & Poor’s Securities Evaluationsare priced using a methodology that isdriven in large part on market data. Ourproprietary databases and access to out-side sources also contribute to how wedetermine prices. S&P SupplementalFeeds reflect evaluations and equity pric-ing services of other, unaffiliated firmswith which SPSE has contracted to distrib-ute to its client base1.

We uitilize our Masterfeed platformwhich provides clients with the ability tointegrate multiple pricing sources such asS&P, CSV, CIBC, Kestrel Technologies,ICAP and Yieldbroker (to name a few)according to their own source hierarchy.Another feature of Masterfeed is the abilityfor clients to customize data fields of aneasy-to-program delimited file delivery tofulfill their end of day pricing needs orintra-day snapshots pricing needs (avail-able at this time for international bondsand equities only).

In addition to pricing, we provide anumber of services to the mutual fundcommunity. These services include:Securities DataManager Intraday Servicewhich is the terms and conditions for assetset up and database maintenance,Standard & Poor's/InvestorToolsMunicipal Performance Index, now alsoavailable within the Bloomberg desktop,Housing Call Reports, Global CorporateActions, Municipal Yield Curves, andSecurities Identifications and Cross-Referencing services.

Prices of firms other than the use ofSecurities Evaluations (“SPSE”) are the

responsibility of those firms and not SPSEand are produced under the firms’methodologies and policies and proce-dures, not those of SPSE.

Street Software Technology,Inc.

Bret BlackPresident230 Park AvenueSuite 857New York, NY 10169Phone: 212-922-0500Fax: 212-922-0588Email: [email protected]: www.streetsoftware.comServices offered: pricing

Street Software Technology, Inc. offersdaily pricing of one million bonds, includ-ing CMO/CMBS/IO/IOInverse, ABS,ARM, Pool, Corp, Agency, SBA andTreasuries. Prices are sourced from a majorprimary dealer. We also produce Intradayprice feeds for Treasuries and Mortgages.Multiple data delivery methods supportedincluding ftp and web access, dial modem,3780 bisynchronous, and private lines. Ourmortgage pricing is available viaBloomberg. Our coverage can be searchedat our web site. Price history also available.Banks, brokers, mutual funds, vendors, andnewspapers have depended upon our reli-able service since 1978.

Suasion Resources Inc.Jay NagdemanPresident103 Eisenhower ParkwayRoseland, NJ 07068Phone: 973-403-7600, x222Fax: 973-403-7800Email: [email protected]: www.suasion.comServices offered: marketing communi-cations

Suasion Resources is a specializedorganization that has provided financialmarketing consulting services to some ofthe country’s leading mutual fund organi-zations for over two decades. Our innova-tive, process-driven approach focuses onhelping clients identify (or create) a com-

petitive advantage that can be leveraged toprovide the foundation for market impactand profitability. We place at our clients’disposal an uncommon level of both talentand technique in the areas of strategy for-mation, creative development and imple-mentation—offered as a totally integratedset of services from a single source.

Suasion Resources’ consultants arefinancial marketing professionals who part-ner with clients to develop all the compo-nents of an effective, disciplined marketingprogram. We provide complete copywriting,design, Web programming, Search EngineOptimization, Internet marketing, andprint production services to create persua-sive printed and electronic marketing initia-tives. By orchestrating the entire process, wecan ensure that everything is designed andpresented as part of an attractive, integratedpackage that helps our clients build strongbrand identities, increase their marketingreach and enhance relationships with theircustomers and distribution partners.

Telekurs Financial CompanyKarl MalchowSales ManagerRiver Bend CenterOne Omega Drive, Building 3Stamford, CT 06907Phone: 203-353-8100 x209Fax: 203-967-2961Email: [email protected]: www.tkusa.comServices offered: pricing

Since 1930, Telekurs has been dedicated todelivering the best quality, farthest-reaching,global market and reference data available inthe industry. That focus and commitmenthave never wavered, and today we offer theflexible data solutions you need to respondwith speed and confidence to changes drivenby external forces or internal strategy.

Through our network of offices in 22countries, Telekurs sources completeinformation on nearly 4 million globalfinancial instruments directly fromapproximately 850 exchanges and third-party contributors. Our pricing and pro-cessing solutions cover virtually everyrequirement from real-time streamingprices to robust securities master data—and everything in between.


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Telekurs’ flexible portfolio valuationsolution delivers just the pricing infor-mation you need, exactly when and howyou need it. With intraday and closingprices from all our worldwide sources,you can choose to receive valuation pric-ing for a wide range of securities or foryour specific holdings.

For greater depth, Telekurs’ streamingMarket Data Feed (MDF) delivers a broadarray of reported, derived and statisticalelements. Data is normalized and consoli-dated, then delivered through broadcast orcache-based solutions.

Telekurs Valordata Feed (VDF) is theleading source for securities reference,descriptive and corporate actions informa-tion. VDF uniquely offers the linkage ofreference data to valuation pricing, issuer,events and other key elements. Literally allinformation about a security is linked,enabling easy identification of instru-ments, related derivatives, issuer, corporateaction history, dividends, splits and eventrading place. Linkage extends to funds,where we offer asset allocation informa-tion, and to indices, where we offer compo-sition and constituent information.

From valuation pricing and real-timemarket data feeds to streamlined backoffice products and services for improvedSTP—Telekurs is your one source for qual-ity global data.

UMB Fund Services Lonnie MacdonaldSenior Vice PresidentBusiness Development Manager803 West Michigan StreetMilwaukee, WI 53233Phone: 414-299-2209Email: [email protected]: www.umbfs.comServices offered: marketing communi-cation

UMB Fund Services partners with ourclients to create distinctive, differentiatingcustomer communications. Our strategicprocess starts with analysis and creativityand ends with measurement and evaluation

so that your communications campaignscan be assessed in terms of their effective-ness, impact and results. Our creative team’sfamiliarity with the regulatory requirementsof our industry saves our clients time andmoney by producing communications thatare both creative and compliant.

UMB Fund Services’ industry researchtools and experience add value and contextto the communications strategies andcampaigns we help our clients develop.

UMB Fund Services offers a completeline of investment product services,including administration, fund account-ing, investor services and transferagency, distribution, custody, cash man-agement and alternative investmentproduct services.


Bob KernDirector of Sales615 East Michigan St.Milwaukee, WI 53202Phone: 414-765-5678Fax: 414-212-7360Email: [email protected]: www.usbfs.comServices offered: marketing communications

As a complement to U.S. BancorpFund Services’ full spectrum of fundservices, Quasar Distributors, LLC, awholly owned subsidiary of U.S. Bancorpand a registered broker/dealer in 50 states,U.S. Bancorp Fund Services assists eachclient with analyzing their products anddeveloping effective marketing strategies.We also underwrite and distribute mutualfunds. We work closely with each client toevaluate the funds selling attributes anddevelop a unique sales and marketingstrategy. Our marketing services includedesigning sales collateral, fund fact sheets,newsletters and informational brochures;coordinating media promotions andspeaking engagements; and developingwebsites and coordinating e-mail cam-

paigns. In addition to creating marketingmaterials, we review all materials toensure FINRA compliance.

We also provide a comprehensive, inte-grated array of fund services, includingfund administration and compliance, legaladministration, transfer agent, shareholderservices, fund accounting, prospect servic-es, custody and securities lending, cashmanagement services, consulting and sup-port services and alternative investmentproduct servicing.

Wechsler Ross & PartnersDebbie FolsomExecutive Assistant641 Avenue of the AmericasNew York, NY 10011Phone: 212-924-3337Fax: 212-675-2810Email: mailto:[email protected]: www.wechsler.comServices offered: marketing communications

Since 1985, Wechsler Ross & Partnershas helped financial products and compa-nies stand out in a crowded marketplace.Working exclusively with financial andinvestment firms, our in-depth knowledgeand experience add significant value toyour communications. Our clients includemany leading mutual fund companies,broker/dealers, banks and both traditionaland alternative investment managementfirms. We will continue to help clients cre-ate high-quality strategic and marketingcommunications using a proven, three-step methodology that we have developedand refined over the past 22 years. We spe-cialize in brand identity, creative strategy,Internet strategy, website development,marketing communications, sales litera-ture and multimedia presentations anddynamic print-on-demand publishing.

Other services provided to mutual fundsinclude: Advertising and promotion, inte-grated Web/print marketing; customnewsletters and magazines knowledgeablecollaboration with document simplificationspecialists and IT and back-end developers.



http://www.umbisg.com/

Consider the number of open-end mutual fund complexes out there and it’s hard to imagine that U.S. Bancorp Fund Services is one of the largest providers. But we are. It’s because we come in every morning ready to work hard to protect our clients’ business. We’ll do the same for you. usbfs.com protect your turf

Administration • Compliance • Transfer Agent, Shareholder & Prospect Services • Distribution • Marketing • Accounting • Custody & Lending • Consulting • Alternative Investment Products


http://www.usbfs.com

Documents

Mutual Fund Service Guide 2008