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Clark Capital Management Group
Clark Capital Management Group
Sean Clark, CFAChief Investment Officer
Clark Capital Management Group
Sean Clark, CFAChief Investment Officer
Clark Capital Management Group
Clark Capital Management Group, Inc.2
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lyAbout Clark CapitalAbout Clark Capital
Philadelphia Based RIA
$2.0 Billion in AUM
Family and Employee Owned
Institutional Asset Management Firm
11 Investment Professionals 5 CFAs on Staff Average 20+ Years Experience
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ly Modern Portfolio
Theory Modern Portfolio
Theory
Dr. Harry Markowiz published “Portfolio Selection: The Efficient Diversification of Investments” in the Journal of Finance in 1952.
Markowtiz postulated that an “efficient frontier” shows that securities can be blended within portfolios to minimize risk at various levels of (expected) return.
Based upon 3 assumptions: Normally distributed variability of returns (Normal
Distribution) Markets follow a random walk pattern Diversification can be properly quantified by correlation
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lyProblems with Efficient
FrontierProblems with Efficient
Frontier
Efficient Frontier Is Based upon Historical Inputs That Are by Definition Not Stable: Returns Change Standard Deviations (risk) Change Correlation Change
You Need Stable Inputs to Create A Future Efficient Frontier to Manage Risk!
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“Any plan conceived in
moderation, must fail when
circumstances are set in
extremes.”
“Any plan conceived in
moderation, must fail when
circumstances are set in
extremes.” Prince Metternick
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Based on Normal (Bell Shaped) Distribution
Commute Time Minutes
90 80 70 60 50 40 30
Example for illustrative purposes only. The presenter did not track commute times.
Commute-Time Model Commute-Time Model
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35
38
41
44
47
50
53
56
59
62
65
68
71
74
77
80
83
86
89
92
95
98
101
104
107
110
113
116
119
122
125
128
131
134
0
10
20
30
40
50
Commute Time
Fre
qu
en
cy
Theoretical (Normal Distribution)Actual Experience
Snow Model breaks down
Nice Weather Model Works
Example for illustrative purposes only. The presenter did not track commute times.
909 Commutesfrom 1/1/2006 to 12/31/2009
909 Commutesfrom 1/1/2006 to 12/31/2009
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ly Histogram of ReturnsJanuary 1991 - March 2010
Per
cent
age
of M
onth
s (%
)
0
5
10
15
20
25
Returns Range (%)
< -17 -17 to -15 -15 to -13 -13 to -11 -11 to -9 -9 to -7 -7 to -5 -5 to -3 -3 to -1 -1 to 1 1 to 3 3 to 5 5 to 7 7 to 9 9 to 11 > 11
S&P 500
S&P 500 Tail Risk S&P 500 Tail Risk
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ly Snow for Asset Classes Snow for Asset Classes
Source: PSN/Informa Investment Solutions
Monthly Returns for Asset Classes 1/98 to 3/09
MetricBarclay
AggregateML High
Yield S&P 500 REITSMSCI EAFE
MSCI Emerging Mkts.
DJ AIG Comm-odity
Mean Monthly Return 0.5 0.3 0.1 0.3 0.2 0.8 0.7
Monthly Standard Deviation 1.1 2.8 4.7 6.4 5.0 7.6 5.9
100 Year Monthly Loss (Normal Distribution) -2.9 -8.4 -14.8 -19.8 -15.4 -23.0 -17.8
Worst 4 out of 135 Months1st Worst Month -3.4 -16.3 -16.8 -32.7 -20.2 -28.9 -29.9
2nd Worst Month -2.6 -8.4 -14.5 -24.7 -14.4 -27.4 -15.5
3rd Worst Month -2.4 -8.3 -10.9 -21.7 -12.4 -17.5 -12.6
4th Worst Month -1.8 -7.1 -10.6 -18.2 -10.7 -15.5 -9.0
Years between extreme monthly lossthat should occur based upon normal distribution
1st Worst Month 428 71,649,687
464 633,762
4,265 1,891 918,716
2nd Worst Month 37 97 79 1,742 53 820 29
3rd Worst Month 19 88 8 285 15 10 7
4th Worst Month 4 22 7 42 6 5 2
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ly Snow for Asset Classes Snow for Asset Classes
Source: PSN/Informa Investment Solutions
Monthly Returns for Asset Classes 1/98 to 3/09
Metric ML High Yield S&P 500
Mean Monthly Return 0.3 0.1
Monthly Standard Deviation 2.8 4.7
100 Year Monthly Loss (Normal Distribution) -8.4 -14.8
1st Worst Month -16.3 -16.8
2nd Worst Month -8.4 -14.5
3rd Worst Month -8.3 -10.9
4th Worst Month -7.1 -10.6
1st Worst Month 71,649,687 464
2nd Worst Month 97 79
3rd Worst Month 88 8
4th Worst Month 22 7
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-20 -15 -10 -5 0 5 10 15
-30
-25
-20
-15
-10
-5
0
5
10
15
20
9/08 + 10/08
10/08 + 11/08
8/98 + 9/98
8/01 + 9/01
12/08 + 1/09
Monthly Return + Next Month (Snow Tomorrow)
Mon
thly
Retu
rn (
Sn
ow
Tod
ay)
S&P 500 Index 1/98 to 12/09 Serial Correlation
Snow Today
Snow Tomorrow
Snow Today/Snow Tomorrow Snow Today/Snow Tomorrow
Source: PSN/Informa Investment Solutions
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Negative Annual S&P Returns
Calendar Year
S&P 500 Index
Return
Probability of Event based on
Normal Distribution
1929 -8 11
1930 -25 124
1931 -43 6,829
1932 -8 10
1937 -35 935
1940 -10 13
1941 -12 16
1946 -8 10
1953 -1 < 10-year event
1957 -11 14
1962 -9 11
Calendar Year
S&P 500
Index Return
Probability of Event based on
Normal Distribution
1966 -10 13
1969 -8 11
1973 -15 24
1974 -26 166
1977 -7 < 10-year event
1981 -5 < 10-year event
1990 -3 < 10-year event
2000 -9 12
2001 -12 17
2002 -22 76
2008 -37 1,473
???
Source: PSN/Informa Investment Solutions
Snow Today/Snow Tomorrow Snow Today/Snow Tomorrow
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Source: Ned Davis Research, Inc – The Anatomy of Standard & Poor’s 500 Stock Index Declines 1/03/1928 to 6/29/2005
The Frequency of Market Declines
The Frequency of Market Declines
S&P 500 Declines
Occurences Per Year
Frequency Average
Probability of Decline Moving to Next Stage
-5% or more 3.4 Every 14 weeks 34%
-10% or more 1.1 Every Year 44%
-15% or more 0.5 Every 2 years 61%
-20% or more 0.3 Every 3 years N/A
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Correlation1/1998 to 10/2007 S&P 500
Barclay Aggregat
eML High
Yield REITSMSCI EAFE
MSCI Emerging Markets
DJ AIG Commodity
S&P 500 1.00 .18 .49 .41 .62 .58 -.02
Barclay Aggregate 1.00 .28 .13 .06 -.05 .20
ML High Yield 1.00 .41 .36 .42 .01
REITS 1.00 .28 .34 -.02
MSCI EAFE 1.00 .58 .05
MSCI Emerging Markets 1.00 .11
DJ AIG Commodity 1.00Correlation10/2007 to
3/2009 S&P 500
Barclay Aggregat
eML High
Yield REITSMSCI EAFE
MSCI Emerging Markets
DJ AIG Commodity
S&P 500 1.00 .38 .73 .83 .91 .79 .47Barclay Aggregate 1.00 .37 .34 .52 .40 .42
ML High Yield 1.00 .68 .76 .80 .61
REITS 1.00 .72 .60 .39
MSCI EAFE 1.00 .94 .61
MSCI Emerging Markets 1.00 .66
DJ AIG Commodity 1.00
Source: PSN/Informa Investment Solutions
Normal vs. Extreme Conditions
Normal vs. Extreme Conditions
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CorrelationIncrease %
S&P 500
Barclay Aggregat
eML High
Yield REITSMSCI EAFE
MSCI Emerging Markets
DJ AIG Commodity
S&P 500 1 111% 49% 102% 47% 36% 4600%
Barclay Aggregate 1 86% 323% 483% -420% 230%
ML High Yield 1 51% 128% 107% 2200%
REITS 1 143% 112% 6000%
MSCI EAFE 1 45% 760%
MSCI Emerging Markets 1 509%
DJ AIG Commodity 1
Percentage Increase in Correlation
1/1998 to 10/2007 compared to 10/2007 to
3/2009
Normal vs. Extreme Conditions
Normal vs. Extreme Conditions
Source: PSN/Informa Investment Solutions
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lyCorrelation of the S&P 500 vs.
Other Asset ClassesCorrelation of the S&P 500 vs.
Other Asset Classes
Source: Ned Davis Research
Past
perf
orm
an
ce i
s n
ot
a g
uara
nte
e o
f fu
ture
resu
lts.
Monthly Data 1/31/1976 - 3/31/2010
Median = 0.024
Correlation of the S&P 500 vs. Other Asset Classes
76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09
Average of the 60-Month Correlation of Monthly Changes in theS&P 500 with the Monthly Changes of:
MSCI EAFE IndexMSCI Emerging Markets Index (starting 12/31/1992)
CRB IndexSpot Gold
Copper Perpetual Futures (starting 1/31/1984)10-Yr. T-Bond Yield3-Mo. T-Bill Yield
Euro (starting 4/30/1977)
10
-0.14
-0.12-0.10-0.08-0.06-0.04-0.020.00
0.020.040.060.080.100.120.140.16
0.180.200.220.240.260.280.30
0.320.340.360.380.400.420.44
0.460.48
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lyModern Portfolio Theory’s
Cruel JokeModern Portfolio Theory’s
Cruel Joke
Good Times Bad Times
Low Correlation High Correlations
Low Volatility High Volatility
High Returns Low Returns
“Any plan conceived in moderation, must fail when
circumstances are set in extremes.”
“Any plan conceived in moderation, must fail when
circumstances are set in extremes.” Prince Metternick
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What Is Your Plan?What Is Your Plan?
Clark Capital Management Group, Inc.19
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lyInvestment PhilosophyInvestment Philosophy
Provide Superior Risk Adjusted Returns through a Disciplined Process Focused on Meaningful Diversification, Risk Management and Opportunistic Asset Allocation.
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lyTraditional
Risk Management ToolsTraditional
Risk Management Tools
Fixed Income
Alternative Asset Classes
Tactical Management (forecasting)
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lyInnovative Risk Management
ToolsInnovative Risk Management
Tools
Meaningful Diversification Significant alternative asset class
exposure through target allocations to specific commodities, currencies, precious metals and hedge strategies.
Opportunistic Core & Explore Asset Allocation
Core allocation for targeted beta exposure complimented by Explore allocations for targeted alpha opportunities.
Navigator Sentry Option Innovative institutional-level strategy
for portfolio protection that utilizes put options in an effort to prevent considerable portfolio losses due to severe market setbacks.
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lyExpanding the Efficient
Frontier with Alternative Asset Classes
Expanding the Efficient Frontier with Alternative
Asset Classes
Alternative Asset Classes serve as a powerful diversification agents in a portfolio and tend to result in lower portfolio volatility and improved risk-adjusted returns.
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lyMeaningful Diversification through Alternative Asset
Classes
Meaningful Diversification through Alternative Asset
Classes
Targeted Alternative ExposureCommodities
Currencies
Real Estate
Hedge/Absolute Return Strategies
Long/Short Opportunities
Inverse Strategies
Equity and Fixed Income Special Opportunities
Sentry Strategy
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lyInnovative Risk Management
ToolsInnovative Risk Management
Tools
Meaningful Diversification Significant alternative asset class
exposure through target allocations to specific commodities, currencies, precious metals and hedge strategies.
Opportunistic Core & Explore Asset Allocation
Core allocation for targeted beta exposure complimented by Explore allocations for targeted alpha opportunities.
Navigator Sentry Option Innovative institutional-level
strategy for portfolio protection that utilizes put options in an effort to prevent considerable portfolio losses due to severe market setbacks.
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lyCore & ExploreCore & Explore
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Goal to Provide Stability in The Portfolio (Beta Exposure)
Utilizes: Institutional Separate
Account Managers Institutional Mutual
Funds Exchange Traded Funds
Customization Active Core Passive Core
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Goal to Provide Alpha - Excess Return
Consists of ETFs Style ETFs – value/growth, small/mid/large cap
Sector ETFs – Energy, financials, healthcare, technology, etc
International ETFs – Europe, Asia, Latin America
Fixed income – US, international, municipal tax free, government securities, high yield, etc.
Alternative – commodities, real estate, currencies, options, hedge funds
ExploreAllocations
ExploreAllocations
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Dynamic Quantitative Disciplined Process
Major Emphasis on Proven Relative Strength Methodology
Unemotional
Actively Managed Strategy
Flexibility is the key to Alpha
Market Direction Does Not Matter
Avoid Areas of Disaster Financials, Home Builders, etc..
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lyNavigator Unified Solution
Explore ComponentsNavigator Unified Solution
Explore Components
2009 2008 2 Year
Navigator U.S. Sector Explore 34.87 -39.67 -18.63
Navigator U.S. Style Explore 31.18 -35.50 -15.39
Navigator International Explore 43.11 -43.66 -19.37
Navigator Fixed Income Explore 41.32 4.14 47.17
Navigator Alternative 22.22 -19.39 -1.48
S&P 500 with Dividends 26.45 -37.00 -20.34
Barclay Capital Governmentand Credit Bond Index 3.09 5.09 8.34
MSCI EAFE 31.63 -38.95 -19.64
Net of Fees. As of 12/31/2009
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
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Multiple Methodologies to Work through All Market Environments
Flexibility
Built in Opportunistic Allocations
Tax-Aware Structure
Lower Tracking Error Possibility Less Unexpected Consequences
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lyInnovative Risk Management
ToolsInnovative Risk Management
Tools
Meaningful Diversification Significant alternative asset class
exposure through target allocations to specific commodities, currencies, precious metals and hedge strategies.
Opportunistic Core & Explore Asset Allocation
Core allocation for targeted beta exposure complimented by Explore allocations for targeted alpha opportunities.
Navigator Sentry Option Innovative institutional-level
strategy for portfolio protection that utilizes put options in an effort to prevent considerable portfolio losses due to severe market setbacks.
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lyProtective Put Hedge Strategy Protective Put Hedge Strategy
S&P 500
S&P 500 Put
Option
Down Market
S&P 500
S&P 500 Put
Option
Up Market
Consistent Negative Correlation
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Reduce equity volatility
Prevent large portfolio losses through systematic portfolio put option protection
Provide consistent negative correlation in all market environments
Provide systematic risk management without forecasting or market timing influence
Provide confidence in the expected outcome in all market environments
Provide continuous protection from event driven declines (i.e. natural disaster, terrorist attacks)
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S&P 500 index puts
9 to 18 months in duration
5 to 10% out of the money
Consistently applied to cover 100% of equity exposure in a portfolio
Targeting 3 to 7% allocation over market cycle
Navigator Sentry Implementation
Navigator Sentry Implementation
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lySentry Put TradesSentry Put Trades
Date Action Position Gain/Loss
02/06/08Sell
Buy
June ’08 1325*
Dec. ’08 130024.13%
06/27/08Sell
Buy
Dec. ’08 1300
Mar. ’09 1275-13.50%
09/15/08Sell
Buy
Mar. ’09 1275
Dec. ’09 120013.73%
10/06/08Sell
Buy
Dec. ’09 1200
Dec. ’09 110098.21%
10/10/08Sell
Buy
Dec. ’09 1100
Dec. ’09 90048.32%
01/15/09Sell
Buy
Dec. ’09 900
Dec. ’09 80025.72%
03/05/09Sell
Buy
Dec. ’09 800
June ’10 700-0.001%
Cumulative Return 351.33%
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lyLevel 5 with Sentry vs. 60/40Level 5 with Sentry vs. 60/40
Since Inception Versus S&P 500
Portfolio Beta
Level 5 with Sentry .49
60% S&P 500 /40% BCGC .58
What’s the cost of 40% in Bonds compared to 10% in Sentry?What’s the cost of 40% in Bonds compared to 10% in Sentry?
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
Composite Active Core Portfolios. Net of Fees. As of 3/31/2010
*Inception Date 10/1/2000.
UpsideCapture
67.6
63.3
DownsideCapture
35.3
55.9
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Portfolio Performance Navigator Unified Solution
Portfolio Performance
2009 2008 2 Year
Level I with Sentry 19.59 -3.50 15.40
Level II with Sentry 16.91 -14.38 0.10
Level III with Sentry 19.75 -19.46 -3.55
Level IV with Sentry 19.83 -22.75 -7.43
Level V with Sentry 21.16 -23.45 -7.25
S&P 500 with Dividends 26.45 -37.00 -20.34
Composite Active Core Portfolios. Net of Fees. As of 12/31/2009
*Inception Date 10/1/2000.
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
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lyNavigator Unified Solution
Portfolio PerformanceNavigator Unified Solution
Portfolio Performance
1Year
3Year
5Year
SinceIncep.
StdDev* Beta* Alpha*
Level I with Sentry 22.76 6.36 6.07 8.37 7.74 0.00 6.03
Level II with Sentry 23.24 2.55 4.72 6.34 7.71 0.19 4.30
Level III with Sentry27.0
11.8
15.0
16.35 9.98 0.49 4.81
Level IV with Sentry 27.20 0.73 4.51 6.32 11.06 0.53 4.94
Level V with Sentry 27.21 0.17 3.95 5.66 10.55 0.49 4.22
S&P 500 with Dividends 49.74
-4.17
1.90 -0.31 18.09 1.00 0.00
Composite Active Core Portfolios. Net of Fees. As of 3/31/2010
*Inception Date 10/1/2000.
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
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Portfolio PerformanceNavigator Unified Solution
Portfolio Performance
1Year
3Year
5Year
SinceIncep.
StdDev* Beta* Alpha*
Level I with Sentry 22.76 6.36 6.07 8.37 7.74 0.00 6.03
Level II with Sentry 23.24 2.55 4.72 6.34 7.71 0.19 4.30
Level III with Sentry 27.01 1.81 5.01 6.35 9.98 0.49 4.81
Level IV with Sentry 27.20 0.73 4.51 6.32 11.06 0.53 4.94
Level V with Sentry 27.21 0.17 3.95 5.66 10.55 0.49 4.22
S&P 500 with Dividends 49.74
-4.17
1.90 -0.31 18.09 1.00 0.00
Composite Active Core Portfolios. Net of Fees. As of 3/31/2010
*Inception Date 10/1/2000.
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
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lyNavigator Unified Solution
Portfolio PerformanceNavigator Unified Solution
Portfolio Performance
Upside Capture
Downside Capture
SharpeRatio
Level I with Sentry 31.08 -26.95 0.77
Level II with Sentry 42.28 2.99 0.51
Level III with Sentry 72.06 35.04 0.40
Level IV with Sentry 76.48 39.58 0.36
Level V with Sentry 67.63 35.34 0.31
S&P 500 with dividends 100.00 100.00 -0.15
Composite Active Core Portfolios. Net of Fees. As of 3/31/2010
*Inception Date 10/1/2000.
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
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lyWinning by Not LosingWinning by Not Losing
Fund Name10/9/2007 to 12/31/2009
Approx %Gain Neededto Recapture
Loss
Oppenheimer Cap. Appr. (OPTFX) -24.18 32%
T-Rowe Price Large-Cap Value (TRVLX) -19.23 24%
American Funds New World (NEWFX) -13.22 15%
American Gr. Fund of America (AGTHX) -18.53 23%
Level 3 with Sentry -1.12 1%
Level 4 with Sentry -4.80 5%
ETF Explore with Sentry -5.93 6%
S&P 500 Index -20.87 26%
Source: Morningstar for Funds. See Disclosure for CCMG Portfolios
Net of fees. Actual Performance results. See important disclosures at end of presentation.
10/9/2007 to 3/31/2010
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
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$1,789,300
$970,943
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
10/1/00 3Q-01 3Q-02 3Q-03 3Q-04 3Q-05 3Q-06 3Q-07 3Q-08 3Q-09
14.19% gain/year for 5 years required for S&P 500 to catch up to the Sentry portfolio today
Navigator Unified Solutions Accumulation Phase
Navigator Unified Solutions Accumulation Phase
Avg. Annual Beta Std Dev
Level IV with Sentry 6.32% 0.53 11.06
S&P 500 with Dividends
-0.31% 1.00 18.09
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
Composite Active Core Portfolios. Net of Fees. As of 3/31/2010
*Inception Date 10/1/2000.
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$914,788
$496,399
$250,000
$500,000
$750,000
$1,000,000
$1,250,000
$1,500,000
10/1/00 3Q-01 3Q-02 3Q-03 3Q-04 3Q-05 3Q-06 3Q-07 3Q-08 3Q-09
Navigator Unified Soultion Level IV withSentry with 6% Distribution
S&P 500 with 6% Distribution
15.81% gain/year for 5 years required for S&P
500 with 6% Distribution to catch up to the Sentry portfolio
today
Navigator Unified Solutions Distribution Phase
Navigator Unified Solutions Distribution Phase
$535,755 Withdrawn
$330,573Withdrawn
Level IV with Sentry with 6% Distribution
S&P 500 with Dividends with 6% Distribution
Navigator Unified Solutions results combine actual and hypothetical and do not represent individual client accounts. See important disclosure at the end of presentation.
Composite Active Core Portfolios. Net of Fees. As of 3/31/2010
*Inception Date 10/1/2000.
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lyProspect QuestionsProspect Questions
What are you or your current advisor doing to
manage risk?
What are you or your current advisor doing to
manage risk?
How has that worked for you?
How has that worked for you?
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lyWhat Are Clients Thinking?What Are Clients Thinking?
How can you help me prevent this from happening again?
How can you help me prevent this from happening again?
How can I recapture some of these losses without taking the full risk of equity exposure?
How can I recapture some of these losses without taking the full risk of equity exposure?
Clark Capital Management Group, Inc.48
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On
lyWhat Are Advisors Thinking?What Are Advisors Thinking?
How can I get my clients/ prospects off the sidelines?
How can I protect my revenue stream against
future market downturns?
How can I get my clients/ prospects off the sidelines?
How can I protect my revenue stream against
future market downturns?
Clark Capital Management Group, Inc.49
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On
lyDisclosureDisclosure
The performance for the above Navigator Unified Solution Portfolios combines actual composite results with hypothetical results as described below. Actual Navigator Unified Solutions Portfolio performance is calculated using an asset weighted average performance of all actual, fully discretionary accounts under management within a specified Level, including those accounts no longer with the firm. All dividends and interest income is re-invested. Within the specified Level, account performance is calculated according to industry standards using the daily valuation methodology. A complete list and description of assets comprising the composites will be furnished upon request.
The hypothetical performance was calculated by compiling the actual performance of a static group of sub-advisors, mutual funds, and exchange traded funds in a target allocation for the period of 10/1/2000 through the below inception dates. Portfolio allocations were rebalanced annually to target allocation. In certain cases the advisor’s performance is both model and hypothetical. The time period commencing 10/01/00 has been selected by Clark Capital in its sole discretion as it is the earliest common date that data is available for the sub-advisors, mutual funds, exchange traded funds and which coincides with the advisor’s models. Performance results will vary for other periods.
The inception dates of Navigator Unified Portfolios Portfolio composites are as follows: 10/1/07 - Level III, Level III with Sentry, Level IV, Level IV with Sentry, and Level V; 12/31/07 - Level II and Level V with Sentry; 4/1/08 - Level I ; 7/1/08 - Level II Sentry
Hypothetical results do not represent actual trading in client accounts nor do they reflect client-specific activities such as contributions, withdrawals or restrictions. One of the limitations of hypothetical performance results is that they are generally prepared with the benefit of hindsight. In addition, such results may not reflect the impact that material economic and market factors might have had if accounts had actually been managed by Clark Capital during the entire period portrayed. Neither past actual nor hypothetical performance guarantees future results. Clients should not rely solely on this performance or any other performance illustrations when making investment decisions. The Sentry Strategy allocation cannot guarantee against market loss, but has the potential to limit risk. It is possible that your investment, when redeemed, may be less than the original amount invested. Actual client results may differ materially.
S&P 500 index performance was obtained from Bloomberg. It is not possible to make a direct investment in any particular index. Index returns do not reflect any fee deductions and include the re-investment of dividends. The S&P 500 is an unmanaged market capitalization weighted index of 500 common stocks chosen for market size, liquidity, and industry group representation to represent U.S. equity performance. It represents approximately 75% of the U.S. equities market.
Performance data for the portfolios reflect the maximum Investment Advisory Fee from the below table and the maximum Referring Investment Consultant Fee of 1.25%, debited quarterly. Actual client fees may be lower than fees used in this presentation. All dividends and interest income is re-invested. The Referring Investment Consultant can charge between 0% and 1.25%. If a lower Referring Investment Consultant Fee were reflected in the performance data, returns would be higher. Actual fees also may differ from the fees used in this presentation depending upon account size, investments and agreement with client. See Clark Capital’s Schedule H for Navigator Unified Solutions for a full description of management fees. See Clark Capital's ADV Schedule H for additional information about management fees.