The facts don t speak for themselves; someone has to speak for the facts. Milton Friedman, economist In recent months, a litany of editorials and academic studies have focused on the state of the nation for foundation Head of Institutional Investments Why are so many investment professionals, boards and investment committees concerned about recent investment returns? 8.8% Period FY 01 (June) 3-Year 5-Year 10-Year 60/40 Model s * Total Institutions >$1BN NACUBO $501MM -$1BN $101-500MM $51-100MM $5-50MM Under $5MM 6. -0.3 0.8 0.4-0.7-1.0-0.5 0.3 1.6 10. 10.6 10.3 10. 9.7 10.1 10.4.8 1.1 1.7 1. 0.7 1.0 1.0 1.5 5.4 6. 7.6 6.6 6.0 5.7 5.8 5.7 1 Total Period Institutions Domestic Equity Fixed Income International Equity Alternative Assets Short-Term Investments/ Cash >$1BN NACUBO $501MM -$1BN $101-500MM $51-100MM $5-50MM Under $5MM 15 1 18 5 31 35 39 11 9 1 16 4 9 16 15 17 18 18 16 14 54 61 48 36 4 19 11 4 3 5 5 5 6 7 1
Source: Factset
Open to all investors 3 3
Warren Buffett For more information about alternative investments, contact your investment advisor or call www.suntrust.com/foundationsandendowments 866.3.1499 The information and material presented in this commentary are for general information only and do not specifically address individual investment objectives, financial situations or the particular needs of any specific person who may receive this commentary. Investing in any security or investment strategies discussed herein may not be suitable for you, and you may want to consult a financial advisor. Nothing in this material constitutes individual investment, legal or tax advice. Investments involve risk and an investor may incur either profits or losses. Past performance should not be taken as an indication or guarantee of future performance. SunTrust Bank and its affiliates and the directors, officers, employees and agents of SunTrust Bank and its affiliates (collectively, SunTrust ) are not permitted to give legal or tax advice. Clients of SunTrust should consult with their legal and tax advisors prior to entering into any financial transaction. SunTrust Private Wealth Management is a marketing name used by SunTrust Banks, Inc. and the following affiliates: Banking and trust products and services, including investment advisory products and services, are provided by SunTrust Bank. Securities, insurance (including annuities) and other investment products and services are offered by SunTrust Investment Services, Inc., an SEC registered investment adviser and broker-dealer, member FINRA, SIPC, and a licensed insurance agency. 013 SunTrust Banks, Inc. SunTrust is a federally registered trademark of SunTrust Banks, Inc. DGD159113 R5/13 4 4
Important Disclosures SunTrust Foundations and Endowments Specialty Practice Banking and trust products and services are provided by SunTrust Bank. SunTrust Bank may use or offer the services of affiliate companies as well as third party entities to achieve your banking and investment objectives. Where applicable, any affiliations and all pertinent provider information will be disclosed in accompanying agreements and prospectuses. SunTrust Bank, its affiliates, officers, agents, and employees are not authorized to give legal, tax or accounting advice. Only an attorney can draft legal documents, provide legal services and give legal advice. Clients of SunTrust should retain their own legal counsel, tax advisor, or accountant regarding such legal, tax or accounting matters before entering into any transaction. In addition, employees and agents of SunTrust and its affiliates are not authorized to practice law, and, therefore, cannot prepare wills, trust agreements, or other estate planning or legal documents. These materials are educational in nature. The implications and risks of a transaction may be different from client to client based upon each client s unique financial circumstances and risk tolerances.. Securities and Insurance Products and Services: Are not FDIC or any other Government Agency Insured Are not Bank Guaranteed May Lose Value 013 SunTrust Banks, Inc. and SunTrust Foundations and Endowments Specialty Practice are federally registered service marks of SunTrust Banks, Inc. 5