Investment Summary as of November 30, 2016

The election is finally over! The result was certainly a surprise to the markets as the overnight markets dropped sharply on election night. The declines were only temporary for U.S. stocks with the S&P 500 Index rebounding to advance 3.7% for the month. International stocks and fixed income remain under pressure. International developed market stocks in the MSCI EAFE Index were down 2.2%, at least in part, due to concerns over future global trade policies of the U.S.. Bonds in the Barclays Capital U.S. Aggregate Index declined 2.4% as bonds sold off in fear of rising interest rates.

Uncertainty around political and economic events can be unsettling but are often short-term in nature relative to our long-term investment horizon. A disciplined and diversified approach has proven itself over the years. Attached is a post-election commentary from Wespath Investment Management, our primary investment manager, I think you will find interesting and in-line with our long-term philosophy.

The Diversified Fund and Endowment Investment Fund gained 0.6% for the month; out-performing the benchmark by 0.3% primarily due to U.S. equity gains.

  Month Ended
November 30, 2016
  Year-to-Date
November 30, 2016
Diversified Fund 0.6%   6.1%
Benchmark* 0.3%   6.6%
Over (Under) Performance 0.3%   (0.5%)
       
Endowment Investment Fund 0.6%   6.1%
Benchmark* 0.3%   6.6%
Over (Under) Performance 0.3%   (0.5%)
       
Fixed Income Fund (2.4%)   4.9%
BC U.S. Aggregate (2.4%)   2.5%
Over (Under) Performance 0.0%   2.4%
       
* – Blend of 1) Wespath benchmark of 40% Russell 3000 Index, 25% MSCI ACWI Index (excluding US), 25% Barclays Capital U.S. Universal Index (excluding mbs), 8% Barclays Capital U.S. Government Inflation-Linked Bond Index, 1% Barclays Emerging Markets Tradable Gov’t Inflation-linked Bond Index, 1% Bloomberg Commodity Index and 2) HFRI Fund of Funds Composite Index for actual percentage of alternatives

 

Notes: Historical returns are time-weighted and net of all fees.   Returns greater than one year are annualized. Past performance is no guarantee of future returns.