PORTFOLIO DURATION. The portfolio's market value weighted duration is to be between three and five years.
PORTFOLIO DURATION. The Fund may invest in securities of any or no maturity or negative duration, and there are no limits on the duration of the Fund’s portfolio. The Adviser retains broad discretion to modify the Fund’s duration within a wide range, including the discretion to construct a portfolio of investments for the Fund with a negative duration. The portfolio managers intend, under normal market conditions, to seek to construct an investment portfolio with a weighted average effective duration of not less than two years and not more than ten years. Duration is a measure of the expected life of a debt instrument that is used to determine the sensitivity of a security’s price to changes in interest rates. For example, the value of a portfolio of debt securities with an average duration of ten years would generally be expected to decline by approximately 10% if interest rates rose by one percentage point. Effective duration is a measure of the Fund’s portfolio duration adjusted for the anticipated effect of interest rate changes on bond and mortgage pre-payment rates. The effective duration of the Fund’s investment portfolio may from time to time vary materially from the range stated above. The Fund may incur costs in implementing duration management strategies, and there is no assurance that the effective duration of the Fund’s investment portfolio will not vary outside the range stated above.
PORTFOLIO DURATION. Manager will maintain the overall duration of the portfolio within two (2) years (plus or minus) of the duration of the benchmark index. EXHIBIT C TOTAL RETURN FEE SCHEDULE ------------ Following is the schedule of annual fees for advice and counseling services performed by Manager with respect to the domestic Total Return investment portfolio of the client. 0.50% ON FIRST $25 MILLION 0.375% ON NEXT $25 MILLION 0.25% THEREAFTER Fees are payable quarterly in advance and are computed based on the market value of the client's investment portfolio as reported on the Manager's statement at the beginning of the billing period. Market value for the portfolio will be determined by aggregating the market value for each asset in the portfolio using the last sale price on the principal exchange on which the security is listed as reported in the financial press. If such sale price is not readily available, the market price shall be determined in good faith by or at the direction of Manager. Fees shall be prorated on a daily basis when the investment portfolio is under the supervision of Manager for a portion of any quarter except that in the event services are terminated in the first three months, no proration shall be made for the first three months' fees. The investment portfolio is comprised of all funds and assets, including cash, cash accruals, additions, substitutions and alterations which are subject to advice by the Manager. EXHIBIT D DESIGNATED REPRESENTATIVES OF THE COMPANY -------------- NAME/TITLE SIGNATURE ---------- --------- -------------------------------- ------------------------------ -------------------------------- ------------------------------
PORTFOLIO DURATION. STATEMENT OF POLICY - The overall portfolio duration is targeted not to vary by more than +/- 1.0 year from the liability duration. - Individual portfolio product/segment durations are targeted not to vary by more than +/- 2.0 years from the liability duration of their corresponding interest sensitive product line. CONTROLS AND PROCEDURES - Asset durations are produced and reviewed by the Asset/Liability Management Committee on a monthly basis. - Liability durations are based on varying methodologies dependent on current market conditions and the underlying contract/policy attributes and reviewed by the Asset/Liability Management Committee. - When individual portfolio product/segment durations fall outside the +/-2.0 years duration target, a discussion will be held by the Asset/Liability Committee to determine what action, if any, is necessary. - Compliance is the responsibility of the Asset Liability Management unit. PERIODIC REVIEW - Duration information is reported to the Asset/Liability Committee each month. The Asset/Liability Management Committee consists of CIO, CFO, CRO, Chief Actuary, Chief Accountant and other officers. - Overall portfolio duration information is also included in the Finance and Investment Committee presentation to the Board of Directors.
PORTFOLIO DURATION. The targeted duration of the portfolio will be that of the liability stream, which Platinum will provide as needed. If no liability stream is available, a duration target of 3.5 years will apply. The portfolio could deviate as much as +/- one year away from this target. There is no limitation placed on the duration of individual securities.
