SEI Investments Company · NASDAQ:SEIC
SEI Investments — Q4 2014 Earnings Presentation
109 slides from SEI Investments's earnings presentation, January 2015
Slide 1: Client Investment Review
Client Investment Review Fourth Quarter 2014 1
Slide 2: Agenda › Setting Goals
Agenda › Setting Goals • Follow-up From Last Meeting • Financial Planning Check Up and Reconfirm Goals • Global Market Review and Economic Outlook • Your Portfolio Review • Financial Planning Tips & Upcoming Tax Climate • Next Steps 2
Slide 3: Our Plan › My Commitment as Your Financial Advisor
Our Plan › My Commitment as Your Financial Advisor • Better understanding your needs and goals. • Helping you avoid emotion-driven mistakes. • Helping you better understand the markets. • Providing options and explaining the trade-offs of each. • Being available to consult with you in all markets. •
Slide 4: Follow Up From Previous Meeting
Follow Up From Previous Meeting Reconnecting on Your Goals 4
Slide 5: Financial Check Up › A Holistic View
Financial Check Up › A Holistic View • How are you and your family doing? How is your health? • How is your cash flow? • Do you have any anticipated changes to your investment plan, estate plan or insurance coverage? • Have there been any changes to your lifestyle or circumstances? • What are your p
Slide 6: Your Goals › Ongoing Monitor and Review
Your Goals › Ongoing Monitor and Review Identify your goals and resources Monitor investment strategies & progress to Identify the appropriate investment strategies to goals on an on-going meet your goals basis Implement the Goals- Evaluate and confirm the Based investment proposed investm
Slide 7: Diversification › Asset Class Returns
Diversification › Asset Class Returns • Individual asset classes go in and out of favor over time. Harnessing proper diversification may enhance returns and help to minimize volatility. • This graphic illustrates why investors diversify and the potential damages of market timing. • As you can see, a
Slide 8: Economic Review
Economic Review 8
Slide 9: Global Market Review
Global Market Review • Financial markets overcame sluggishness in the global economy, the end of the Federal Reserve’s quantitative Real Estate easing efforts, and a volatile fourth quarter to deliver generally positive results. U.S. Large Cap • The MSCI All Country World Index, which serves as a Em
Slide 10: Equity Market Review
Equity Market Review • U.S. equity markets, represented by the S&P 500 Index, were up almost 5% for the quarter and nearly 14% for the year. • At the sector level, consumer discretionary set the pace for the quarter, while healthcare and information technology led the way for the year. • A big surpr
Slide 11: Fixed Income Review
Fixed Income Review • On the fixed-income side, Barclays U.S. Aggregate Bond index gained close to 2% for the quarter and nearly 6% for the year. • Treasurys, investment-grade corporate bonds, mortgages, and municipals regained their footing after a challenging 2013. • U.S. high-yield debt suffered
Slide 12: The Outlook: The Fed Exits QE, While the ECB Enters
The Outlook: The Fed Exits QE, While the ECB Enters The good news The bad news The collapse in oil prices should provide a tailwind to The first Federal funds rate increase could induce a global economic growth, with both developed (the U.S., brief spasm of financial-market turbulence along the Euro
Slide 13: Manager Changes
Manager Changes Fourth Quarter 2014 13
Slide 14: Manager Changes › Fourth Quarter 2014
Manager Changes › Fourth Quarter 2014 Fund(s) Impacted Additions Rationale SIMT Small Cap Growth Arrowpoint Partners Superior implementation of stability growth strategy SIT International Equity Fund Blackcrane Capital Unique idea generation process: SIMT Tax-Managed Small/Mid Cap CastleArk Manageme
Slide 15: Manager Changes › Fourth Quarter 2014
Manager Changes › Fourth Quarter 2014 Fund(s) Impacted Terminations Rationale SIMT Small Cap Value Artisan Partners Turnover of key investment professionals SIMT Small Cap Growth Janus Capital Management More effective implementations by other firms SIMT Small Cap JP Morgan Investment Mgmt. Improves
Slide 16: Your Portfolio Review
Your Portfolio Review Statement & Strategy Review 16
Slide 17: Statement › Your Current Snapshot
Statement › Your Current Snapshot 17
Slide 18: Strategy Appendix
Strategy Appendix Strategy Snapshots & Multi-Style Charts 18
Slide 19: SEI Representative Strategy Review
SEI Representative Strategy Review • Following a period of volatility during the first half of SEI Private Client Strategies October, U.S. equity and investment-grade fixed- Performance as of December 31, 2014 income markets trended higher during the fourth 16% quarter. International developed and e
Slide 20: SEI Representative Strategy Review Stability-Focused Strategies
SEI Representative Strategy Review Stability-Focused Strategies • SEI’s Stability-focused strategies (Short Term, Defensive, Conservative, and Moderate) are 6 PCConservative Strategy – Duration (Yrs) designed to reduce portfolio volatility and 5 drawdown risk, while still seeking long-term 4 3 appre
Slide 21: Private Client Short Term Strategy
Private Client Short Term Strategy Strategy Themes • The strategy experienced a marginal loss during the 10% Money Market fourth quarter, due to an unfavorable environment for Treasury inflation-protected securities (TIPS), Short Duration which continued to face the headwind of global 20% Government
Slide 22: Private Client Short Term Strategy
Private Client Short Term Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 23: Private Client Defensive Strategy
Private Client Defensive Strategy Manager changes during the quarter: - State Street Global Advisors added to Multi-Asset Income - Beachhead Capital added to Multi-Strategy Alternative 3% Global Mgd Volatility 2% 3% 3% Fund Highlight: U.S. Fixed Income 20% 6% U.S. Mgd Volatility Three of SEI’s stabi
Slide 24: Private Client Defensive Strategy
Private Client Defensive Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 25: Private Client Conservative Strategy
Private Client Conservative Strategy Manager changes during the quarter: Multi-Strat Alternative - State Street Global Advisors added to Multi-Asset Income - Beachhead Capital added to Multi-Strategy Alternative Global Mgd Volatility U.S. Mgd Volatility 10% 4% Fund Highlight: U.S. Fixed Income 9% Hi
Slide 26: Private Client Conservative Strategy
Private Client Conservative Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 27: Private Client Moderate Strategy
Private Client Moderate Strategy Manager changes during the quarter: Global Mgd Volatility - State Street Global Advisors added to Multi-Asset Income U.S. Mgd Volatility - Beachhead Capital added to Multi-Strategy Alternative Large Cap 8% 1% 14% Multi Asset Accumulation Fund Highlight: U.S. Fixed In
Slide 28: Private Client Moderate Strategy
Private Client Moderate Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 29: Multi-Asset Income Fund
Multi-Asset Income Fund • The Multi-Asset Income Fund is held in five of the non-tax-managed Private Client strategies. Asset Allocation – December 2014 • The fund utilizes a differentiated, non-benchmark- constrained, “go-anywhere” tactical approach, 3% investing in a broad range of income-producin
Slide 30: Private Client Core Market Strategy
Private Client Core Market Strategy Manager changes during the quarter: 1% - Blackcrane Capital added to International Equity U.S. Large Cap - State Street Global Advisors added to Multi-Asset Income 1% U.S. Small Cap - Beachhead Capital added to Multi-Strategy Alternative 5% 15% - EAM Investors and
Slide 31: Private Client Core Market Strategy
Private Client Core Market Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 32: Private Client Market Growth Strategy
Private Client Market Growth Strategy Manager changes during the quarter: 1% - Blackcrane Capital added to International Equity - State Street Global Advisors added to Multi-Asset Income U.S. Large Cap - Beachhead Capital added to Multi-Strategy Alternative 8% 1% - EAM Investors and Snow Capital Man
Slide 33: Private Client Market Growth Strategy
Private Client Market Growth Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 34: Private Client Aggressive Strategy
Private Client Aggressive Strategy 1% Manager changes during the quarter: - Blackcrane Capital added to International Equity - EAM Investors and Snow Capital Management added to Small Cap U.S. Large Cap - Schroders Investment Management removed from International Equity 7% 1% - JP Morgan Inv Mgmt an
Slide 35: Private Client Aggressive Strategy
Private Client Aggressive Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 36: Private Client Equity Strategy
Private Client Equity Strategy Manager changes during the quarter: 1% - Blackcrane Capital added to International Equity - EAM Investors and Snow Capital Management added to Small Cap 1% - Schroders Investment Management removed from International Equity 10% - JP Morgan Inv Mgmt and William Blair &
Slide 37: Private Client Equity Strategy
Private Client Equity Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 38: Multi-Asset Accumulation Fund
Multi-Asset Accumulation Fund • The investment goal of the Multi-Asset Accumulation Fund is total return, including capital appreciation and Risk WeightedAllocations income. 60% • The fund is held in four of the non-tax-managed Private 12/ 31/ 2014 12/ 31/ 2013 Strategic Client strategies, and aims
Slide 39: Tax-Managed Strategies
Tax-Managed Strategies 39
Slide 40: Private Client Tax-Managed Short Term Strategy
Private Client Tax-Managed Short Term Strategy Fund Highlight: Short Duration Municipal All four of SEI’s tax-managed stability-focused strategies employ the Short Duration Municipal fund. The fund experienced a marginally positive return for the fourth quarter, Short Duration Municipal and finished
Slide 41: Private Client Tax-Managed Short Term Strategy
Private Client Tax-Managed Short Term Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 42: Private Client Tax-Managed Defensive Strategy
Private Client Tax-Managed Defensive Strategy Fund Highlight: Short Duration Municipal All four of SEI’s tax-managed stability-focused strategies 1% 10% 10% employ the Short Duration Municipal fund. The fund experienced a marginally positive return for the fourth quarter, 10% Tax-Mgd Mgd Volatility
Slide 43: Private Client Tax-Managed Defensive Strategy
Private Client Tax-Managed Defensive Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 44: Private Client Tax-Managed Conservative Strategy
Private Client Tax-Managed Conservative Strategy Fund Highlight: Short Duration Municipal All four of SEI’s tax-managed stability-focused strategies 1% employ the Short Duration Municipal fund. The fund 15% 20% experienced a marginally positive return for the fourth quarter, Tax-Mgd Mgd Volatility a
Slide 45: Private Client Tax-Managed Conservative Strategy
Private Client Tax-Managed Conservative Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 46: Private Client Tax-Managed Moderate Strategy
Private Client Tax-Managed Moderate Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - Schroders Investment Mgmt removed from International Equity 1% 12% Fund Highlight: Short Duration Municipal 25% Tax-Mgd Mgd Volatility All four of SEI’s tax-managed s
Slide 47: Private Client Tax-Managed Moderate Strategy
Private Client Tax-Managed Moderate Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 48: Private Client Tax-Managed Core Market Strategy
Private Client Tax-Managed Core Market Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - CastleArk Management and Snow Capital Management added to Tax- 1% Managed Small/Mid Cap 3% - Schroders Investment Management removed from International Equity 12%
Slide 49: Private Client Tax-Managed Core Market Strategy
Private Client Tax-Managed Core Market Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 50: Private Client Tax-Managed Market Growth Strategy
Private Client Tax-Managed Market Growth Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - CastleArk Management and Snow Capital Management added to Tax- 1% Managed Small/Mid Cap 4% Tax-Mgd Large Cap - Schroders Investment Management removed from Inter
Slide 51: Private Client Tax-Managed Market Growth Strategy
Private Client Tax-Managed Market Growth Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 52: Private Client Tax-Managed Aggressive Strategy
Private Client Tax-Managed Aggressive Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - CastleArk Management and Snow Capital Management added to Tax- 6% 1% Managed Small/Mid Cap Tax-Mgd Large Cap 7% - Schroders Investment Management removed from Inter
Slide 53: Private Client Tax-Managed Aggressive Strategy
Private Client Tax-Managed Aggressive Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 54: Private Client Tax-Managed Equity Strategy
Private Client Tax-Managed Equity Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - CastleArk Management and Snow Capital Management added to Tax- Managed Small/Mid Cap 5% 1% - Schroders Investment Management removed from International Equity - JP Morg
Slide 55: Private Client Tax-Managed Equity Strategy
Private Client Tax-Managed Equity Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 56: Institutional Strategies
Institutional Strategies 56
Slide 57: Institutional Moderate Growth & Income Strategy
Institutional Moderate Growth & Income Strategy Manager changes during the quarter: 1% - Blackcrane Capital added to International Equity - Arrowpoint Partners and EAM Investors added to Small Cap Growth Large Cap Value 6% - Schroders Investment Management removed from International Equity 1% 12% La
Slide 58: Institutional Moderate Growth & Income Strategy
Institutional Moderate Growth & Income Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 59: Institutional Growth & Income Strategy
Institutional Growth & Income Strategy Manager changes during the quarter: 1% - Blackcrane Capital added to International Equity - Arrowpoint Partners and EAM Investors added to Small Cap Growth Large Cap Value - Schroders Investment Management removed from International Equity 4% - Janus Capital Ma
Slide 60: Institutional Growth & Income Strategy
Institutional Growth & Income Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 61: Institutional Capital Growth Strategy
Institutional Capital Growth Strategy Manager changes during the quarter: 1% - Blackcrane Capital added to International Equity - Arrowpoint Partners and EAM Investors added to Small Cap Growth Large Cap Value - Schroders Investment Management removed from International Equity 2% 3% 1% - Janus Capit
Slide 62: Institutional Capital Growth Strategy
Institutional Capital Growth Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 63: Tax-Sensitive 40 Strategy
Tax-Sensitive 40 Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - CastleArk Management and Snow Capital Management added to Tax- 6% Managed Small/Mid Cap 1% - Schroders Investment Management removed from International Equity 9% 24% - JP Morgan Investm
Slide 64: Tax-Sensitive 40 Strategy
Tax-Sensitive 40 Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 65: Tax-Sensitive 60 Strategy
Tax-Sensitive 60 Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - CastleArk Management and Snow Capital Management added to Tax- 4% Managed Small/Mid Cap 1% 6% - Schroders Investment Management removed from International Equity - JP Morgan Investment
Slide 66: Tax-Sensitive 60 Strategy
Tax-Sensitive 60 Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 67: Tax-Sensitive 100 Strategy
Tax-Sensitive 100 Strategy Manager changes during the quarter: - Blackcrane Capital added to International Equity - CastleArk Management and Snow Capital Management added to Tax- 1% Managed Small/Mid Cap 10% - Schroders Investment Management removed from International Equity - JP Morgan Investment M
Slide 68: Tax-Sensitive 100 Strategy
Tax-Sensitive 100 Strategy Asset allocation as of 12/31/14 and subject to change. Securities as of 11/30/14 and subject to change.
Slide 69: Point of View
Point of View Economic Outlook 69
Slide 70: Slow Growth
Slow Growth • It’s no secret that the U.S. has been one of the better-performing economies since the end of the global recession in 2009. • Through the third quarter of 2014, it logged a cumulative increase in inflation-adjusted gross domestic product (GDP) of 12.9% from the second quarter 2009 trou
Slide 71: More Hiring, Better Wages
More Hiring, Better Wages • The steady improvement in the U.S. labor market in recent months suggests that an upward shift in labor costs is on the way. • The chart highlights one of the sub-components of the monthly survey conducted by the National Federation of Independent Business (NFIB): the net
Slide 72: North America Bubbles Up
North America Bubbles Up • The big story in the past few years is the step-up in North American oil production as a result of hydraulic fracturing (“fracking”) in the U.S. and tar sands extraction in Canada. • North America (essentially the U.S, Canada and Mexico) has recorded gains in production am
Slide 73: Oil Stocks Fall Hard
Oil Stocks Fall Hard • Given the pessimistic outlook for oil, it is no surprise that energy companies have seen a drastic decline in their stock prices. • The S&P 500 Energy Index was down more than 21 percentage points against the S&P 500 in the past year. • Almost 50% of that relative underperform
Slide 74: Big Oil Gets Drilled
Big Oil Gets Drilled • The oil sector’s price-to-book ratio relative to the S&P 500 (with data back to 1928) and the relative price-to-sales ratio (measured from 1952) are at or near record lows. • Of course, the denominator in both ratios will decline to a significant but unknown extent as a result
Slide 75: U.S. oil rig count should fall dramatically in 2015
• The U.S. oil rig count should fall dramatically in 2015, perhaps tracing a path similar to the decline since 2009 in gas rigs. • Note, however, that even in an environment highlighted by a significant drop in the number of rigs, U.S. natural gas production has continued to increase and is up some
Slide 76: Bonds Test the Lower Bound
Bonds Test the Lower Bound • One of the big surprises of 2014 was the continued downward march in long-term interest rates across developed countries. • At the start of 2014, U.S. 10-year Treasury bonds were trading near 3%. Our expectation of their drifting higher throughout the year was upended by
Slide 77: High-Yield Hits a Low Point
High-Yield Hits a Low Point • We are keeping an eye on developments in the high-yield market. • In recent years, we have held a positive view on the asset class owing to relatively attractive yields versus investment-grade bonds and their appeal as a less volatile alternative to equities in the mids
Slide 78: Rising Sun, Setting Yen
Rising Sun, Setting Yen • We believe Japan’s doubling down on its own QE efforts at the end of October was a seminal event. This could be viewed as the first salvo in a currency war. • As countries and common-currency zones continue to face domestic economic headwinds and declining inflation rates,
Slide 79: Won and Lost
Won and Lost • Other countries are now showing the effects of collateral fall-out. Take South Korea, for example. Excluding the 1997-98 and 2008-09 crisis periods, Korean industrial production is running at its slowest pace since before 1980, measured over a three-year annualized span. • The rate of
Slide 80: Commodity Crush Saga
Commodity Crush Saga Another consequence of the currency wars and strong- dollar trend has been a breath-taking decline in commodity prices, centered most recently in the energy complex. What is behind the slide? — The dollar’s decline; — Weak global growth, especially in China; and — The increase i
Slide 81: Don’t Fear a Strong Dollar
Don’t Fear a Strong Dollar • The chart shows the positive correlation between the dollar’s trade-weighted value and the forward P/E on the S&P 500. (The trade- weighted dollar index measures the value of the U.S. dollar relative to other currencies.) • Such a relationship makes sense. – The U.S. imp
Slide 82: Squeezing Out the Costs
Squeezing Out the Costs • Unit labor costs in the U.S. have moved steadily lower since the early 2000s. • They have become especially competitive against Canada, its largest trading partner. • Accordingly, the U.S. can sustain additional increases in the dollar’s trade-weighted value. 82
Slide 83: Will the Dollar Help or Hurt Global Relative Performance?
Will the Dollar Help or Hurt Global Relative Performance? • Although the strengthening of the greenback will have a negative impact on the earnings of U.S. exporters, lower import costs (especially for energy) should provide an offset. • In short, a strong dollar should not spell the end of the mult
Slide 84: Manager Positioning
Manager Positioning Fixed Income • In fixed income, SEI’s managers in the U.S. and elsewhere are adhering to a common theme of short duration to their benchmarks in anticipation of a rising interest-rate trend. • They also tend to be overweight credit, positioned for a flattening of the yield curve,
Slide 85: Appendix
Appendix 85
Slide 86: SEI performance summary Fixed-income mutual funds
SEI performance summary Fixed-income mutual funds – as of 12/31/2014 Net of Fees Quarter-End Return Year-to-Date Return Fixed-Income Mutual Fund SEI Benchmark SEI Benchmark Benchmark Index SIMT Core Fixed Income Barclays Capital U.S. Aggregate Bond 1.54% 1.79% 6.56% 5.97% SIT Emerging Markets Debt 5
Slide 87: SEI performance summary Equity mutual funds
SEI performance summary Equity mutual funds – as of 12/31/2014 Net of Fees Quarter-End Return Year-to-Date Return Equity Mutual Fund SEI Benchmark SEI Benchmark Benchmark Index SIT Emerging Markets Equity MSCI Emerging Markets -5.28% -4.50% -5.10% -2.19% SIMT Global Managed Volatility MSCI World 4.8
Slide 88: SEI performance summary Equity mutual funds (continued)
SEI performance summary Equity mutual funds – as of 12/31/2014 (continued) Net of Fees Quarter-End Return Year-to-Date Return Equity Mutual Fund SEI Benchmark SEI Benchmark Benchmark Index SIMT Tax-Managed Large Cap Russell 1000 4.44% 4.88% 10.99% 13.24% SIMT Tax-Managed Managed Volatility Russell 3
Slide 89: SEI performance summary Multi-asset mutual funds
SEI performance summary Multi-asset mutual funds – as of 12/31/2014 Net of Fees Quarter-End Return Year-to-Date Return Mutual Fund SEI Benchmark SEI Benchmark Benchmark Index SIMT Multi-Strategy Alternative BofA ML US 3M Treasury Bill -0.05% 0.00% 0.66% 0.03% SIMT Multi-Asset Accumulation Blended Ac
Slide 90: SEI annualized performance summary Fixed-income mutual funds
SEI annualized performance summary Fixed-income mutual funds – as of 12/31/2014 Before After Net of Fees 1-Year 5-Year 10-Year Since Inception Waiver Waiver Fixed-Income Mutual Fund (Inception) Expense Expense SEI Benchmark SEI Benchmark SEI Benchmark SEI Benchmark Benchmark Index Ratio (%) Ratio (%
Slide 91: SEI annualized performance summary Equity mutual funds
SEI annualized performance summary Equity mutual funds – as of 12/31/2014 Before After Net of Fees 1-Year 5-Year 10-Year Since Inception Waiver Waiver Equity Mutual Fund (Inception) Expense Expense SEI Benchmark SEI Benchmark SEI Benchmark SEI Benchmark Benchmark Index Ratio (%) Ratio (%) SIT Emergi
Slide 92: SEI annualized performance summary Equity mutual funds (continued)
SEI annualized performance summary Equity mutual funds – as of 12/31/2014 (continued) Before After Net of Fees 1-Year 5-Year 10-Year Since Inception Waiver Waiver Equity Mutual Fund (Inception) Expense Expense SEI Benchmark SEI Benchmark SEI Benchmark SEI Benchmark Benchmark Index Ratio (%) Ratio (%
Slide 93: SEI annualized performance summary Equity mutual funds (continued)
SEI annualized performance summary Equity mutual funds – as of 12/31/2014 (continued) Before After Net of Fees 1-Year 5-Year 10-Year Since Inception Waiver Waiver Equity Mutual Fund (Inception) Expense Expense SEI Benchmark SEI Benchmark SEI Benchmark SEI Benchmark Benchmark Index Ratio (%) Ratio (%
Slide 94: SEI annualized performance summary Multi-asset mutual funds
SEI annualized performance summary Multi-asset mutual funds – as of 12/31/2014 Before After Net of Fees 1-Year 5-Year 10-Year Since Inception Waiver Waiver Mutual Fund (Inception) Expense Expense SEI Benchmark SEI Benchmark SEI Benchmark SEI Benchmark Benchmark Index Ratio (%) Ratio (%) SIMT Multi-S
Slide 95: SEI annualized performance summary Money market funds
SEI annualized performance summary Money market funds – as of 12/31/2014 Before After 7-Day Unsubsidized Net of Fees 1-Year 5-Year 10-Year Since Inception Waiver Waiver Yield 7-Day Yield Money Market Fund (Inception) Expense Expense SEI SEI SEI Benchmark SEI Benchmark SEI Benchmark SEI Benchmark Ben
Slide 96: GoalLink goals-based performance
GoalLink goals-based performance – as of 12/31/2014 Since 1-Year 5-Year 5-Year Before After QTD Total YTD Total Inception GoalLink Fund (Inception) Total Total Standard Waiver Waiver Return Return Return Return Return Deviation Fee (%) Fee (%) Annualized Stability-Focused (SF) Defensive Strategy Fun
Slide 97: GoalLink tax-managed goals-based performance
GoalLink tax-managed goals-based performance – as of 12/31/2014 QTD YTD 1-Year 5-Year 5-Year Since Inception After Waiver Before Waiver Tax-Managed GoalLink Models Total Total Total Total Standard Return Fee (%) Fee (%) Return Return Return Return Deviation Annualized Stability-Focused TM Defensive
Slide 98: Goals-based performance Private Client Strategies
Goals-based performance – as of 12/31/2014 Private Client Strategies QTD Total YTD Total 1-Year Total 5-Year Total 5-Year Standard Since Inception Return Return Return Return Deviation Return Annualized Stability-Focused (SF) Short Term Strategy (12/31/09) -0.08% 0.56% 0.56% 0.83% 0.68% 0.83% Stabil
Slide 99: Tax-managed goals-based performance Private Client Strategies
Tax-managed goals-based performance – as of 12/31/2014 Private Client Strategies 5-Year Since Inception QTD Total YTD Total 1-Year Total 5-Year Total Standard Return Return Return Return Return Deviation Annualized Stability-Focused TM Short Term Strategy (12/31/09) 0.12% 0.87% 0.87% 0.78% 0.44% 0.7
Slide 100: Institutional performance
Institutional performance – as of 12/31/2014 5 Year Annualized 10 Year Annualized Strategy QTD Total Return (%) YTD Total Return (%) 1 Year Return (%) Return (%) Return (%) Institutional Fixed Income 0.76% 5.46% 5.46% 6.06% 5.04% Institutional Moderate Growth & Income 1.46% 5.32% 5.32% 8.31% 5.66% I
Slide 101: Tax-Sensitive performance
Tax-Sensitive performance – as of 12/31/2014 5 Year Annualized 10 Year Annualized Strategy QTD Total Return (%) YTD Total Return (%) 1 Year Return (%) Return (%) Return (%) TS 40 1.03% 5.46% 5.46% 7.66% 5.29% TS 60 1.35% 5.40% 5.40% 8.91% 5.64% TS 80 1.67% 5.32% 5.32% 10.11% 5.90% TS 100 1.95% 5.17%
Slide 102: Index Definitions
Index Definitions • The Barclays Capital Global Aggregate Bond Index (formerly Lehman Brothers Global Aggregate Index), an unmanaged market- capitalization-weighted benchmark, tracks the performance of investment-grade fixed income securities denominated in 13 currencies. The index reflects reinvest
Slide 103: Index Definitions (cont’d)
Index Definitions (cont’d) • The CDX IG 12 is a benchmark high-grade derivatives index, which measures the cost of insuring a basket of U.S. investment- grade corporate debt against defaults. • The Dow Jones Wilshire Real Estate Securities Index (RESI) is used to measure the U.S. real estate market
Slide 104: Index Definitions (cont’d)
Index Definitions (cont’d) • The Russell 1000 Index includes 1000 of the largest U.S. equity securities based on market cap and current index membership; it is used to measure the activity of the U.S. large-cap equity market. • The Russell 2000 Index includes 2000 small-cap U.S. equity names and is
Slide 105: Glossary
Glossary • The Sharpe ratio is a measure of risk-adjusted return. It is the difference between the return on an investment (a portfolio, a stock or a benchmark index, for example) and a risk-free interest rate, divided by the investment’s volatility (as measured by standard deviation, or average per
Slide 106: Disclosures
Disclosures 106
Slide 107: Disclosures
Disclosures This material represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice. This informatio
Slide 108: Disclosures
Disclosures Commodity investments and derivatives may be more volatile and less liquid than direct investments in the underlying commodities themselves. Commodity-related equity returns can also be affected by the issuer’s financial structure or the performance of unrelated businesses. The Fund’s us
Slide 109: Disclosures
Disclosures This material represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice. This informatio
SEI Investments Company — Q4 2014 Earnings Presentation on 6ix