INVESTMENT MANAGEMENT COMPANY Records compiled specifically and exclusively for consideration in closed session. Further distribution prohibited. Presentation to the Japan CFA Society “Endowment Fund Investing in the United States” June 2011

INVESTMENT MANAGEMENT COMPANY June Outline  Governance at UVIMCO  Investment Philosophy  Investment Strategy  Asset Allocation  Themes  Manager Selection  Risk Management  Current /Future Issues Japan CFA Society

INVESTMENT MANAGEMENT COMPANY Governance at UVIMCO  Investment Decision Making Process  Communication  Seasoned Board of Directors and senior investment staff  Board of Directors  10 members led by John Macfarlane as Chair; 3 BOV appointees and a President’s appointee  Average of over 20 years of investment experience  Staff  25 members led by Larry Kochard as CEO/CIO  Investment team comprised of a CEO/CIO, 3 Managing Directors, an Associate, and 5 Analysts  Average of 21 years of investment experience among senior staff June 2011 Japan CFA Society 2

INVESTMENT MANAGEMENT COMPANY June 2011 Japan CFA Society 3 Investment Philosophy  Long-Term Focus  Good Governance  Disciplined Process  People  Diversification

INVESTMENT MANAGEMENT COMPANY Investment Strategy June 2011 Japan CFA Society 4

INVESTMENT MANAGEMENT COMPANY Asset Allocation June 2011 Japan CFA Society 5

INVESTMENT MANAGEMENT COMPANY June 2011 Japan CFA Society 6 Asset Allocation

INVESTMENT MANAGEMENT COMPANY June 2011 Japan CFA Society 7 Current Themes  Investment environment compared to 10, 20, or 30 years ago  Increasing inflation and interest rates  Quality bias in equities  Emerging markets  Frontier markets  Natural resources and other real assets

INVESTMENT MANAGEMENT COMPANY June 2011 Japan CFA Society 8 Manager Selection  Possess competitive edge and expertise  Employ an independent, fundamental-driven research process  Pursue a transparent and understandable strategy  Are properly motivated and rewarded  Have unquestioned ethics and integrity UVIMCO develops long-term relationships with world-class managers who:

INVESTMENT MANAGEMENT COMPANY June Japan CFA Society Risk Management  Understand Risks  Measure Risks o Quantitatively o Qualitatively  Manage Risks Risk Framework UVIMCO only takes risk if it is properly compensated

INVESTMENT MANAGEMENT COMPANY Current/Future Issues  Tail Hedging  Direct Investing  New Approach to Investing in Privates  Tactical vs. Strategic Asset Allocation  Liquidity June 2011 Japan CFA Society 10