Definitions

Large Cap Equity: Stock holdings of companies with a market capitalization between $10 billion and $200 billion.

Mid Cap Equity: Stock holdings of companies with a market capitalization between $2 billion and $10 billion.

Small Cap Equity: Refers to stocks with a relatively small market capitalization. Generally it is a company with a market capitalization of between $300 million and $2 billion.

International Equity: Stock holdings in companies in developed markets outside North America.

Fixed Income: A debt investment with which the investor loans money to an entity (company or government) that borrows the funds for a defined period of time at a specified interest rate.

Market Capitalization: A measurement of corporate size that refers to the current stock price times the number of outstanding shares.

Standard Deviation: Standard deviation of return measures the average deviations of a return series from its mean, and is often used as a measure of risk. A large standard deviation implies that there have been large swings in the return series of the manager.


INDEX DEFINITIONS


S&P 500 Index: This index consists of approximately 380 industrial, 40 utility, 10 transportation and 70 financial companies listed on the US market exchanges. It is a capitalization-weighted index (stock price times number of shares outstanding), calculated on a total return basis with dividend reinvested.

S&P 400 Index: The S&P MidCap 400 Index tracks a diverse basket of medium-sized U.S. firms. The stocks are chosen based on market capitalization, liquidity and industry representation.

Russell 2000 Index: The Russell 2000 is used to measure the performance of the 2000 smallest companies in the Russell 3000 index.

MSCI EAFE Index: A market capitalization-weighted index representing all of the MSCI developed markets outside North America. This index is created by aggregating the 20 different country indexes, all of which are created separately.

Lehman G/C Intermediate Index: All bonds by the Lehman Brothers Government/Corporate Bond index with maturities of one to 10 years..

Trust Fund Account definitions

General Account: The term “General Account” means a trust fund established by the Diocese or a Participating Entity which does not limit how the fund assets may be used.

Designated Account: The term “Designated Account” means a trust fund established by the Diocese or a Participating Entity using assets from general revenues, and which limits use of the trust assets to a particular ministry of the Diocese or of the Participating Entity, as opposed to using the fund for general operational purposes.

Restricted Account: The term “Restricted Account” means a trust fund established from third- party donations, and which limits use of the trust assets to a particular purpose chosen by the third party donors. The restricted purposes may include funding the general operations of the Diocese or a Participating Entity, or funding for one of their particular ministries.

Endowment Account: The term “Endowment Account” means a trust fund established to provide support on a more permanent. There are two types. A Self-Funded Endowment Account is an endowment trust fund established by the Diocese or a Participating Entity for the general support of such contributing entity. A Third Party Settled Endowment Account is an endowment trust fund established by a third party donor for the general support of the Diocese or a Participating Entity, or to support one of their particular ministries. Each of these endowment accounts limits the amount that can be distributed from the trust on an annual basis to ensure the endowment fund’s ongoing existence.

* Annualized return information is calculated based on the data from October 1996 through September 2006.
** The blended benchmark return is comprised of S&P 500 index, S&P 400 index, Russell 2000 index, MSCI EAFE index, and the Lehman G/C Intermediate index.
An index is an imaginary portfolio of securities representing a particular market or a portion of it.
Each index has its own calculation methodology and is usually expressed in terms of a change from a base value.
It is not possible to invest in an index.
This information was prepared by or obtained from sources that the Diocese of Toledo believes to be reliable, but does not guarantee its accuracy. Past performance is not indicative of future results.