South Carolina Firefighters Association Retirement Plan Agenda S - PowerPoint PPT Presentation

South Carolina Firefighter’s Association Retirement Plan

Agenda ⌃ ⌃ S South Carolina Firefighter’s Retirement Plan C f Introduction and overview Plan performance and fees Plan options T l d Toledano and Associates d A i Questions and answers Q 2

Advisors and partners ⌃ ⌃ South Carolina State Firefighter’s Association | plan sponsor Charles Schwab and Company, Inc. | custodian Toledano and Associates | third party administrators | Ned Toledano | Ned Toledano | Melissa Biles | Kim Burdette | contact information phone 864.235.4411 Abacus Planning Group, Inc. | registered investment advisor | Cheryl R Holland | Charles Flowers | Eddie Kramer | Eddie Kramer | Bethany M Griffith | contact information phone 803.933.0054 Nexsen Pruet, LLC | ERISA attorney Nexsen Pruet, LLC | ERISA attorney | Joel Stoudenmire | Sue Odom

Trustees ⌃ ⌃ | Jonathan Jones | Raymond Lloyd | Will Vaigneur | Will Vaigneur | Jerry Williams | Jerry Williams | Tommy Norris | Les Williamson | Skip Harmon | Brantley Hanna | | Kyle Minick 4

Quick facts ⌃ ⌃ f 10 011 participants 10,011 participants 392 withdrawals in 2013 = $2,117,630 103 deposits in 2013 = $4,673,960 Portfolio value 12/31/13 = $48,669,819.28 / / $ , , Portfolio value 5/31/14 = $50,469,699.41 Moderate Growth return 2014 year to date 2.98% 12/31/13 – 5/31/14 Moderate Growth return since last conference 11.92% 6/30/13 – 5/31/14 5

Fees ⌃ Fees ⌃ December 31, 2012 – December 31, 2013 Advisor Fee as % of total Fee Fees for a $1,000 plan assets plan assets investment investment Abacus Planning Group 0.30% $135,600 $3.00 Trading fees 0.01% $3,045.00 $0.10 Underlying mutual fund managers 0.38% $ $186,487.20 $ $3.80 Nexsen Pruet 0.01% $4,374.95 $0.10 Toledano and Associates 1.07% $481,012.85 $10.70 Total fees 1.70% $810,520.00 $17.70 6 Source | Portfolio Center

Moderate growth portfolio performance detail ⌃ ⌃ 2013 Return Return Previous Three Years Previous Five Years 12/30/2010 – 12/31/2013 12/31/2008 – 12/31/2013 Before any fees (gross) 11.87% 19.75% 63.03% After investment fees After investment fees 11.52% 11.52% 18.50% 18.50% 60.06% 60.06% (1.25%) reduction (2.97%) reduction After administrative and 10.15% 14.29% 54.59% legal fees (4.21%) reduction (5.47%) reduction Source | Portfolio Center

Portfolio Performance ⌃ Portfolio Performance ⌃ December 31, 2013 Portfolio Option 2013 Previous Three Years Previous Five Years 12/30/2010 – 12/31/2013 12/31/2008 – 12/31/2013 Conservative Growth 6.66% 12.45% N/A – Funded 1/14/11 Moderate Growth Moderate Growth 1015% 10.15% 14 29% 14.29% 54 59% 54.59% Growth 12.53% 14.64% 83.04% Portfolio Option p Portfolio value 12/31/2013 Conservative Growth $2,596,805.48 Moderate Growth $43,611,525.14 Growth $32,415.68 5 Years till retirement* $13,986.70 * Individual firefighters who are five years from retirement can choose to move their funds to a money market account f f f f f Source | Portfolio Center

Target asset allocation ⌃ Target asset allocation ⌃ Moderate growth portfolio US Large 15.0% Bonds 30.0% US Small 8.0% International Large g 11.0% Hedging Strategies 10 0% 10.0% International Small 6.0% Inflation Hedging Emerging Markets 12.0% 8.0%

Benefits of diversification ⌃ ⌃ f f f 10 Source | Thomson Reuters Investment View

Model Portfolios ⌃ ⌃ f Conservative Growth 50% conservative oriented investments. 50% growth oriented investments. Projected return 5.25% Range (20%) – 24% Dollar range for a $5,000 investment: ($1,000) - $1,200 g ( ) Moderate Growth Portfolio 30% conservative oriented investments. 70% growth oriented investments. Projected return 6.75% Range (26%) – 32% Dollar range for a $5,000 investment: ($1,300) - $1,600 Growth Portfolio Growth Portfolio 20% conservative oriented investments. 80% growth oriented investments. Projected return 7.25% Range (31%) Range (31%) – 38% 38% Dollar range for a $5,000 investment ($1,550) - $1,900 11

Communication program ⌃ ⌃ Semi-annual webinar – July 29; 1:00 pm Chief’s survey Semi-annual newsletter S i l l tt Department visits Website updates Convention booth Convention booth We are always open for suggestions on how we can better communicate with participants communicate with participants 12

Benefits that resonate ⌃ ⌃ f We at Abacus feel truly honored to have the opportunity of working with the South Carolina Firefighters’ Association, the Trustees and the participants and look forward to continuing to serve each of you. 13