Ka Wai Ola - Office of Hawaiian Affairs, Volume 12, Number 11, 1 November 1995 — OHA portfolio: moving forward [ARTICLE+ILLUSTRATION]

OHA portfolio: moving forward

bv Abraham Aiona Vice-chairman and Trustee, Maui The latest Ka Wai Oia O OHA issue covered OHA's portfolio and the successes of our nine (9)

money managers , between January 1 through August 31, 1995. As you may recall, 1994 was a poor year for stocks and bonds and we were subjected to severe criticisms from a number of OHA Trustees who wanted your Committee on

Budget Finance, and Policy to "dump" money managers who did not meet the benchmarks set for their type of investment sec-

tor. I was happy that the eommittee listened to the leadership and believed in the concept of long-term investments and the five year cycle for money managers. At the end of December 31,

1994 the total market value of our portfolio was $170,226,924.09. At the end of June 30,1995, the market value zoomed to $193,344,624.92, or an increase of $23,117,700.83. In order to show the performance of our money man-

agers, I am enclosing a chart provided by Martha Brown of Merrill Lynch, our money monitor, showing the good work per-

formed by most of the money managers. Monitoring and regular reports have proven to be a major factor coupled with instant communications by telephone, fax, and correspondence. Listed below is the chart relating to performances and benchmarks used. For the present and the immediate future the market looks bullish. Therefore, based on the knowledge we have of the market and its condition, your OHA Trustees ean make sound fiduciary decisions relative to the management of the funds. The funds belong to the beneficiaries who have many, many needs. We must always remember this and be "guardians of the OHA native Hawaiian Trust Fund". Me ke aloha kākou

OHA Native Hawaiian Trust Fund

Preliminary Manager Performance (% net of fees) August 1995

Assets 3 months Annualized since Managed August through inception 1 (Srayn) 1996 August to 8/31/95 | Ashfield 2/92 E 15.0 -0.8 18.3 5 9 C 0.1 | S&P500 Total 15.1 0.3 24.5 11.8 NWQ 2/92 E 15.4 -0.1 27 1 121 C 0.8 S & P 500 Total 16.2 0.3 24.5 11.8 Invesco ia/w E 15.3 -0.7 20 3 133 C 0.5 S & P 500 Totai 15.8 0.3 24.5 13.8 Denis Wong 10/93 E 14.2 -2.8 212 94 C 0.8 SAP 500 Total 15.0 0.3 24.5 13.8 Bidwell & Assoc. E 13.2 -0.1 231 6 9 C 0.8 Russell 2000 Total 14.0 1.9 21.9 11.8 Scudder Stevens^ 10/93 E 15.9 -1.0 " 37.4 133 C 0.0 Russell 2000 Total 15.9 2.1 23.5 118 FIXED INCOME Hawaiian Trust 3/92 F 32.0 1.8 15.1 n/a C 0.1 Lehman Govt'Corp Total 32.1 1.3 12.8 8.1 i 8radford & Marzec to/as F 20.7 1.2 133 51 C 1.3 j Lehman Aggregate Total 22.0 1.2 12.S 4.8 BofA Capital Mgt 10/93 F 26.8 0.9 99 38 C 0.9 Lehman inferm G/C Total 26 7 09 106 43 { SHORT TERM CASH $26.8 TOTAL MANAGED " L— PORTFOLIO $199.6 0.0 18 4