Academic research suggests that the decision as to how to allocate total assets among various asset
classes will far outweigh security selection and other decisions that impact upon portfolio
performance. After reviewing the long-term performance and risk characteristics of various asset
classes and balancing the risks and rewards of market behavior, the following asset classes were
selected to achieve SRC’s investment objectives.

Asset Category Maximum Constraint Acceptable Range
Cash 0% to 100%
Fixed Income

  • Government Bonds/Funds
  • Foreign Bond Funds
  • Corp. General Bonds/Funds
  • Other Fixed Income/Hybrids
 

  • 50.0%
  • 10.0%
  • 50.0%
  • 10.0%

20% to 100%

 

 

Equities

  • U.S. Large Cap Funds/Equities
  • U.S. Small Company Funds
  • U.S. Mid Cap Stock Funds
  • Foreign Stock Funds/Equities
 

  • 35.0%
  • 20.0%
  • 20.0%
  • 20.0%

 20% to 70%

 

 

Real Estate

  • Equity REITs
 

  • 10.0%

0% to 10%

 

Energy

  • Energy Funds
 

  • 5.0%

0% to 5%