The Strategy seeks to provide a total investment return in excess of the performance of its benchmark index (the "Index") over the long term.
BENCHMARK: MSCI ACWI ex USA Index
SSGA actively allocates the Strategy's assets among three major asset classes - Developed, Emerging and Small Cap International equities - in order to meet its investment objective. SSGA will overweight or underweight the Strategy's asset allocation to different asset classes based principally on its analysis of the relative attractiveness of the various asset classes. SSGA may reallocate the Strategy's assets among asset classes at any time it believes that the reallocation has the potential to increase the Strategy's investment return.
The Strategy seeks to generate excess return above the benchmark through three distinct mechanisms; namely, asset allocation shifts, security selection within underlying actively managed investments and active management across underlying investments. Broad asset class active weights around the benchmark for tactical positioning are constrained to +10/-22% for Emerging Markets, +20/-37% Non U.S. Developed Market ex Canada, +7/-8% Canada, and +20/-0% International Small Cap.
SSGA will typically implement its asset allocation decisions for the Strategy through investments in other investment pools managed by SSGA, exchange traded funds, and exchange traded or OTC derivatives. SSGA reserves the ability to implement all or any portion of the Strategy through investments directly in equities and other investments.
SSGA seeks to enable the Strategy to outperform the benchmark over the long term by employing both asset allocation and security selection investment strategies. There can be no assurance that the Strategy will achieve its investment objective.
The MSCI ACWI ex USA Index is a trademark of MSCI Inc.
There are risks involved with investing, including possible loss of principal. You should refer to the Strategy's Disclosure Document (SDD) for a complete description of the risks of investing in the Strategy. Please contact SSGA's relationship management team for a copy of the SDD.
This information is for informational purposes only, not to be construed as investment advice or a recommendation or offer to buy or sell any security. Investors should always obtain and read an up-to-date investment services description or prospectus before deciding whether to appoint an investment manager or to invest in a fund. Any views expressed herein are those of the author(s), are based on available information, and are subject to change without notice. Individual portfolio management teams may hold different views and may make different investment decisions for different clients. There are no guarantees regarding the achievement of investment objectives, target returns, portfolio construction, allocations or measurements such as alpha, tracking error, stock weightings and other information ratios. The views and strategies described may not be suitable for all investors. SSGA does not provide tax or legal advice. Prospective investors should consult with a tax or legal advisor before making any investment decision. Investing entails risks and there can be no assurance that SSGA will achieve profits or avoid incurring losses.
Performance quoted represents past performance, which is no guarantee of future results. Investment return and principal value will fluctuate, so you may have a gain or loss when shares are sold. Current performance may be higher or lower than that quoted.
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