(PUB) Investing 2015

12

The Market’s Achilles’ Heel Takes a Shot Market Overview | Robert Goldsborough

Benchmark Performance

Total Return % Through

A N N U A L I Z E D

06-30-15

1Mo YTD 3Yr

5Yr

10Yr

Large Growth Large Blend Large Value

-1.2 4.0 17.5 17.0 8.3 -1.9 1.1 16.5 15.8 7.3 -2.1 0.1 15.8 15.0 6.6 -0.5 5.9 17.5 16.8 8.9 -1.5 2.5 17.3 15.9 8.0 -1.9 1.6 17.8 16.1 8.0 1.6 7.7 18.0 17.7 9.0 0.4 3.5 16.7 15.9 7.9 -0.2 1.7 16.1 14.8 7.6 -1.9 1.9 11.9 11.8 6.0 -1.5 0.6 5.9 7.0 4.8 -1.7 1.2 10.1 10.4 6.0 -1.8 4.3 12.4 12.8 5.6 0.5 3.6 17.7 12.8 3.0 -3.6 -1.0 9.2 11.1 4.6 0.4 15.7 31.3 26.6 13.8 -4.3 -2.4 0.5 3.9 4.3 -7.5 -4.4 -22.3 -16.3 0.8 -4.2 -5.3 8.2 13.5 6.3 -3.2 3.8 17.8 16.3 9.5 -5.4 -6.7 9.8 12.4 7.3 -2.0 1.2 17.2 17.3 7.8 -1.3 4.2 18.6 17.8 9.7 0.8 4.7 17.9 17.1 8.4 -2.1 9.2 12.1 9.3 6.8 -2.3 1.8 3.8 3.5 7.3 -3.0 6.4 13.3 10.9 6.3 -2.8 5.9 10.8 8.9 5.2 -2.4 6.6 11.3 9.9 6.0 -2.7 5.5 10.7 8.6 4.2 -1.3 9.1 14.2 12.8 8.2 -2.3 8.4 13.8 10.2 6.0 -2.2 3.4 13.5 12.3 6.7 -2.3 2.6 14.3 13.1 6.4 -2.9 1.6 2.3 3.2 7.1 -3.1 6.1 11.6 9.7 5.0 -3.1 3.8 12.4 10.0 5.0 0.8 -7.7 -10.6 -7.1 4.5 -2.4 8.8 11.2 8.8 5.4 -1.3 2.4 6.0 7.6 6.5 -0.9 0.1 -1.2 2.4 3.2 -1.1 0.0 2.3 3.7 4.2 -0.2 -0.1 3.2 4.7 4.0

Mid-Cap Growth Mid-Cap Blend Mid-Cap Value

During June, most eyes were pointed in two places: Athens, Greece and the U.S. Federal Reserve’s Board of Governors. The Greek circus grabbed headlines as that nation headed toward default and an exit from the eurozone. Fed chair Janet Yellen hinted that while she still expects interest rates to rise later this year, they should remain low for some time to come. Else- where, macroeconomic reports were mostly positive, with existing- and new-home sales numbers better than expected, durable goods orders up (ex-transpor- tation orders), and solid consumption numbers. U.S. crude oil prices surged during June but pulled back with the Greek-debt crisis, ending the month at about $63 . 50 a barrel. U.S. bond prices were down in June. The U.S.’ top-performing sectors—both of which were flat for the month—were the health-care and consumer discretionary sectors. The weakest- performing U.S. equity sector was the bondlike utilities sector, which slid more than 5% in the wake of the Fed’s signals. Stocks were flat in developed foreign markets but down in emerging markets for the second-straight month. The MSCI Emerging Markets Index declined 2 . 6% on top of its 2 . 5% loss in May. Chinese stocks continued their recent slide as investors remained spooked by the likelihood of a market bubble. That weighed on Matthews China MCHFX , which lost more than 5% . China weakness, strong U.S. economic reports, and a strong dollar hurt broader-based emerging-markets funds such as Silver-rated DFA Emerging Markets Value DFEVX , which fell more than 3% in June. The U.S. bond market declined in June amid strong economic news. The Barclays U.S. Aggregate Bond Index fell about 1 . 1% for the month, with yields up across all bond categories. K

Small Growth Small Blend Small Value

Aggressive Allocation Conservative Allocation Moderate Allocation

Communications

Financial

Global Real Estate

Health

Natural Resources

Equity Precious Metals

Real Estate Technology

Utilities

S&P 500

S&P MidCap 400

Russell 2000

Diversified Pacific/Asia Diversified Emerging Mkts

Europe Stock

Foreign Large Blend Foreign Large Growth Foreign Large Value

Foreign Small/Mid Growth Foreign Small/Mid Value

World Stock

MSCI World

MSCI Emerging Markets

MSCI EAFE MSCI Europe

MSCI Latin America

MSCI Pacific

High Yield Bond

Inflation-Protected Bond Intermediate-Term Bond

Muni National Long

World Bond -1.2 -2.4 0.7 2.8 3.9 BarCap US Agg Bond TR USD -1.1 -0.3 1.7 3.1 4.2 BofAML US HY Master II TR -1.5 2.5 6.8 8.4 7.8 BarCap Municipal TR USD -0.1 0.1 3.1 4.5 4.5