A U.S. equity strategy that is currently managed versus the Russell Midcap^® index. The methodology can be applied to any reasonable U.S. equity index. The majority of value added by the strategy is from stock selection. The ideal stock has:

• Earnings growing faster than consensus expectations;
• Strong cash flow to support continued earnings growth;
• Corporate insiders are buying their own stock; and
• The stock is undervalued.

Note: Shenandoah's Midcap strategy has been applied to the Russell Midcap^® index since July 2005. It also was applied to the S&P 400 from May 2001 until April 2007 at which time the client utilizing that benchmark changed their benchmark to the Russell Midcap^® Index joining the client already using the Russell Midcap benchmark since July 2005.

The additional links at the left will take you to the specific product information as follows:

Peer: Peer Comparison of other managers utilizing the same benchmark
Returns: Composite monthly returns
Characteristics: Characteristics of the resulting portfolio
Parameters: The restrictions and parameters applied in the investment process

Sources
Russell Midcap^® Index is a registered trademark of the Russell Investment Group
Plan Sponsor Network (PSN) is a product of Informa Investment Solutions
Global Industry Classification Standards (GICS^®) are a registered trademark of Standard & Poor's and MSCI BARRA
Portfolio characteristics compiled from data supplied by The Applied Finance Group, LTD.

Disclosure
Past performance does not guarantee future results. Performance for periods greater than one year is annualized. Gross returns (including realized and unrealized capital gains, reinvestment of dividends and interest) are before fees and administrative expenses. Net returns reflect the return to investors after all fees and expenses.