We understand that the primary reason you invest with us is to reach your financial goals. While service, products and other capabilities are important, investment performance must be competitive. We’re pleased to report that all of the CUIT and RCT Funds kept pace with their benchmarks in 2010, with four of the funds strongly outperforming. After the tumult of the financial crisis in 2008, our managers’ focus on quality and fundamentals was often overwhelmed by the forces of deleveraging. This year saw a welcome return to a market environment where companies with strong balance sheets and cash flows were rewarded, and our funds were well positioned to benefit.
We select managers who maintain discipline in the face of chaos, and who value quality investments in all market environments. While there may be times when this emphasis is not rewarded in the near term, we believe that over the long term, our managers will provide superior performance and enable our participants to achieve their financial objectives.
All of the CUIT and RCT Funds kept pace with their benchmarks in 2010, with four of the funds strongly outperforming.