EQUITY MANAGEMENT
Evergreen (ECM) manages equity (stock) and fixed income portfolios for institutions, tax advantaged and
individual accounts. Most equity accounts are managed around a model that incorporates diversification
within S&P sectors. ECM's investment style tends to be focused toward large and mid-cap growth and value as
opposed to small cap. Our model portfolio will generally consist of 35 to 45 securities. International
securities and Exchange Traded Funds (ETFs) may also be included in the portfolio.
Initial purchase decisions in a single position generally vary between 1 to 2 percent of the portfolio.
Rarely do individual stock positions exceed a 5 percent weighting. At any point in time, portfolio positions
are rated as a fresh (buy) or hold. New money commitments may take six months or more to become fully invested
in the model. ECM's main goal with respect to its income portfolios is producing an income level greater than
the prevailing short-term interest rates while being very vigilant about preservation of capital.
