DSM Capital: Small Cap

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Historical Performance

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	Small Cap

Annual


Historical Performance of Small / Mid Accounts
Annualized Trailing Periods Ending December 31, 2009
	DSM Pre‑Fee* (%)	DSM Post‑Fee* (%)	Russell 2500 Growth Total Return (%)
1 Year	25.2	24.0	41.7
2 Years	-17.2	-18.0	-9.0
3 Years	-5.4	-6.3	-3.1
4 Years	0.1	-0.9	0.5
5 Years	3.4	2.4	2.0
6 Years	3.7	2.7	4.0
Since Inception**	9.2	8.1	9.2
Annual Periods
	DSM Pre‑Fee (%)	DSM Post‑Fee (%)	Russell 2500 Growth Total Return (%)
YTD 06/30/2010*	2.3	1.8	-1.8
2009	25.2	24.0	41.7
2008	-45.2	-45.8	-41.5
2007	23.7	22.5	9.7
2006	18.3	17.1	12.3
2005	18.1	16.9	8.2
2004	5.1	4.1	14.6
2003	48.6	47.2	46.3
* Preliminary
** Inception is January 1, 2003
Please see Important Disclosures on the Notes Page

Monthly


Monthly Historical Performance of Small/mid Accounts
From Inception at 1-Jan-03 through 30-Jun-10
		DSM Pre‑Fee (%)	DSM Post‑Fee (%)	Russell 2500 Growth Total Return (%)
	From Inception*	89.3	75.8	81.7
	Annualized*	8.9	7.8	8.3
	Year-to-date*	2.3	1.8	-1.8
2010	June*	-4.2	-4.3	-6.5
	May	-5.4	-5.5	-6.8
	April	3.4	3.3	3.5
	March	6.6	6.5	8.0
	February	4.3	4.2	5.1
	January	-1.8	-1.9	-4.1
	Year 2009	25.2	24.0	41.7
2009	December	5.9	5.9	7.7
	November	4.4	4.3	3.7
	October	-2.7	-2.8	-5.5
	September	7.0	6.9	6.6
	August	0.0	-0.1	2.0
	July	4.3	4.3	7.8
	June	6.9	6.9	2.3
	May	2.6	2.6	3.6
	April	7.3	7.2	14.9
	March	2.4	2.3	9.5
	February	-8.6	-8.6	-8.7
	January	-5.5	-5.6	-6.0
	Year 2008	-45.2	-45.8	-41.5
2008	December	5.2	5.1	5.1
	November	-12.2	-12.3	-11.3
	October	-25.0	-25.1	-22.5
	September	-14.4	-14.5	-13.2
	August	0.0	0.0	0.0
	July	0.0	0.0	0.0
	June	-5.0	-5.1	-7.2
	May	4.4	4.3	5.3
	April	7.8	7.7	6.0
	March	-2.0	-2.1	-1.2
	February	-1.5	-1.6	-2.0
	January	-11.2	-11.3	-8.2
	Year 2007	23.6	22.4	9.7
2007	December	-0.7	-0.8	-0.1
	November	-7.7	-7.8	-5.9
	October	2.6	2.5	4.1
	September	8.1	8.0	3.5
	August	3.4	3.3	1.5
	July	1.6	1.5	-4.2
	June	0.0	-0.1	-1.0
	May	5.2	5.1	4.8
	April	2.9	2.8	3.1
	March	0.8	0.7	0.9
	February	1.6	1.5	-0.1
	January	4.5	4.4	3.2
	Year 2006	18.3	17.1	12.3
2006	December	1.4	1.3	-0.2
	November	2.4	2.3	3.4
	October	4.2	4.1	4.9
	September	-0.8	-0.8	1.4
	August	0.3	0.2	2.4
	July	-0.2	-0.3	-4.9
	June	-0.6	-0.6	-0.5
	May	-3.9	-4.0	-6.0
	April	2.1	2.1	0.3
	March	5.4	5.3	4.3
	February	-4.0	-4.1	-0.3
	January	11.5	11.4	7.6
	Year 2005	18.1	16.9	8.2
2005	December	0.8	0.7	0.6
	November	7.6	7.5	5.6
	October	-3.3	-3.4	-3.3
	September	2.6	2.5	1.0
	August	1.5	1.4	-1.2
	July	8.1	8.0	6.5
	June	1.5	1.5	2.6
	May	6.0	5.9	6.7
	April	-1.8	-1.9	-5.4
	March	-2.2	-2.3	-2.8
	February	0.6	0.5	2.0
	January	-3.7	-3.7	-3.5
	Year 2004	5.1	4.1	14.6
2004	December	3.3	3.2	4.8
	November	3.6	3.5	6.6
	October	5.2	5.1	2.8
	September	6.1	6.0	4.5
	August	-5.1	-5.2	-2.0
	July	-8.5	-8.6	-7.8
	June	2.2	2.1	2.4
	May	-1.0	-1.1	2.1
	April	-2.4	-2.5	-4.2
	March	1.4	1.3	0.4
	February	0.3	0.2	0.9
	January	0.9	0.8	4.2
	Year 2003	48.6	47.2	46.3
2003	December	0.0	-0.1	0.1
	November	1.6	1.5	3.4
	October	8.7	8.6	8.2
	September	0.1	0.0	-2.2
	August	3.9	3.8	5.4
	July	6.2	6.1	6.7
	June	4.7	4.6	2.1
	May	7.2	7.1	10.6
	April	7.9	7.9	8.7
	March	4.6	4.5	1.3
	February	-3.0	-3.1	-2.3
	January	-0.7	-0.8	-2.2
* Preliminary
Please See Important Disclosures on the Notes Page

Details


Detailed Historical Performance of Small / Mid Accounts
From Inception at 1-Jan-03 through 30-Jun-10
		DSM Pre‑Fee (%)	DSM Post‑Fee (%)	Russell 2500 Growth Total Return (%)	No. of Accts	Weighted Dispersion (%)	Sample Assets Period End ($mil)	% of Firm Assets (%)	Total Firm Assets ($mil)
	From Inception*	89.3	75.8	81.7
	Annualized*	8.9	7.8	8.3
	Year-to-date*	2.3	1.8	-1.8		0.06
2010	June*	-4.2	-4.3	-6.5	3	0.03	19.2	0.90	2119.1
	May	-5.4	-5.5	-6.8	5	0.03	48.5	2.20	2249.1
	April	3.4	3.3	3.5	5	0.03	51.2	2.10	2426.7
	March	6.6	6.5	8.0	5	0.01	49.6	2.10	2403.8
	February	4.3	4.2	5.1	5	0.03	46.6	2.00	2274.9
	January	-1.8	-1.9	-4.1	5	0.03	44.9	2.00	2214.1
	Year 2009	25.2	24.0	41.7		0.55
2009	December	5.9	5.9	7.7	5	0.03	45.7	2.00	2255.4
	November	4.4	4.3	3.7	5	0.05	43.2	2.00	2184.1
	October	-2.7	-2.8	-5.5	5	0.02	41.4	2.00	2063.3
	September	7.0	6.9	6.6	5	0.02	42.6	2.10	2038.0
	August	0.0	-0.1	2.0	5	0.03	39.8	2.40	1688.5
	July	4.3	4.3	7.8	6	0.04	40.4	2.60	1576.0
	June	6.9	6.9	2.3	6	0.04	38.8	2.70	1460.2
	May	2.6	2.6	3.6	6	0.02	36.3	2.60	1389.1
	April	7.3	7.2	14.9	6	0.04	35.4	2.70	1325.3
	March	2.4	2.3	9.5	5	0.09	22.2	1.90	1160.9
	February	-8.6	-8.6	-8.7	6	0.04	30.1	2.80	1085.4
	January	-5.5	-5.6	-6.0	6	0.03	33.0	2.90	1139.8
	Year 2008	-45.2	-45.8	-41.5		0.31
2008	December	5.2	5.1	5.1	5	0.12	34.1	2.90	1177.5
	November	-12.2	-12.3	-11.3	4	0.02	5.8	0.50	1067.6
	October	-25.0	-25.1	-22.5	4	0.02	6.7	0.60	1201.7
	September	-14.4	-14.5	-13.2	4	0.02	8.8	0.60	1461.4
	August	1.3	1.3	1.7	4	0.04	10.3	0.60	1627.3
	July	-0.4	-0.5	-0.4	4	0.09	10.1	0.70	1597.6
	June	-5.0	-5.1	-7.2	4	0.01	10.2	0.70	1447.2
	May	4.4	4.3	5.3	4	0.12	10.8	0.70	1448.1
	April	7.8	7.7	6.0	4	0.11	10.0	0.80	1261.8
	March	-2.0	-2.1	-1.2	4	0.02	9.4	0.80	1100.8
	February	-1.5	-1.6	-2.0	3	0.02	8.9	0.90	1004.2
	January	-11.2	-11.3	-8.2	2	0.01	5.8	0.60	1017.2
	Year 2007	23.7	22.5	9.7		0.03
2007	December	-0.7	-0.8	-0.1	2	0.00	6.5	0.60	1068.4
	November	-7.7	-7.8	-5.9	2	0.03	6.6	0.70	994.5
	October	2.6	2.5	4.1	2	0.04	7.2	0.70	1045.1
	September	8.1	8.0	3.5	2	0.02	7.0	0.70	936.1
	August	3.5	3.4	1.5	2	0.00	6.5	0.80	789.8
	July	1.6	1.5	-4.2	2	0.00	6.2	0.80	760.5
	June	0.0	-0.1	-1.0	2	0.00	6.2	0.80	749.1
	May	5.2	5.1	4.8	2	0.00	6.2	0.90	725.4
	April	2.9	2.8	3.1	2	0.00	5.8	1.00	600.0
	March	0.8	0.7	0.9	2	0.03	5.6	1.00	576.1
	February	1.6	1.5	-0.1	2	0.03	5.6	1.00	555.4
	January	4.5	4.4	3.2	2	0.01	5.0	0.90	565.5
	Year 2006	18.3	17.1	12.3		0.05
2006	December	1.4	1.3	-0.2	2	0.00	7.0	1.30	545.0
	November	2.4	2.3	3.4	2	0.00	6.9	1.30	536.8
	October	4.2	4.1	4.9	2	0.00	6.8	1.30	516.8
	September	-0.8	-0.8	1.4	2	0.00	6.5	1.40	455.7
	August	0.3	0.2	2.4	2	0.01	6.6	1.50	430.3
	July	-0.2	-0.3	-4.9	2	0.00	6.6	1.50	427.5
	June	-0.6	-0.6	-0.5	2	0.00	6.6	1.60	419.8
	May	-3.9	-4.0	-6.0	2	0.01	6.7	1.70	398.3
	April	2.1	2.1	0.3	2	0.01	6.9	1.70	408.0
	March	5.4	5.3	4.3	2	0.00	6.8	2.10	322.3
	February	-4.0	-4.1	-0.3	2	0.05	6.5	2.20	293.5
	January	11.5	11.4	7.6	2	0.01	6.8	2.40	286.6
	Year 2005	18.1	16.9	8.2		0.05
2005	December	0.8	0.7	0.6	2	0.01	6.1	2.20	272.4
	November	7.6	7.5	5.6	2	0.00	6.0	2.20	278.3
	October	-3.3	-3.4	-3.3	2	0.01	5.6	2.10	261.7
	September	2.6	2.5	1.0	2	0.00	5.8	2.20	263.9
	August	1.5	1.4	-1.1	2	0.01	5.7	2.10	264.8
	July	8.1	8.0	6.5	2	0.01	5.6	2.10	267.3
	June	1.5	1.5	2.6	2	0.01	5.2	2.10	245.4
	May	6.0	5.9	6.7	2	0.03	5.1	2.10	247.7
	April	-1.8	-1.9	-5.4	2	0.00	4.9	2.00	248.2
	March	-2.2	-2.3	-2.8	2	0.00	5.0	1.90	254.6
	February	0.6	0.5	2.0	2	0.01	5.1	1.90	260.2
	January	-3.7	-3.7	-3.5	2	0.02	5.1	1.90	264.8
	Year 2004	5.1	4.1	14.6		0.00
2004	December	3.3	3.2	4.8	2	0.00	5.3	1.90	272.6
	November	3.6	3.5	6.6	2	0.01	5.1	1.90	266.9
	October	5.2	5.1	2.8	2	0.00	4.9	1.90	259.0
	September	6.1	6.0	4.5	2	0.00	4.7	1.80	257.7
	August	-5.1	-5.2	-2.0	2	0.02	4.4	1.80	247.7
	July	-8.5	-8.6	-7.8	1	0.00	3.1	1.20	254.3
	June	2.2	2.1	2.4	2	0.01	6.2	2.30	268.9
	May	-1.0	-1.1	2.1	2	0.03	6.0	2.30	266.4
	April	-2.4	-2.5	-4.2	1	0.00	2.7	1.00	272.2
	March	1.4	1.3	0.3	2	0.00	5.3	2.00	269.6
	February	0.3	0.2	0.9	2	0.01	5.3	2.00	264.0
	January	0.9	0.8	4.2	1	0.00	2.8	1.10	261.3
	Year 2003	48.6	47.2	46.3		0.00
2003	December	0.0	-0.1	0.1	1	0.00	2.7	1.10	248.3
	November	1.6	1.5	3.4	1	0.00	2.7	1.20	236.2
	October	8.7	8.6	8.2	1	0.00	1.7	0.70	234.0
	September	0.1	0.0	-2.1	1	0.00	1.6	0.70	213.1
	August	3.9	3.8	5.4	1	0.00	1.6	0.70	213.5
	July	6.2	6.1	6.7	1	0.00	1.5	0.70	204.7
	June	4.7	4.6	2.1	1	0.00	1.3	0.60	195.8
	May	7.2	7.1	10.6	1	0.00	1.2	0.70	187.7
	April	7.9	7.9	8.7	1	0.00	1.1	0.60	175.9
	March	4.6	4.5	1.3	1	0.00	1.1	0.70	155.3
	February	-3.0	-3.1	-2.3	1	0.00	1.0	0.70	147.4
	January	-0.7	-0.8	-2.2	1	0.00	1.0	0.70	152.9
* Preliminary
Results have been prepared and presented in compliance with the AIMR-PPS® standards since inception of the firm®s performance track record on January 1, 2003 to December 31, 2005. Results from January 1, 2006 have been prepared and presented in compliance with the Global Investment Performance Standards (GIPS®).

Notes

DSM CAPITAL PARTNERS LLC

NOTES TO HISTORICAL PERFORMANCE OF SMALL / MID CAP MANAGED ACCOUNTS

Past performance is no guarantee of future results.. Materially different market or economic conditions could result in markedly different performance, including the possibility of loss.
DSM Capital Partners (DSM) is a registered investment adviser not affiliated with any parent organization.
DSM primarily manages equities in a model portfolio method and therefore presents a single small/mid cap (SMID) composite return for managed accounts containing equities and residual cash. There is one other published composite and one unpublished composite.
The accompanying results have been prepared and presented in compliance with the AIMR-PPS® standards since inception of the firm’s SMID performance track record on January 1, 2003 through December 31, 2005. Results from January 1, 2006 have been prepared and presented in compliance with the Global Investment Performance Standards (GIPS®). AIMR has not been involved in the preparation or review of this report.
DSM’s performance sample includes all discretionary SMID managed accounts of the firm, including two accounts with assets that are less than $1 million, with the exception of accounts that: (a) experienced a capital flow during the month equal to or greater than 15% of the opening market value on the day of the flow except as noted in Note (7) below, (b) on any day of the month had absolute variances from target in individual security positions (including cash) that, taken together, equal or exceed 12 % of the opening value of that day, (d) balanced accounts including bonds. The performance sample also excludes the accounts of employees and related individuals that the firm regards as “employee-related accounts” and which may trade at a disadvantage to client accounts.
DSM first offered its SMID management services to clients through a limited partnership launched on January 2, 2003 and liquidated on December 29, 2006. DSM also offered its SMID management services to clients through a UK-based Open Ended Investment Company (OEIC) beginning January 23, 2004. On January 2, 2007, DSM began managing a separate account for the client who had been invested in the limited partnership. Thus, the DSM SMID performance track record begins with the performance of the limited partnership, joined by the performance of the OEIC, and continued as of January 2, 2007 with the separately managed account and the OEIC.
The performance of the limited partnership from January 2, 2003 through December 29, 2006 has been calculated using the gross of fees performance of the partnership, with cash flows calculated at the beginning of the day including the flow. Post-Fee performance has been modeled with a flat fee of 1% per annum on assets, assumed charged quarterly in advance. All other expenses of the partnership, such as administration and accounting, have not been modeled in calculating post-fee performance. Cash flow effects on performance due to the modeled fee are believed to be de minimus. The limited partnership experienced one significant cash flow in excess of 15%, the impact of which is included in the reported gross performance of the SMID composite. DSM believes that, had the included cash flow not occurred, performance of the composite would have been 90 bps better. Thus, had the flows not occurred, and without the effect of compounding, the composite might have performed 90 bps better than reported.
“Total Firm Assets”, as reported in the Detail exhibit, refers to all of the assets currently managed by DSM including employee-related assets managed by DSM.
Results are time-weighted and asset-weighted based on beginning-of-period asset values in U.S. dollars. Valuation is on a trade-date basis. Results include the reinvestment of dividends and other earnings. Dividends are realized on an accrual basis. Pre-fee results include the effect of commissions; post-fee results include the effect of commissions and management fees. Cash flows of 15% an account’s market value, or greater, will be assumed at the beginning of the day for a cash flow into the account and at the end of the day for a cash flow out of the account. Custody charges, where applicable, are not deducted from pre-fee or post-fee performance. Dispersion is an asset-weighted standard deviation between sample accounts based on beginning-of-period asset values.
The DSM SMID management fee is generally 1.0% per annum, charged quarterly in advance at the rate of 0.25%. Certain accounts in the composite may have different fee structures and certain accounts may involve non-fee expenses not included above. In calculating monthly post-fee returns, that fraction of actual fees billed representing the reported month is used (typically one-third of actual quarterly fees). Because fees were actually calculated based on beginning-of-quarter market values, monthly post-fee returns based on beginning-of-month market values may compound to more or less than quarterly post-fee returns. Since inception, DSM’s annual post-fee return, when calculated quarterly, would have been about less than one-half basis point lower than shown in the published results. Two European funds are included in the composite which have specific fee and expense structures that are different from DSM’s fee structure. The post-fee performance for these two funds are calculated by applying DSM’s standard management fee.
The Russell 2500 Growth Total Return Index includes dividends reinvested in the Index as reported by the Russell Investment Group. DSM uses the Russell 2500 Growth as a benchmark because it is an industry standard and because its weighted and average characteristics are similar to those of the DSM SMID portfolio. Characteristics of any benchmark may differ materially from DSM’s portfolio.
There have been no material changes in the persons responsible for investment management since the inception of the firm.

Revised 03/05/08