Our short term portfolios typically have a duration of less than one year and offer a significant incremental return when compared, on a tax adjusted basis, to US Treasury bills or Certificates of Deposit and to municipal money market funds.

Avg. Effective Maturity .75 years
Avg. Effective Duration .70 years
Avg. Quality AA+ *

* Nothing less than "A" rated.

 

The following graphs illustrate the composition of C.W. Henderson & Associates total portfolio. The first graph illustrates the portfolio composition based on the types of bonds held, the second shows the composition by credit rating and the third shows the ratio of insured to uninsured bonds.

Quality Distribution	Sector Distribution	Insured/Uninsured

Graphs updated as of 3/31/08

C.W. Henderson & Associates utilizes Axys^TM Portfolio Management Software, developed by Advent Software, Inc. to manage and monitor client portfolios. Axys^TM gives us the technical ability to optimize investment performance and deliver superior client service by:

1. Accessing portfolio holdings and current cash balances on an as needed basis;
2. Receiving electronic confirmation of trades;
3. Running a variety of management, portfolio and performance reports with flexible formatting.

From September 1991 to March 2008 the total return of our Short-Term Strategy Composite was 4.03% net of fees (using the maximum fee level) on an annualized basis. The benchmark for this product, The Lehman Brothers One Year Municipal GO Index, was established in June 1993. For the June 1993 to March 2008 period the composite returned an annualized 3.82% net of maximum fees versus 3.82% for the Lehman Brother One Year Municipal GO Index.

Note: Past performance is not a guarantee of future results.

Graph updated as of 3/31/08

1. Short Term Strategy Composite performance calculated net of maximum fee.
2. Unlike the CWH Short Term Strategy, the Lehman Brothers 1 Year General Obligation Index is not actively managed, so the Index returns do not take into account any management fees. If management fees were applied to the Index returns as they are to the CWH Short Term Strategy returns, the Index returns would have been lowered.
3. Performance results reflect the reinvestment of dividend and other income.
4. Rapid and dramatic inflationary market conditions would probably have a negative impact on investment results.
5. As with any investment vehicle, there is a possibility of loss as well as potential for profit.
6. CWH's portfolio contains higher quality municipal bonds compared to the Lehman Brothers One Year GO Index.

Note: Approximately 4% of the Lehman Brothers One Year GO Index is comprised of bonds rated Baa/Non-Rated or below investment grade, whereas C.W. Henderson & Associates, Inc. has only a small fraction of 1% of assets invested in bonds rates less than single A.