Strategic and tactical allocations Proposed allocations for taxable client (where hedge funds are suitable) Strategic Crowe ncome Tactical naa Maximum Growth Strategic Tactical E uities 32.5% 32.5% 49.0% 49.0% 137.0% 137.5% 84.5% 84.5% U.S. Large Cap 15.0% 16.5% 23.5% 25.5% 33.0% 35.5% 42.0% 45.0% U.S. Small Cap 2.0% 1.5% 2.5% 2.0% 3.5% 3.0% 4.0% 3.0% EAFE 11.5% 13.0% 17.0% 18.5% 22.5% 25.0% 29.0% 31.5% European 7.5% 7.5% 11.5% 11.5% 15.0% 15.0% 20.0% 20.0% Japan 2.5% 4.0% 3.0% 4.5% 4.5% 7.0% 5.5% 8.0% Pacific ex-Japan 1.5% 1.5% 25% 2.5% 3.0% 3.0% 3.5% 3.5% Emerging Market 4.0% 1.5% 6.0% 3.0% 8.0% 4.0% 9.5% 5.0% Core erne mins equity 1.5% 2.0% 2.5% 3.0% &roams Asia Echo 0.0% 1.0% 1.5% 2.0% Fixed Income 8 Cash 58.5% 59.5% 40.5% 41.5% 24.0% 24.5% 7.0% 8.5% MuNcipal Bonds 50.5% 50.5% 32.0% 32.0% 16.0% 16.0% High Yield Bonds 2.0% 3.0% 20% 3.0% 2.0% 3.0% 2.5% 3.5% Intl Bonds- Hedged Emerging Market Bonds 2.0% 1.0% 2.5% 1.0% 2.0% 1.0% 2.5% 1.0% TIPS 20% 1.0% 20% 1.0% 20% 1.0% -- -- Cash 2.0% 4.0% 2.0% 4.5% 2.0% 3.5% 2.0% 4.0% Alternatives ...... 9.0% 8.0% 10.5% 9.5% 9.0% 8.0% 8.5% lire. 7.0% Hedge Funds 7.0% 7.0% 8.5% 8.5% 7.0% 7.0% 6.0% 6.0% Non-directional HF 5.0% 5.0% 4.5% 4.5% 3.0% 3.0% -- — Directional HF 20% 2.0% 40% 40% 40% 4.0% 6.0% 6.0% Commodities 2.0% 1.0% 20% 1.0% 2.0% 1.0% 1.0% 100.0% 2.5% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Source. Internal sources Last asset allocation change was March 22. 2016 and is reviewed monthly Allocation recommendations are subject to chasms without notice. The 'strategic allocation' represents our tones term outlook on portfolio diyersificeeion and serves as a frame of reference for our shod-term lacteal adjustments for U S. clients. Actual portfolio