Norwalk, Connecticut
Founded 1976*
Assets Under Management $6.2 billion (6/30/08)

In the alternative investments area, EACM specializes in fund of funds with the objective of consistent long-term capital appreciation, low volatility and low correlation to global equity and fixed income markets. Vigorous attention to manager due diligence and portfolio structure and management are the foundation of EACM’s successful history.

In the traditional, long-only area, EACM specializes in multi-manager funds focusing on entrepreneurial, fundamentally-based managers. Our objective is to build and manage portfolios of specialized managers to outperform and diversify better than a single manager.

EACM and its predecessors have over 25 years experience in the evaluation and selection of investment managers. It has run alternative fund of fund portfolios for over 15 years and traditional multi-manager portfolios for over 20 years. Prior to 2004, EACM was affiliated with the investment consulting firm, Evaluation Associates (EAI). Both firms operated independently, with separate lines of business, personnel and clientele. In 2003, the consulting firm, Evaluation Associates, was purchased by Milliman USA.

Three fundamental beliefs underpin our investment philosophy:

• Managers make money by taking intelligent risks. Our job is to know what risks a manager is taking, and to diversify those risks.
• That the past does not predict the future applies to markets, managers, and strategies.  Therefore, experienced judgment is more important than data crunching.
• Diversification is the best protection against uncertainty.
  EACM generally favors strategies that use fundamental analysis, discretionary judgment and opportunistic thinking.

EACM generally favors strategies that use fundamental analysis, discretionary judgment and opportunistic thinking.

*EACM and its predecessors have over 25 years experience in the evaluation and selection of investment managers. Evaluation Associates was founded in 1976 and quickly became one of the leading institutional consulting firms in the industry. In 1984, a fund of funds unit was started within the firm, focusing on long traditional multi-manager products. In 1991, the firm’s experience advising clients on alternative investments led it to form a dedicated unit to manage alternative fund of funds portfolios. The firm’s fund of funds operations were consolidated within a separate unit (EACM), operating independently of the affiliated institutional consulting business with respect to resources and client base.

In 1991, the firm’s management led a buy out of the firm from its owner at the time, MONY Financial Group, in which certain large clients also participated. This structure remained largely unchanged until 2003, when the consulting unit was purchased by Milliman USA. In June 2004, EACM entered into an agreement to be purchased by Mellon Financial Corporation and the transaction closed on August 2nd 2004.