Investment Fees For the Fiscal Year Ended June 30, 2018 Transparency of the Montana Investment Expenses The Montana Board of Investment’s Investment Fees Report is a breakdown of the Investment Fees section of the Unified Investment Program (UIP) Financial Statements. The Investment Fees Report is unaudited and may be subject to change. Board expenses are allocated and segmented using an activity-based budgeting process that incorporates time estimates, functional investment activities and cost centers that can change over time. Custodial bank fees are contractual based on holdings, transactions and other pre-defined variables such as the number of active accounts. Custody expenses are allocated across the various investment pools based on holdings, transactions, or a direct charge. Contractual fees for external managers are aggregated at the parent company level across all partnerships and investment accounts. Additional information can be found at www.investmentmt.com Montana Board of Investments | June 30, 2018 | 2 Table of Contents FY2018 Investment Fees from UIP Financial Statements 4 Consolidated Asset Pension Pool (CAPP) 5 Trust Funds Investment Pool (TFIP) 8 Short Term Investment Pool (STIP) 9 Separately Managed Investments (SMI) 10 End Notes 11 Montana Board of Investments | June 30, 2018 | 3 Total Fiscal Year 2018 Investment Fees (in thousands) Custodial External Pool and SMI Board Bank Managers Total Consolidated Asset Pension Pool (CAPP) $ 3 ,730 $ 1 ,249 $ 4 7,834 $ 5 2,813 Trust Funds Investment Pool (TFIP) 331 126 1,648 2,105 Short Term Investment Pool (STIP) 443 261 - 704 Separately Managed Investments (SMI) 677 127 691 1,495 Total $ 5,181 $ 1,763 $ 50,173 $ 57,117 Montana Board of Investments | June 30, 2018 | 4 Pool and SMI Group Name Board Custodial Bank External Managers Total CAPP Board Per Diem 4,526 4,526 Commerce Department Services 337,884 337,884 Communications 17,079 17,079 Consulting 277,614 277,614 Data Service Providers 281,186 281,186 Miscellaneous 31,312 31,312 Other Contracted Services 153,713 153,713 Personnel Services 2,061,629 2,062,042 Private Equity and Real Estate Legal Fees 146,113 146,113 Rent 101,496 101,496 Repairs and Maintenance 1,139 1,139 Research Services 139,830 139,830 Supplies and Materials 29,035 29,035 Travel 146,992 146,992 State Street Bank 1,249,370 1,249,370 Acadian Asset Management, Inc. 681,801 681,801 Adams Street Partners 248,999 248,999 Affinity Equity Partners 383,321 383,321 Alex Brown Realty Chesapeake Investors 380,682 380,682 AllianceBernstein LP 814,849 814,849 Almanac Realty Investors 56,451 56,451 American Century 451,602 451,602 American Realty Advisors 164,897 164,897 American Securities LLC 113,654 113,654 Analytic Investors 116,561 116,561 Angeles Equity Partners, LLC 520,731 520,731 Angelo Gordon Company 844,750 844,750 Arclight Capital Partners 291,149 291,149 Ares Management, L.P. 342,577 342,577 Artisan Partners Limited Partnership 1,117,782 1,117,782 Axiom Asia Private Capital 637,500 637,500 Baillie Gifford 644,659 644,659 BKM Capital Partners 459,201 459,201 Black Diamond Capital Management L.L.C. 98,509 98,509 BlackRock Institutional 1,727,829 1,727,829 Builders VC 647,000 647,000 Carlyle Group 203,211 203,211 Cartesian Capital Group, LLC 232,536 232,536 Catalyst Capital Group, Inc. 405,652 405,652 CBRE Global Investors 295,726 295,726 CCMP Capital Advisors, LLC 353,011 353,011 Centerbridge Capital Partners 762,462 762,462 CIM Group 223,799 223,799 Congress Asset Management 143,797 143,797 DFW Captial Partners 365,132 365,132 Dimensional Fund Advisors 544,998 544,998 DRA Advisors, LLC 1,033,113 1,033,113 Equus Capital Partners, Ltd. 524,285 524,285 Eureka Growth Capital Management, L.P. 340,000 340,000 Executive Property Services 54,300 54,300 Franklin Templeton 721,750 721,750 GEM Realty Capital, Inc. 812,848 812,848 GI General Partners 312,366 312,366 Montana Board of Investments | June 30, 2018 | 5 Pool and SMI Group Name Board Custodial Bank External Managers Total Gridiron Capital 133,112 133,112 Guardian Capital Partners Management 189,013 189,013 Hammond, Kennedy, Whitney & Company, Inc. 64,765 64,765 Harbert Management Corporation 221,470 221,470 HarbourVest Partners 728,643 728,643 HCI Equity Partners 360,211 360,211 Highway 12 Ventures 10,587 10,587 Hudson Realty Capital 54,171 54,171 Invesco Advisors, Inc. 1,266,743 1,266,743 Iridian Asset Management LLC 714,893 714,893 J.P. Morgan 2,881,506 2,881,506 Jacobs Levy Equity Management, Inc. 318,167 318,167 JLL Partners 197,908 197,908 Kimmeridge Energy 762,329 762,329 Kinderhook Industries, LLC 696,275 696,275 Landmark Partners 69,718 69,718 Lazard Asset Management LLC 898,023 898,023 Levine Leichtman Capital Partners 817,945 817,945 Lexington Capital Partners 307,437 307,437 Matlin Patterson 66,979 66,979 McCarthy Capital Fund 500,000 500,000 MHR Institutional Partners 79,776 79,776 Molpus Woodlands Group, LLC 479,173 479,173 Morgan Stanley 4,633 4,633 Mountain Capital Partners, LP 592,290 592,290 Neuberger Berman 828,310 828,310 Northgate Capital, LLC 330,000 330,000 Oak Hill Capital Partners 68,584 68,584 Oak Street Real Estate Capital, LLC 93,752 93,752 Oaktree Capital Management 217,242 217,242 O'Connor Capital Partners 52,253 52,253 OCP Asia Ltd 796,269 796,269 Odyssey Investment Partners 545,366 545,366 Olympic Resource Management, LLC 255,267 255,267 Opus Capital Group, L.L.C. 194,477 194,477 PCCP Equity 224,999 224,999 Performance Equity Management 186,676 186,676 PGIM, Inc. 532,527 532,527 Pine Brook Capital Partners, LLC 453,891 453,891 Portfolio Advisors 210,262 210,262 Post Advisory Group, LLC 615,379 615,379 Reams Asset Management Company, LLC 358,923 358,923 RiverGlade Capital, LLC 110,959 110,959 Shenkman Capital Management, Inc. 142,185 142,185 Siguler Guff Advisers LLC 190,702 190,702 Southern Capital Group Pte. Ltd. 282,322 282,322 Spire Capital Management, LLC 287,595 287,595 Stockbridge Capital Group, LLC 567,031 567,031 Stoltz Management Company 804,396 804,396 T. Rowe Price Associates, Inc. 958,459 958,459 TA Associates Realty 416,068 416,068 Tenaya Capital, LLC 559,485 559,485 Tenex Capital Management 908,095 908,095 Montana Board of Investments | June 30, 2018 | 6 Pool and SMI Group Name Board Custodial Bank External Managers Total Terra Firma Capital Partners 88,092 88,092 TIAA CREF Asset Management 149,936 149,936 TimesSquare Capital Management, LLC 1,407,929 1,407,929 Trilantic Capital Partners LLC 569,468 569,468 UBS Realty Investors LLC 686,235 686,235 Vaughan Nelson Investment Management, LP 1,232,375 1,232,375 Veritas Capital Management, LLC 402,249 402,249 Vida Capital Inc. 400,000 400,000 Voya Investment Management 559,655 559,655 Warwick Group 100,822 100,822 Welsh Carson Anderson Stowe 3,996 3,996 White Deer Management LLC 552,527 552,527 CAPP Total 3,729,547 1,249,370 47,834,012 52,813,341 Montana Board of Investments | June 30, 2018 | 7 Pool and SMI Group Name Board Custodial Bank External Managers Total TFIP Board Per Diem 387 387 Commerce Department Services 27,260 27,260 Communications 1,462 1,462 Consulting 5,845 5,845 Data Service Providers 75,897 75,897 Miscellaneous 2,680 2,680 Other Contracted Services 13,155 13,155 Personnel Services 166,631 166,341 Rent 8,686 8,686 Repairs and Maintenance 97 97 Research Services 14,071 14,071 Supplies and Materials 2,485 2,485 Travel 12,580 12,580 State Street Bank 125,777 125,777 American Realty Advisors 446,364 446,364 PGIM, Inc. 199,520 199,520 Post Advisory Group, LLC 573,702 573,702 TIAA CREF Asset Management 232,185 232,185 UBS Realty Investors LLC 195,842 195,842 TFIP Total 331,236 125,777 1,647,613 2,104,336 Montana Board of Investments | June 30, 2018 | 8 Pool and SMI Group Name Board Custodial Bank External Managers Total STIP Board Per Diem 594 594 Commerce Department Services 37,266 37,266 Communications 2,241 2,241 Consulting 2,922 2,922 Data Service Providers 106,743 106,743 Miscellaneous 4,109 4,109 Other Contracted Services 20,171 20,171 Personnel Services 227,522 227,333 Rent 13,319 13,319 Repairs and Maintenance 149 149 Research Services 4,736 4,736 Supplies and Materials 3,810 3,810 Travel 19,289 19,289 State Street Bank 260,760 260,760 STIP Total 442,872 260,760 703,443 Montana Board of Investments | June 30, 2018 | 9 Pool and SMI Group Name Board Custodial Bank External Managers Total SMI Board Per Diem 946 946 Commerce Department Services 62,197 62,197 Communications 3,570 3,570 Consulting 5,845 5,845 Data Service Providers 80,037 80,037 Housing Mortgage Services 28,411 28,411 Miscellaneous 6,545 6,545 Other Contracted Services 48,365 48,365 Personnel Services 379,399 379,465 Rent 21,215 21,215 Repairs and Maintenance 238 238 Research Services 17,509 17,509 Supplies and Materials 6,069 6,069 Travel 16,768 16,768 State Street Bank 127,092 127,092 American Realty Advisors 302,467 302,467 BlackRock Institutional 43,439 43,439 PGIM, Inc.