Introduction to Transition Management
Transition Management is a risk-managed approach to converting a legacy portfolio of assets to a destination portfolio in a cost effective manner to preserve shareholder assets.

Restructuring portfolios in the market place generally involves numerous parties to facilitate a large volume of trading over a short period of time. Without specialized management, this process can be expensive, time consuming, and expose the assets to unnecessary performance risks. Ineffective trading and planning can signifi cantly impact performance in a low return environment. Our focus is to coordinate the transition process and apply sophisticated risk management techniques to minimize costs, operational risk, and seek best execution.

SEI's Transition Management Model

SEI's third party model is designed to access multiple sources of liquidity that enable us to tailor an appropriate trading strategy best suited to meet each client's risk/return objectives. Our transition approach is much more focused around portfolio management and understanding the trade offs between benchmark risk and market impact rather than execution in and of itself.
• Unbiased approach when formulating an execution strategy
• Transition model is not subject to execution restraints inherent to other providers
• No hidden income sources such as tape rebates, proprietary trading income, bid/ask spreads
• Diversifi ed access to U.S. and International liquidity sources
• Maintain client anonymity in the marketplace
• Client interests are aligned with a strategic partner
• Integrated client commission recapture program opportunities.

Proven Success & Experience
SEI’s Transition Management Team has successfully completed over $100B in multi-asset class transitions ranging from $10M to $12B in size. Our dedicated team will design various risk management and execution strategies to minimize transaction costs depending on the size and scope of the transition.

Benefits of SEI's Transition Management Service
SEI will provide an in-depth analysis and discussion summary during the pre-trade phase detailing our execution strategy, transaction costs, and various risk characteristics of the transition. Our detailed post-trade analysis will include performance results, cost savings analysis, as well as a discussion summary overview.


Project Management
• Complete project planning throughout the entire transition
• Coordination of custody banks, portfolio managers, trading & settlement
• Pre-trade & post-trade reporting, qualitative market commentary
• Mitigate operational risk

Rixk Management
• Minimize portfolio risk by minimizing large sector imbalances
• Maintain asset allocation throughout transition
• Implement optimal trading strategy based on portfolio risk characteristics
• Utilize hedging instruments such as ETF’s to offset risk

Minimize Costs
• Reduce commissions
• Reduce spread and market impact
• Mitigate tracking risk
• Zero transition management or hidden implicit fees

Summary
SEI’s Transition Management service offers clients the ability to leverage portfolio solutions designed to achieve cost savings while rebalancing assets.
• Experienced team dedicated to transition management
• No “one size fi ts all” – customized third party approach vs. the competition
• Unbiased transition strategies
• No hidden income sources
• Integrated commission recapture program

SEI has a dedicated team of transition management specialists available to answer any operational or general questions. For more information please contact your SEI Brokerage representative or call SEI Brokerage Services at 610-676-1885.

Extreme market conditions may affect trade execution, cost and performance. Brokerage services are provided by SEI Investments Distribution Co. ("SIDCO"), a registered broker/dealer, member of NASD/SIPC, and wholly owned subsidiary of SEI Investments Company. 1 Freedom Valley Drive, Oaks, PA 19456, 610-676-1000.