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Don’t Get Scammed: Tips for Avoiding Fraud After a Natural Disaster

YourUpdateTV

Click to view video accompanying this release: https://youtu.be/YCGvYBaBZes With hurricane and wildfire seasons on the horizon in many parts of the country, damage and loss to homes from these natural disasters can be unavoidable. The National Insurance Crime Bureau (NICB) is warning those living in areas that could suffer from a natural catastrophe to not only be prepared for the disaster, but to be on guard for fraudulent contractors and vendors who take advantage of victims in the aftermath. Oftentimes, dishonest contractors target neighborhoods affected by disasters and make unsolicited stops at residential properties. They will take homeowners’ money, often overcharge them, and do shoddy or no work at all, promising that the insurance company will pay for it all. Insurance fraud related to natural disasters costs billions of dollars every year, which results in higher premiums for policyholders. In some cases, individual homeowners are on the hook for up to tens of thousands of dollars they may not be able to recover. On Tuesday, May 23rd, NICB President & CEO David J. Glawe conducted a nationwide media tour with TV stations across the country to discuss how to avoid home repair fraud after a natural disaster and many other consumer-friendly topics, as part of the organization’s third annual Contractor Fraud Awareness Week. During the media tour interviews, Glawe discussed: The steps homeowners can and should take prior to a natural disaster and how preparation can help reduce chances of becoming a victim of fraud; The kind of fraud that takes place following disasters while victims are trying to put their homes and lives back together; The best practices for disaster victims when hiring contractors or vendors and tips for avoiding dishonest contractors; The most common methods fraudulent contractors try to scam disaster victims; and The resources available to help homeowners and other disaster victims dishonest contractors or report fraud when they encounter it. Contact Details YourUpdateTV +1 212-736-2727 yourupdatetv@gmail.com

June 01, 2023 03:00 PM Eastern Daylight Time

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Calling All Adventure Seekers: Looking for a heart-pumping adventure in the great outdoors?

YourUpdateTV

From mountain biking to rock climbing to white-water rafting, it might surprise you to learn that Arkansas offers something for every level of adventure seeker. Recently, Travis Napper from Arkansas Tourism and Suzanne Grobmyer from Arkansas Department of Parks, Heritage and Tourism conducted a satellite media tour to talk about the hidden gems of Arkansas. A video accompanying this announcement is available at: https://youtu.be/Dsd_giujvvk Outside Magazine recently named Arkansas’ Monument Trails as the best mountain biking destination in the country. Arkansas is a state of visionaries when it comes to outdoor recreation. The State has been blessed with beautiful mountain ranges – from the Ozark Mountains in the north to Pinnacle Mountain in central Arkansas. The Monument Trails are a series of shared-use trails located in various Arkansas state parks. Through a partnership with the Walton Family Foundation, professional trail builders designed and developed the trails with designs that are innovative and sustainable, and that help highlight Arkansas’ beauty. There are trails for beginners and trails for those who are experienced. Arkansas has a collection of world-class, mountain biking routes within four Arkansas State Parks — Mount Nebo State Park, Hobbs State Park, Pinnacle Mountain State Park, and Devil’s Den State Park. The shared-use trails, which were professionally crafted by the world’s best trail builders, showcase Arkansas’s natural beauty and are woven into the beautiful landscape. If you would rather find your adventure on the water, there is plenty of adrenaline-pumping white water rafting in Arkansas. Try Cossatot River State Park and the Class IV rapids of Cossatot Falls. If a leisurely float down the river is more your speed, then you can do that at Cossatot, too. There are few activities more serene and calming than a hike along the 300 miles of trails in Arkansas State Parks. There is no better way to see The Natural State. Petit Jean Mountain State Park offers trails that are rather easy and others that are strenuous. Most everyone can navigate the Cedar Falls Trail, and it is definitely worth the effort because the trail’s end is the stunning 95-foot Cedar Falls Waterfall, which begins behind the breezeway at the park’s historic Mather Lodge. Arkansas is also home to two world-class fine arts museums – Crystal Bridges and Arkansas Museum of Fine Arts. Another reason Arkansas is called The Natural State is the abundance of outstanding lakes and rivers. Arkansas, for instance, is known as one of the premier locations for trout fishing. Record trout are caught at the Little Red River and the White River. The State also has some of the world’s best bass fishing locations. The Buffalo National River is an ideal place for a quiet float. Ready to ride? Arkansas.com is a one-stop resource for all things Arkansas. Travis Napper Bio Travis Napper is the Director of Tourism within the Arkansas Department of Parks, Heritage, and Tourism. He is responsible for leading the sales and marketing efforts of the state and oversees the state’s welcome centers. Napper serves on the Board of Mississippi River Country USA(MRC) and Travel South USA. Prior to joining the Arkansas Department of Tourism in 2020, he served as the executive of the Ruston, Louisiana Convention and Visitors Bureau. Napper attended Louisiana Tech University, earning his bachelor’s degree in marketing in 2006 and received his CDME (Certified Destination Management Executive) designation in 2016. Contact Details YourUpdateTV +1 212-736-2727 yourupdatetv@gmail.com

June 01, 2023 02:54 PM Eastern Daylight Time

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Leidos Becomes First Major Prime Contractor to Adopt NCMA Contract Management Standard

National Contract Management Association

Leidos (NYSE: LDOS), a FORTUNE® 500 science and technology leader, today announced its intent to adopt the National Contract Management Association’s (NCMA) Contract Management Standard ™ (CMS™). By adopting this standard, Leidos will align its workforce competency with the standard recently adopted by the federal government and institutions of higher education. With this adoption, Leidos builds on its long-standing commitment to strong customer relationships through standards of professional conduct and common understanding. The company is committed to developing the contract management profession as a meaningful and rewarding career path. This will support practitioners across industry and government who serve the federal mission. “Leidos Contracting is excited to lead the industry in the adoption of the CMS™,” said Kim Denver, Leidos Senior Vice President and Chief Corporate Contracts Executive. “Contract management professionals are paramount to mission success. Through the CMS framework, our tradecraft will be incorporated under one common standard, elevating both federal and industry contract management professionals who are critical to our nation’s success.” “NCMA is pleased to have Leidos join the growing community of CMS™ adopters dedicated to building a stronger bridge between industry and government,” said NCMA Chief Executive Officer Kraig Conrad. “This adoption reinforces Leidos' commitment to the profession; their contract management teams and the missions we serve together.” The U.S. Office of Federal Procurement Policy (OFPP) announced the new classification in a January 19 memo, stating that the CMS™ will become the foundation of a new contracting training system for all civilian agencies effective February 1, 2023. The new Federal Acquisition Certification in Contracting (FAC-C) (Professional) will now align with the Department of Defense framework (DAWIA), which is also based on the CMS™. The American National Standards Institute (ANSI)-approved third edition of the NCMA CMS™ is recognized globally as the preeminent standard in the profession. It serves as the basis for hiring and training frameworks as well as the NCMA’s ANSI National Accreditation Board (ANAB)-accredited Certified Contract Management Associate (CCMA) certification. The National Contract Management Association (NCMA), which was founded in 1959 and is the world’s leading association in the field of contract management. The organization, which has over 18,000 members, is dedicated to the professional growth and educational advancement of procurement and acquisition personnel worldwide. NCMA strives to serve and inform the profession and industry it represents and to offer opportunities for the open exchange of ideas in neutral forums. To find out more, please visit www.ncmahq.org. About Leidos Leidos is a Fortune 500® technology, engineering, and science solutions and services leader working to solve the world’s toughest challenges in the defense, intelligence, civil, and health markets. The company’s 45,000 employees support vital missions for government and commercial customers. Headquartered in Reston, Virginia, Leidos reported annual revenues of approximately $14.4 billion for the fiscal year ended December 30, 2022. For more information, visit www.Leidos.com. ### Certain statements in this announcement constitute “forward-looking statements” within the meaning of the rules and regulations of the U.S. Securities and Exchange Commission (SEC). These statements are based on management’s current beliefs and expectations and are subject to significant risks and uncertainties. These statements are not guarantees of future results or occurrences. A number of factors could cause our actual results, performance, achievements, or industry results to be different from the results, performance, or achievements expressed or implied by such forward-looking statements. These factors include, but are not limited to, the “Risk Factors” set forth in Leidos’ Annual Report on Form 10-K for the fiscal year ended December 30, 2022, and other such filings that Leidos makes with the SEC from time to time. Readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. Leidos does not undertake to update forward-looking statements to reflect the impact of circumstances or events that arise after the date the forward-looking statements were made. Contact Details NCMA Holly DeHesa +1 281-865-3296 holly.dehesa@ncmahq.org Company Website https://www.ncmahq.org/

June 01, 2023 07:55 AM Eastern Daylight Time

NAVEX Announces AI-Powered Compliance Assistant

NAVEX Global

NAVEX, the leader in integrated risk and compliance management software, today announced NAVEX Compliance Assistant. The initial release of this new AI-powered functionality will offer instant answers to employee questions regarding company policies and procedures delivered in natural language. This functionality makes an organization’s compliance program more accessible and personal for all employees. As part of the NAVEX One GRC Information System, employees interact with NAVEX Compliance Assistant by asking it questions in their own words. The AI-powered Compliance Assistant then searches through a company’s policies and procedures to present a comprehensive answer to the employee’s inquiry. Compliance Assistant applies Large Language Model (LLM) technology to customer-controlled document sets for maximum relevance and accuracy. NAVEX’s secure cloud infrastructure protects document and data privacy. Rich NAVEX Integration Ensures Ease of Use and Data Security The AI-powered NAVEX Compliance Assistant is seamlessly integrated into NAVEX One People Hub, a unified, simplified way for employees to engage with the compliance program. Through People Hub, employees can conveniently report incidents, confirm policy adherence, complete training and disclose information within a user-friendly interface accessible on mobile devices. With the addition of Compliance Assistant, employees, and other authorized parties, can quickly clarify how to follow specific procedures and policies that apply to them. NAVEX Compliance Assistant offers a range of features tailored to meet the needs of organizations of all sizes, including: Intuitive chat interface: Employees can query the system with natural language questions about a policy or procedure of interest and receive prompt, accurate responses. Multilingual access: Users can ask questions and receive answers in 70 languages. Find relevant policies: Employees can easily search for and access relevant, verified policies and procedures, eliminating time-consuming manual searches or the need to reach out across departments to source an answer. Responsive access anywhere: NAVEX Compliance Assistant is accessible via the web and mobile devices, helping employees access critical compliance information from anywhere. Uncompromising privacy and security: NAVEX is committed to safeguarding all data within the systems it manages, including policy and procedure information and employee queries through Compliance Assistant. “Successful organizations turn governance, risk and compliance management into a competitive advantage. It helps prevent mistakes, motivate employees, and promotes confident decision-making,” said Sean Thompson, Chief Executive Officer at NAVEX. “In my years of experience with natural language user interface technology, incorporating it into a GRC program is one of the most exciting applications. Our new AI-enabled Compliance Assistant makes engaging with the compliance program simpler and more intuitive, which in turn makes employees more confident users of the system.” Expert point of view The adoption of AI-powered technologies to facilitate access to compliance-related information can bring great benefits. “Giving employees the ability to quickly and accurately access company policies and procedures fosters a culture of trust and safety with regards to risk mitigation. It also makes the whole process more efficient," said Darren Bradshaw, Chief Audit and Compliance Officer of Stellantis, a multinational automotive company on a journey of transformation into a sustainable mobility tech organization. Stellantis, as a customer of some NAVEX applications, plans to partner with the company to test the usability of this new application. To learn more about the AI-powered NAVEX Compliance Assistant, visit https://www.navex.com/en-us/products/navex-ethics-compliance/ai-employee-compliance-assistant/. Or, read our blog, “ Artificial Intelligence – The Next Frontier of GRC Management ” on Risk & Compliance Matters. NAVEX is trusted by thousands of customers worldwide to help them achieve the business outcomes that matter most. As the global leader in integrated risk and compliance management software and services, we deliver solutions through the NAVEX One platform, the industry’s most comprehensive governance, risk and compliance (GRC) information system. For more information, visit NAVEX.com and our blog. Follow us on Twitter and LinkedIn. Contact Details Scott Levesque +1 617-388-5773 scott.levesque@navex.com Company Website https://www.navex.com

May 30, 2023 08:30 AM Eastern Daylight Time

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Laos Government to Promote Digital Transformation with Blockchain Technology

MetaBank

The Laotian government and blockchain experts held the first Ministerial Conference on Blockchain 4.0 Digital Transformation on May 26, 2023, at the National Convention Center in Vientiane, the capital of Laos. The conference, chaired by Laotian Prime Minister Sonexay Siphandone, was attended by leaders from the main economic departments. The meeting primarily discussed how to advance the digital transformation of Laos using digital technology, and for the first time, presented the theory of Blockchain 4.0 to the world, advocating for open collaboration and global co-construction, and boosting Laos' potential to be a builder and beneficiary of the global digital world order through national digital operations. Prime Minister Sonexay Siphandone stated that in order to achieve the ninth five-year plan for national economic and social development, Laos must vigorously develop and utilize blockchain technology to digitize various government tasks and apply it extensively to administrative management and public services. The Laotian Minister of Technology, Boveingkham Vongdara, said that Laos faces opportunities and challenges brought about by Industry 4.0 and needs to use blockchain technology to transform production and service methods. To promote the digital transformation of Laos, the Ministry of Technology has signed a cooperation agreement with Singapore's MetaBank, planning to establish a blockchain technology research and development center and develop talents. The conference set goals for Laos's digital economy development, including utilizing digital technology to create new fiscal revenue, increase foreign exchange reserves, reduce inflation, achieve sustainable economic growth, improve living standards, and enhance international competitiveness in the short term. The meeting also proposed the establishment of a Blockchain Technology Transformation Committee, responsible for the legal compliance and legislation related to the digital economy. Experts attending the meeting stated that blockchain technology could help developing countries achieve "leapfrog development". Building a digital nation is divided into four stages: deploying digital infrastructure, deploying cybersecurity infrastructure, supporting the digitalization of various industries, and building a "digital brain". Developing countries should focus on open collaboration, use borderless blockchain technology to attract talents, and create "netizen citizens". Professor Bill Roscoe shared his perspective, asserting that blockchain technology serves as the driving force propelling us towards a digital civilization. How can ordinary people accept or understand the digital world? It needs to be promoted through the introduction of products and services. Specifically, a controllable platform is needed to ensure that citizens, enterprises, and the government abide by laws and regulations. Blockchain can establish a very effective platform and achieve the best balance and integration between different applications and jurisdictions through the integration of new languages and technologies. "Digital civilization is the inevitable path for the future development of society, and blockchain will become the 'cornerstone' of building digital civilization." MetaBank's founder and chairman, Frank Sui, believes that blockchain technology can help developing countries "overtake on a bend". MetaBank's mission is to serve as the leading solution partner for developing countries using blockchain technology, accelerating the transformation of developing countries towards digital civilization, improving the GDP and living standards of developing countries, and building a digital civilization on the three main pillars of digital financial infrastructure, digital asset tokenization platform, and digital society. Blockchain expert Zhu Jiawei believes that the construction of a digital nation has entered the fourth stage. Developing countries should focus on open collaboration, use universal borderless technology, attract technical talents, and create "netizen citizens". When Zhu Jiawei attended the Blockchain 4.0 Conference, he discussed the construction path of a digital nation, which is divided into four levels: (1) deploying digital science and technology infrastructure, (2) deploying physical and cybersecurity facilities to safeguard the development of the digital economy, (3) supporting the digitalization of various industries to keep up with the pace of the times, (4) building a digital brain through artificial intelligence technology to realize intelligent management from cities to national level. D11 Labs co-founder Lily Zhang believes the world is in the midst of the fourth open revolution, with openness, co-construction, sharing, prosperity, and new order as keywords. Laos can use blockchain technology to gain a development advantage and achieve leapfrog development. Laos should become the first country in the world to fully transform digitally, redefine its role in the global order, gain order-setting advantages, and help improve the lives of the Laotian people. The Lao government is determined to transform through blockchain technology, demonstrating the importance of the digital economy. This conference reflects the foresight and determination of the Lao government in the development of the digital economy. The government will play a key leadership role, establish a national digital transformation committee, and promote and supervise the implementation of related policies. Laos welcomes all sectors to participate in the development of the digital economy. In the future, Laos will become a model of blockchain technology application, leading the development of the new digital society. Contact Details Jasmine +65 8302 6504 jasmine@dethings.com Company Website https://www.metabank.com.sg/

May 29, 2023 06:00 AM Eastern Daylight Time

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Charge Against Berkshire Hathaway Shareholder Dropped

National Legal & Policy Center

Today, Peter Flaherty, Chairman of the National Legal and Policy Center issued the following statement: "The trespassing charge has been dropped, but I never should have been arrested. Nor should I have been handcuffed, fingerprinted, brought to jail, and detained for three hours. Berkshire Hathaway’s silencing of me is an ominous precedent for the rights of shareholders in public companies that cannot be allowed to stand. I did not just wander into the Berkshire shareholders meeting, nor did the incident occur during a question-and-answer session. I was a scheduled speaker, whose name appeared on the agenda, to speak in support of Proposal #8 for an independent chair. The proposal appeared in the proxy and for weeks shareholders had been voting on it. It was the subject of a detailed proxy memo we filed with the Securities and Exchange Commission on April 21. As far as I know, the arrest of a shareholder during a proposal presentation has never before occurred at the annual meeting of a public company in the United States. Shareholder activists of the past such as Wilma Soss (the basis for the Carol Burnett “cleaning lady” character) and Evelyn Y. Davis often challenged and certainly annoyed CEOs, but their microphones were never cut and they were certainly never arrested. I have spoken at the annual meetings of dozens of public companies over the past 19 years. My demeanor at the Berkshire meeting was no different from any other. There was no reason to throw me out except that I came too close to the truth. Additional revelations about Bill Gates and Jeffrey Epstein since the meeting confirm the importance of the issue I sought to raise, namely the reputational risk to Berkshire Hathaway by having one individual hold both the Chairman and CEO positions, especially if that person is so closely identified with particular causes and personalities. The whole point of the shareholder proposal process is to allow shareholders critical of management an avenue to change corporate policy. To simply silence and arrest a shareholder who disagrees with management stands the whole concept of having public shareholders on its head. If Warren Buffett thinks that since he owns 15% of Berkshire shares, that he can act with impunity, he is mistaken. Shareholders have rights, and I intend to enforce mine." Founded in 1991, NLPC promotes ethics in public life and government accountability through research, investigation, education, and legal action. Contact Details National Legal and Policy Center Dan Rene +1 202-329-8357 drene@nlpc.org Company Website http://www.nlpc.org

May 24, 2023 10:00 AM Eastern Daylight Time

Shareholder to Demand Greater Transparency from McDonald’s, Walmart About Business Risks in China

National Legal & Policy Center

As shareholders are set to attend annual meetings over the next week for McDonald’s Corporation and Walmart Inc., National Legal and Policy Center will ask fellow investors to support its proposals to provide greater transparency about the companies’ risks of doing business in China. NLPC will present “Communist China Risk Audit” proposals at the meetings, which seek reports to shareholders that address “the nature and extent to which corporate operations depend on, and are vulnerable to, communist China….” The McDonald’s proposal is No. 7 on Page 93 of the company’s proxy statement. For Walmart, NLPC’s proposal is No. 11 on Page 116 of its proxy statement. Both companies oppose NLPC’s proposals. In response, NLPC filed rebuttals at the Securities and Exchange Commission in support of its resolutions to be considered at the McDonald’s meeting, to be held May 25, and at Walmart’s meeting, scheduled for May 31. Read NLPC’s SEC filing for McDonald’s here, and for Walmart here. NLPC’s report to the SEC on McDonald’s outlines some of the risks inherent in doing business in China, and notes: McDonald’s 2023 first quarter [report] states that “(financial) results reflected strong operating performance across the (International Developmental Licensed Markets & Corporate) segment, led by Brazil and China.” China is a clear driver of McDonald’s business performance, making its reliance on China a critical risk, as there are a number of factors that could harm the company The United Nations calls on companies to “provide information that is sufficient to evaluate the adequacy of an enterprise’s response to the particular human rights impact involved.” If McDonald’s is being “guided” by this principle and is already discussing significant risk exposures using “robust risk management program,” then a report…should be easy to deliver and provide investors with meaningful insights. An excerpt of NLPC’s filing for Walmart states: The magnitude of its risk in China is not comparable to the general business risks (already) disclosed by Walmart, many of which are indistinguishable from the disclosures made by other public companies. China-specific risks are present across many parts of Walmart’s business… Walmart has invested a considerable amount in its Chinese infrastructure. Thus, potential disruptions due to political, economic, regulatory, or health issues could negatively impact Walmart’s investments in the region. China is McDonald’s second-largest market, with more than 5,000 restaurants representing nearly 13 percent of its total locations. The communist nation is Walmart’s fourth-largest market, behind the United States, Central America, and Canada, with 365 stores representing nearly seven percent of its international locations. “Considering the extent of revenue generated and supply chain that is dependent on China, McDonald’s and Walmart owe their shareholders more transparency and specificity about their respective risks in the extensive amount of business they do there,” said Paul Chesser, director of NLPC’s Corporate Integrity Project. “Between human rights atrocities and Chairman Xi Jinping’s saber-rattling against Taiwan, the feasibility of continuing operations there may be tenuous. We urge their boards of directors to disclose more.” Founded in 1991, NLPC promotes ethics in public life and government accountability through research, investigation, education, and legal action. ### For more information or to schedule an interview with Paul Chesser, contact Dan Rene at 202-329-8357 or drene@nlpc.org. Please visit http://www.nlpc.org. Contact Details National Legal and Policy Center Dan Rene +1 202-329-8357 drene@nlpc.org Company Website http://www.nlpc.org

May 24, 2023 09:30 AM Eastern Daylight Time

‘Ready for Ron’ Now ‘Ready to Win’

Ready for Ron

For more than a year, Ready for Ron, an independent group working to Draft Florida Governor Ron DeSantis to run for President, actively built support for his candidacy. A petition with more than 250,000 signatures (and a lawsuit against the Federal Election Commission to share it) tens of thousands of TV and online ads, along with millions of phone calls, mail pieces, and emails, and a grassroots and coalitions program has done its job - Governor Ron DeSantis is expected to soon announce he’s running for President. With Governor DeSantis about to become an official candidate, Ready for Ron is changing its name to ‘Ready to Win’ to reflect its singular mission to nominate and elect Ron DeSantis to win in 2024. “We spent an entire year running thousands of TV ads, millions of mailings, and tens of millions of online, email, and social connections to drive the narrative – Ron DeSantis will be our next President,” stated Ed Rollins, Ready to Win’s Chief Political Strategist. “We built an infrastructure. We completely changed the discussion. With a quarter million petition signers calling for him to run we are thrilled that we see our goal achieved - Ron DeSantis entering the Presidential race. He may well be the only leader who can defeat Joe Biden.” In addition to its outreach and engagement initiatives, Ready for Ron worked with Impact Social to analyze the online and social media discussion in relation to Ron DeSantis and Donald Trump among swing voters. The data clearly and consistently shows Ron DeSantis can beat Joe Biden, and Donald Trump simply can’t. Additional data research with multiple vendors covering more than 19 million voters affirms these findings. “Winning the nomination and the general election requires us all to work together to build this movement and save our nation,” stated Ready to Win Counsel, Dan Backer. “Our groundbreaking research debunked the bad polling plaguing Republicans for more than eight years. Using cutting edge massive data monitoring proves what everyone already knows - Donald Trump’s supporters are loyal and loud, but confined to only a sliver of the population that cannot grow. Moderate, swing, and independent voters are not coming back to Trump, ever, and he cannot possibly win the general Election – Ron DeSantis can.” “Voters young and old both know Governor DeSantis has a proven track record of standing up for America’s values. He is committed to defending the rights of parents, getting inflation and government spending under control, and solving the problems the radical left is causing. He dares to say no to the bullies, no matter how powerful they may seem. He can deliver safe streets, sane schools, and a soaring economy,” stated Gabriel Llanes, Executive Director of Ready to Win. “DeSantis is much more than a politician with savvy instincts; he is a public servant through and through. No ego to get in the way because he is about results.” “We will continue our ground-up grassroots efforts in key primary states, doing the hard work to train and mobilize a volunteer army to nominate, and elect, our next great American president,” Rollins continued. We feel DeSantis is well prepared to be the candidate to win the Republican nomination and beat President Biden. We are officially, Ready to Win!” ### For more information or to schedule an interview with a Ready to Win spokesperson, please contact Dan Rene at 202-329-8357 or dan@readyforron.com. Contact Details Ready to Win Dan Rene +1 202-329-8357 dan@readyforron.com Company Website https://www.readyforron.com/

May 23, 2023 02:50 PM Eastern Daylight Time

Endowments and Pensions Continue to Post Gains, but Exposure to Private Markets Pushes Many Below Their Performance Benchmarks, According to Projections from MPI

Markov Processes Inc.

Rebounds in the public markets helped college endowments and public pensions to post gains over the first three quarters of the 2023 fiscal year, as exposure to private equity and especially to venture capital caused the median performance of each group to trail their key benchmarks, according to proprietary projections from Markov Processes International, Inc. (“MPI”), a leading independent FinTech provider of software and services for analyzing investment performance and risk. The estimates are generated by the MPI Transparency Lab, a one-of-a-kind data hub for endowment and pension performance. The Lab provides a wealth of information on performance and risk of the largest U.S. endowments and public pensions. “With most pensions and endowments reporting their results only once a year, outsiders rarely have an appreciation of their intra-year volatility,” said Michael Markov, co-founder and chief executive officer of MPI. “This is unfortunate. As our estimates show, tracking performance on a quarterly or more frequent basis allows us to assess where they stand in relation to their benchmarks and why. This is important to so many constituencies.” Among major college endowments, MPI estimates that the University of Pennsylvania is leading among Ivy League schools with 3.91% returns, with Columbia University being close second, tracking with a 3.55% estimated return. Princeton University and Harvard University are expected to trail other Ivies with returns close to zero. Overall, MPI estimates the median Ivy League endowment return so far in FY2023 is 1.9%. By contrast, the Global 70/30 Benchmark, which is the standard benchmark for endowment performance, is up 6.1% for the same three-quarter period. Private market exposure continued to be a drag on results. To estimate performance, MPI used the recently released Cambridge Associates’ Private Benchmarks preliminary estimates for the 4 th quarter of 2022. The CA Venture Capital index was down -7.31% for the quarter and CA Private Equity Index was up 0.62%. The CA Real Estate index return is -0.56% for the quarter. "Even though private benchmark data is not available for the first quarter of 2023, we expect them to slide further given rising interest rates, depressed valuations, and increased bankruptcy rates in early 2023," Markov said. “However, we decided to use conservative estimates of zero return for private equity and venture capital for the most recent quarter. Private markets propped up endowment returns last fiscal year, but our estimates show that those funds more exposed to public equities are outperforming their peers currently, and the gap might widen even further during this quarter.” The situation was the same for U.S. public pensions. MPI Transparency Lab estimates pensions have median return of 5.2% for the three quarters of 2023 fiscal year. The Oklahoma TRS has the highest return of 8.2%, with Georgia TRSGA being close second. Performance of the Global 60-40 benchmark, the key benchmark for pensions, was 5.8%, with a -6% loss in the third quarter of 2022, a 6.6% gain in the fourth quarter of 2022, and a 5.6% gain in the first quarter of 2023. This swing mirrors pension performance. As with endowments, the difference in performance rested with the balance between public and private market exposure. The lowest FY2023 estimated performers – state employees’ pensions of Oregon (0.6% estimated return), Pennsylvania (1.2%) and Washington (1.8%) – all had reported the highest performance last fiscal year, largely because of their outsized allocations to private assets. “Knowing how an endowment or pension is doing quarter by quarter and why not only serves to satisfy one’s curiosity,” Markov noted. “Rather, it prepares beneficiaries so that they are not caught by surprise at the year-end by the results. In addition, we see the main value of this feature in providing pension CIOs valuable datapoints about their narrow set of close peers.” For additional information on MPI’s proprietary data, visit the Transparency Lab. For further information, contact MPI at +1 (908) 608-1558 or info@markovprocesses.com. About MPI Markov Processes International Inc. (MPI) is a leading provider of solutions for investment research, analysis and reporting to the global wealth and investment management industry. MPI works with more than 200 client organizations, including pensions and endowments, sovereign wealth funds, global wealth management firms, institutional consultants, regulators, investment advisors and asset managers. Rooted in the principles of transparency, objectivity, and efficiency, MPI takes an innovative approach to problem solving in the areas of fund analysis, risk management, asset allocation, and reporting to ensure that its clients have the tools to succeed in ever-more-crowded markets. Follow us on Twitter @MarkovMPI and connect with us on LinkedIn. Contact Details For MPI info@markovprocesses.com Company Website https://www.markovprocesses.com/

May 22, 2023 10:20 AM Eastern Daylight Time

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