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19. How and when are LTF units purchased and redeemed?
Units are purchased on quarterly buy-in dates of March 1, June 1, September 1, and December 1. Funds wired to UTIMCO prior to a quarterly purchase date are immediately invested in a money market account until LTF units can be purchased. Interest earned on the money market account during the interim period is distributed to the UT System institution of record.

20. What are the expenses of the GEF and LTF?
UTIMCO's large asset base allows for economies of scale in the management of the endowment funds. UTIMCO incurs expenses associated with strategy and analysis, portfolio management, custody and safekeeping, accounting and other investment related functions. The GEF was created as the investment vehicle in which the LTF and PHF could get cost effective exposure to a well diversified investment portfolio. Both the LTF and PHF pay the same fee for every unit of GEF owned by these Funds. However, there are additional expenses which differ for the LTF and PHF. Therefore, the total fee paid by each unit of the LTF includes LTF expenses plus a portion of the GEF expenses. The UTIMCO fee for 2008 fiscal year was 0.08% of LTF average net assets; fees and expenses paid to external managers (which do not directly net fees against the net asset value or capital), and other service providers totaled 0.18% of LTF average net assets. These fees and expenses do not include fees incurred and charged by the general partners in partnership investments, fees charged by mutual fund managers, and fees charged by hedge fund managers as these types of fees are netted directly against returns for those investments in accordance with standard industry practice.

The LTF is also assessed an annual administrative fee on behalf of the UT System and UT System institutions for the support of endowment administration and management, and an annual fee to cover costs associated with UT System personnel in their oversight responsibilities of UTIMCO. The endowment management and administration and oversight fees for 2008 were 0.19% of LTF average net assets.

21. How does compensation for UTIMCO staff members compare to other endowments?
Compensation for top UTIMCO staff members is a combination of base salary and a performance-based bonus. Base salaries are set at the median level for similar job functions in a universe of endowments, foundations, and private investment management firms constructed by our compensation consultant, Mercer Human Resource Consulting. Bonuses are based on investment performance and qualitative performance goals. Investment performance includes UTIMCO's performance and asset class performance. UTIMCO's investment performance is measured by comparing the endowment funds' (the Permanent University Fund and the GEF) and the Intermediate Term Fund's net investment return relative to their respective policy portfolio returns as well as comparing the endowment funds' net investment return relative to a defined peer group. Asset class performance is measured by comparing asset class net investment returns relative to approved performance indices for each staff member's specific area of responsibility. Qualitative performance goals may be based on leadership, implementation of operational goals, management of key strategic projects, and effective utilization of human and financial resources. All elements of staff compensation at UTIMCO are defined in the UTIMCO Compensation Program that was approved by the UTIMCO Board and the UT System Board of Regents.

22. What types of reporting and services are available to obtain periodic information about the Fund?
UTIMCO provides a variety of reports and services, including an annual report and an endowment funds brochure. Individual donor statements are available to UT System institutions via UTIMCO's website at UT System institutions may also obtain daily individual account information via the Component Reporting Information System (CRIS), also accessed through the UTIMCO website.