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Performance

International Equity Composite Performance As of September 30, 2008

 
  Annualized Returns for Trailing Periods (%)
 
Last Quarter
One Year
Three Years1
Five Years1
Ten Years1		 Since
Inception1,2
Volatility3
International Equity (gross) (17.34) (20.80) 5.03 11.56 7.69 8.33 14.71
International Equity (net) (17.49) (21.34) 4.32

10.80

 6.93 7.46 14.60
MSCI All Country World ex-US4 (21.84) (29.97) 3.09 11.80 6.85 4.98 15.95
MSCI EAFE Index (20.50) (30.13) 1.58 10.16 5.42 4.39 16.24
1Annualized Returns; 2Inception Date: 12/31/89; 3Annual Standard Deviation (%); 4The Benchmark Index
Past performance is not indicative of future results.

  Intl Equity
(Gross)		 Intl Equity
(Net)		 MSCI ACW
ex-US1
MSCI EAFE		 Internal
Dispersion2		 Number of
Accounts		 Composite
Assets ($M)		 Firm Assets
($M)
2008 (YTD)3 (21.97%) (22.37%) (29.54%) (28.91%) N.A.4 23 752 4,693
2007 13.80% 13.01% 17.12% 11.63% 0.4% 30 1,079 6,356
2006 24.67% 23.86% 27.16% 26.86% 0.6% 35 1,168 4,720
2005 21.41% 20.59% 17.11% 14.02% 0.8% 34 952 2,562
2004 12.95% 12.16% 21.36% 20.70% 0.4% 48 1,019 1,524
2003 28.14% 27.20% 41.41% 39.17% 0.8% 67 974 1,357
2002 (14.10%) (14.76%) (14.67%) (15.66%) 0.4% 64 783 1,082
2001 (17.38%) (17.98%) (19.50%) (21.21%) 0.3% 62 867 1,154
2000 (14.92%) (15.60%) (15.09%) (13.96%) 0.1% 60 1,092 1,392
1999 51.54% 50.44% 30.90% 27.30% 0.5% 56 1,230 1,423
1998 12.05% 11.26% 14.46% 20.33% 0.2% 64 977 1,372
1Benchmark Index; 2Asset-weighted standard deviation (gross of fees); 3The 2008 YTD Composite performance shown is preliminary; 4N.A. - Internal dispersion less than a 12-month period.
 

International Equity Composite contains fully discretionary U.S. dollar-based international equity accounts and for comparison purposes is measured against the MSCI All Country World ex-US Index (gross of foreign withholding taxes). Returns include the effect of foreign currency exchange rates. The exchange rate source of the benchmark is Reuters. The exchange rate source of the Composite is Bloomberg. Additional information regarding the benchmark, including the percentage of the composite invested in countries or regions not included in the benchmark, is available upon request.

The MSCI All Country World ex-US Index is a free float-adjusted market capitalization index that is designed to measure equity market performance in the global developed and emerging markets, excluding the US. The Index consists of 47 developed and emerging market countries. The MSCI EAFE Index (Europe, Australasia, Far East) is a free float-adjusted market capitalization index that is designed to measure developed market equity performance, excluding the US & Canada. The Index consists of 21 developed market countries. You cannot invest directly in this Index.

Harding Loevner LLC has prepared and presented this report in compliance with the Global Investment Performance Standards  (GIPS®).  Harding Loevner is GIPS compliant and is verified by Ashland Partners & Company, LLP. Harding Loevner has received a firm-wide GIPS verification beginning November 1, 1989.  The most recent verification was for the Quarter ending June 30, 2008.

Harding Loevner LLC is an independent registered investment advisor. The firm maintains a complete list and description of composites, which is available upon request.

Results are based on fully discretionary accounts under management, including those accounts no longer with the firm. Composite performance is presented gross of foreign withholding taxes on dividends, interest income and capital gains. Past performance is not indicative of future results. Additional information regarding the policies for calculating and reporting returns is available upon request.

The US dollar is the currency used to express performance. Returns are presented both gross and net of management fees and include the reinvestment of all income. Actual returns will be reduced by investment advisory fees and other expenses that may be incurred in the management of the account. The standard fee schedule generally applied to separate international equity accounts is 1.00% annually of the market value of assets up to $20 million; 0.50% of amounts from $20 million to $100 million, negotiable for amounts over $100 million. Actual investment advisory fees incurred by clients may vary. The annual composite dispersion presented is an asset-weighted standard deviation calculated for the accounts in the composite the entire year.

The International Equity Composite was created on December 31, 1989.