August 9, 2005

SACRAMENTO, CA - The California State Teachers' Retirement System continued the effort it inaugurated last week to expand the diversity of ideas and people throughout its $132 billion investment portfolio. This comprehensive approach will look at the way investment decisions can integrate diversity to yield good investment returns and simultaneously reflect the new face of California.

As part of this initiative, CalSTRS is co-sponsoring a survey with Leading Edge Investment Advisors, LLC ("LEIA") and Anira Advisory Group, LLC, both of which are investment management companies specializing in manager-of-managers portfolios. The survey, which is anonymous and consists of 32 brief multiple choice questions, solicits opinions of women and minorities in the investment management industry.

"This survey will help us to advance our appreciation of diversity in the investment management industry," Christopher J. Ailman, Chief Investment Officer of CalSTRS commented. "Diversity is definitely a factor we consider while constantly striving to enhance and optimize investment management decisions, structures and performance affecting the financial security and futures of California's educators."

Clayton C. Jue, President and Chief Investment Officer of LEIA, commented that, "In the construction of superior investment products, it is absolutely essential to consider the investment performance all managers bring to the table, on a level playing field. Diversity in a manager-of-managers portfolio, including diversity of innovative new ideas and strategies, could well contribute to consistent, observable investment outperformance."

CalSTRS is the third-largest public pension fund in the United States. Currently, CalSTRS has approximately $3 billion managed by thirty-two emerging, minority- and women-owned firms in its domestic stock portfolio. Approximately $384 million in real estate, and $250 million in private equity, is committed to targeting urban and underserved communities. In addition, $100 million of private equity targets first and second time funds. CalSTRS provides retirement, disability and survivor benefits to California's public school teachers from kindergarten through community college, serving more than 755,000 members and their families.

Leading Edge Investment Advisors, LLC is an employee-owned manager of managers business focused on developing investment portfolios that leverage the talents of emerging investment managers. LEIA is dedicated to delivering innovative investment solutions that balance creativity and practical application to produce superior returns and serve the interests of institutional investors. For more information, visit http://www.leia.net/.