Watson Pharmaceuticals 401k Plan 12/31/2008

Another "lifeboat' Balanced portfolio with 92.9% invested in the stable value fund VRST in the scan. Vanguard's Retirement Savings Trust (VRST) has a very high Sharpe ratio of 9.3. The employee portfolio also has VRST as its largest holding but less than 40%. In the scan MDY was a proxy for VMGIX which does not yet have 5yr data. Also, only the Target Retirment funds with 5yr data are in the scan.