TRUST COMPANY OF THE WEST

PROPOSED CHANGE IN LARGE CAP EQUITY FUND

Attached is a proposal from Richard Godfrey suggesting the Investment Committee shift the large cap portfolio ($23.8M at 10/31/95) from the "Concentrated Core" strategy to the "Focus Growth" strategy.

A comparative summary of the strategies are presented below:

Portfolio

Characteristics	"Concentrated Core"

(Existing portfolio)	"Focus Growth"

____________________
Investment Style	Large capitalization, blend of both growth and value stocks with above average diversification	Large capitalization (average $12 to $13 billion), highly concentrated (20 to 30 stocks), focus on growth stocks

Portfolio Statistics:

Beta	1.32	1.37

Alpha	0.39	0.49

R-squared	0.83	0.78

Standard Deviation	8.12	12.17

Annualized Net Returns:

YTD-9/30/95	25.7%	27.4%

1994	(5.1)%	12.9%

1993	22.3%	3.8%

1992	12.1%	8.0%

1991	39.2%	74.5%

1990	(4.6)%	16.9%

5 year ave. 1990-1994	12.78%	23.22%

3 year ave. 1992-1994	9.77%	8.23%

Annual Fees -- 1st $25M	$175,000	$175,000

Net performance deviation

Favorable (Unfavorable)

As of 10/31/95	$(606,251) N/A

Recommendation:

Based on the above analysis I do not believe a shift to the Focus Growth strategy is appropriate at this time for the following reasons:

1.	The Focus Growth performance statistics for the past three years are less than the Core Strategy even with higher risk and volatility.

2.	Some schools of thought suggest that the market cycle may be peaking for growth stocks in the short term. The Foundation's overall portfolio is already slanted toward "growth" stocks and retaining more "value" stocks and a portfolio with less volatility may be appropriate at this time.

More importantly, if TCW large cap performance continues to have an unfavorable performance deviation, a shift to another manager may be appropriate.

Robert Berkopec

RB/ye