2013-05-23-RB-min - Laserfiche WebLink

Browse Search

Minutes of the May 23, 2013 Retirement Board Meeting Present: Robert Cunha, Joe Foley, Alan Fields, Mike McNabb, Marguerite Oliva, Karen Marchant, Absent: Rob Addelson Bob Cunha called the meeting to order at 8:00 AM. The Board accepted and signed the 053113 Warrant and May payroll. The April minutes were reviewed and approved. NEW MEMBERS: Lindsay Ong, Tech Maintenance Associate; David Bresnihan, Police Officer; Sonia Deshmukh, Benefits Coordinator; Shawn Denehy, Custodian RETIREMENTS: Lorraine Gryp, Human Resource Asst., 6130113 Henry and LouAnn from Meketa presented an interim report as of April 3 0, 2013. The market value as of April 30, 2013 is $124.5 million up from $121 million on March 31, 2013. They reported aggregate assets as of 4130113 as well as underlying asset allocation as of 3131113. Before White Oak and Monroe Capital representatives made their presentations for Opportunistic Fixed Income, the Board discussed the possibility that PIMCO All Asset would be the funding source and compared 5 %, 10% and 15% allocations. Landy Pheloung & Darius Mozaffarian made the White Oak presentation. White Oak, centered in San Francisco, was started in 2007 and currently has 45 employees. There is $1 billion in assets and the average fee is 1.65 %. The focus is on senior secured collateralized loans with an average 3 years' duration. It was noted that most loans are paid off within less than 3 years. The report outlined the historical and current performance, the investment process and the portfolio allocation with a limit of 25% in any sector. Ted Koenig, founder and CEO, made the Monroe Capital presentation to the Board. Mr. Koenig noted he was a CPA and lawyer and left the law practice in 1998, went to work for Hilco Capital and founded Monroe Capital in 2004. Monroe Capital LLC and its affiliates are 100% owned by senior management. The Monroe Capital Senior Secured Direct Loan Fund LP is a $400mm investment fund. Fees are 1% levered and 1.5% unlevered. The report included a report on the Monroe Capital team and history, investment approach, investment track record and due diligence, monitoring and case study. After a discussion of the two companies, a motion was made by Alan, seconded by Mike and unanimously approved to invest with Monroe Capital. Alan feels that moving the entire $18mm PIMCO All Asset portfolio to Monroe is too much. He proposed $6mm be invested with Monroe, $3mm moved to PIMCO Global Multi Asset, $3mm to Wellington Opportunistic and $6mm to PRIT Hedge Fund. He