2023-07-27-RB-min - Laserfiche WebLink

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Minutes of the July 27, 2023 Retirement Board meeting: Present: Robert Cunha, Joseph Foley, Alan Fields, Fred Weiss, Carolyn Kosnoff, Michelle Malone and Jim Condon Absent: None The Lexington Retirement Board met remotely through Zoom tele-conferencing. The Town Clerks Office posted the meeting, which included the information for any interested party to join the call. Robert Cunha, Joseph Foley, Alan Fields, Frederick Weiss, Carolyn Kosnoff, James Condon and Michelle Malone were present for this meeting. Robert Cunha called the meeting to order at 8:30 am. The Board accepted the 073123 Warrant and the July payroll. The June minutes were reviewed and approved. The financials were not available at the time of meeting. Robert Cunha reviewed the July agenda will all Board members and staff in attendance. It was noted we received a distribution on 6/26/23 from White Oak in the amount of $17,326.00 The Benefit Verification program is wrapping up. We have received 448 forms back to the office. Jim will be sending out a final notice to the remaining 18 retirees that it is overdue. Michelle informed the Board the Retirement Offices have been painted and the new furniture is installed. Just a few items left on the list for completion. Thank you from the staff to allow us to move forward with this project. James Weston has completed his repayments to the Board in full. His monthly pension has been restored. All Board members were reminded of their duty to complete PERAC Board training in a timely manner. Henry Juang and Stephen MacLellan presented the Meketa update at 8:42 am. The portfolio balance as of June 31, 2023 was $207,256,933.00, up $7.3m. That puts the portfolio up 9.5% YTD and 4.6% QTD. Steve mentioned the markets are starting to recover and should hold steady. One factor was the U.S. GDP came in higher than expected, up 2.4%. Also, the thoughts of a recession are starting to decrease. The recent interest rate hike will probably remain in place for the foreseeable future. Henry mentioned the portfolio is in good positioning as this time. We remain overweight in US Equities, but it is working fine for the portfolio. He mentioned exploring adding to RE or Hedge funds in the future. It was just a suggestion. All Domestic Equity classes are doing well 2nd quarter. The International sector continues to lag, yet up 3.4% YTD. As of today, the searches for investments are on hold, no RFP’s to be issued anytime soon. Meketa will continue to research funds for Lexington. The Meketa presentation wrapped up at 9:10 am. Paul Ahrens and Jon Bianchi presented the White Oak presentation at 9:12 am. Paul gave a brief update on the firm operates. They specialize in originating and funding non-sponsored loans. White Oak tends to target borrowers that are insulated from the changing macroeconomic conditions and could withstand effects from inflation. They try and avoid borrowers that operate in retail, and those with significant exposure to commodity prices with long term contracts or fixed costs. Jon Bianchi mentioned some items that have held White Oak back with returning funds to clients as of late. Most notably was