2017-12-28-RB-min - Laserfiche WebLink

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Minutes of the December 28, 2017 Retirement Board Meeting Present: Robert Cunha, Joe Foley, Fred Weiss, Marguerite Oliva Conference Call: Alan Fields, Carolyn Kosnoff NEW MEMBERS, (6)Allan Sobon, Bo Choi, SSI's; Benjamin Bartman, Firefighter; Maia Aucoin, Admin. Asst.; Kelly Mara, Wellness Coordinator; Elizabeth LeBlanc, Utility Billing Manager DEATHS: Julia Sullivan, Opt. C Survivor,11/5/17 RETIREMENTS: (6) Susan McIntyre, Patrolman, 1/4/18; John Nogler, Fire Lieutenant, 1/11/18; Jean Bitton, School Admin. Asst., 2/1/18; Michael O'Connell, Police Officer, 12/31/17; Kristen McDermott, Patrolman 1/2/18; Steven Jenkins, Tutor, 12/15/17 There was a discussion of the credits still needed by Alan and Fred before terms expire in January. Both must take seven courses on line each year for their employment. Tom O'Donnell will be contacted to see if credits could be earned for the courses taken. Fred stated that six credits for 2016 have not been recorded by PERAC. Maggie will review. There was a discussion of the letter from Mike Sacco regarding the need to begin the RFP process for new contracts. Most expire in December 2018. The Board will begin with the RFP for an attorney. Steve mentioned they are beginning the process of group RFP's to incorporate a number of Boards in regards to investments. He asked if Lexington would like to be included and the Board agreed. There is no wording in PERAC's regulations requiring interviews in person. The Board could do desk reviews and then current contracts could then be extended. Meketa would have to provide the necessary information for each category of investments to PERAC. The aggregate asset balance for November 30, 2017 was $167.1m and Steve sees nothing that will cause any slowdown in the market through the end of 2017. Year to date the investments have increased 18.2% and the one year return is 19.8%. It was a strong year for all assets. International equity earned 32%. The Real Estate investment earned 7.4%. Steve feels the figure will increase by years end. Contrafund did not perform as well this year but no concern. The Board is concerned about the underperformance of Blair. There was a discussion of fixed income. Fred is concerned with Loomis and questioned if there is something else we can buy in Fixed Income. Alan mentioned we could increase the direct loan portion but questions if we are getting better risk reward if we replace Loomis with Direct Loan portion. Debt is currently 12.8% of the portfolio and Loomis is 6.4%. The Board could move the total of Loomis to and index fund or move $3m to direct lending. Lexington is as the top of the market and top of the bond market. When problems arise they will not be minor. Alan asked that Meketa provide a report of moving half of Loomis, about $5m, to