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HomeMy WebLinkAbout2013-01-24-RB-minMinutes of the January 24, 2013 Retirement Meetings Present: Robert Cunha, Rob Addelson, Joe Foley, Mike McNabb, Alan Fields Marguerite Oliva Bob Cunha called the meeting to order at 8:00 AM. The Board accepted and signed the 013113 Warrant and January payroll. The December minutes were reviewed and approved. New Members: Joseph Annese, Douglas Boudrow, Robert Palardy, Firefighters /Paramedics; Jacqueline Davis, HASA; Catherine Farley, IA/ Michelle Bridges, School Support Staff Retirements: Marjorie Bulger, School Library Asst. 2/$/13, George Anderson, Detective Sgt., 3/1/13 Deceased: Florence Perry, Opt. C Survivor, 12/18/12, Erma Jordan, Opt. A, 12125/12, Anne Butler, Opt. B depleted, 12118/12; Carol McLaughlin, Opt. A., 12/13/12; Raymond Massey, Opt. C, 1/13113 LouAnn Eisenhut and Henry Jaung from Meketa presented an interim report as of December 31, 2012. The final year end figures will be presented at the February meeting. The market value as of December 31, 2012 is $115.4 million up from $113.9 on November 30, 2012. All asset classes had positive returns for the quarter and most out- performed the PRIT fund. Looking back at the one year returns, all outperformed PRIT. The RFP's for the Russell 1000 Index Fund and Senior Direct Lending Funds to possibly replace Hartford have been published. The search was triggered by notice of Saul Parnell's retirement. In the interim, the Board is seeking an index option in case a suitable manager cannot be found. The final decision may include an index manager as well as an active manager. Mike felt the RF'P finalists would be used to compliment Hartford and did not feel it would be necessary to sell off. It was noted that the Hartford Fund increased 20.7% for the year. Henry mentioned that it is better to sell high so this might be the time to replace Hartford. Meketa will discuss the responses at the February meeting. Meketa presented a Beacon Capital Track Record report. In 2007 the Board committed $7 million to Beacon Capital V a closed -ended value- added real estate fund and as of December 31, 2012, the Retirement System had $2.4 million invested. As of November 30, 2012, Beacon has returned 9% of the total capital committed. Beacon Capital is focused on minimizing additional capital calls and returning capital to investors instead. They anticipate a capital call of 3 -5% in the first quarter of 2013 and expect that at lease 10% of the equity will remain uncalled. Scott Brink, Jake Brown and Tom Levering attended the meeting to discuss Enduring Assets and Opportunistic Investment Funds. The Opportunistic Fund earned 14.4% for the one year period ending 12/31/12 and the Enduring Assets for a six month period from June 2012 earned 5.1 %. Market value of Opportunistic is $14,455,602 and Enduring Assets is $5,473,298. The FY' 14 COLA notice has been posted and a vote will be taken at the next meeting. The Board decided to maintain the $12,000 base and not seek an increase at this time. Articles for the increase in Section 101 and Section 12 (2 )(d) benefits have been reserved for Town Meeting. The Vanguard balance for 12/31/12 is $2,822,738. The Town will not be appropriating any additional OPEB funds this year. Buybacks from Annmarie Kelleher and Amy Sullivan were approved unanimously. PERAC approval of the new funding schedule and FYI 3 Town Appropriation were received. A notification will be sent to MA Retirees United of the anticipated time and cost associated with compiling requested information. A request for a copy of their charter will be included. Fidelity representatives will be invited to attend the February meeting for annual review. A motion was made, seconded and approved unanimously to adjourn the meeting at 11:15. The next meeting will be held March 28, 2013, 8:00 AM at Cary Memorial Library. Robert W. Cunha, Chairman Michael McNabb, Appointed Member Robert Addelson, Ex Officio Member Joseph Foley, Elected Member Alan Fields, Appointed Member