HomeMy WebLinkAbout2015-07-23-RB-minMinutes of the July 23, 2015 Retirement Board Meeting
Present: Robert Cunha, Joe Foley, Alan Fields, Rob Addelson, Marguerite Oliva, and Karen Marchant;
Fred Weiss joined the meeting by conference call
Bob Cunha called the meeting to order at 8:00 AM.
NEW MEMBERS: (4) Donna Dutton, Admin. Asst.; Jill Garvey, Receptionist; Kyle Walsh, Custodian;
Claire Goodwin, Management Fellow
RETIREMENTS: Lou Orifice, Custodian, 7/6115
There was a 6/30/15 review from Meketa. The fund decreased from $144.7m to $142m. The
report shows that before the upcoming transfers of $4m to Golub, $4m to White Oak and $5m to
William Blair, 33% of the equity assets are in the Wellington Opportunistic Fund and after the
transfers, it will be 28 %. The Board asked that Meketa provide a report that reflects what the
portfolio will look like after the transfers.
The use of Fossil Fuel will be an ongoing issue and Meketa affirmed that there are no coal
holders in the portfolio. The Board asked that Steve and Henry review the issue each meeting to
be reflected in the minutes.
Dane Rasmussen from Beacon Capital presented the annual review. He provided an overview of
the properties held in Fund V which continue to be selling. He noted more distributions will be
upcoming and they hope to have all properties sold by the end of 2016. The expected return on
the dollar is 65- 85 cents and Dane commented it will probably be closer to the lower end.
Iggie Galaz and Yinyin Wu presented the PIMCO annual review. PIMCO has hired 24 new
senior investment professionals in the last 12 months along with Ben Bernanke as an advisor in
economic policy. PIMCO has $1.52 trillion assets under their management. The market value as
of 6/30/15 for Lexington Retirement was $7.9 million. They presented the market and
performance review with the emphasis on inflation protection.
The contracts for professionals expire On 12/31/16. Governor Baker's budget for FY' 16 includes
a section that has extendes contracts to seven years. Mike Sacco sent an e-mail regarding the
extension and noted Boards could vote prior to the current expiration dates to extend the existing
contracts. PERAC should be forwarding a memo regarding this matter.
Rob has asked permission to be the contact for the Town with Dan Sherman in regards to the
changes in the GASB reporting requirements for the Town audit. Rob will present the report to
the Board upon receipt of Dan Sherman's information.
The first quarter FY' 16 Town appropriation in the amount of $1,296,409.50 is being drawn in
July.
The second quarter Fidelity Plan Expense reimbursement for $11,493 was received.
The 6/30/15 Vanguard balance is $5,798,656. The Town has appropriated $1,200,000 for
FY' 16 which will be paid from the tax levy. $302,436 was wired on 7/10/15.
The Board voted to keep the PIMCO All Asset Fund portfolio and to use it as the funding source
for needed capital going forward.
The PERAC Emerging Issues meeting will be held on 9/17/15 at Holy Cross. Board members
will receive three credits for attending.
The Board was reminded of Memo #10 regarding Board member training for 3rd qtr. 2015.
The Administrator's annual review is postponed until August.
PRIT and Monroe representatives will be attending the August meeting.
A motion was made, seconded and approved unanimously to adjourn the meeting at 10.05.
The next meeting will be held August 26, 2015, 8:00 AM at Cary Memorial Library.
Robert Cunha, Chairman Alan Fields, Appointed Member
Robert Addelson, Ex Officio Member Joseph Foley, Elected Member
Frederick Weiss, Appointed Member