HomeMy WebLinkAbout2015-10-27-RB-minMinutes of the October 27, 2015 Retirement Board Meeting
Present: Robert Cunha, Joe Foley, Alan Fields, Marguerite Oliva, and Karen Marchant;
Absent: Rob Addelson
Fred Weiss joined the meeting by conference call
Bob Cunha called the meeting to order at 8:00 AM.
NEW MEMBERS: (10) Victor Gorospe, Project Manager; Sabine Bright, Eric Bodwell, Nicole
Mehegan, Molly Ragucci, Chad Card, Samantha Mahoney, SSI; Kimberely Larson, Kindergarten
Assistant; Carol Kowalski, Assistant Town Manager for Development; Suzanne Conlon, SPED IA
DEATHS: Eleanor Anderson, Survivor of Lawrence Anderson, Oct. 6, 2015
RETIREMENTS: None
The Board accepted and signed the 103015 Warrant and October payroll. The September 2015 minutes
were reviewed and approved as well as the cashbooks for August 2015.
The discussion of moving OPEB funds into PRIT is postponed until next meeting.
The decision to acquire the PTG employee self service module is postponed to next month meeting to
give Rob a chance to review. The Board would like to have it in place for January 2016.
Dan Sherman can't determine the effect of a change in policy for "once a member always a member" and
Munis can't track how many members have had their hours reduced to less than 20. The Board will
discuss next month and establish a policy effective January 2016.
There was a recallable distribution from White Oak on 10/23 for $662,163.96 as well as calls on 10/22,
10/26, 10/28 & 11/2. Henry explained the reason for so many calls is White Oak is an ERISA Fund and
can't hold any cash, It is acceptable to wait and combine numerous calls into one,
Memo # 10 for Board Member Training for 4th qtr. 2015 was given to each Board Member.
Bladen Burns from Fiduciary Management, Inc. was present for their annual review. Lexington
Retirement invests in the FMI large cap mutual fund. He reported performance YTD was down 5.75%
and performance since inception is 12.47 %. He reported there were no changes in staff and provided an
overview of the performance summary, portfolio, investment philosophy and strategy.
Henry from Meketa was present for the September 30, 2015 interim update. The market value as of
9/30/15 is $ 133.5 mil down from $141.9 mil as of 6/30/15.
He reported the OBEP funds are eligible to invest in the PRIT Core Fund. It has a 30 year expected
return of 7.9% , 12.5% volatility, expense ratio of 0.55% and provides a diversification across all of the
same asset classes Retirement Systems have access to via PRIT. The Board requested he do a comparison
of Vanguard with PRIT for the next meeting.
Henry provided information regarding the possibility of adding a Real Estate Strategy since the Beacon
investment will be corning to a close. He provided characteristics for both Core and Non -Core Strategies
including Value -Added and Opportunistic and recommended the Non- Core Value Added to be
considered for an RFP in the future. Henry will check to see if PRIM has a real estate holding we could
invest in.
Henry also provided an asset allocation review with the PIMCO Fund liquidated and William Blair
added. He reported the percent of the system was well diversified. The discussion regarding the
Investment Strategy Policy for Asset Allocations Targets will be tabled until next meeting when a full
Board is present.
Susan Grivas from Matthews Asia was present for their annual review. There are changes on the
Investment Team but Leadership is still the same. Employees make up the largest ownership. She gave
an overview of the Portfolio Characteristics including positioning by sector and country, strategy,
valuations and expense ratios. Performance is ahead of the benchmark even though it is down for the
quarter.
A motion was made, seconded and approved unanimously to adjourn the meeting at 10:15.
The next meeting will be held November 19, 2015, 8:00 AM at Cary Memorial Library.
Robert Cunha, Chairman Alan Fields, Appointed Member
Absent
Robert Addelson, Ex Officio Member Joseph Foley, Elected Mernber
Frederick Weiss, Appointed Member