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HomeMy WebLinkAbout2023-10-19-RB-minMinutes of the October 19, 2023 Retirement Board meeting: Present: Robert Cunha, Joseph Foley, Alan Fields, Carolyn Kosnoff, Fred Weiss, 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 103123 Warrant and the October payroll. The September minutes were reviewed and approved. The financials were not available at the time of meeting. Robert Cunha reviewed the October agenda with all Board members and staff in attendance. It was noted we received a distribution from Fidelity for $19,198.35 on October 17, 2023. Another distribution will be received on October 20, 2023 from Angelo Gordon for $131,392.00. The Election update was presented by Jim Condon. As of 10/19/23, Joseph Foley is the only candidate running for a seat on the Retirement Board. Alan Fields and Frederick Weiss will have terms expiring in January 2024. A buyback of service request was made by Sheila Tweeddale. Sheila was employed part time with the school system from 10/21/2013 to 6/30/2023, then moved to a full time benefitted position. Due to hourly restrictions, she was not eligible to be a member of the retirement system. She is requesting to purchase three (3) years and six (6) months of service. Robert Cunha made the motion to accept the request, which was seconded by Joseph Foley, and unanimously approved by Fred Weiss, Carolyn Kosnoff and Alan Fields. Jim will notify her of this decision and discuss payment plans. Henry Juang presented the Meketa update at 8:42 am. The portfolio balance as of September 30, 2023 was $207,350,052.00, down 3.2% from the previous month. Currently, the total asset class performance is up 7.4% for YTD, and 13.4% for the past 1 year. Our balance last year on September 30, 2022 was $180,789,549.00 for factual purposes. The US equity market continues to be the strong point in the portfolio. It is up 16.5% YTD. Fidelity Contrafund is up 25% YTD and 29.9% over 1 year. The Rhumbline Russell 1000 index is doing well at 13%. Henry sees no imminent need to make any changes in the domestic portfolio. International equity remains flat. It is -0.2% YTD. Matthews Pacific Tiger Fund is the lone standout for posting a negative 6.5% YTD. All others are down around 3-5%. Short term volatility is the cause for the downward trend. Henry spoke briefly regarding Private Debt. The RFP for a private debt manager has been posted. The deadline to submit is November 2nd. At our December meeting, he will provide a summary of names of those submitting requests that make the most sense for us. The requested buy-in is $8-10m. PIMCO has a minimum of $10m to enter their strategy. His speech wrapped up at 8:50 am. Carolyn Kosnoff presented the Board with an update regarding the Funding Schedule for the Retirement System at 8:51 am. After discussions with town officials, it is best to leave the schedule at the discount rate of 7.25% out to the year 2030. Continue on with the $750k contribution as planned. All Board members are in agreement with this schedule. Carolyn and/or Michelle will notify Colin Edgar at Stone Consulting to finalize the schedule and submit to PERAC. Update concluded at 9:00 am. Robert Cunha made a motion to adjourn the meeting at 9:01 am, which was seconded by Joseph Foley, and unanimously approved by Carolyn Kosnoff, Fred Weiss, and Alan Fields. The next Retirement Board meeting will be held on Tuesday, November 21, 2023 at 8:30 am on Zoom. PRIT Board will be in attendance for review. Final Board meeting for 2023 will be held on Thursday, December 21, 2023 at 8:30 am on Zoom. _____ __________________ Robert Cunha, Chairman Alan Fields, Appointed Member Carolyn Kosnoff, Ex Officio Member Joseph Foley, Elected Member Frederick Weiss, Appointed Member