HomeMy WebLinkAbout2017-09-26-RB min Minutes of the September 26, 2017 Retirement Board Meeting:
Present: Joe Foley, Alan Fields, Carolyn Kosnoff, Frederick Weiss, Marguerite Oliva and Jim Condon
Absent: Robert Cunha
NEW MEMBERS: (23) Andrew Crum, Katrina Kataftos, Rebecca Shuman, SSI's; Christina Rauseo,
Miranda Morse, Catherine Benenati, Susan Hintlian,Mary Provost, Kimberly Spinale, Jessica Elliott,
Jennifer Mayo, Robin DiPietro, Denise Houser, SIA's; Margaret Quinn, SSP; Patrick Scott, Custodian;
Linda Prisco, Debra Hankins, Administrative Asst.; Kayla MacDonald, Jessica Janard-Howell, Samantha
Musto, Max Beasley, Jonathen Doherty, Elizabeth Yellis, IA's;
DEATHS: Lloyd Faulkingham,Patrolman, 9/18/17
RETIREMENTS: None
In the absence of Bob Cunha, Joe Foley chaired the Board Meeting. Fred Weiss attended the meeting via
conference call.
The Board reviewed and approved buyback requests for Carmelina Fiore (10/2004—8/2017),Eileen
Tamaro (10/28/2012— 11/28/2016), and Lisa Tanner(9/1/2009—8/22/2014). They were employees for
the Town of Lexington,yet not eligible for membership into the retirement system due to hourly
requirements.
Retirees Joseph Haynes and Robert Staples are now compliant with PERAC regarding their 9 1 A earnings
paperwork.
Board Member Joseph Foley's term is set to expire on 12/29/17. He will be seeking re-election for
another three (3)year term. The notice of election forms were distributed this month to all eligible voters
via e-mail and regular mail.
Regarding the upcoming Board election,nomination papers are due back by Tuesday,November 7".
Jim's review for a step increase in salary was tabled until the October 26"'meeting. Maggie's request for
a schedule adjustment will be discussed when Bob is available.
We received a distribution from Monroe Capital for$386,662.
Steve McLellan and Henry Jaung presented the Meketa update. The portfolio continues to perform very
well. It has increased from $160.4m on 7/31/17 to $161.1m as of 8/31/17. It is currently up 13.3% for
the year. A couple of key highlights are Acadian and Matthews. Both continue to perform well in the
portfolio. Acadian is up 25.7%YTD,while Matthews is 25.0%YTD. The Fidelity Contrafund is up
22.9% YTD in Domestic Equity. Despite global concerns and risks on actuarial returns, the last twelve
months of returns have been very strong. Gross Domestic Product is up 2% for the year,while inflation
has gone 2%.
Henry spoke a bit on our position in non-U.S.markets. He feels we should be investing more in the
International markets,primarily because it is cheaper to buy overseas now. Alan would like to see some
return figures before we allocate more overseas. Rates are near zero overseas,yet the U.S.is leading the
way globally in slowly raising rates. Overall,we have a well balanced portfolio structure and are looking
to finish 2017 on a high.
Landy Pheloung presented the White Oak quarterly report. He discussed the performance of the portfolio
and its strengths as being one of the largest lenders. Landy also spoke of the company being heavy into
underwriting loans and researching extensively into certain companies to take a risk on if they appear
stable. Overall, the Board would have preferred to hear figures on how our portfolio is doing,rather than
what White Oak is doing as a whole.
Fossil Fuel exposure is holding at 4.0%,with little to no change in the future.
A motion was made, seconded, and unanimously approved to adjourn the meeting at 9:25 AM.
The next Board Meeting will be held on Thursday, October 26"' at Cary Memorial Library. Golub Capital
and Monroe Capital will be present for their annual reviews.
ABSENT
Robert Cunha, Chairman Alan Fields, Appointed Member
Carolyn Kosnoff, Ex Officio Member Joseph Foley, Elected Member
Frederick Weiss, Appointed Member