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HomeMy WebLinkAbout2018-07-26-RB-min Minutes of the July 26, 2018 Retirement Board meeting: Present: Robert Cunha, Alan Fields, Frederick Weiss (conference call), Carolyn Kosnoff (conference call), Marguerite Oliva and Jim Condon Absent: Joseph Foley NEW MEMBERS: (4) Jenna McNicholas, SSI; Ricardo Martins, Custodian; Michael Longo, Operator; Lauren MacLeod, Admin. Asst. RETIREMENTS: (1) Christine Wilkinson, Instructional Assistant, 09/02/2018 DEATHS: None The Board accepted the 073118 Warrant and July payroll. The June minutes were reviewed and approved, as well as the cashbooks for May 2018. Bob Cunha reviewed the Agenda with the Board members and staff The June minutes and May financial reports were presented as well. It was noted the Vanguard balance as of 6/30/2018 was $12,475,463.00. There was a White Oak capital call in the amount of$135,125.00 on 7/24/18. The Board was notified of two (2)retirees that have failed to comply with section 91A filings through PERAC. Mr. Robert Staples and Ms. Tamzin Ladd. If they do not file a completed Annual Statement of Earned Income and any other required documents immediately, PERAC will authorize our retirement board to suspend future monthly pension payments. David Dali presented the review for Matthews Asia at 8:30. His presentation focused on the future of Asian markets 5-10 years down the road. China was the main topic of discussion. David feels China could be the next Japan in emerging markets. With a benchmark of 3.8% presently, there are signs that point to an increase within the next five years, possibly up to 8%. There could be billions of dollars in allocations within China. Despite the high debt, strategists feel it is a manageable debt. Most debt is household, the rest is corporate. It is considered manageable because the government run banking industry is lending primarily to government run corporations. David continued with explaining how China is a domestic powerhouse today, however the exporting of goods is extremely low. Japan is leading the way in exports. He feels our Board should take a look what is out there to help complement our portfolio. Obviously hold onto the Tiger fund, but maybe add a conservative company with low volatility that would provide growth to our fund. David feels it would be a smart way to get into the China market more for the future. He then finished his presentation noting that India is a Frontier Market, no longer an Emerging Market. They are doing extremely well. We have enough allocation via Tiger. There is no need to allocate more funds at this time. Henry Jaung and Steve McLellan presented the Meketa Update. The portfolio balance as of 6/30/18 was $170,414,412.00, up 2.4% for YTD. It continues to hold steady despite recently market turbulence. The US Markets remain strong at this point due to our strong economy. The Fidelity Contrafund is doing excellent, up 9.5% for the year. It was mentioned that the KAR fund is performing well also; up 5.9% for the year, and 15.6% since inception. Steve briefed us on the search for a new Senior Direct Lending Manager. The final three candidates are Alcentra, Angelo Gordon, and Monroe. Henry and Steve will work to invite them in for presentations at the September Board meeting. Bob Cunha motioned to adjourn the meeting at 9:35, which was seconded, and unanimously approved. The next Board Meeting will be held on Thursday August 23, 2018 at 8:00 AM in Cary Memorial Library. Monroe and White Oak Summit will attend. Robert Cunha, Chairman Alan Fields, Appointed Member ABSENT. Carolyn Kosnoff, Ex Officio Member Joseph Foley, Elected Member Frederick Weiss, Appointed Member