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HomeMy WebLinkAbout2025-11-20-RB-min Minutes of the November 20, 2025 Retirement Board meeting: Present: Robert Cunha, Joseph Foley, Frederick Weiss, Carolyn Kosno?, Michelle Malone and Jim Condon Absent: Alan Fields The Lexington Retirement Board met remotely through Zoom tele-conferencing and in person. The Town Clerks O?ice posted the meeting, which included the information for any interested party to join the call. Robert Cunha, Joseph Foley, Carolyn Kosno?, Frederick Weiss, Alan Fields, James Condon and Michelle Malone were present. Robert Cunha called the meeting to order at 8:30 am. The Board accepted the 112825 Warrant and the November payroll. The October minutes were reviewed and approved, as well as the September cashbooks. Robert Cunha reviewed the November agenda with all Board members and sta? in attendance. Mr. Cunha opened the meeting with the update that the Retirement Board cashbooks will be processed by the Tax Collectors o?ice beginning in 2026. It was noted a Driehaus EM subscription went out on 10/23/25 for $3,975,000.00. Four (4) distributions were received in October. A Golub Capital Fund 2 LP was received on 10/24/25 for $108,353.00, and one from Golub Capital Fund 14 on 10/27/25 for $79,474.00. The third distribution came from White Oak Summit on 10/27/25 in the amount of $118,996.00. Lastly, a $32,794.03 distribution was received on 10/28/25 from Fidelity Contrafund. Michelle Malone gave a brief update on Cybersecurity Insurance. She reported we are waiting on more details from the I.T Department in Lexington. This matter will then go to Executive Session when we learn more. The Legal RFP will be closing on 12/04/25 and discussion to follow at the December meeting. The Consulting RFP is out there and Michelle is working with John Galvin at PERAC into early 2026. Robert Cunha mentioned to the Board that we might have to hold an additional meeting in January due to the RFP’s and the Meketa data. Board members were reminded to keep up with educational courses o?ered by PERAC for their credits. Webinars can be found on the PERAC website. Steve MacLellan and Henry Juang presented the Meketa update at 8:43 am. Steve gave an Economic and Market update through September 30, 2025. October data was behind partly due in part because of the Government Shutdown. In the Third Quarter, most stock and bond markets delivered positive returns. US stocks had a broad rally with the Russell 3000 gaining 8.2%. Chinese stocks drove the EM market index higher with the MSCI China index returning 20.7% in the quarter. Only question going forward is how the Fed will manage interest rates given pressure on its dual mandate of inflation and employment. The portfolio balance as of October 31, 2025 is $295,009,392.00, up $4.1m from the previous month. Our portfolio is up 15% YTD. The 1 month performance numbers in Domestic equities were up a tad, while Fixed income numbers were unreported. This is due to our earlier than normal Board meeting for month. December Board will have a more accurate depiction of how we performed. Henry noted Contrafund continues to do well, but warns of an A.I. softening could lead to lower returns. Our cash is winding down with upcoming deployments. Meketa informed us on the Global equity search for a vendor. Thirty Two (32) companies responded to the RFP. Meketa is actively working through them at this point. They will narrow them down to 3-5 RFP’s and rank them for review at our December or January meeting. Steve concluded the meeting by directing us to page 41 in the Meketa presentation deck. This shows the investment metrics for public retirement boards with under $500m balances as of 09/30/2025 and rankings. Lexington is in the Top 5 over the 1 year & 3 year. Very impressive. The presentation wrapped up at 9:10 am. The next Retirement Board meeting will be on Thursday, December 18, 2025 at 8:30 am. PRIM will present. _____________________________ Robert Cunha, Chairman Alan Fields, Appointed Member Carolyn Kosnoff, Ex Officio Member Joseph Foley, Elected Member Frederick Weiss, Appointed Member