Police Employees Pension Board Draft Minutes 10-10-2013
CITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND
POLICE EMPLOYEES’ PENSION BOARD MEETING
MEETING MINUTES
October 10, 2013
The City of Atlantic Beach Police
Employees’ Pension Board meeting was called to order at 6:30 P.M. The members in attendance were trustees: Vic Gualillo, David Cameron, John Wolfel, Bill Tomson, and Tim Saggau. Nelson
Van Liere, Pension Plan Administrator and Investment Advisor Michael O’Shields were also in attendance.
Approval of the minutes from the Police Employee Retirement System September 12,
2013 meeting. Motion to approve was made by Bill Tomson and seconded by Vic Gualillo. The vote was unanimous to approve.
Michael O’Shields led the discussion on investment performance
including year to date information and proposed a new strategy. End of the fiscal year performance resulted in a $364,000 gain with a current ending portfolio value of $7,370,351 which
represents a 5.2% net return for the year ended 9/30/13 and an annualized 9.0% net return for the prior two years. Discussion then moved to strategy and new proposed allocation that
focused on the following points:
“Active managers” in the U.S. equity small to mid- cap space to play second stage of economic recovery;
European equities as “value play” on the economic
recovery; and
Japanese equities offer an emerging growth story after 20+ years of underperformance and focus on MSCI AC World index.
Vic Gualillo made motion to adopt the following allocation
(Format: Asset Class – Asset Subclass – Manager - % of Total); motion was seconded by David Cameron and majority approved. Bill Tomson voted against the motion.
US Equities – Large
Cap Growth – Columbia – 8%
US Equities – Large Cap Value – Cambiar – 8%
US Equities – Mid Cap Growth – Wells Fargo – 10%
US Equities – Mid Cap Value – TS&W – 10%
US Equities – Small
Cap Growth – Riverbridge – 9%
US Equities – Small Cap Value – GW Capital – 9%
International Equities – European Equity – Lazard – 3%
International Equities – MSCI AC World – Newton –
3%
Fixed Income – Corporate Bond Only – Sage – 40%
Adjournment – Vic Gualillo made a motion to adjourn at 7:35 PM.
___________________________ ____________________________
Vic Gualillo David
Cameron
Chair Secretary