General Employee Pension Board Minutes 03-07-2012 v CITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND
GENERAL EMPLOYEES' PENSION BOARD MEETING
MEETING MINUTES
March 7, 2012
1. The City of Atlantic Beach General Employees' Pension Board meeting was called to order at
9:10 A.M. The members in attendance were trustees: Alan Gleit, Harry McNally, Dennis Roberts
and Tim Townsend. Bob Sternfeld was not present. Nelson Van Liere, Pension Plan Administrator;
was also in attendance. Michael O'Shields, Senior Vice President & Institutional Consultant,
Morgan Stanley Smith Barney arrived at 9:29 A.M.
2. Harry McNally's Resignation from the General Employees' Pension Trustees' Board was
discussed. The Board members will talk to the candidates individually & will select the Resident
position at the next quarterly meeting.
3. The Minutes for November 17, 2011, General Employees' Pension Board meeting were
approved: the motion was made by Tim Townsend, seconded by Dennis Roberts & unanimously
approved.
4. The following was presented by Michael O'Shields of Morgan Stanley Smith Barney:
i. The Quarterly Investment Performance Report for the quarter ended 12/31/11 had a 6.74%
increase for fiscal year to date as of December 31, 2011.
ii. After the Quarterly Investment Performance Report was received and discussed, the board
discussed the topic of the portfolio composition and the possibility of changing the asset
allocations to position the portfolio for the market conditions predicted to come by Morgan
Stanley. They discussed alternative allocations to the set 60/40 split and perhaps having three
investment allocation schemes to go to depending on market conditions. The discussion also
related to a change from relative performance to absolute return measurement and risk
management. Michael O'Shields explained the differences in relation to the legislation being
passed that is focused on the short term results and the funded ratios. Michael is to report back at
the next meeting with some proposed changes to the current asset allocation.
5. The Schedule of General Employees' Benefit Status was discussed. The motion to approve
the statuses was made by Tim Townsend, seconded by Alan Gleit & unanimously approved.
6. The Financial Expenditures through December 31, 2011 for the General Employees' Pension
Plan were approved: the motion was made by Tim Townsend, seconded by Dennis Roberts &
unanimously approved.
7. The Addendum to the Actuarial Services Agreement for Gabriel, Roeder Smith & Company
for General Employees' Pension was executed: the motion was made by Tim Townsend,
seconded by Alan Gleit & unanimously approved.
8. No new business.
9. Adjournment — the meeting was adjourned at 11:31 A.M. by Tim Townsend.
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Tim Tow n Alan Gleit
Chair Secretary