PB 11/17/2009 Minutes - Laserfiche WebLink

Home Browse Search

Police/Fire Pension Board Meeting November 17, 2009 Page 2 return was 13.93%. Mortgage backed securities in the portfolio are not marketable now and are in "lock down" mode. These securities, however, are performing and will be held until market conditions in that segment improve. 6. Presentation by Bryan Bakordiiev — The Bogdahn Group Mr. Bryan Bakordijev, representing Bogdahn Consulting Group, presented the performance evaluation report for the Investment Managers: Manning & Napier and Galliard Capital Management. They managed the co -mingled fund for the quarter ending September 30, 2009. The complete report as submitted by Mr. Bakordjiev is available for inspection with the Records Management Liaison Officer. Plan results were very good for the quarter. The rally from the prior quarter continued. The financial news for the quarter though not very good was better than expected and helped bolster investor confidence. The equity portfolio managed by Manning and Napier was up 12.27% for the quarter ended September 30, 2009. This exceeded the plan "policy" benchmark of 11.77°/x. The fixed income portfolio managed by Galliard grew at a rate of 5.26% for the quarter exceeding plan policy of 3.21%. At this time there is about $3.4 trillion outside of the markets in money market accounts. It is believed that because there is so much money on the sidelines that is not earning substantially and that this has been the case for some time that there is pressure to invest that may cause the current market rally to continue. The plan experienced a $402 thousand gain for the quarter. Recent rebalancing put the plan in a position to maximize the potential returns from the best performing investment sectors. The plan is in the 34"' percentile of public plan groups which is very good. The fiscal year to date plan return was 5.33%. Though this does not meet plan expectations considering the market environment of the last year it was extremely good. The return for the pension plan was ranked in the 12"' percentile of all public plans. A revised Investment Policy was presented. Changes include an increase in the international allocation to 15% and a listing and discussion of companies and nations prohibited from plan investment. MOTION: Moved by Daniel Glancy to approve the revised investment policy. Motion was seconded by William Nas and carried unanimously on a 5 — 0 voice vote. 7. Presentation of Actuarial Report by Patrick Donlan — Foster and Foster Mr. Patrick Donlan of Foster and Foster discussed the actuarial report for the year ended September 30, 2009. Compared to other clients the annual percent of payroll contribution that will be required rose several percent of payroll. The required increase for the City of Casselberry plan is only 0.7% which is very good. Overall it will go from 27.2% in FY2010 to 27.9% in FY 2011. The City Contribution will go from 20.7% in FY2010 to 21.6% in FY2011. Actuarial return for the year ended September 30, 2009 was 6.11% which is one of the higher returns lie has seen. Plan is still growing in membership and grew from 65 to 67 active members.