2008-10-07 - Police Pension Board - Minutes Board or Commission: ❑ Police Pension Board
Document Type: ❑Agenda 0 Minutes
Meeting Date: 10/07/2008
Type of Meeting: ❑ Regular Meeting
BUFFALO GROVE POLICE
PENSION FUND
Police Pension Board Minutes
Regular Meeting—October 7, 2008
I. Call to Order—6:40PM
I. Attendance
Trustees Kristiansen, Eisenmenger, Voigt, Feld, and Fox
I. Minutes
July 8, 2008 regular meeting minutes approved
Vote: 5 ayes 0 nayes
August 26, 2008 special meeting minutes approved
Vote: 5 ayes 0 nayes
I. General Business
Wall & Associates reported on the performance of the overall fund:
3rd Qtr: -1.49%
Fixed: 50%, Equity: 28%, Cash: 22%
Ending value on 09/30/08: $32,280,367.76
Stratford Investment Advisory Group
Market Value on September 30, 2008: Fixed $16,362,140.14 Equities
$7,247,937,73
Past Performance:
Fixed Income: 31d Qtr. 2.07% YTD 4.44%
Equities: 3rd Qtr. -8.23.% YTD -19.33%
Forecast —continued weakness in housing market, historically low consumer and
business confidence, rising unemployment, slowing wage growth, higher
commodity prices, weak banking sector
Recommendation
Purchase 15,000 units of S&P stock index receipts (SPY) for cost of
$1,902,259
Mesirow Financial
Market Value on September 30, 2008:
Equities $2,109,890.94
Past performance: 3" Qtr. -8.21 YTD: -19.96%
Forecast—None
Recommendation—None
Invoice paid to Wall & Associates for services rendered in 2nd quarter of 2008: $5125.25
Invoice paid to Wall & Associates for services rendered: $5111.83
Invoice paid to Reimer & Associates for services rendered: $1031.25
Invoice paid to Mesirow Financial for management fee's in 3d quarter 2008: $3398.26
Mr. Wall with Wall & Associates advised the board that all interviewees were given the
board's decision regarding investment manager selections.
Locke and Zacks will be the board's new equity asset mangers as recommended by Mr.
Wall and agreed upon by the board.
Trustee Fox made a motion to approve agreements with Locke and Zacks subject
to review by the board's attorney (Reimer and Associates).
Seconded by Trustee Fox Vote: 5 ayes 0 nayes
Discussion: None
Mr. Wall advised the board to open two Schwab accounts for Locke and Zacks
Trustee Feld made a motion to open two Schwab accounts for Locke and Zacks as
recommended by Mr. Wall
Seconded by Trustee Kristiansen Vote: 5 ayes 0 nayes
Discussion: None
Mr. Wall advised the board to stop dollar cost averaging funds to Stratford due to volatile
market conditions.
I. New Business
Mr. Wall presented the board with a revised investment policy for review.
Mr. Andersen presented the board with an actuarial valuation report for January 1, 2008
to December 31, 2008. Mr. Andersen stated that Mr. Sharpe with TSW Actuary
could be present in January 2009 to review the report in detail with the board.
Trustee Kristiansen made a motion to approve the tax levy as stated in the
actuarial report
Trustee Feld seconded the motion
Discussion: None
Next regular meeting scheduled for January 13, 2009.
I. Old Business
None
I. Adjournment — 8:15PM