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PDF 156 KB \n\t\t \n\t\t\t \n\n\t\t\t\t - Agenda reports pack\n PDF 905 KB \n\n\t\t\t\t
- Printed minutes\n PDF 66 KB \n\t\t \n\n
Venue: Room 105 - Bexley Civic Offices. View directions
\n\t\t\n\t\tItems\n\t\t\n\n\t\t\tNo.\n\t\t\tItem\n\t\t\n\n\t\t\n\n\t\t\t\n\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\tApologies for Absence and Substitute Members
\nMinutes:
\nIt\nwas reported that valid substitution notices had been received from\nCouncillor James Spencer who had nominated Councillor Howard\nMarriner to attend as his\nsubstitute. Apologies\nfor absence were also received from Mrs Jacqui Sedgwick (Admitted\nBodies Representative).
\n\n
Minutes of Meeting held on 8 September 2009 PDF 67 KB
\nMinutes:
\nRESOLVED\n– That the minutes of the Pensions Committee held on 8\nSeptember 2009 be signed as a correct record.
\n\n
Declarations of Interests and Dispensations PDF 63 KB
\nMinutes:
\n\nCouncillor\nDon Massey declared a personal and non-prejudicial interest as an\nemployee of a private equity fund management firm and a personal\nand non-prejudicial interest as the relative of an individual who\nwas in receipt of pension from the London Borough of\nBexley. Councillor Steven Hall declared a\npersonal, non-prejudicial interest as having worked a few years\npreviously with UBS.
\n\n
Standing Order 65(6) PDF 40 KB
\nMinutes:
\nThere were no items of late\nbusiness.
\n\n
Exclusion of the Press and Public PDF 50 KB
\nMinutes:
\nRESOLVED\n– That the press and public be excluded from the meeting\nduring consideration of the appendices to agenda items 6 and 10 and\nthe supplementary documents relating to agenda item 6 because\nconsideration of these matter in public would disclose information\nfalling within one or more of the categories of exempt information\ncontained in Schedule 12A to the Local Government Act 1972, as\nspecified in minutes 34 and 38, and, in all circumstances of the\ncase, the public interest in maintaining the exemption outweighs\nthe public interest in disclosing the information.
\n\n
Pension Fund Investment Performance - Quarter Ended 30 September 2009 PDF 46 KB
\nAdditional documents:
\n\t\t\t\t\t\nMinutes:
\n\nThe Committee had resolved,\nas recorded in Minute 33 above, that the press and public be\nexcluded from the meeting during consideration of the appendix to\nagenda item 6 because consideration of this item in public\ndisclosed information falling within paragraph 3 –\ninformation relating to the financial or business affairs of any\nparticular person (including the authority holding that\ninformation) of Schedule 12A to the Local Government Act 1972,\nwhich in all circumstances of the case, the public interest in\nmaintaining the exemption outweighs the public interest in\ndisclosing the information.
\n\n
\n\nMembers received an\ninvestment report covering the quarter ending 30 September 2009\ndetailing the performance for all the Fund Managers together with\nindividual presentations from the balanced fund mangers UBS Global\nAsset Management Ltd and Newton Investment Management Ltd in which\nspecific questions, that had been submitted in advance by Hewitt\nAssociates, were addressed.
\n\n
\nIt was reported that the value of the\nassets managed by UBS showed a return of 21.2% compared to the\nbenchmark return of 18.4% for the quarter, whilst the figures for\nthe year ended 30 September 2009 showed a return of 17.8% against\nthe benchmark return of 14.7%. The assets managed by Newton\nshowed a return of 16.7% compared to the benchmark return of 18.4%\nover the quarter, whilst the figures for the year ended 30\nSeptember 2009 showed a return of 12.5% against the benchmark of\n14.1%.
\n\n
Mr Ian Bailey and Mr David Crum of\nHewitt Associates provided the Committee with their view on how the\nbalanced fund managers had performed.
\n\n
RESOLVED – That the\npresentations from the Fund Managers be received.
\n\n
Pension Fund Investment Performance - Quarter Ended 30 September 2009 - Exempt Appendix
\n\nEstablishment of Pensions Committee Sub-Committee PDF 51 KB
\nMinutes:
\n\nThe Committee discussed a\nreport proposing the rationalisation of the existing sub-committees\nto the Pensions Committee. An amendment to increase the membership\nof the Sub-Committee from 2 to 3 Members from the majority group\n(with one being the Chairman or Vice Chairman) and one from the\nopposition was moved and seconded and carried without\ndissent.
\n\n
\n\nRESOLVED –\nThat:
\n\n
\n\n1) A new Pensions\nInvestment Sub-Committee be established as set out in the section 2\nof the report but with the membership comprising of 3 Members from\nthe majority group (with one being the Chairman or Vice Chairman) and one from the\nopposition; and
\n\n
\n\n2) The\nexisting Manager Appointments Sub-Committee and Asset Allocation\nSub-Committee be deleted.
\n\n
Member Development PDF 45 KB
\nAdditional documents:
\n\t\t\t\t\t\nMinutes:
\n\nThe Committee discussed a\nreport proposing topics for Member development and a programme of\nsuggested events.
\n\n
\n\nRESOLVED –\nThat:
\n\n
\n\n1) \nthe proposals for Member Development for the Pensions Committee be\napproved; and
\n\n
\n\n2) \nthe next development event will cover the topics of hedge funds and\nselecting a bond manager and be scheduled for early February\n2010.
\n\n
Pension Fund Administration Update PDF 79 KB
\nMinutes:
\n\nThe Committee received a\nreport which updated Members on the audit opinion on the pension\nfund account and the publication of the annual report together with\nrecent consultations from the Department for Communities and Local\nGovernment (DCLG) on changes to the Local Government Pension Scheme\n(LGPS) and its administration. Members noted that the matter of a\nseparate Pension Fund bank account would be addressed and that\nfeedback from the DCLG consultations was still\noutstanding.
\n\n
\n\nMembers received a verbal\nprogress report on the transfer of investments from UBS to Newton\nfollowing the Committee’s earlier review of the UBS\nmandate. It was\nreported that Blackrock had been selected, via public tender, as\nthe recommended transition manager to manage the transfer of\nassets.
\n\n
\n\nMembers received a further\nverbal progress report on the proposed property\ninvestment. It was\nnoted that a report had been received from Jones Lang LaSalle\nrecommending that investments in L&G and Threadneedle be made, and that this was likely to\ntake place at the end of January 2010.
\n\n
\n\nRESOLVED –\nThat:
\n\n
\n\n(1) a report be submitted\nto the following meeting of the Committee on changes to the\nadministration regulations including the requirement for setting up\na separate Pension Fund bank account;
\n\n
\n\n(2) the timing for the transfer of\nassets from UBS to Newton be agreed by the Director of Finance, in\nconsultation with the Chairman. Committee Members be updated on the\ntransfer of assets via email;
\n\n
\n\n(3) a retrospective report on\nthe transfer of assets be provided to the following meeting of the\nPensions Committee; and
\n\n
\n\n(4) the update report on\nPension Fund Administration be received.
\n\n
Local Government Pension Scheme - Early Release of Preserved Benefits on Compassionate Grounds PDF 53 KB
\nMinutes:
\n\nThe Committee had resolved,\nas recorded in Minute 33 above, that the press and public be\nexcluded from the meeting during consideration of the appendices\nrelating to agenda item 10 because consideration of these matters\nin public disclosed information falling within paragraph 1 –\ninformation relating to any individual - of Schedule 12A to the\nLocal Government Act 1972, which in all circumstances of the case,\nthe public interest in maintaining the exemption outweighs the\npublic interest in disclosing the information.
\n\n
\n\nThe Committee received a\nreport considering a request from a former employee for the early\nrelease of pension benefits on compassionate grounds. The evidence\ncontained in the exempt appendices relating to the current\nfinancial and personal circumstances of the former employee was\nexamined by Members.
\n\n
\n\nRESOLVED –\nThat
\n\n
\n\n(1) the\ndecision to grant the early release of pension benefits on\ncompassionate grounds be deferred; and
\n\n
\n\n(2) \nfurther information be sought from the former employee particularly\nin relation to state benefits.
\n\n
Local Government Pension Scheme - Early Release of Preserved Benefits on Compassionate Grounds - Exempt Appendices
\n\nAdditional documents:
\n\t\t\t\t\t\n PDF 156 KB \n\t\t \n\t\t\t PDF 905 KB PDF 66 KB \n\t\t Venue: Room 105 - Bexley Civic Offices. View directions
\n\t\t| No. | \n\t\t\tItem | \n\t\t
|---|---|
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\t\t\t Apologies for Absence and Substitute Members \nMinutes: \n\n \nIt\nwas reported that valid substitution notices had been received from\nCouncillor James Spencer who had nominated Councillor Howard\nMarriner to attend as his\nsubstitute. Apologies\nfor absence were also received from Mrs Jacqui Sedgwick (Admitted\nBodies Representative). \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Minutes of Meeting held on 8 September 2009 Minutes: \n\n \nRESOLVED\n– That the minutes of the Pensions Committee held on 8\nSeptember 2009 be signed as a correct record. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Declarations of Interests and Dispensations Minutes: \n\n \n\nCouncillor\nDon Massey declared a personal and non-prejudicial interest as an\nemployee of a private equity fund management firm and a personal\nand non-prejudicial interest as the relative of an individual who\nwas in receipt of pension from the London Borough of\nBexley. Councillor Steven Hall declared a\npersonal, non-prejudicial interest as having worked a few years\npreviously with UBS. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Standing Order 65(6) Minutes: \n\n \nThere were no items of late\nbusiness. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Exclusion of the Press and Public Minutes: \n\n \nRESOLVED\n– That the press and public be excluded from the meeting\nduring consideration of the appendices to agenda items 6 and 10 and\nthe supplementary documents relating to agenda item 6 because\nconsideration of these matter in public would disclose information\nfalling within one or more of the categories of exempt information\ncontained in Schedule 12A to the Local Government Act 1972, as\nspecified in minutes 34 and 38, and, in all circumstances of the\ncase, the public interest in maintaining the exemption outweighs\nthe public interest in disclosing the information. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Pension Fund Investment Performance - Quarter Ended 30 September 2009 Additional documents: \n\t\t\t\t\t\n
Minutes: \n\n \n\nThe Committee had resolved,\nas recorded in Minute 33 above, that the press and public be\nexcluded from the meeting during consideration of the appendix to\nagenda item 6 because consideration of this item in public\ndisclosed information falling within paragraph 3 –\ninformation relating to the financial or business affairs of any\nparticular person (including the authority holding that\ninformation) of Schedule 12A to the Local Government Act 1972,\nwhich in all circumstances of the case, the public interest in\nmaintaining the exemption outweighs the public interest in\ndisclosing the information. \n\n \n\nMembers received an\ninvestment report covering the quarter ending 30 September 2009\ndetailing the performance for all the Fund Managers together with\nindividual presentations from the balanced fund mangers UBS Global\nAsset Management Ltd and Newton Investment Management Ltd in which\nspecific questions, that had been submitted in advance by Hewitt\nAssociates, were addressed. \n\n \nIt was reported that the value of the\nassets managed by UBS showed a return of 21.2% compared to the\nbenchmark return of 18.4% for the quarter, whilst the figures for\nthe year ended 30 September 2009 showed a return of 17.8% against\nthe benchmark return of 14.7%. The assets managed by Newton\nshowed a return of 16.7% compared to the benchmark return of 18.4%\nover the quarter, whilst the figures for the year ended 30\nSeptember 2009 showed a return of 12.5% against the benchmark of\n14.1%. \n\n Mr Ian Bailey and Mr David Crum of\nHewitt Associates provided the Committee with their view on how the\nbalanced fund managers had performed. \n\n RESOLVED – That the\npresentations from the Fund Managers be received. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\t\t\t\t Pension Fund Investment Performance - Quarter Ended 30 September 2009 - Exempt Appendix \n\n
| \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Establishment of Pensions Committee Sub-Committee Minutes: \n\n \n\nThe Committee discussed a\nreport proposing the rationalisation of the existing sub-committees\nto the Pensions Committee. An amendment to increase the membership\nof the Sub-Committee from 2 to 3 Members from the majority group\n(with one being the Chairman or Vice Chairman) and one from the\nopposition was moved and seconded and carried without\ndissent. \n\n \n\nRESOLVED –\nThat: \n\n \n\n1) A new Pensions\nInvestment Sub-Committee be established as set out in the section 2\nof the report but with the membership comprising of 3 Members from\nthe majority group (with one being the Chairman or Vice Chairman) and one from the\nopposition; and \n\n \n\n2) The\nexisting Manager Appointments Sub-Committee and Asset Allocation\nSub-Committee be deleted. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Member Development Additional documents: \n\t\t\t\t\t\n
Minutes: \n\n \n\nThe Committee discussed a\nreport proposing topics for Member development and a programme of\nsuggested events. \n\n \n\nRESOLVED –\nThat: \n\n \n\n1) \nthe proposals for Member Development for the Pensions Committee be\napproved; and \n\n \n\n2) \nthe next development event will cover the topics of hedge funds and\nselecting a bond manager and be scheduled for early February\n2010. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Pension Fund Administration Update Minutes: \n\n \n\nThe Committee received a\nreport which updated Members on the audit opinion on the pension\nfund account and the publication of the annual report together with\nrecent consultations from the Department for Communities and Local\nGovernment (DCLG) on changes to the Local Government Pension Scheme\n(LGPS) and its administration. Members noted that the matter of a\nseparate Pension Fund bank account would be addressed and that\nfeedback from the DCLG consultations was still\noutstanding. \n\n \n\nMembers received a verbal\nprogress report on the transfer of investments from UBS to Newton\nfollowing the Committee’s earlier review of the UBS\nmandate. It was\nreported that Blackrock had been selected, via public tender, as\nthe recommended transition manager to manage the transfer of\nassets. \n\n \n\nMembers received a further\nverbal progress report on the proposed property\ninvestment. It was\nnoted that a report had been received from Jones Lang LaSalle\nrecommending that investments in L&G and Threadneedle be made, and that this was likely to\ntake place at the end of January 2010. \n\n \n\nRESOLVED –\nThat: \n\n \n\n(1) a report be submitted\nto the following meeting of the Committee on changes to the\nadministration regulations including the requirement for setting up\na separate Pension Fund bank account; \n\n \n\n(2) the timing for the transfer of\nassets from UBS to Newton be agreed by the Director of Finance, in\nconsultation with the Chairman. Committee Members be updated on the\ntransfer of assets via email; \n\n \n\n(3) a retrospective report on\nthe transfer of assets be provided to the following meeting of the\nPensions Committee; and \n\n \n\n(4) the update report on\nPension Fund Administration be received. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\n\t\t\t\t\t Local Government Pension Scheme - Early Release of Preserved Benefits on Compassionate Grounds Minutes: \n\n \n\nThe Committee had resolved,\nas recorded in Minute 33 above, that the press and public be\nexcluded from the meeting during consideration of the appendices\nrelating to agenda item 10 because consideration of these matters\nin public disclosed information falling within paragraph 1 –\ninformation relating to any individual - of Schedule 12A to the\nLocal Government Act 1972, which in all circumstances of the case,\nthe public interest in maintaining the exemption outweighs the\npublic interest in disclosing the information. \n\n \n\nThe Committee received a\nreport considering a request from a former employee for the early\nrelease of pension benefits on compassionate grounds. The evidence\ncontained in the exempt appendices relating to the current\nfinancial and personal circumstances of the former employee was\nexamined by Members. \n\n \n\nRESOLVED –\nThat \n\n \n\n(1) the\ndecision to grant the early release of pension benefits on\ncompassionate grounds be deferred; and \n\n \n\n(2) \nfurther information be sought from the former employee particularly\nin relation to state benefits. \n\n | \n\t\t
| \n\t\t\t\t\n\t\t | \t\t\t\n\t\t\t\t\t\t Local Government Pension Scheme - Early Release of Preserved Benefits on Compassionate Grounds - Exempt Appendices \n\n
Additional documents: \n\t\t\t\t\t\n
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