Retiree Health Care Investment Board

CITY OF ROYAL OAK RETIREE HEALTH CARE INVESTMENT BOARD MINUTES OF THE REGULAR MEETING OF THE BOARD OF TRUSTEES A meeting of the Retiree Health Care Investment Board of Trustees was conducted in the city hall conference room 309, Royal Oak MI, Monday – March 11, 2019 at 8:30 a.m. The meeting was called to order at 8:31 a.m. Attendance PRESENT: Lee Collick- Chairperson Bret Nelson- Vice Chairperson Kim Gibbs- Trustee Kyle DuBuc- Trustee Don Johnson- Trustee ALSO PRESENT: Julie Rudd - Bd Chief Administrative Officer/ Bd Secretary/Bd Treasurer Lisa Genord- Administrative Assistant- Pension Technician Brian Green – Investment Advisor with AndCo Tom Michaud – Bd attorney with VanOverbeke Michaud and Timmony Aaron Eskin – Engineering Department Kevin Wilhelm – Engineering Department Public Comment- none Board approval of the draft minutes for February 4, 2019 meeting Moved by Lee Collick to approve the February 4th, 2019 meeting minutes Supported by Kyle DuBuc MOTION ADOPTED UNANIIMOUSLY 5/0 INVESTMENTS Preliminary performance summary as of February 28, 2019 presented by Brian Green Market value/allocation of assets as of February 28, 2019 is $129,740,945 Current month – total portfolio outperformed the benchmark: 2.35% vs. 2.03% index. Three-month performance – total portfolio underperformed the benchmark: 2.76% vs. 2.79% index. YTD performance – total portfolio outperformed the benchmark: 8.20% vs. 7.98% index. One-year performance – total portfolio underperformed the benchmark: 1.15% vs. 2.61% index. Brian reported the economy is slowing, especially in Europe, but from a U.S. standpoint, does not feel that U.S. recession is imminent. The Dow is down 120 points due to 2 nd Boeing plane crash. Boeing represents 12% of the Dow, which is price-weighted, so we should pay more attention to the S&P 500. There were no changes in the stock/bond portfolio, but 2 changes were made to the equity portfolio. A memo is forthcoming to outline the two changes made on 3/1/19: Liquidation of First Eagle Overseas Fund due to personnel change at Litman, and 1/3rd of Vanguard is now in a conservative posture. Brian reported the year is off to a good start and does not recommend any changes at this time. The complete AndCo Investment Performance Review report is on file in finance office. Moved by Don Johnson to receive and file report Supported by Kim Gibbs MOTION ADOPTED UNIANIMOUSLY 5/0 LEGAL-none OTHER-none NEXT MEETING AND ADJOURNMENT Next regular meeting is scheduled immediately following the retirement system board meeting at approximately 8:30 am on Friday – April 12th, 2019 at city hall room 309. Moved by Don Johnson to adjourn the meeting (8:59 a.m.) and confirm next meeting for April 12th, 2019 immediately following retirement system board meeting at approximately 8:30 a.m. Supported by Kim Gibbs MOTION ADOPTED UNIANIMOUSLY 5/0