Pension Sub-committee And Pension Board - 18/02/2008

At a MEETING of the SUPERANNUATION INVESTMENT SUB-COMMITTEE OF THE POLICY AND RESOURCES COMMITTEE held at Dundee on 18th February, 2008.

APPENDIX II

Present:-

COUNCILLORS

Councillor Joe MORROW, Convener, in the Chair.

Unless marked thus * all items stand delegated.

I MINUTE OF MEETING OF 19TH NOVEMBER, 2007

The minute of meeting of the Superannuation Investment Sub-Committee of 19th November, 2007 was submitted and approved.

II PROPOSED TIMETABLE OF MEETINGS FOR 2008

There was submitted Report No 50-2008 suggesting programme of meetings of the Superannuation Investment Sub-Committee to cover investment performance and issues arising in 2008.

The Sub-Committee agreed the programme of meetings, as detailed below.

Monday, 19th May, 2008 at 12 noon

Monday, 18th August, 2008 at 12 noon

Monday, 17th November, 2008 at 12 noon

III TAYSIDE SUPERANNUATION FUNDS BUSINESS PLAN 2008/2009

There was submitted Report No 51-2008 by the Head of Finance introducing the fifth annual business plan for the Tayside Superannuation Funds.

The Sub-Committee noted the information within the report and approved the 2008/2009 Business Plan which applied to the administration and management of the Tayside Superannuation Fund and the Tayside Transport Superannuation Fund.

IV STATEMENT OF INVESTMENT PRINCIPLES ANNUAL REVIEW

There was submitted Report No 52-2008 by the Head of Finance reviewing the Statements of Investment Principles for the Tayside Superannuation Fund and the Tayside Transport Superannuation Fund.

The Sub-Committee noted the information within the report and approved the Statements of Investment Principles for both the Tayside Superannuation Fund and the Tayside Transport Superannuation Fund.

V FUNDING STRATEGY STATEMENT ANNUAL REVIEW

There was submitted Report No 53-2008 by the Head of Finance reviewing the Funding Strategy Statements for the Tayside Superannuation Funds.

The Sub-Committee approved the Funding Strategy Statements for Tayside Superannuation Fund and Tayside Transport Superannuation Fund.

The Sub-Committee resolved under Section 50(A)(4) of the Local Government (Scotland) Act 1973 that the press and public be excluded from the meeting for the undernoted items of business on the grounds that they involved the likely disclosure of exempt information as defined in paragraphs 4, 6 and 11 of Part I of Schedule 7A of the Act.

VI TAYSIDE SUPERANNUATION FUNDS

(a) PERFORMANCE SUMMARIES

There was submitted Report No 454-2008 by the Head of Finance relating to Performance Summaries for the quarter, twelve months and three years to 31st December, 2007, reviewing the investment performance of the Main Fund's four Fund Managers (excluding Property) for the quarter to 31st December, 2007. It also considers the performance of the Transport Fund which shares two of these managers.

The report compares investment performances of the Funds with the Funds' specific benchmarks which consist of various stock market indices.

The Sub-Committee noted the information contained herein with regard to the performance of the Tayside Superannuation Fund and Tayside Transport Superannuation Fund and their Fund Managers.

(b) PERFORMANCE SUMMARY (PROPERTY PORTFOLIO)

There was submitted Report No 55-2008 by the Head of Finance relating to Schroder Property Investment Management Ltd's performance for the quarter, twelve months and three years to 31st December, 2007, reviewing the investment performance of the Property Portfolio managed by Schroder Property Investment Management Ltd, for the quarter to 31st December, 2007 and for the twelve month period to the same date.

The report compares investment performances with an appropriate benchmark the HSBC/IPD Pooled Property All Balanced Funds Median from 1st April, 2004.

The Sub-Committee noted the information contained herein with regard to the performance of the Property Portfolio managed by Schroder Property Investment Management Ltd.

(c) SUMMARIES OF INVESTMENTS AND TRANSACTIONS

There was submitted Report No 56-2008 by the Head of Finance summarising investments and transactions during the period 1st October to 31st December, 2007, reviewing the investment activities of the Main Fund's five Fund Managers for the quarter to 31st December, 2007. The Transport Fund shares three of these managers and their transactions are included.

The report summarises the transactions of each Fund Manager and shows the market values of the Main and Transport Fund.

The Sub-Committee noted the information contained herein with regard to the activities of the Tayside Superannuation Fund and Tayside Transport Superannuation Fund and their Fund Managers.

(d) QUARTERLY FUNDING REPORT

There was submitted Report No 57-2008 by the Head of Finance, reviewing the current funding level of the Funds as assessed by Barnett Waddingham, the Fund Actuary.

The Sub-Committee noted the report by Barnett Waddingham.

VII PRESENTATION

Tim Baird and Iain Lindsay of Goldman Sachs were unable to attend. However, it was noted that Goldman Sachs had performed well over the last quarter.

Joe MORROW, Convener.