Pension Sub-committee And Pension Board - 03/06/2013

At a MEETING of the SUPERANNUATION INVESTMENT SUB-COMMITTEE OF THE POLICY AND RESOURCES COMMITTEE held at Dundee on 3rd June, 2013.

APPENDIX

Present:-

Bailie Willie SAWERS

COUNCILLORS

Bailie Willie SAWERS, Convener, in the Chair.

Unless marked thus * all items stand delegated.

I DECLARATION OF INTEREST

No declarations of interest were made.

II SOCIALLY RESPONSIBLE INVESTMENT - SIX MONTHLY REPORT

There was submitted Report No 260-2013 by the Director of Corporate Services reviewing the investment performance of the Main Funds five Fund Managers (including Property) and the Financing Fund for the quarter to 31st March, 2013. It also considered the performance of the Transport Fund which shared three of these managers.

The report compared investment performances of the Funds with the Funds specific benchmarks which consisted of various stock market indices.

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

III STATEMENT OF INVESTMENT PRINCIPLES REVIEW

There was submitted Report No 262-2013 by the Director of Corporate Services reviewing 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.

IV FUNDING STRATEGY STATEMENT

There was submitted Report No 268-2013 by the Director of Corporate Services 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.

V SCOTTISH LGPS TRAINING - OCTOBER 2013

There was submitted Agenda Note AN68-2013 advising the Sub-Committee of a Training Seminar being organised by Baillie Gifford for all Scottish LGPS Funds. The Seminar would take place in Baillie Giffords Offices in Edinburgh on 2nd to 3rd October, 2013. The Seminar would be free but there would be travel and subsistence costs.

The Sub-Committee noted accordingly.

VI CHANGE OF NAME FUND

There was submitted Agenda Note AN69-2013 seeking approval to change the names of Tayside Superannuation Fund and Tayside Transport Superannuation Fund to Tayside Pension Fund and Tayside Transport Pension Fund respectively. This would be in line with all other Scottish Local Government Pension Schemes.

The Sub-Committee approved the changes, noting that a recommendation be made to the City Council to approve the change of name of the Sub-Committee to the Pensions Investment Sub‑Committee.

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.

VII TAYSIDE SUPERANNUATION FUNDS

(a) PERFORMANCE SUMMARIES

There was submitted Report No 267-2013 by the Director of Corporate Services relating to Performance Summaries for the quarter, 12 months and three years to 31st March, 2013 reviewing the investment performance of the Main Funds five Fund Managers (including Property) and the Financing Fund for the quarter to 31st March, 2013. It also considered the performance of the Transport Fund which shared three of these managers.

The report compared investment performances of the Funds with the Funds specific benchmarks which consisted of various stock market indices.

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

(b) SUMMARIES OF INVESTMENTS AND TRANSACTIONS

There was submitted Report No 231-2013 by the Director of Corporate Services summarising investments and transactions during the period 1st January to 31st March, 2013 and reviewing the investment activities of the Main Funds six Fund Managers for the quarter to 31st March, 2013. The Transport Fund shared three of these managers and their transactions were included.

The report summarised the transactions of each Fund Manager and showed the market values of the Main and Transport Fund.

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

(c) QUARTERLY FUNDING REPORT

There was submitted Report No 264-2013 by the Director of Corporate Services reviewing the current funding level of the Funds as assessed by the Fund Actuary.

The Sub-Committee noted the report by the Fund Actuary.

VIII REVIEW OF STRUCTURE MAIN FUND

There was submitted Report No 263-2013 by the Director of Corporate Services reviewing the structure of the Main Fund.

The Sub-Committee agreed the recommendations contained within the report.

IV PRESENTATION

Tom Wright and Fiona McLeod of Baillie Gifford gave a short presentation.

A summary of the performance of the Portfolio was given, noting the key performance drivers, and comparison of this to benchmark figures. It was noted that the Portfolio was continuing to out-perform its benchmark.

The Chair thanked the speakers for their presentation.

Willie SAWERS, Convener.