Pension Sub-committee And Pension Board - 23/09/2019

At a JOINT MEETING of the PENSION SUB-COMMITTEE of the POLICY AND RESOURCES COMMITTEE AND THE PENSION BOARD held at Dundee on 23rd September, 2019.

Present:-

PENSION SUB-COMMITTEE

BAILIES

COUNCILLORS

PENSION BOARD

Bailie Willie SAWERS, in the Chair.

I DECLARATION OF INTEREST

No declarations of interest were made.

II MINUTE OF PREVIOUS MEETING

The minute of meeting of 24th June, 2019 was submitted and approved.

III TAYSIDE PENSION FUNDS RISK REGISTER

There was submitted Report No 309-2019 by the Executive Director of Corporate Services updating the Risk Register for Tayside Pension Fund.

The Sub-Committee and Board approved the updated Quarterly Risk Register for Tayside Pension Fund and noted that there had been no changes to the risk profile since the previous report.

IV PENSION ADMINISTRATION PERFORMANCE - QUARTERLY UPDATE

There was submitted Report No 310-2019 by the Executive Director of Corporate Services providing information on the relevant quarters operational performance in relation to Pension Administration.

The Sub-Committee and Board noted the content of the report.

V TAYSIDE PENSION FUND ACCOUNTS 2018/2019

(a) TAYSIDE PENSION FUNDS 2018/2019 ACCOUNTS AND AUDIT

There was submitted Report No 304-2019 by the Executive Director of Corporate Services reporting on the outcome of the external audit of Tayside Pension Funds for the year to 31st March, 2019.

The Sub-Committee and Board noted the content of External Auditors Annual Audit Report, in particular that Audit Scotland anticipated issuing an unqualified audit opinion.

(b) DRAFT AUDITED STATEMENT OF ACCOUNTS 2018/2019

The above report was submitted and noted. (Report No 305-2019).

(c) TAYSIDE PENSION FUND AUDIT OF 2018/2019 ANNUAL ACCOUNTS

The above report was submitted and noted. (Report No 306-2019).

VI ACTIVE STEWARDSHIP ON CLIMATE CHANGE

There was submitted Report No 333-2019 by the Executive Director of Corporate Services providing details of engagement opportunities that Tayside Pension Fund could be part of in order to improve the Funds activities of responsible stewardship.

The Sub-Committee and Board agreed to authorise officers to:-

(i) join with other institutional investors in Climate Action+; and

(ii) join with other Scottish LGPS in collaborative engagements on plastics.

VII ANNUAL TREASURY MANAGEMENT ACTIVITY 2018/2019

There was submitted Report No 311-2019 by the Executive Director of Corporate Services reviewing the Treasury Management activities for the period 1st April, 2018 to 31st March, 2019.

The Sub-Committee and Board noted the information contained within the report.

The Sub-Committee and Board 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.

VIII TAYSIDE PENSION FUND

(a) PERFORMANCE SUMMARIES

There was submitted Report No 312-2019 by the Executive Director of Corporate Services reviewing the investment performance of the Funds Investment Managers for the quarter 30th June, 2019. The report compared investment performance of the Fund with the Funds specific benchmarks which consist of various stocks and security market indices.

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

(b) SUMMARIES OF INVESTMENTS AND TRANSACTIONS 1ST APRIL, 2019 TO 30TH JUNE, 2019

There was submitted Report No 282-2019 by the Executive Director of Corporate Services summarising investment rents and transactions during the period 1st April, 2019 to 30th June, 2019.

The Sub-Committee and Board noted the information contained therein with regard to the activities of the Tayside Pension Fund and its Fund Managers.

(c) QUARTERLY FUNDING REPORT

There was submitted Report No 313-2019 by the Executive Director of Corporate Services which considered a report reviewing the current funding level of the Fund as assessed by the Fund Actuary.

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

IX SECURITIES LENDING SIX MONTH ACTIVITY TO 30TH JUNE, 2019

There was submitted Report No 314-2019 by the Executive Director of Corporate Services presenting an update on Securities Lending activity for the period ended 30th June, 2019.

The Sub-Committee and Board noted the content of the report.

X PRESENTATION

Tom Wright and Claire Erskine-Murray from Bailie Gifford gave a short presentation to the Sub‑Committee and Board.

The Sub-Committee and Board noted the investment philosophy of Bailie Gifford and their long-term approach to investment which enabled recovery in the volatile market.

Furthermore, Bailie Gifford continued to seek sustainable growth opportunities to sustain long-term investment performance.

After Tom and Claire had given their presentation and answered questions from members, the Convener thanked the presenters on behalf of members.

Willie SAWERS, Convener.