Pension Sub-committee And Pension Board - 12/12/2022

At a JOINT MEETING of the PENSION SUB-COMMITTEE of the POLICY AND RESOURCES COMMITTEE AND THE PENSION BOARD held remotely on 12th December, 2022.

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 APOLOGIES

The Sub-Committee and Board noted apologies had been received from Councillor Donaldson and Arthur Nicoll.

III MINUTE OF PREVIOUS MEETING

The minute of meeting of 17th October, 2022 was submitted and approved.

IV RISK REGISTER

There was submitted Report No 332-2022 by the Executive Director of Corporate Services seeking approval for the Quarterly Risk Register for Tayside Pension Fund which was updated on 30th November, 2022, and noting the following changes to risk profile since the previous report:-

- Risk 1. Failure to process pension payments and lump sums on time

- Risk 16. Failure to keep pension records up-to-date and accurate

The risk likelihood for both of the above had increased as a result of increased volumes of cases of retiring/leaving members, coupled with recruitment challenges and training of new staff members.

- Risk 9. Failure of Investment Manager

The risk likelihood had increased as a result of current investment challenges and uncertain global economic environment. Whilst the Fund were long-term investors, portfolios remained closely monitored, with advisors also remaining vigilant and abreast of Investment Manager performance and strategies.

The Sub-Committee and Board approved the Quarterly Risk Register for Tayside Pension Fund, noting the revisions made.

V PENSION ADMINISTRATION PERFORMANCE - QUARTERLY UPDATE TO 30TH SEPTEMBER, 2022

There was submitted Report No 333-2022 by the Executive Director of Corporate Services providing information on the recent quarters operational performance in relation to Pension Administration.

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

VI TREASURY MANAGEMENT ACTIVITY 2022/2023 (MID-YEAR REVIEW)

There was submitted Report No 334-2022 by the Executive Director of Corporate Services reviewing the Treasury Management activities for the period 1st April, 2022 to 30thSeptember, 2022.

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

VII PROPOSED TIMETABLE OF MEETINGS FOR 2023

There was submitted Report No 301-2022 by the Executive Director of Corporate Services proposing a suggested programme of meetings of the Pension Sub-Committee and Pension Board in 2023.

The Sub-Committee and Board examined the dates set out in the timetable in Appendix 1 to the report and agreed the proposed programme of meetings.

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 SUMMARY

There was submitted Report No 335-2022 by the Executive Director of Corporate Services reviewing the investment performance of the Funds Investment Managers for the quarter to 30th September, 2022. The report compared investment performance of the Fund with the Funds specific benchmarks which consisted of various stock 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

There was submitted Report No 319-2022 by the Executive Director of Corporate Services reviewing the investment activities of Tayside Pension Funds five Fund Managers for the quarter to 1st July, 2022 to 30th September, 2022 and summarising the transactions of each Fund Manager and showing the market values of the Pension Fund.

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 AS AT 30TH SEPTEMBER, 2022

There was submitted Report No 336-2022 by the Executive Director of Corporate Services reviewing the current funding level of the Fund as assessed by the Fund Actuary.

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

IX SOCIALLY RESPONSIBLE INVESTMENT

 

There was submitted Report No 337-2022 by the Executive Director of Corporate Services reviewing the progress by the Fund Managers regarding positive engagement in line with the Policy on Environmental, Social and Corporate Governance approved by the Sub-Committee and Board (Article XIV of the minute of meeting of the Pension Sub-Committee of the Policy and Resources Committee of 21st March, 2022, Report No 93-2022 refers).

 

The Sub-Committee and Board noted the information contained within the report with regards to the activities of the Fund Managers during the six month period ended 31st March, 2022.

 

X ANNUAL ASSESSMENT OF INVESTMENT ADVISORY SERVICES 2022

 

There was submitted Report No 338-2022 by the Executive Director of Corporate Services providing information on the annual assessment of investment advisory service performance undertaken by Fund Officers as required by the Competition and Markets Authority.

 

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

 

XI PRESENTATION

 

Jeremy Podger and David Barbour from Fidelity gave a short presentation to the Sub-Committee and Board.

 

After Mr Podger and Mr Barbour had given their presentation and answered questions from members, the Chair thanked the presenters on behalf of members of the Sub-Committee and Board.

 

 

 

 

Willie SAWERS, Chair.