Pension Sub-committee And Pension Board - 24/06/2024

At a JOINT MEETING of the PENSION SUB-COMMITTEE of the CITY GOVERNANCE COMMITTEE AND THE PENSION BOARD held remotely on 24th June, 2024.

Present:-

PENSION SUB-COMMITTEE

Bailie Willie SAWERS

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 Bailie Keenan and Kenny Dick.

III MINUTE OF PREVIOUS MEETING

The minute of meeting of 18th March, 2024 was submitted and approved.

IV TAYSIDE PENSION FUNDS RISK REGISTER

There was submitted Report No 183-2024 by the Executive Director of Corporate Services seeking approval of the Quarterly Risk Register for Tayside Pension Fund which was updated on 27th May, 2024, noting no changes to risk profile since the previous report.

The Sub-Committee and Board:-

(i) approved the Quarterly Risk Register for Tayside Pension Fund.

V TAYSIDE PENSION FUND INTERNAL AUDIT REPORTS ESG AND TPR GENERAL CODE ADVISORY REVIEWS

There was submitted Report No 184-2024 by the Executive Director of Corporate Services informing the Sub-Committee and Board of the Audit Reports prepared by the Funds Internal Auditor, PricewaterhouseCoopers (PwC).

The Sub-Committee and Board:-

(i) approved the policy noting that it was subject to annual review and that there were no changes.

VI TAYSIDE PENSION FUND INTERNAL ANNUAL AUDIT REPORT 2023/2024

There was submitted Report No 185-2024 by the Executive Director of Corporate Services informing the Sub-Committee and Board of the Annual Audit Report for 2023/2024 prepared by the Funds Internal Auditor, PricewaterhouseCoopers (PwC).

The Sub-Committee and Board:-

(i) agreed to note the content of the Annual Report as well as the content of the appended reports on specific audit exercises undertaken, and approved the management response.

VII PENSION ADMINISTRATION PERFORMANCE QUARTERLY UPDATE TO 31ST MARCH, 2024

There was submitted Report No 186-2024 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:-

(i) noted the content of the report.

VIII TAYSIDE PENSION FUND ANNUAL GOVERNANCE AND GOVERNANCE COMPLIANCE STATEMENTS

There was submitted Report No 187-2024 by the Executive Director of Corporate Services presenting the Annual Governance Statement and Governance Compliance Statement for approval and inclusion into the unaudited Annual Accounts for the year ended 31st March, 2024. This report set out the Governance arrangements of Tayside Pension Fund and the extent to which it complied with regulations.

The Sub-Committee and Board:-

(i) approved the Annual Governance and Governance Compliance Statements which were included as an Appendix to this report; and

(ii) instructed the inclusion of the statements in the Annual Accounts for the year to 31st March, 2024.

IX TAYSIDE PENSION FUND ANNUAL REPORT AND ACCOUNTS 2023/2024

There was submitted Report No 188-2024 by the Executive Director of Corporate Services providing some additional commentary on the unaudited Annual Accounts 2023/2024 which were being submitted to the Sub-Committee and Board along with this report.

The Sub-Committee and Board:-

(i) agreed to note the content of the covering report;

(ii) agreed to note the unaudited Annual Accounts which have been submitted along with this report in Appendix A to the report;

(iii) agreed to instruct the Executive Director of Corporate Services to arrange for the unaudited Accounts to be signed as necessary; and

(iv) agreed to instruct the Executive Director of Corporate Services to submit the Annual Accounts to the Funds external auditor.

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.

X TAYSIDE PENSION FUND

(a) TAYSIDE PENSION FUND PERFORMANCE SUMMARY

There was submitted Report No 189-2024 by the Executive Director of Corporate Services reviewing the investment performance of the Funds investment managers for the quarter to 31st March, 2024. 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:-

(i) 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 JANUARY 2024 TO 31ST MARCH 2024

There was submitted Report No 159-2024 by the Executive Director of Corporate Services reviewing the investment activities of Tayside Pension Funds seven Fund Managers for the quarter 1st January to 31st March 2024 and summarising the transactions of each Fund Manager and showing the market values of the Pension Fund.

The Sub-Committee and Board:-

(i) noted the information contained therein with regard to the performance of the Tayside Main Fund and its Fund Managers.

(c) QUARTERLY FUNDING UPDATE AS AT 31ST MARCH, 2024

There was submitted Report No 190-2024 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:-

(i) agreed to note the content of the report.

XI SOCIALLY RESPONSIBLE INVESTMENT - SIX MONTHLY REPORT

There was submitted Report No 191-2024 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 (Article XIV of the Minute of Meeting of the Pension Sub-Committee of the Policy and Resources Committee of 18th March, 2024, Report No 81-2024 refers).

The Sub-Committee and Board:-

(i) noted the information contained within this report with regards to the activities of the Fund Managers during the six-month period ended 30th September, 2023.

XII PRESENTATION

Robert Evans and Roberto Cagnati from Partners Group gave a short presentation to the Sub-Committee and Board.

After Mr Evans and Mr Cagnati 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.