05-08-1986 Regular Meeting•
MIAMI SHORES VILLAGE
PENSION BOARD MEETING
The meeting of the Miami Shores Village Pension Board was called
to order at 8:05 am on Thursday, May 8, 1986 by Mayor Karen Kirby with
the following in attendance:
Board Members:
Absent:
Also Present:
Mayor Karen Kirby
Dr. Robert Butler
William Heffernan
John Moore
Les Forney
Chief John Fletcher and
Mr. William Walker
William F. Fann, Jr. Esq.
Mr. James Jackson and
Mr. Scott Givens of NCNB
Mr. Eickhoff and Mr. Pieper
of Eickhoff and Pieper
Ms. Karen Cole and Mr. David Newman
of Kidder Peabody and
Ms. Gail Macdonald, Pension Administrator
1. NCNB PRESENTATION
Mr. James Jackson confirmed that the conbined statement for NCNB and
Eickhoff & Pieper is being prepared for the Pension Board effective
3/31/86 as proposed at the last meeting. Mr. Scott Givens reported
that there was a 12% increase in the value of the Real Estate portfolio
in April which was not shown in the March quarterly reports. (The
portfolio was valued at the end of every calander quarter). The
current NCNB fixed income portfolio is based on triple A quality bonds
with average maturities of 72 years and with a current yield of 8.2%.
As of May 1, 1986, the NCNB portfolio asset allocation was 7.6% cash,
71.4% fixed income, and 21% Real Estate. Dr. Butler inquired as to the
major real estate holdings in the portfolio and was referred to the 1985
annual report by Mr. Givens.
2. EICKHOFF AND PIEPER PRESENTATION
Mr. Eickhoff reported that for the quarter ending March 31,1986 the
equity portfolio had a value of $2,103,346.
•
•
Eickhoff and Pieper are emphasizing consumer staples and finance; the
portfolio is 95% invested in equities with a total of 24 stocks held
at this time. First quarter stock performance was 16.3% compared to
Standard and Poors 14.1%.
3. KIDDER PEABODY INVESTMENT REVIEW.
The significant figures as presented by Kidder Peabody with regard
to the Village's combined overall pension performance are detailed on
the attached two pages of the Kidder Peabody report which are made a
permanent part of these minutes. Ms. Karen Cole informed the Pension
Board that the Real Estate holdings had been removed from all fixed
income anaylsis figures in the Kidder Peabody reports. The combined
equity and fixed income portfolio generated a return for the quarter
of 9.6% compared to a national median of 9.2% on a time -weighted
basis. Ms. Cole reported a big improvement in the volatility of the
portfolio with our risk exposure down and 67% diversification.
4. APPROVAL OF THE FEBRUARY 12, 1986 MINUTES
The motion was made by Dr. Butler and seconded by Mr. Moore. The
motion carried unanimously.
5. APPROVAL OF THE BENEFIT CERTIFICATION FOR RETIREE ALBERT FLUNORY
The motion was made by Mr. Forney and seconded by Dr. Butler. The
motion carried unanimously.
6. MOTION TO ELECT MR. FORNEY AS SECRETARY OF THE PENSION BOARD AS
REQUIRED BY STATE.
The motion was made by Mr. Heffernan and seconded by Dr. Butler.
The motion was carried unanimously.
7. DISCUSSION ON ACTUARIAL CONCERNS.
The Board agreed to remove the discussion from the agenda.
A motion for adjournment was made by Mr. Heffernan and seconded by
Mayor Kirby. The motion was carried unanimously.
Karen Kirby, Mayor
R. F rn ecretary
L y,
MIAMI SHORES VILLAGE
Employees Retirement Plan
Quarter Ending March 31, 1986
Investment Structure 12/31/85
Cash Reserves $ 758,000 (17.6%)
Equities 1,261,000 (29.2%)
Fixed Income 1,873,000 (43.4%)
Real Estate 426.000 ( 9.8%)
Total $ 4,318,000
Management Structure
Eickhoff & Pieper:
Market Value for 12/31/85
Deposits: February 16, 1986
3/31/86
$ 433,857
1,992,291
1,800,181
_436,361
$ 4,662,690
$ 1,545,958
310.000
Total $ 1,845,958
Market Value for 3/31/86
Net Gain
2,103,346
257,338
Inception Date - 8/28/85 $ 1,372,630
Deposit: February 16, 1986 310.000
Net Deposits $ 1,682,630
Equities Only: First Quarter 18.1%
NCNB:
Cash/Fixed Income $ 2.346,042
Withdrawal: February 16, 1986 310.000
Adjusted Value: 12/31/85 $ 2,036,042
Cash/Fixed Income for 3/31/86 2.1223983
Net Gain $ 86,941
Fixed Income Only: First Quarter
4.8%
Real Estate $ 426,230
Inception Date - 6/30/85 400.000
Net Gain $ 26,230
Real Estate: Period Ending 3/31/86 $
Net Gain For The Quarter $
Net Gain From Inception
Kidder, Peabody -& Co
Incorporated
436,361
10,131
36,361
( 9.3%)
(42.7%)
(38.6%)
( 9.4%)
2.4%)
9.1%)
E
C
E
T
A
G45.1
E
A
L
L
0
C
A
T
I
0
CASH
FIXED
INC.
MIAMI SHORES VILLAGE
EMPLOYEES (RETIREMENT TRUST
ASSET ex MANAGEMENT ALLOCATION
EQUITIES,
9.4
ASSETS Bpi'
MANAGER
REAL
ESTATE
45.5
NCNB F f' I
NCNB R f. E
12
5
E
APPROVED
ASSET M I X
9.4 9.3
CURRENT
ASSET MIX
4
38.6