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09-01-2011 Joint Meeting• • • MIAMI SHORES VILLAGE POLICE RETIREMENT PENSION BOARD MEETING The Miami Shores Village Police Retirement Pension Board and the General Employee Pension Board jointly met on Thursday, September 1, 2011 at the C. Lawton McCaII Community Center. The meeting was called to order at 8:25 AM with the following individuals present: POLICE RETIREMENT PENSION BOARD JC Rodriguez Al Davis Cliff Vickers Steve Loffredo Also present were Elizabeth Keeley, Plan Administrator, Dave West from the Bogdahn Group, Kevin Joy of Heartland, and Steve Cypen, special counsel to the Pension Boards. APPROVAL OF THE MINUTES Mr. Rodriguez moved to approve the June 2, 2011 minutes as submitted. Mr. Davis seconded the motion and the vote was unanimous in favor of the motion. APPROVAL OF PAYMENT WARRANT: 2011-004 Ms. Estep advised the Board that the scheduled payments included in the warrant were all routine in nature. Mr. Davis moved to approve payment of warrant #2011-004. Mr. Rodriguez seconded the motion and the vote was unanimous in favor of the motion. ACCEPTANCE OF THE 2009 ACTUARIAL EVALUATION REPORT As a follow-up to Mr. Palmquist's presentation of the actuarial report during the June 2, 2011 meeting, Mr. Rodriguez moved to accept the 2009 Actuarial Evaluation Report. Mr. Davis seconded the motion and the vote was unanimous in favor of the motion. INVESTMENT MANAGER REPORT Mr. Kevin Joy from Heartland provided a brief report to the Board regarding the status of the investments held with Heartland. Mr. Joy indicated that the majority of fund managers see the volatility in the market as an opportunity to obtain stocks which may not normally be within reach. Mr. Joy asked that the Board consider allowing Heartland to handle a small percentage of international stocks for companies headquartered outside of the U.S., indicating that he would submit a formal request in the near future. Following a brief discussion, the Board indicated that if a request is received, they would discuss and take action at the next Board Meeting. • INVESTMENT CONSULTANT REPORT Mr. Dave West, the representative from The Bogdahn Group, provided an overview of the first quarter's events which influenced the market and the rate of returns. Mr. West also provided information regarding the performance of the various funds. The specific investment performances referenced are attached hereto and made a part hereof. Mr. West advised the Board that there is surplus cash in the fund. This is due to the receipt of funds previously held by the State. Mr. West suggested that as the monies are not currently being invested, the Board direct the Fund custodian to move $250,000 to investment managers. He specifically suggested that $125,000 be transferred to the Boston Group and another $125,000 be transferred to the International Fund. The Board chose not to take any action at this time but would look at a possible transfer at the next Board meeting. ADJOURNMENT The Police Retirement Pension Board Meeting was adjourned at 10:18 AM. #6,/. 67 (ix M C Barbara A. Estep, MM • Village Clerk • • • Miami Shores Village Police Officers' Pension Fund Comparative Performance Trailing Returns As of June 30, 2011 • 1 Quarter Oct -2010 To Jun -2011 1 3 Year 1`ears 5 Since Inception fears Inception Date Total 'Fund '(Gross) Total Fund Policy Difference All Public Plans -Total Fund Median Total Fund (Net) Total Fund Policy Difference 033 (84) 10.56 (71) 19.04 (79) 2.54 (91): 3.88 (87) 3.94 (95) 07/01/2001 1.01 (57) 10.58 (70) 20.25 (68) 5.12 (41) 4.85 (53) 4.42 (85) -0.68 -0.02 -1.21 -2.58 -0.97 -0.48 1.09 11.50 21.09 4.81 4.88 5.30 0.25 10.17 18.62 1.94 3.29 3.44 07/01/2001 1.01 10.58 20.25 5.12 4.85 4.42 -0.76 -0.41 -1.63 -3.18 -1.56 -0.98 Total Do>rnestic Equity -143. (92) 17.51 (60) 30.78 (56) -0.37 (97) 2.54 (84) 2.65 (91) 07/01/2001 Domestic Equity Policy -0.03 (65) 18.68 (47) 32.37 (41) 3.98 (50) 3.48 (60) 3.30 (75) Difference -1.60 -1.17 -1.59 -4.35 -0.94 -0.65 IM U.S. Large Cap Core Equity (SA+CF) 0.49 18.29 31.26 3.94 3.82 3.93 Total Fixed Income 2.30 (38) 2.82 (15) 5.17 (32) 7.05 (60) 6.97 (48) 6.12 (45) 07/01/2001 Total Fixed Policy 2.29 (39) 1.39 (76) 3.90 (81) 5.66 (93) 6.01 (87) 5.29 (95) Difference 0.01 1.43 1.27 1.39 0.96 0.83 IM U.S. Broad Market Core Fixed Income SA+CF 2.24 1.75 4.65 7.30 6.95 6.10 Returns for periods greater than one year are annualized. Returns are expressed as percentages. 16 THE ri BOGDAHN GROur. • • Police Warrant - No. 2011 - 004 For payment from the Village Pension Fund for Police Officer's in the Village of Miami Shores, Florida. To Chair and Administrator, or such other officers, who from time to time are duly designated and authorized by the Board of Trustees of said Fund, to sign checks, drafts or orders for the payment of money; You are hereby authorized by the Board of Trustees of the Miami Shores Village Pension Fund for Police Officer's in Miami Shores Village to pay the amounts listed below for services rendered to the said Board of Trustees, and to pay the persons named below, hereby certified by the Board of Trustees as being on the Pension list of said Board by circulation of this warrant, pensions from 06/01/11 to 08/31/11 inclusive, or for the period of time opposite the name of said persons. Name (Pensions, Benefits, Services Provided or Obligations) Amount To be paid by Trustee: Authorize payment to Aletheia Research and Management, Inc Quarterly management fees for the period 04/01/11 — 06/30/11 Management fees for the period 07/01/11— 07/25/11 Authorize payment to Boston Company Quarterly management fees for the period 04/01/11— 06/30/11 Authorize payment to Cutwater Asset Management Quarterly management fees for the period 04/01/11— 06/30/11 Authorize payment to Heartland Advisors Quarterly management fees for the period 07/01/10 — 09/30/10 Quarterly management fees for the period 10/01/10 —12/31/10 Quarterly management fees for the period 04/01/11 — 06/30/11 Authorize payment to Cypen & Cypen Legal Counsel Services through 06/02/11 Invoice date 06/02/11 Legal Counsel Services through 06/20/11 Invoice date 07/06/11 Authorize payment to Salem Trust Company Quarterly fee for period 04/01/11— 06/30/11 Authorize payment to Gabriel Roeder Smith & Company Actuarial Services through 05/31/11 Invoice date 06/13/11 Actuarial Services through 07/31/11 Invoice date 08/15/11 Dated this 1s` day of September, 2011 Approved by: $ 4,822.77 $ 1,356.95 $ 2,604.83 $ 2,324.49 $ 3,556.00 $ 3,572.00 $ 3,781.00 $ 1,951.20 $ 200.00 $ 1,999.89 $ 4,075.00 $ 1,765.00 S As Chair of th Police Officer's 110.. en Lof&edo C13 erson of Trustees Villi ension Fund for in the Village of Miami Shores, Florida