Issue - decisions

Pension Fund Committee (4th June 2021) – Asset Allocation (June 21)

27/09/2021 - Pension Fund Committee (4th June 2021) – Asset Allocation (June 21)

At an informal Meeting of the Pension Fund Committee held on 4th June 2021 Members considered how the Fund was to allocate it’s investment assets. The Committee’s considerations were submitted to the Chief Executive Officer and he agreed that the following recommendations be approved:-

(i) That an investment in Border to Coast’s listed alternatives fund be agreed to in principle

(ii) That the changes set out in paragraph 5.16 of the report, as detailed below, be agreed -

(a) Terminate the investment with Veritas
(b) Reinvest the proceeds in Border to Coast’s corporate bond fund up to the target weighting of 7.5%
(c) Reinvest the balance of proceeds into PIMCO’s diversified income fund
(d) Allow the remaining equity protection to expire
(e) Terminate the conditional currency hedging arrangement.

(iii) That agreement be given to invest cash in excess of 0.5% of the value of the Fund into PIMCO’s diversified income fund

(iv) That the mandate with M&G be terminated and the proceeds reinvested into Border to Coast’s government bond fund

(v) That the proposed strategic benchmark allocations for the equity managers be noted, with a decision to be made once further consideration of the style balance has been undertaken.

By whom: Richard Flinton, Chief Executive Officer, under his emergency delegated powers and after consultation with the Pension Fund Committee.

PLEASE NOTE that as a non-executive function, this decision is not open to call in.