Greenwich Council

Agenda and minutes

Venue: Committee Room A - Town Hall, Wellington Street, Woolwich SE18 6PW. View directions

Contact: Clare Chapman  Email: clare.chapman@royalgreenwich.gov.uk or tel: 020 8921 6160

Items
No. Item

1.

Apologies for Absence

To receive apologies for absence from Members of the Board.

Minutes:

Apologies for absence were received from Councillor Harpinder Singh.

2.

Urgent Business

The Chair to announce any items of urgent business circulated separately from the main agenda.

Minutes:

There was no urgent business.

3.

Declarations of Interest

Members to declare any personal and financial interests in items on the agenda.  Attention is drawn to the Council’s Constitution; the Council’s Code of Conduct and associated advice.

Minutes:

Resolved –

 

That the list of Councillors’ memberships as Council appointed representatives on outside bodies, joint committees and school governing bodies be noted.

4.

Minutes pdf icon PDF 69 KB

Members are requested to confirm as an accurate record the Minutes of the Pension Board meeting held on 19 September 2016 and the notes from the inquorate meeting held on 16 January 2017. 

 

No motion or discussion may take place upon the Minutes except as to their accuracy, and any question on this point will be determined by a majority of the Members of the body attending who were present when the matter in question was decided.  Once confirmed, with or without amendment, the person presiding will sign the Minutes.

Additional documents:

Minutes:

Resolved -

 

That the minutes of the meeting of the Pension Fund Investment & Administration Panel held on 19 September 2016 and the notes from the inquorate meeting held on 16 January 2017 be agreed and signed as true and accurate records.

 

5.

Recruitment to the Pension Board - update pdf icon PDF 26 KB

To provide an update on the position regarding recruitment of a scheme member representative.

 

Additional documents:

Minutes:

The Chair thanked all candidates for their interest in the Board Member role and formally welcomed Justine Jardine. 

 

Resolved –

 

That the update on the position regarding the recruitment of a scheme member representative be noted.

6.

Review of Pension Fund Investment Strategy and Performance pdf icon PDF 46 KB

To note a review of the activities of the Pension Fund Investment and Administration Panel (the Panel) in respect of the Pension Fund’s current investment strategy and target asset allocation, and to agree that the Panel has taken proper advice and complied with relevant legislation in arriving at its current investment strategy.

Additional documents:

Minutes:

The report was introduced by the Assistant Director - Corporate Finance & Deputy s151 Officer.  He explained that following on from an Asset / Liability study, Hymans Robertson had been asked to develop an investment strategy that would be fit for purpose going forward.  The Fund had changed the way it invested following the Panel’s agreement to adopt a lower risk investment strategy and deliver a slightly lower return, but one that was more stable and less prone to volatility. 

 

In response to a question from the Panel, the Assistant Director confirmed that all investments were technically outside the London Collective Investment Vehicle (CIV) albeit that around 40% of the Fund was invested in such a way that the government approved of it, despite being outside the LCIV. The remaining 60% is invested in property and new management arrangements e.g. specific mandates.

 

The Panel enquired as to how long contracts were awarded for.  This would be confirmed in due course. 

Action: Assistant Director - Corporate Finance & Deputy s151 Officer

 

Resolved –

 

That the review of the activities of the Pension Fund Investment and Administration Panel in respect of the Pension Fund’s current investment strategy and target asset allocation be noted.

 

That it be agreed that the Panel has taken proper advice and complied with relevant legislation in arriving at its current investment strategy.

 

 

7.

Review of Fund Strategies, Statement and Reports pdf icon PDF 45 KB

To note a review of the arrangements for the publication of strategies, statement and reports relating to the Royal Borough of Greenwich Pension Fund (‘the Fund’), and to note that a report covering administration aspects of the fund and discretionary policies will be brought before the Board in the following municipal year.

 

Additional documents:

Minutes:

The report was introduced by the Assistant Director - Corporate Finance & Deputy s151 Officer.

 

With regard to the contributions paid into the Fund by participating employers for the period 1 April 2017 to 31 March 2010 (as demonstrated in the table on pages 18 and 19 in Appendix C) the Panel was concerned that the lower primary rate paid by Academy schools would encourage other schools to adopt Academy status.  The Assistant Director explained that this was due to a different demographic profile and lower liabilities.  He confirmed that the current policy dictated that if a school converted to an academy, they would stay at 18.5% until their next valuation.  The Panel enquired as to whether it would be possible to split the Royal Borough of Greenwich into two – those who work for the council and those who work in maintained schools.  The Assistant Director would check the legal position on this. 

Action: Assistant Director - Corporate Finance & Deputy s151 Officer

 

Resolved –

 

That the review of arrangements for the publication of strategies, statement and reports relating to the Royal Borough of Greenwich Pension Fund be noted.

 

That it be noted that a report covering administration aspects of the Royal Borough of Greenwich Pension Fund and discretionary policies will be brought before the Board in the next municipal year.