Greenwich Council

Agenda and minutes.

Venue: Town Hall, Wellington Street, Woolwich SE18 6PW

Contact: Clare Chapman  Email: Clare.chapman@royalgreenwich.gov.uk tel 020 8921 3988

Items
No. Item

1.

Apologies for Absence

To receive apologies for absence from Members of the Board.

Minutes:

There were no apologies for absence.

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 51 KB

Members are requested to confirm as an accurate record the Minutes of the Pension Board meeting held on 25th March 2019.

 

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.

Minutes:

Resolved -

 

That the minutes of the meeting of the Pension Fund Investment & Administration Panel held on 25th March 2019 be agreed and signed as a true and accurate record.

5.

Business Plan 2019/20 pdf icon PDF 68 KB

To note the Board’s Business Plan for 2019/20.

Additional documents:

Minutes:

The report was introduced and summarised by the Finance Manager.

 

Resolved: -

 

That the Board’s Business Plan for 2019/20 be noted.

6.

Pension Fund Annual Report 2018/19 pdf icon PDF 42 KB

To consider and comment upon the Pension Fund Annual Report 2018/19, and to note that the Annual Report will be published upon receipt of the Audit Opinion following Council meeting on 17 July 2019.

Additional documents:

Minutes:

The report was introduced by the Finance Manager.

 

In respect of the Fund Account 2018/19 at page 220 of the agenda, the Finance Manager explained that the slight increase in management expenses, was due to the increase in fund value. He noted that the Fund had increased by £57m last year.  This increase had emerged from the property portfolio, Black Rock Passive Equity, Partners Group and CBRE. 

 

Resolved: -

 

That it be noted that the Annual Report will be published upon receipt of the Audit Opinion following Council meeting on 17 July 2019.

7.

Board Report pdf icon PDF 41 KB

To agree the annual report of the Pension Board (‘the Board’) for 2018/19, and to agree that the annual report is presented to the Pension Fund Investment and Administration Panel (‘the Panel’) for consideration at their September meeting.

 

Additional documents:

Minutes:

The Vice-Chair was of the view that the Royal Borough should seek a wider range of employer representation on the Pension Board, as demonstrated by other local authorities, in order to provide another layer of scrutiny.  He stated that the Royal Borough was the only council that sought to find employer representatives from a pool of elected members. The Vice-Chair requested that these concerns be noted. 

 

Councillor Gary Dillon requested the figure on member representation.

                                                                                                             

                                                             ACTION: Finance Manager

 

Resolved: -

 

That the annual report of the Pension Board (‘the Board’) for 2018/19, be agreed.

 

That the annual report be presented to the Pension Fund Investment and Administration Panel (‘the Panel’) for consideration at their September meeting.

8.

Fund Performance Q1 2019 pdf icon PDF 60 KB

To note a report on the performance of the Royal Borough of

Greenwich Pension Fund’s (‘the Fund’) investment managers for period ending 31 March 2019.

Additional documents:

Minutes:

The report was introduced by the Finance Manager. 

 

The Finance Manager informed the Board that the report had been presented to the Pension Fund Investment and Administration Panel by Hymans Robertson at their last meeting in June 2019.  No issues with managers had been flagged.  There were concerns that Invesco had not delivered their promised returns and would therefore be attending the September meeting of the Pension Fund and Administration Panel to address this.

 

In response to a question from the Board, the Finance Manager confirmed that the property fund combined a mix of real estate and high street properties (e.g. Bluewater) but would be moving into industrial properties (e.g. Amazon). 

 

Councillor Dillon suggested that the Royal Borough start investing in social housing to achieve a greater yield. 

 

In response to a question from the Panel, the Finance Manager confirmed that fund manager engagement had taken place with regard to Brexit.  Managers were cautious but none had flagged any issues that would have a direct impact on the Royal Borough’s investments. 

 

In response to a question from the Panel, the Finance Manager confirmed that a report regarding investment in fossil fuels would be published around September 2019.  He reported that the Chair of the Pension Fund Investment and Administration Panel was keen to explore greener alternatives.  The Board wanted this issue to be discussed with portfolio managers and for managers to be invited to submit suggestions for greener investment alternatives. 

                                                             ACTION: Finance Manager

 

Resolved: -

 

That the performance of the Royal Borough of Greenwich

Pension Fund’s (‘the Fund’) investment managers for the period ending 31 March 2019, be noted.

9.

Training - Financial Markets and Product Knowledge pdf icon PDF 30 KB

To receive training from Fidelity on Financial Markets.

 

Minutes:

Resolved: -

 

The Board received training from Fidelity on Financial Markets and Product Knowledge.