Agenda and minutes

None.

None.

If you have a Disclosable Pecuniary Interest* in an item of business:

·         if it is not yet on the council’s register, you must declare both the existence and details of it at the start of the meeting or when it becomes apparent;

·         you may choose to declare a Disclosable Pecuniary Interest that is already in the register in the interests of openness and transparency. 

In both the above cases, you must leave the room without participating in discussion of the item.

If you have a personal interest in an item of business and you intend to speak or vote on the item you must declare both the existence and details of it at the start of the meeting or when it becomes apparent but you may participate in the discussion and vote on the item.

*(a) Employment, etc - Any employment, office, trade, profession or vocation carried on for profit or gain.

(b)    Sponsorship - Any payment or other financial benefit in respect of your expenses in carrying out duties as a member, or of your election; including from a trade union.

(c)   Contracts - Any current contract for goods, services or works, between you or your partner (or a body in which one of you has a beneficial interest) and the council.

(d) Land - Any beneficial interest in land which is within the council’s area.

(e) Licences- Any licence to occupy land in the council’s area for a month or  longer.

(f)  Corporate tenancies - Any tenancy between the council and a body in which you or your partner have a beneficial interest.

(g) Securities - Any beneficial interest in securities of a body which has a place of business or land in the council’s area, if the total nominal value of the securities exceeds £25,000 or one hundredth of the total issued share capital of that body or of any one class of its issued share capital. 

This applies to all members present at the meeting.

Councillor Convery declared an interest in items on the agenda as a member of the Scheme.

RESOLVED:

That the minutes of the meeting held on 28 September 2022 be confirmed as an accurate record of proceedings and the Chair be authorised to sign them

RESOLVED:

(a) That the performance of the Fund from 1 July to 30 September 2022, as per the BNY Mellon interactive performance report and detailed in the report of the Corporate Director of Resources, be noted.

(b) That the presentation by MJ Hudson on fund managers’ quarterly performance, attached as Appendix 1 to the report, be noted.

(c) That the update briefing on Hearthstone in Appendix 1 to the report and the three exit options proposed be noted and that option 1 in the exempt appendix be approved

(d)  That the briefing from BMO giving further details on the purchase by a US investment manager, subject to regulatory approval, attached as Exempt Appendix 3 to the report, be noted.

(e) That the transition summary of the In-House UK Low Carbon Index to Legal and General ESG Paris Aligned Index on 1st September 2022 be noted.

RESOLVED:

(a) That the draft presentation from Mercer attached as Exempt Appendix 1 to the report of the Corporate Director of Resources be noted.

(b) That the parameters for the investment strategic review, investment return and net zero climate target, be approved.

(c) That the plan for the actuarial valuation process to incorporate the review be noted.

(d) That a further report be submitted to the Sub-Committee in March 2023 on the full investment review

A representative from Mercer suggested an initial consideration to recap on the existing investment strategy in the context of the 2022 Actuarial review, the volatile markets and sought agreement on potential themes to incorporate into a full investment strategy review in March 2023.

RESOLVED:

(a) That the draft presentation from Mercer on considerations for a review of the Investment Strategy Statement, detailed in exempt Appendix E3, be noted.

(b) That the parameters for the investment strategic review, investment return and net zero climate target, as discussed, be approved.

(c) That the plan for the actuarial valuation process to incorporate the review be noted.

(d) That a further report be submitted to the Sub-Committee in March 2023 on the full investment review

The Pensions Manager reported that the Pensions Board had considered this report earlier in the evening and had suggested (a) that a guide for employers, explaining each discretion and its implications for the employer and employee, be included with the policy document and (b) that the proposal to include a change to the Discretions Policy, by the introduction of a Shared Cost Additional Voluntary Contributions Scheme, be approved.

RESOLVED:

(a) That the recommendations of the Pensions Board viz (i) that a guide for employers, explaining each discretion and its implications for the employer and employee, be included with the policy document and (ii) that the proposal to include a change to the Discretions Policy, by the introduction of a Shared Cost Additional Voluntary Contributions Scheme, be endorsed.

(b) That the current Council’s discretions be approved, subject to the additions in resolution (a) above

(c) That, as set out in resolution (a) above, a new discretion of a Shared Cost Additional Voluntary Contribution Scheme be introduced with a new provider AVC wise.

(d)  That the same policy be applied in respect of Regulation 30(8) discretions, where the Council was the administering authority and a former employer had ceased to be a scheme employer.

RESOLVED:

(a) That the progress made at the London CIV in launching funds, running of portfolios, reviewing governance and investment structure, over the period August to October 2022, as detailed in the report of the Corporate Director of Resources, be noted.

(b) That the October business update session of the London CIV, detailed in exempt Appendix 1 to the report, be noted.

RESOLVED:

That Appendix A attached to the report of the Corporate Director of Resources, comprising the forward plan of business for the Sub-Committee, be noted.

Representatives from MJ Hudson and Mercer left the meeting in advance of consideration of the following agenda item.

RESOLVED:

(a) That it be noted that the legal requirement for trustees of occupational pensions (including LGPS) to set strategic objectives for investment consultancy providers, came into effect from 10 December 2019.

(b) That the objectives agreed in November 2021 and detailed in the report of the Corporate Director of Resources, be noted and the performance rating of the investment consultancy providers as set out in Exempt Appendix 1 to the report be approved.

(c) That the objectives be reviewed at least annually and/or where there was a change in the Fund’s requirements.

(d) That Corporate Director of Resources be authorised, in consultation with the Acting Director of Law and Governance, to report on compliance via the TPR’s annual scheme return.

(e) That the contents of the exempt appendix, agenda item E4, be noted.

RESOLVED:

(a) That the contents of exempt appendix 3 to agenda item B1, comprising  an update on the BMO emerging market portfolio sale to Polen Capital, be noted.

(b) That, as part of the considerations following Columbia Threadneedle’s sale of BMO, officers explore the existing emerging market portfolio run separately by Columbia Threadneedle.

Noted.

Noted.

Noted.