Issue - meetings
Investment Strategy and Manager Summary
Meeting: 20/02/2019 - Clwyd Pension Fund Committee (Item 52)
52 Investment Strategy and Manager Summary 
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To update Committee Members on the performance
of the Fund’s investment strategy and Fund Managers
Additional documents:
Decision:
(a) To note and discuss the investment strategy and manager performance in the Investment Strategy and Manager Summary 31 December 2018.
(b) That the Committee considered the information in the Economic and Market Update report to provide context in addition to the information contained in this report
Minutes:
Mr Buckland gave a brief update on this item of the agenda before taking questions. The first thing he highlighted was that it was a poor quarter to 31 December 2018. However, the year to 31 December was reasonably flat which shows the continued volatility in the markets. He talked through page 277, noting that private credit is a new investment which will take time to be fully committed and that the Fund Risk Management Group, made up of JLT, Mercers and Fund officers, are currently looking at the management of the collateral of the LDI portfolio managed by Insight. In-house private markets are performing ahead of target whereas hedge funds and diversified growth are underperforming versus benchmark. Mr Buckland noted that the quarterly returns over 2018 had been particularly volatile but highlighted that the Fund is a long term investor and the three-year performance was positive at 8.8% p.a. He also noted that the returns since 31 December have been positive and that assets increased from £1,784m to £1,821m at the end of January 2019.
Mr Everett commented on the volatility in the run up to the actuarial valuation which could be a concern given the difficulties for employers' budgets, although he noted that discussions on this have assisted in the planning. He reminded the Committee that they should remember their pension fund role when making decisions at this Committee relating to this.
RESOLVED:
(a) To note and discuss the investment strategy and manager performance in the Investment Strategy and Manager Summary 31 December 2018.
(b) That the Committee considered the information in the Economic and Market Update report to provide context in addition to the information contained in this report.