Archived decisions

AT A MEETING of the PENSION FUND PANEL held at The Castle, Winchester on Friday 17 November 2006.

Chairman:

p Councillor T.K. Thornber, CBE

Vice Chairman:

p Councillor M.F. Cartwright

Councillors:

a F.G. Allgood p M.N. Kemp-Gee

p B.D. Dash a A.R. Ludlow

a A.G. Dowden p J.J.W. Maxwell

p P.R.C. Hutcheson

Co-opted members:

p Councillor I.R. Carr (Test Valley Borough Council)

p Councillor J. Moulton (Southampton City Council)

p Mr E.W. Hughes (pensioners' representative)

p Mr D. Offord (contributors' representative)

Independent adviser:

p Mr H. Cole.

126 APOLOGIES FOR ABSENCE

Councillors F.G. Allgood and A.R. Ludlow gave apologies as they were on County Council business at Hampshire Action Team meetings.

127 DECLARATIONS OF INTEREST

Members were mindful that, where they believed they had a personal or prejudicial interest in any matter to be considered at the meeting, they should, normally at the time of the debate, declare their interest and, having regard to the circumstances described in paragraphs 9, 10, 11 and 12 of the County Council's Code of Conduct, consider whether to leave the meeting whilst the matter was discussed.

Councillor T.K. Thornber and Mr E.W. Hughes declared a personal interest in Equitable Life in connection with the report on Investment matters (Minute 136 below refers) and took no part in the discussion of Equitable Life's transfer of their non-profit pension annuity business to Canada Life Limited.

128 CHAIRMAN'S COMMUNICATIONS

The Chairman noted that Mr Derek Offord was retiring on 31 March 2007 as the employee representative after 13 years. The Panel placed on record their appreciation of Mr Offord's service.

The Chairman brought to the attention of the Panel an invitation from the Fund's actuary, Hewitt Bacon & Woodrow, for members to attend a training day on current investment topics on 18 December 2006.

129 DEPUTATIONS

No deputations were received.

130 MINUTES

The Minutes of the meeting held on 6 October 2006 were confirmed as a correct record and signed by the Chairman.

131 HAMPSHIRE PENSION FUND - REVIEW OF BUSINESS PLAN

The Panel considered a report of the County Treasurer (Item 6 in the Minute Book) reviewing the Fund's business plan. The plan had been updated to reflect developments since the last review in November 2005, including the Fund's new overall investment target. The County Treasurer also reported on progress over the last year on the action plan.

RESOLVED:

(a) That the revised business plan be approved.

(b) That the progress on the action plan be noted.

132 REVIEW OF THE FUND'S STATEMENT OF INVESTMENT PRINCIPLES

The Panel considered a report of the County Treasurer (Item 7 in the Minute Book) updating the Fund's Statement of Investment Principles for developments since the last review in November 2005, including the review of the Fund's investment management arrangements, the appointment of new fund managers and a global custodian for the Fund's assets.

RESOLVED:

That the updated Statement of Investment Principles be approved.

133 PART-TIME PENSION CLAIMS - UPDATE

The Panel noted a report of the County Treasurer (Item 8 in the Minute Book) on progress in resolving pension claims from part-time workers in the Local Government Pension Scheme. Many of the claims still outstanding were waiting for the outcome of ongoing test cases and so there was no clear timetable for their full resolution.

134 ECONOMIC AND FINANCIAL BACKGROUND

The Panel discussed and noted a report of the Panel's adviser Mr Harvey Cole (Item 9 in the Minute Book) on the economic and financial background.

Mr Cole also reported on a recent meeting of independent advisers to local government pension funds.

135 EXCLUSION OF PRESS AND PUBLIC

RESOLVED:

That the public be excluded from the meeting during the following items of business, as it is likely, in view of the nature of the business to be transacted or the nature of the proceedings, that if members of the public were present during that item there would be disclosure to them of exempt information within Paragraph 3 of Part 1 of Schedule 12A to the Local Government Act 1972, and further that in all the circumstances of the case, the public interest in maintaining the exemption outweighs the public interest in disclosing the information, for the reasons set out in the reports.

136 INVESTMENT MATTERS - UPDATE INCLUDING RECENT PERFORMANCE RETURNS (EXEMPT)

The Panel considered an exempt report of the County Treasurer (Item 11 in the Minute Book) on the progress on implementing the Fund's new investment management arrangements, possible alternative investments, the appointment of pensioner and contributor representatives on the Panel, progress on tax claims, the recent performance of the Fund's existing investment managers and Equitable Life's transfer of its non-profit pension annuity business to Canada Life Limited.
[SUMMARY OF A MINUTE WHICH CONTAINS EXEMPT INFORMATION]

137 MANAGEMENT FEES AND TRANSACTION COSTS (EXEMPT)

The Panel noted an exempt report of the County Treasurer (Item 12 in the Minute Book) summarising the management fees paid to the Fund's investment managers in the year to 30 September 2006 and the transaction costs of brokerage and stamp duty over that period.
[SUMMARY OF A MINUTE WHICH CONTAINS EXEMPT INFORMATION]

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