The URL can be used to link to this page

Home My WebLink About1989-11-02 MinutesF. MINUTES OF A MEETING OF THE POLICE PENSION BOARD OF TRUSTEES A regular meeting of the Fayetteville Police Pension and Relief Fund Board of Trustees was held on Thursday, November 2, 1989 in Room 326 of City Hall, 113 West Mountain Street, Fayetteville, Arkansas. PRESENT: Chairman James Pennington, Treasurer Scott Linebaugh, Secretary Eldon Roberts, members Hollis Spencer, and Rick Hoyt, Jr.; others present were City Clerk Sherry Thomas, Mike Kirkland of Shearson - Lehman Hutton. ABSENT: Dr. James Mashburn and Jerry Friend CALL TO ORDER The meeting was called to order by the Chairman. MINUTES • Motion was made by Linebaugh, seconded by Roberts to approve the minutes of the last meeting. The motion passed unanimously. INVESTMENTS Mike Kirkland stated he had no new information regarding the proposed money managers but would try and answer any questions the board members might have. Linebaugh asked if it would take a minimum of $1 million to invest with the Madison group. Kirkland confirmed this and stated that an average of 45% of the investment would be in corporate bonds. Roberts stated that the Board members had discussed the Madison investment program and were fairly comfortable with what they had to offer. Kirkland stated that based on what has happened historically, it would not be imprudent to invest with Madison and have some exposure to the corporate bond market. If the Board is leaning in this direction, he would like to get the Board members together with the Madison people to discuss the possible investment. He wants the Board to make sure and feel totally comfortable about the investment. Let Madison answer any of the Board's questions and discuss the fee arrangements. • Roberts stated he was willing to take a little risk in return for a greater yield. He feels Madison is a reliable manager to use • • based on the material `supplied and their track record. In answer to Kirkland's question regarding liquidity, Linebaugh stated the fund would need to keep about $50,000 uninvested. Linebaugh stated he had no problem with Madison as long as there were a couple of limits on the investments: (1) follow the Police Pension Board's investment policy (bonds rated"A" or better) and (2) limit the amount of corporate bonds. Pennington stated he would like Madison people and make sure they Let them give us an overview investment. for the Board to talk with the understand our investment policy. of how they would handle our Hoyt asked if it would be premature to make a motion to invest with Madison if they would agree to the terms established by the Board. He just hates to see the money not earning the maximum interest possible while the Board is making a decision on how to invest it. Linebaugh stated there would be no problem with doing that. Kirkland asked that the Board members visit with the Madison people first and then make a decision. The Board members decided to set up a conference call with the Madison group for Thursday, November 9 at 2:00 p.m. at the Shearson office. ADJOURNMENT There being no further discussion, the meeting adjourned at 2:38 p.m.