IN ATTENDANCE:
Minutes Investment Committee Board of Trustees September 9, 2008
Investment Committee Members:
Community Advisory Members:
Board of Trustees Members:
Ms. JoEtta Y. Wickliffe, Acting Chair Mr. Stephen P. Branscum Mr. James F. Hardymon
Mr. James W. Stuckert Mr. Billy B. Wilcoxson
Ms. Mira S. Ball Dr. Britt Brockman
Investment Staff & Mr. Marc A. Mathews
Consultants: Ms. Susan I. Krauss
Ms. Donna Counts
Mr. Russ Kuhns (R.V. Kuhns & Associates) Mr. Rob Palmeri (R.V. Kuhns & Associates) Mr. Bruno Grimaldi (R.V. Kuhns & Associates)
Others: Dr. Lee T. Todd, Jr.
Mr. Frank A. Butler Ms. Barbara W. Jones Mr. Sergio Melgar
The Investment Committee meeting was called to order at 8:30 am. Ms. Wickliffe asked for a motion to approve the June 16, 2008 minutes. Mr. Hardymon made the motion to approve the minutes, Mr. Branscum seconded the motion and all approved.
Ms. Wickliffe stated that the Investment Committee needed to go into closed session in order to hear a report on the evaluation of proposals for the Non-U. S. equity manager search because an open discussion of the firms and deliberations of the committee could jeopardize the retention of the recommended firms. Ms. Wickliffe made a motion to go into closed session pursuant to KRS 61.810(1) (g), to discuss specific proposals because an open discussion could jeopardize the proposals. Mr. Hardymon seconded the motion, all approved, and the committee then went into closed session.
The Chair announced that the closed meeting was concluded and the committee was now in open session and would proceed with a vote on a recommendation. Mr. Hardymon made a motion to approve IC 1 to approve a contract amendment with Capital Guardian and authorize contract negotiations with two new firms for the management of the non-U. S. equity allocation. Mr. Branscum seconded the motion. The motion was approved unanimously.
Ms. Krauss began discussing the next item on the agenda, IC 2, by giving the background for the proposed action. The Investment Committee approved a revised asset allocation on June 16, 2008 which included a strategy change within the U.S. equity asset class. The new strategy would include a passive large-cap allocation complimented with an active small cap allocation, which will replace the previous
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