KEY INITIATIVES (UPDATE/OTHER BUSINESS) Ms. Stenroos noted that the reallocation from the Vanguard 500 Institutional Index Fund Trust to Dimensional Fund ex-US Core Equity strategy and the Advisors’ Vanguard Total International Stock Fund had been completed. Ms. Stenroos stated that final field work for the audit was scheduled for the week of October 9, 2017, the CAFR was in process and a draft would be included in the October Board package. Ms. Stenroos discussed the Arsenal investment and possible extension of the fund. Ms. Stenroos noted a training session on Direct Lending was held on September 6, 2017. Mr. Zito reviewed a fee trend analysis produced by Ms. Milne which found that fees for managing public market assets have declined from 0.34% in FY12 to 0.28% in FY17 due to exiting higher fee mandates, aggregating assets to achieve fee breaks, reallocation to more passive mandates and industry wide pressure on average expense ratios in many asset classes. PERSONNEL DISCUSSION A motion was offered by Mr. Alt, seconded by Mr. Kinney, and passed by a vote of 5-0 with Ms. Cowan absent, to enter into closed session for discussion, consideration or interviews of prospective candidates for employment; assignment, appointment, promotion, performance, demotion, salaries, disciplining or resignation of specific public officer, appointees or employees of any public body pursuant to Virginia Code The closed session began at 11:35 AM. The Board returned to open session at 11:52 AM. On a motion by Mr. Alt, seconded by Mr. Ross, and carried by a vote of 5-0, the voting recorded as follows: Member Vote Mr. Kinney Aye Mr. Alt Aye Mr. Barrett Aye Mr. Ross Aye Ms. Teyema Aye The Board certified that only public matters lawfully exempted from open meeting requirement by Virginia law and identified in the motion convening the closed session were heard, discussed or considered by the Board. After the Board reentered open session, a motion was offered by Mr. Barrett, seconded by Mr. Alt, to approve the Executive with the Director’s FY18 salary increase consistent Executive Director Compensation Policy adopted by the Board on October 1, 2015. The motion passed by a vote of 5-0 with Ms. Cowan absent.
KEY INITIATIVES (UPDATE/OTHER BUSINESS) Ms. Stenroos noted that the reallocation from the Vanguard 500 Institutional Index Fund Trust to Dimensional Fund Advisors’ ex-US Core Equity strategy and the Vanguard Total International Stock Fund had been completed. Ms. Stenroos stated that final field work for the audit was scheduled for the week of October 9, 2017, the CAFR was in process and a draft would be included in the October Board package. Ms. Stenroos discussed the Arsenal investment and possible extension of the fund. Ms. Stenroos noted a training session on Direct Lending was held on September 6, 2017. Mr. Zito reviewed a fee trend analysis produced by Ms. Milne which found that fees for managing public market assets have declined from 0.34% in FY12 to 0.28% in FY17 due to exiting higher fee mandates, aggregating assets to achieve fee breaks, reallocation to more passive mandates and industry wide pressure on average expense ratios in many asset classes. PERSONNEL DISCUSSION A motion was offered by Mr. Alt, seconded by Mr. Kinney, and passed by a vote of 5-0 with Ms. Cowan absent, to enter into closed session for discussion, consideration or interviews of prospective candidates for employment; assignment, appointment, promotion, performance, demotion, salaries, disciplining or resignation of specific public officer, appointees or employees of any public body pursuant to Virginia Code The closed session began at 11:35 AM. The Board returned to open session at 11:52 AM. On a motion by Mr. Alt, seconded by Mr. Ross, and carried by a vote of 5-0, the voting recorded as follows: Member Vote Mr. Kinney Aye Mr. Alt Aye Mr. Barrett Aye Mr. Ross Aye Ms. Teyema Aye The Board certified that only public matters lawfully exempted from open meeting requirement by Virginia law and identified in the motion convening the closed session were heard, discussed or considered by the Board. After the Board reentered open session, a motion was offered by Mr. Barrett, seconded by Mr. Alt, to approve the Executive Director’s FY18 salary increase consistent with the Executive Director Compensation Policy adopted by the Board on October 1, 2015. The motion passed by a vote of 5-0 with Ms. Cowan absent.
ACERS-Minutes-Sept-2017-FINAL.docx