Issue - meetings

The Board will receive a verbal update on the Surrey Pension Fund Committee meeting on 18 September 2015 (minutes to follow).

Witnesses: Phil Triggs, Strategic Manager, Pensions and Treasury

Neil Mason, Senior Advisor (Pension Fund)

Key points raised during the discussion:

1.    The Board was provided with a verbal update on the Pension Fund Committee meeting on 18 September 2015. Officers briefly outlined the government’s recent announcement concerning the intention to pool investments for local government pension funds. A discussion statement would be published by the government in late November, with proposals being submitted to government by pension fund administrators in February 2016. The Board was informed that pension funds would then be given 3 years from April 2016 to implement new proposals. The Pension Fund Committee would be reviewing these proposals in February 2016.

2.    The Board was advised that the Pension Fund Committee had approved the implementation of the unitisation of assets. This would mean that there would be the opportunity to match employer funding strategies to their specific experience (it was expected that this would initially be restricted to three funding groups). Officers expressed the view that this would improve risk management and allow the fund to take a more flexible approach to its investment strategy. The Board was assured that the project would be conducted after consultation with the employers.

3.    The Board was informed that there had been some transactional issues related to transfers when new employees had joined the Surrey pension fund. The Board requested a report back on the issue and steps taken to resolve it at the next meeting.

4.    The Board was informed that it was now included in the risk register and reporting mechanisms for the Pension Fund Committee. Officers advised that the Committee had also conducted a deep-dive review on Fund costs and that the results of this had been presented to the Committee at the meeting.

5.    A review into the private equity investments made by the scheme had been presented to the Committee at the meeting.

Actions/Further Information to be provided:

·         The Surrey Pension Fund Committee minutes for 18 September 2015 to be circulated to the Board

·         A future report to be provided to the Board outlining transactional issues related to the transfer of data from new employees joining the scheme.