Minutes
February 25, 2010
CALL TO ORDER
The meeting of the Potter County Retirement Board was called to order on Thursday, February 25, 2010 at 11:10 a.m. in the Office of the Potter County Commissioners, Gunzburger Building at 1N. Main St., Coudersport, Pa.
Present were Commissioners Doug Morley, Paul Heimel and Susan Kefover; Treasurer Krista Miller, Chief Clerk Todd Brown, Recording Secretary Lucinda Weakland, and members of the press Teri McDowell, Gerri Miller and Don Gilliland.
ROLL CALL
Commissioner Heimel- present; Commissioner Kefover—present; Commissioner Morley – present; Treasurer Krista Miller; Chief Clerk Brown —present; Recording Secretary Lucinda Weakland—present.
MOMENT OF SILENCE
PLEDGE OF ALLEGIANCE
PUBLIC COMMENT
There was none.
NEW BUSINESS
· 4th Quarter Report by Jeff Davidek of CS McKee
Mr. Davidek reported that while the majority of the losses incurred during 2008 were made up in 2009, expectations for 2010 are “guardedly optimistic.”
o Cash Flows and Investment Performance (Tab I)
The fund was 3.55% for the quarter and 25.01% for the year beating the Total Benchmark indices for both. The increases represent $249,433.00 for the quarter and $1,630,454.00 for the year.
o Portfolio Characteristics (Tab II)
Mr. Davidek noted following:
- the financial sector is still pessimistic
- the energy sector continues to experience cyclical growth
- healthcare is uncertain due to the unknown impact of reform legislation in Washington and inroads in the market by generic drug producers
- tech and agricultural companies are some of the best performers. Monsanto stocks have been added to the portfolio.
o Economic Perspective (Tab III)
Mr. Davidek stated that it remains to be seen how the transition from a “stimulus” mode to a normal economic mode will affect the overall economy and that his firm is carefully monitoring this transition
.
o Portfolio Summary (Tab IV)
Only 4% of the Fixed Income segment of the portfolio is mortgage backed securities (MBS). U.S. Treasury notes continue to be underweighted in favor of Treasury Inflation Protected Securities (TIPS) and floating rate products which protect against rate increases.
OTHER BUSINESS
There was none.
ADJOURNMENT
Commissioner Heimel made a motion to adjourn. Chief Clerk Brown seconded the motion. The meeting was adjourned at 12:02 p.m.
Prepared by Lucinda Weakland
