Agenda item

To approve and sign the minutes of the meeting Part I minutes of the committee meeting held on 24 June 2021, and the Investment Sub-Committee meeting on 2 September 2021.

The minutes of the meeting held on 24 June 2021 were presented for consideration. The minutes and recommendations of the Investment Sub-Committee meeting held on 2 September 2021 were also received and considered.

In relation to the minutes of the meeting held on 30 March 2021, an update was received on amendments which had been prepared following deferral of their approval at the last meeting.

After discussion, it was,

Resolved:

1)    To approve and sign the minutes of the meeting held on 24 June 2021 as a true and correct record.

2)    To receive the minutes of the Investment Sub-Committee meeting held on 2 September 2021, and approve the recommendations as follows:

Responsible Investment Update Report

i.       To use the report as a basis for monitoring the progress that is being made towards implementing responsible investment related issues;

ii.      To note the progress made against the Responsible Investment Plan 2021/22 actions and discuss whether any additional actions are needed at the current time;

iii.       To approve that Pensions for Purpose be invited to deliver a follow-on session on impact investing, at a cost of £1,700 (not included in the budget);

iv.       To approve that Brunel are invited to deliver a training session on the new Paris-aligned benchmark

Investment Quarterly Progress Report

i.           To use the investment reports and the update provided by officers and advisers at the meeting as a basis for monitoring the investment performance and implementation of the strategic asset allocation;

ii.          To use the report as a basis to ask questions of Magellan;

iii.           To approve that the Fund transfer the low carbon passive portfolio to the Paris-aligned passive portfolio on its inception in November 2021, in line with the net zero by 2050 ambition set out in the Investment Strategy Statement;

iv.           To approve that the Fund publicise the decision to be an initial investor in the Paris aligned passive portfolio, and the collaboration work done with other Funds to develop this benchmark;

v.          To approve the approach taken towards the property transition, and agree the milestones set before this can proceed

Protections Assets Review

i.           To approve that the Fund makes a 5% strategic long-term allocation to renewable infrastructure and a 5% strategic long-term allocation to impact affordable housing;

ii.          To approve that the strategic long-term allocation to secured income is reduced to 8% and the strategic long-term allocation to gilts is reduced to 7%;

iii.           To approve that the strategic interim allocation to bank loans is increased to 10.8%, and the strategic interim allocation to gilts is reduced to 21.7%, and that this is implemented by transferring £100m from the gilts portfolio to the bank loans portfolio;

iv.           To approve that officers begin work, in consultation with advisers, to bring a recommendation back to the Committee on how the new strategic allocations should be implemented.   

3)    To approve and sign the minutes of the meeting held on 30 March 2021 as a true and correct record, following circulation of textual changes to the Committee.

Councillor Christopher Newbury requested his vote in abstention to resolution 2 be recorded.