
Meeting
Hampshire Pension Fund Panel and Board - Hampshire
Scheduled Time
Friday, 29th September 2023
11:30 AM
Friday, 29th September 2023
3:30 PM
Actual Time
Friday, 29th September 2023
12:00 AM
Friday, 29th September 2023
12:00 AM
Confirmed
29 Sep 2023
Chute Room - HCC
Fiona Hnatow
Employer Representative - Other Employer
Present, as expected
Councillor Simon Letts
Southampton City Council
Present, as expected
Councillor Judith Smyth
Employer Representative - Portsmouth City Council
Not required
Councillor Paul Taylor
Employer Representative - HIOWLGA
Absent
Lindsay Gowland
Scheme Member Representative - Deferred Member
Present, as expected
Phillip Reynolds
Scheme Member Representative - Pensioner Representative
Present, as expected
Neil Wood
Scheme Member Representative - Active Member
Present, as expected
Paul Barber
Substitute scheme member representative
Not required
Carolan Dobson
Independent Adviser
Copy docmts only
- Document Minutes , 28/07/2023 Hampshire Pension Fund Panel and Board 21 Sep 2023
The Chairman informed the committee that Cllr Cooper had been replaced on the committee by Cllr Harrison. And the Chairman welcomed back Cllr Letts as the new representative of Southampton City Council.
- Document Responsible Investment sub-committee appointments 21 Sep 2023
RESOLVED:
That Ms Hnatow was appointed to the Responsible Investment Sub-Committee and Mr Reynolds, Cllr Letts, Cllr Harrison and Cllr Mocatta were appointed as deputies.
- Document RI Sub-Committee minutes 21 Sep 2023
- Document Minutes , 12/09/2023 Hampshire Pension Fund Responsible Investment Sub-Committee 21 Sep 2023
- Document ACCESS - PUBLIC minutes 21 Sep 2023
- Document ACCESS 5 June 2023 draft minutes 21 Sep 2023
- Document PFPB training forward plan 2023-24 21 Sep 2023
The Director clarified that the training policy now included a minimum training requirement for Panel and Board consisting of:
· For new Members; the LGA Fundamentals course which provides background on LGPS legislation and governance, and for all Members;
· The Hymans Aspire modules – to be completed in the next 12 months; and
· Internal briefing sessions designed to cover areas highlighted from Members TNAs and matters arising from the Pension Fund’s Business Plan.
The Director recommended that the Panel and Board complete Hymans Robertson’s LGPS Knowledge Assessment, an online independent assessment that would provide an additional layer of assurance to evidence the Panel and Board’s sound approach to training. The Director stressed that the requirement for training as a Panel and Board is strong and only increasing through the SAB’s Good Governance agenda, and the Knowledge Assessment would be an appropriate further step for the governance of the Pension Fund.
Members had completed a training needs analysis which had been used by the Pension Fund’s officers to identify relevant previous training that can be recirculated to Members, as well as proposing a new programme of internal training for 2023/24. Following the positive feedback on the recent LGC conference, Members expressed their support that the training budget continues to fund three places at the 2023 conference.
RESOLVED:
The Panel and Board:
a) Noted its obligation in regulation for knowledge and understanding as an LGPS Panel Board and the increasing scrutiny of this area.
b) Agreed to commit to completing the Minimum Training Requirements set out in the report including completing the Hymans Aspire modules in the next 12 months.
c) Agreed to sign up to the Hymans Robertson LGPS National Knowledge Assessment.
d) Approved the remainder of the Training Policy and Plan for 2023/24.
- Document Sustainable Investments 21 Sep 2023
The Pension Fund’s officers had asked the Fund’s alternative investment managers to identify the investments in their current portfolios that would meet sustainability objectives. The investment managers were then asked what proportion of sustainable investments they could get to in their portfolios by 2025/26 without compromising their ability to meet Hampshire investment targets. Of the Pension Fund’s combined 22.5% allocation to alternative investments 3.5% of the total Pension Fund is currently invested in sustainable investments (£313m as at 31 March 2023).
The Director reported that the Fund’s sustainable investments include 0.6% (£52m as at 31 March 2023) of investments in the UK, which would count as investment in the Levelling-Up agenda, plus a further £40m in the Fund’s UK property portfolio. The Pension Fund’s alternative investment managers confirmed that they could grow the sustainable investments in their portfolios to a combined 7% of the total Pension Fund by 2026. This was considered an initial step for the Fund for the first time establishing a target for sustainable alternative investments. Beyond 2026 the target could be revisited with the investment managers in the expectation of further increases.
RESOLVED:
a) That the Panel and Board notes that:
· Of the Pension Fund’s combined 22.5% allocation to alternative investments, 16.9% is currently invested in sustainable investments (3.5% of the whole Fund or nearly £313m as at 31 March 2023).
· Of this 2.8% (0.6% of the whole Fund or £52m as at 31 March 2023) are investments in the UK, which would count as investment in the Levelling-Up agenda.
· The Pension Fund’s alternative investment managers have confirmed that they could grow the sustainable investments in their portfolios to a combined 31.1% (7.0% of the total Pension Fund) by 2026.
b) That the Panel and Board agrees the aims set out in this report for the Fund’s three alternative investment portfolio to increase their allocations to sustainable investments as follows by 2026:
• Private Equity - 20%
• Infrastructure – 50%
• Private Debt – 10%.
c) That having agreed initial aims for sustainable investments the Panel and Board agreed to join the group Pensions for Purpose.
That the public be excluded from the meeting during the following items of business, as it is likely, in view of the nature of the business to be transacted or the nature of the proceedings, that if members of the public were present during these items there would be disclosure to them of exempt information within Paragraphs 3 and 5 of Part 1 of Schedule 12A to the Local Government Act 1972, and further that in all the circumstances of the case, the public interest in maintaining the exemption outweighs the public interest in disclosing the information, for the reasons set out in the reports.
- Document 2023-07-28 PFPB - minutes - Exempt 146, 28/07/2023 Hampshire Pension Fund Panel and Board 21 Sep 2023
- Document 2023-07-28 PFPB - minutes - Exempt 147, 28/07/2023 Hampshire Pension Fund Panel and Board 21 Sep 2023
- Document 2023-07-28 PFPB - minutes - Exempt 148, 28/07/2023 Hampshire Pension Fund Panel and Board 21 Sep 2023
- Document ACCESS - EXEMPT minutes 21 Sep 2023
- Document ACCESS 5 June 2023 draft minutes 21 Sep 2023
- Document Pooling consultation 21 Sep 2023
- Document Annex 1 Consultation Next steps on investments 21 Sep 2023
- Document Annex 2 Draft ACCESS Response on Pooling Consultation 21 Sep 2023
- Document Annex 3 HCC consultation response 2023 21 Sep 2023
- Document 2023-09-29 PFPB - minutes - Exempt 162 01 Nov 2023
- Document PFPandB investment performance 21 Sep 2023
- Document 2023-09-29 PFPB - minutes - Exempt 163 01 Nov 2023
- Document PFPB Alternative Investments report 21 Sep 2023
- Document 2023-09-29 PFPB - minutes - Exempt 164 01 Nov 2023
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