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HomeMy WebLinkAbout20243419.tiffMinutes May 8, 2024 Weld County 401(k) Savings and 457 Deferred Compensation Plan Investment Committee Meeting Meeting Attendees Weld County Cheryl Pattelli Ryan Rose (absent) Brigitte Grimm (absent) Jill Scott Allison Palmer Alera Group Brad Shaps (absent) Bob Janson Rebecca Noordhoek Prior Meeting Minutes The Committee will vote to approve the previous meeting minutes next quarter. Investment Review Bob reviewed a Monit Report that was prepared by Alera for the quarter ending 3/31/24. As of 3/31/24 the 401(k) Plan and 457 Plan had assets of $19,085,053 and $10,796,442, respectively. There are four funds on the Watch List. Bob reviewed, the criteria used to monitor the Plan's investments. Cheryl noted that they are comfortable with the current criteria. He also reviewed the Investment Performance section of the Monitor Report. The Principal Small Cap SP fund is on the watch list for three quarters due to performance factors. It has failed the 1 -year return, 3 -year return and 5 -year return criteria for three quarters. After discussion, the Committee agreed to replace the Principal Small Cap SP fund with the DFA US Small Cap fund. The Neuberger Berman Large Cap Value fund is on the watch list for two quarters due to performance factors. It has failed the 1 -year return criterion for five quarters while also failing the 3 -year return, 5 -year return and Sharpe Ratio criteria for two quarters. After discussion, the Committee agreed to replace the Neuberger Berman Large Cap Value fund with the Putnam Large Cap Value fund. au��l -�-u°► The Prin Z -Principal U.S. Property fund is on the watch list for two quarters due to performance factors. It has failed the 1 -year return criterion for four quarters, the 5 -year return criterion for two quarters and the Sharpe Ratio criterion for one quarter. Bob noted that unlike REITs, this fund invests directly into properties such as office buildings and warehouses. Alera is not recommending any changes at this time. Bob briefly reviewed the remaining funds in the report. Bob reviewed a target date fund analysis that was prepared by Alera, comparing the American Funds Target Date Retirement, Fidelity Freedom Index, Principal LifeTime, and T. Rowe Price Retirement fund suites. Items reviewed included: • Equity glide path comparison • 3 -year risk/return comparison • 5 -year risk/return comparison Employee Education Rebecca reviewed the education discussion that was had earlier in the year. She will send an education calendar to Allison, Jill, and Cheryl. Other Discussion Items The Committee would like to conduct a recordkeeping RFP for due diligence purposes. Cheryl noted that they are currently in the process of implementing a new payroll system and would like to revisit this topic next quarter. Dan noted that he would like information on the investment models and allocations used in the Target My Retirement program at Principal. He would also like to know the current utilization rate. Dan also requested that Alera email the Principal contact for plan documents and an introduction. Next Meeting The next meeting is scheduled for August l' at 3pm CST. Hello