Toronto Investment Board
The full agenda, as filed
All 7 items in the clerk’s order. Each carries the city’s own words: the staff recommendation, what the body decided, and its status. Nothing below is written by us.
IB16.1received
Presentations from Investment Managers
Presentations will be given by the following Investment Managers: a. Connor, Clark & Lunn - Fixed Income b. Leith Wheeler - Fixed Income
The Toronto Investment Board received the presentations for information.
IB16.2amended
Sinking Fund and Long Term Fund - Performance and Compliance Update for the First Quarter of 2022
As required by the City's Investment Policy, the purpose of this report is to provide the Toronto Investment Board with the following: 1. The performance of the Sinking Fund and Long Term Fund for the first quarter of 2022. 2. Investment Policy and Plan Compliance certificates and reports for the first quarter of 2022.
The Toronto Investment Board: 1. Requested the Director, Capital Markets to develop two to three scenarios for long-term, five to ten year economic investment scenarios and their implications for the Toronto Investment Board's long-term investment strategy, and report back to the September 23, 2022 meeting of the Toronto Investment Board.
Staff recommendation as filed
The Director, Capital Markets recommends that: 1. Toronto Investment Board receive this report for information.
IB16.3adopted
Investment Manager and Other Updates
This report provides the Toronto Investment Board with an update regarding activities involving the investment managers and related parties. It includes changes to the investment manager mandates, contracts, and funding along with other related items. Fiera Capital has provided notification (Attachment 1) of a proposed management structure change for the Fiera Capital Common Contractual Fund (CCF Fund), one of the Board's investment managers for the global equity mandate. The proposal seeks to eliminate Fiera Capital IoM Limited, the current investment manager of the CCF Fund, and replace them with Fiera Capital Corporation. The change essentially streamlines the framework by removing one entity from the management structure. Staff has retained external legal advice to review the documentation and provide an opinion on whether the proposed changes have legal, tax, or other implications on the Board's investment. The procurement of an Environmental, Social, and Governance data service provider approved by the Board was delayed due to an issue related to the City's vendor policy. City staff and the prospective vendor have now resolved most of the issues. A legal review of the licensing agreement and contract is now being completed. The Board is approaching the time when it will be fully invested, and other Request for Proposals should be completed, it is estimated that a review and Request for Proposal for a custodian for the Long-Term Fund and the Sinking Fund investment portfolios could take place in the first half of 2023. An update of the current funding status of Long-Term Fund and Sinking Fund is provided in Attachment 2 to this report for the Board's review.
The Toronto Investment Board: 1. After review by external legal counsel, authorized the Chair or the Vice Chair of the Investment Board, to execute amended agreements for the Fiera Capital Common Contractual Fund on behalf of the Investment Board.
Staff recommendation as filed
The Director, Capital Markets recommends that: 1. The Toronto Investment Board, after review by external legal counsel, authorize the Chair or the Vice Chair of the Investment Board, to execute amended agreements for the Fiera Capital Common Contractual Fund on behalf of the Investment Board.
IB16.4adopted
The purpose of this report is to update the Toronto Investment Board on the progress to date regarding the hiring of external investment managers in the Real Assets category.
The Toronto Investment Board received the report (June 7, 2022) from the Director, Capital Markets for information.
Staff recommendation as filed
The Director, Capital Markets recommends that: 1. The Toronto Investment Board receive this report for information.
IB16.5amended
City Council on April 6 and 7, 2022, adopted Executive Committee Item EX31.1, and in so doing, adopted the Reconciliation Action Plan 2022-2032 in Attachment 1 to the report (March 16, 2022) from the City Manager, as amended. City Council has also directed the Boards of City Service Agencies (excepting the Toronto Library Board and the Toronto police Services Board) to: 1. Adopt the values and principles set out in Attachment 3 to the report (March 16, 2022) from the City Manager as a guide for future reconciliation efforts. 2. Submit to the Indigenous Affairs Office every two years, details of the work being undertaken for and with Indigenous People and organizations in Toronto, as input into the Indigenous Affairs Office bi-annual reporting to City Council.
The Toronto Investment Board: 1. Adopted the values and principles set out in Attachment 3 to the report (March 16, 2022) from the City Manager as a guide for future reconciliation efforts. 2. Requested the Director, Capital Markets to prepare a report to the Board in the new term on the work being undertaken for and with Indigenous People and organizations in Toronto as it pertains to the mandate of the Toronto Investment Board.
IB16.6adopted
Investment Manager Asset Exposure to Sanctioned Entities
This report responds to the Board's request at its meeting on March 28, 2022 to the Investment Consultant to report a summary of the City's investment managers' exposures to sanctioned entities and, more generally, to Russia. A summary of the Board's investment managers' exposure is contained in Confidential Attachment 1 of this report.
The Toronto Investment Board: 1. Directed that Confidential Attachment 1 to the report (June 7, 2022) from the Director, Capital Markets, remain confidential in its entirety, as it contains information that involves the security of property belonging to the City and the Toronto Investment Board.
Staff recommendation as filed
The Director, Capital Markets recommends that: 1. The Toronto Investment Board direct that the confidential information contained in Confidential Attachment 1 remain confidential in its entirety, as it contains information that involves the security of property belonging to the City and the Toronto Investment Board.
IB16.7adopted
Request for Proposal for Investment Consultant for the Toronto Investment Board
The contract for the Toronto Investment Board's investment consultant expires on January 14, 2023. The Board requires an investment consultant to effectively support the investment activities of the Board. To minimize disruption to operations, the Director, Capital markets requests authority from the Board to initiate and conduct and Request for Proposal on behalf of the Board to hire an investment consultant.
The Toronto Investment Board: 1. Authorized the Director, Capital Markets to initiate a Request for Proposal on behalf of the Toronto Investment Board for an investment consultant to assist the Board. 2. Directed the Director, Capital Markets to report the results of the Request for Proposal along with a recommendation for contract award to the successful investment consulting firm to the Investment Board. 3. Directed that Confidential Attachment 1 to the report (June 9, 2022) from the Director, Capital Markets remain confidential in its entirety, as it contains information that involves the security of property belonging to the City and the Toronto Investment Board.
Staff recommendation as filed
The Director, Capital Markets recommends that: 1. The Toronto Investment Board authorize the Director, Capital Markets to initiate a Request for Proposal on behalf of the Toronto Investment Board for an investment consultant to assist the Board. 2. The Director, Capital Markets be directed to report the results of the Request for Proposal along with a recommendation for contract award to the successful investment consulting firm to the Investment Board. 3. The Toronto Investment Board direct that the confidential information contained in Confidential Attachment 1 remain confidential in its entirety, as it contains information that involves the security of property belonging to the City and the Toronto Investment Board.