Toronto Investment Board
The full agenda, as filed
All 5 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.
IB4.1received
Presentations from Investment Managers
Presentations will be given by the following Investment Managers: - Fiera Global Equity (CCF) Fund (Global Equity); and - Fiera Harris/Oakmark Fund (Global Equity).
The Toronto Investment Board received the item for information.
IB4.2adopted
Sinking Fund and Long Term Fund - Performance and Compliance Update for the Second Quarter of 2023
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 second quarter of 2023. 2. Investment Policy and Plan Compliance certificates and reports for the second quarter of 2023.
The Toronto Investment Board received the report (September 11, 2023) from the Director, Capital Markets, Office of the Chief Financial Officer and Treasurer for information.
Staff recommendation as filed
The Director, Capital Markets recommends that: 1. The Toronto Investment Board receive this report for information.
IB4.3adopted
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. Further to the announcement at the last Board meeting regarding the Fiera Capital Corporation decision to close the Fiera Global Equity Common Contractual Fund, several options have been proposed. An evaluation of these options by the investment consultant, external legal counsel, tax advisors, and City staff is currently underway. After a meeting with Fiera, it was agreed that Fiera will cover all the fixed costs for Fiera Common Contractual Fund while the next course of action is decided. An update of the current funding status of Long-Term Fund and Sinking Fund is provided in Attachment 1 to this report for the Board's review.
The Toronto Investment Board received the report (September 7, 2023) from the Director, Capital Markets, Office of the Chief Financial Officer and Treasurer for information.
Staff recommendation as filed
The Director, Capital Markets recommends that: 1. The Toronto Investment Board receive this report for information.
IB4.4adopted
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: 1. Directed that the confidential information contained in Confidential Attachment 1 and Confidential Attachment 2 to the report (September 15, 2023) from the Director, Capital Markets, Office of the Chief Financial Officer and Treasurer remain confidential in their entirety as they contain information that involves the security of property belonging to the City or one of its agencies or corporations.
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 and Confidential Attachment 2 remain confidential in their entirety as they contain information that involves the security of property belonging to the City or one of its agencies or corporations.
IB4.5adopted
Environmental, Social, and Governance Reporting Update
The Toronto Investment Board has engaged MSCI Inc. and its subsidiary MSCI ESG Research LLC as the ESG Ratings Service provider in April 2023. The agreement was in response to City Council's request to the Toronto Investment Board and the Chief Financial Officer and Treasurer to monitor and report on the performance of the external investment firms as hired by the Board with respect to ESG factors as per the terms of the Investment Policy. In addition, the agreement also includes the MSCI Carbon Portfolio Analytics reporting package that is part of MSCI's Climate Lab Enterprise. Carbon Portfolio Analytics reporting from MSCI ESG Research helps investors understand, measure and manage carbon risk at the portfolio, sector, and company level. Both of these MSCI products are provided on a managed service basis. This requires City staff to upload the portfolio information to MSCI via a secured portal and then MSCI will generate reports on each portfolio as well as on a consolidated basis for both the Long-Term Fund and the Sinking Fund. Comparison information against a benchmark index is also provided. The information from MSCI is proprietary and confidential. There are a number of identifiable individual companies and governments in their detailed reports. The agreement with MSCI allows for the viewing and use of the information on a confidential basis by a limited number of City staff, the Board, and City Council. The contract does allow for the public use of general consolidated information on a limited basis. Portfolio holdings were submitted to MSCI in August with preliminary results received in early September. Staff are still reviewing the materials however some preliminary consolidated data is provided in this report as well as in Confidential Attachments 1, 2, 3, and 4.
The Toronto Investment Board: 1. Directed that the confidential information contained in Confidential Attachment 1, Confidential Attachment 2, Confidential Attachment 3, and Confidential Attachment 4 to the report (September 11, 2023) from the Director, Capital Markets, Office of the Chief Financial Officer and Treasurer remain confidential in their entirety, as they contain information that involves the security of property belonging to the City or one of its agencies or corporations.
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, Confidential Attachment 2, Confidential Attachment 3, and Confidential Attachment 4 remain confidential in their entirety, as they contain information that involves the security of property belonging to the City or one of its agencies or corporations.