In the face of the Federal Reserve’s interest rate cuts, the Cocoa Beach Pension Board acknowledged the subsequent devaluation of real estate assets. The board reported receiving approximately $11,000 to $12,000 back in cash every quarter following a $250,000 distribution, with the remaining value being written down. This devaluation poses a concern as it affects the overall financial health of the pension funds.

The quarterly reports presented by Anco were thoroughly examined, with particular attention paid to the transition of investment management to Mariner and the equity markets’ performance. This transition comes during a time when the equity markets have been showing positive results, which contrasts with the real estate segment’s challenges. The report included an asset allocation overview, quarterly performance data, and an in-depth analysis of the various investment segments. Detailed discussions ensued on investment policy parameters and the alignment of the plans with their targets.

Moreover, the meeting delved into the financial status of the fire and police funds, which have seen a slight decrease in value. The decrease was attributed to a significant sell-off in the equity markets that occurred in April. The board members discussed the market’s volatility, which is expected to continue due to the upcoming election year. The volatility of the markets is a critical point of concern for the pension funds, which rely on stable growth to secure future benefits for retirees.

The board also discussed educational opportunities for its members, specifically mentioning the FPPA Summer Conference in Orlando and the Division of Retirement conference in September. Such conferences are essential for the board members to stay informed on best practices and emerging trends in pension fund management.

In addition to these discussions, the board addressed administrative matters. One such matter was the “repapering” of the contract under the Mariner umbrella, a necessary step to ensure the continuity and proper management of the investments. The board also provided updates regarding disability claims, financial disclosures, and legislative sessions, noting that no recently passed bills would impact their plan.

The next quarterly meeting was scheduled for August 6th. The meeting adjourned following a motion and a vote, with the board members agreeing on the discussed actions and strategies.