JAMES M. CONCIALDI, CH JOEL THOMPSON

Appointed Representative Plan Administrator

KATHY KOEN

Elected Representative

DEBRA MANSELL

Elected Representative

ADELBERT OLIVAS

County Treasurer

JUDY A. MARTINEZ

Appointed Representative

BOARD OF RETIREMENT

PUEBLO COUNTY, COLORADO

MINUTES

January 25, 2016

ROLL CALL

Board of Directors:

James Concialdi, CH Present

Kathy Koen Present

Debra Mansell Present

Judy Martinez Present

Del Olivas Present

Also in attendance:

Dale Connors Watershed

Mark Roman Grosvenor

Donnie Sedillo Employee

Joel Thompson Plan Administrator

K.C. Tucker Employee

CALL TO ORDER

A quorum was established and James Concialdi, chairman, called the meeting to order at 12:59 p.m.

APPROVAL OF CONSENT AGENDA

Mr. Concialdi asked for approval of the consent agenda. Mr. Olivas moved for approval. Ms. Koen seconded and the Board approved.

INVESTMENT MANAGER REPORT

Mr. Mark Roman of Grosvenor presented the Board with the update on the Hedge Fund of Funds holdings in the portfolio which are allocated 10% of the total. Since inception, Grosvenor has returned a positive 8.6% well above the HFRI Composite Index of 5.6%.

(Report Attached).

Minutes

January 25, 2016

Page 2

MONTHLY INVESTMENT MANAGER UPDATE - WATERSHED

Mr. Dale Connors, managing director of Watershed Investment Consultants, presented the preliminary Monthly Investment Analysis for the month ended December 31, 2015. The last quarter of the year took a toll on the returns for YTD December. Yields were slightly negative for the year, with a net of fees return of -1.28%, trailing the index of 1%. (Reports attached).

Mr. Connors recommended to the Board that we adopt a new investment fund run by the Harbert Investment Group. Our participation in Fund V with Harbert is coming to an end and has a one year yield of 9.3%. Harbert is accepting investors currently and are anticipating full participation by the end of February. Mr. Olivas moved that we join the investment pool in Fund VI. Ms. Koen seconded and the Board approved unanimously. Mr. Thompson and Mr. Connors will work with Davis Graham and Stubbs to complete the necessary legal documents.

NEXT MEETING

The next regular meeting will be held on February 22, 2016, at 1:00 pm in the third floor conference room of the Courthouse.

ADJOURNMENT

There being no further business, the meeting was adjourned at 2:08 pm.

Joel Thompson

Plan Administrator

PUEBLO COUNTY COURTHOUSE

215 WEST 10 TH STREET, PUEBLO CO 81003-2992

(719) 583-6026

FAX: (719) 583-6549