January 19, 2006
UNIVERSITY OF HOUSTON SYSTEM
BOARD OF REGENTS
ADMINISTRATION AND FINANCE COMMITTEE
| Members Present: | Members Absent: |
|
Michael J. Cemo, Chair
Calvin W. Stephens, Vice Chair Morrie K. Abramson Dennis D. Golden Leroy L. Hermes Morgan Dunn O’Connor Lynden B. Rose Thad “Bo” Smith |
Raul A. Gonzalez |
The Administration and Finance Committee of the University of Houston System Board of Regents convened in room 220 of the Ezekiel W. Cullen Building, University of Houston, 4800 Calhoun. Noting the presence of a quorum, Chairman Cemo called the meeting to order at 3:00 p.m.
Chairman Cemo turned the meeting over to Mr. Craig White of Cambridge Associates who reviewed for the group the Endowment Performance and the Assets Allocation as of November 30, 2005 and preliminary data as of December 31, 2005.
A motion was made by Regent Smith, and seconded by Regent Hermes, to reduce the investment in Dodge & Cox, Hoover, and Luther King by $15 million, $5 million, and $5 million, respectively, and to move this $25 million into a Russell 1000 Growth Index or ETF account. After discussion, the motion passed unanimously. Subsequent to the approval to reallocate the $25 million, Chairman Cemo requested Cambridge develop a comprehensive implementation plan for the regents to consider that would move the UH System Endowment Fund closer to its asset allocation targets as soon as possible. This request from Chairman Cemo superseded the prior approval to reallocate the $25 million.
The plan should include Cambridge’s recommendation for increasing our international equity allocation to its target and increasing our allocation to non-marketable alternatives, including the appropriate allocation of the endowment fund to real property investments. This report should be presented at the next Committee meeting.
A motion was made by Regent Golden, seconded by Regent Hermes, to approve the revised investment manager guidelines for Smith Graham. The motion passed unanimously.
In absence of further business, the Committee adjourned at 4:05 p.m.
All documentation submitted to the Committee in support of the foregoing action items, including but not limited to “Passed” agenda items and supporting documentation presented to the Committee, is incorporated herein and made a part of these minutes for all purposes.
| Others Present: |
|
G. Jay Gogue John Rudley Jim McShan Raymond Bartlett Craig White Janis Newman Joe Kotarba Carlos Machado Averill Buchanan |
