November 1, 2006
UNIVERSITY OF HOUSTON SYSTEM
BOARD OF REGENTS
| Members Present: |
|
Leroy L. Hermes, Chair
Michael J. Cemo, Vice Chair Calvin W. Stephens, Secretary Jim P. Wise, Vice Chair Lynden B. Rose Morgan D. O’Connor |
The University of Houston System Board of Regents’ Endowment Management Committee Meeting was posted for Wednesday, November 1, 2006 to be held in Room 220 in the ECullen Building. Since a quorum of the board was present, Chairman Hermes called a Board meeting to order at 2:03 p.m. and turned the meeting over to Regent Cemo, Chair of the Endowment Management Committee.
Regent Cemo requested Dr. John Rudley present the following items for review and approval by the board:
| Action: |
|
Regent O’Connor made a motion to approve the items as presented. Regent Stephens seconded the motion, which passed unanimously.
Bruce Myers and Hamilton Lee of Cambridge Associates, provided an update on manager funding and a performance overview of the UH System’s Endowed Investments. Bruce also discussed the fact that Berwind Property Group had approached the university about investing in its eighth fund, BPG, Fund VIII. This eight fund will close in early 2007 with capital calls expected to begin in mid-2007. The endowment fund has already invested in BPG’s prior fund, Fund VII.
Three investment managers made presentations to the Endowment Management Committee:
- Kenneth Armstead, Chief Investment Officer for Absolute Plus Management, made a presentation on their Global Hedged Commodity Program.
- Dr. Stephen Smith, Founder of the Smith Asset Management Group, along with John Brim, Partner and Senior Portfolio Manager and Kenneth W. Smith, Director of Marketing, made a presentation on Large Cap Growth Product.
After the presentation by Smith Asset Management, Regent Hermes noted that a quorum of the board was not present. He recessed the meeting of the board and Regent Cemo called to order the Endowment Management Committee. The Endowment Management Committee met briefly and adjourned when a quorum of the board was again present. Regent Hermes reconvened the board meeting and the following investment management group made their presentation:
- Michael Elwood, Equity Product Specialist and Lee Cohen, Relationship Manager with Wellington Asset Management, made a presentation on U.S. Research Equity Product.
At the end of all of the presentations, Bruce Myers and Hamilton Lee discussed the various investment options with the committee. It was the consensus of the regents present to initially invest $5 million with BPG, Fund VIII; $3 million with Absolute Plus Management; $20 million with Smith Asset Management; and $10 million with Wellington Asset Management. Regent Cemo will present the recommendations at the November 16, 2006 meeting for consideration by the board.
There being no further business before the board the meeting adjourned at 3:59 p.m.
The committee meeting reconvened at 4:00 p.m. There being no further business before the committee the meeting was adjourned.
All documentation submitted to the Board in support of the foregoing action items, including but not limited to “Passed” agenda items and supporting documentation presented to the Board, is incorporated herein and made a part of these minutes for all purposes; however, this does not constitute a waiver of any privileges contained herein.
| Others Present: | ||
|
Jay Gogue
John Rudley Dona Hamilton Janis Newman |
Jim McShan
Raymond Bartlett Steven Craig Peggy Cervenka |
Bruce Myers, Cambridge Associates
Hamilton Lee, Cambridge Assocs. Gerry Mathisen |
