The First with Faith

On July 22, 2025, we will be celebrating our third anniversary as a nonprofit organization dedicated to advocating for the children, educators, and elders of Chicago. Our mission is to restore and protect the gold standard of retirement savings for public school teachers. My friend Faith and I have collaborated to produce our first podcast, which aims to educate and empower our community in a safe and engaging environment. We hope you enjoy listening!

Save Our Pensions and Fight Back Trumpism!

"Save Our Pensions"

I was just on the call with IFT’s President Montgomery and Executive Vice President Davis Gates. Three callers expressed concern about the possibility of converting our defined benefit pension plan into a defined contribution plan or a 401(k)-style plan. President Montgomery confidently stated that he is committed to defending defined benefit plans. He then asked Stacy Davis Gates whether the Chicago Teachers' Pension Fund (CTPF) had any provisions that would allow participants to opt out, but we were unable to hear her response.

This much I know: The Retired Teachers Association of Chicago.  Since 1926 this Association has dedicated itself to the betterment of all teachers who have retired from the Chicago Public Schools has this on their website. You can go to their website for the details. 

Defined Benefits vs. Defined Contributions
Currently we have a defined benefit retirement plan where we are guaranteed our benefits for life.  If some legislators get their way, new employees will work under a defined contributions retirement plan where the benefits are based entirely on how much was contributed.
Read an analysis of Public Pensions by the Center for Tax and Budget Accountability -- here.
If you would like to see how much you would have needed to contribute to a retirement fund to enjoy your current pension, click here and enter some data.  Be aware that the projected total you have in your account when you retire must last for life - i.e. if your retirement account has $1,000,000 in it when you retire and you expect to live another 20 years, you can only withdraw $50,000 per year and the balance will continue to decrease until your account is completely depleted and you have nothing left to live on.

  https://www.rtac.org/home.htm

I also have this email from our Executive Director in response to my public participation request, where I asked our trustees to help us repeal Tier 2.

Executive Director <executivedirector@ctpf.org>	Mar 7, 2025, 1:27 PM
to Tina, me

Dear Tina, 

Thank you for your participation in the March 4, Investment Committee First Look meeting. We appreciate your support for our Tier 2 members.  

As a former Trustee, you know that CTPF Trustees cannot legally advocate for benefit enhancements. While they may personally support this position, CTPF as an organization is charged with administering Illinois law and cannot lobby for or propose legislation eliminating Tier 2. 

I encourage you to work with our stakeholder groups who can advocate for this legislation. You will find support and ways to amplify your efforts together. 

Sincerely,

 

Carlton

We must help save our pension. These politicians out here should be called magicians. They are so deceptive. This Tier 2 bill they are asking us to call the governor and ask him to sign into law, is a scam.
listening reminded me of a Bible story I learned in religious classes as a child. 

There were two men in a certain town, one rich and the other poor. The rich man had a very large number of sheep and cattle, but the poor man had nothing except one little ewe Lamp he had bought. He raised it and he grew up with him and his children. He shared his food, drank from his cup and even slept with him in his arms. It was like his daughter The rich man refrain from taking one of his own sheep or cattle to prepare a meal for some travelers who came to visit him. Instead, he took the ewe lamb that belong to the poor man and prepared it for the one who came to visit the rich man. 

Do you see the metaphor I see? I see what’s happening with our pension and retirement funds as a theft of our defined benefit pension—something that we, along with our teachers and their predecessors, have worked hard for and made real sacrifices to secure. This city and state have so many wealthy individuals who possess vast amounts of money; however, they don't want to use their own resources. Instead, they prefer to utilize ours, leaving us with very little or no money for retirement. This is my concern. Could you please help restore the Gold Standard of Retirement saving for curent and future Chicago Public School Teachers as well as the Defined benefit Plan for all? Write to our union leaders, CTPF  Trustees, legislators and Governor and ask them to push for the Repeal Tier 2. This is not only the right thing to do, but it is also a way to fight back against Trumpism.

Peace, Love and Justice 

Tina Padilla 

Call To Action: Repeal Tier 2

 

Hello Pension Warriors,

I don’t see any CTU leadership election Forum on the CTU calendar or the Lobby Days. Here are the questions you might want to use for the CTU leadership at HOD on April 30, 2025.

Misleading statements often used by those opposed to our pension include, “CTPF administers benefits, but only the state legislature has the power to change Tier 2 law.”

The trustees of the Chicago Teachers' Pension Fund (CTPF), as fiduciaries, play a crucial role in governing the fund. CTPF has a Pension Law and Administrative Rules Committee that initiates legislative changes affecting fund benefits and operations. This fiduciary duty requires them to act with the highest standards of ethics and morality to preserve the fund’s fiscal integrity and financial stability.

Given this, why hasn’t the Chicago Teachers Union (CTU) leadership collaborated with our trustees to exercise their fiduciary power and initiate legislative changes to repeal Tier 2?

Previously, the CTU Tier 2 committee supported legislation such as HB4098, which included provisions that further reduced the funding ratio. The courts have already established that our pensions must not be diminished or impaired.

Can the CTU committee come up with a resolution to repeal tier 2?

When will CTU start educating its members about a defined benefit plan and how to restore it?

Why wasn’t there language to repeal the Tier 2 Pension in the TA?

When will we have a full 12-member board of trustees? We currently have only 10 members; the two missing appointments are from CPS.

 I recognize that for any new law to be successful, it must be workable, fair, and clear. Unfortunately, this was not the case when the leaders of that time chose to divert our deferred wages, specifically from our defined benefits pension plan, for their purposes. While this decision is widely known, it is also deeply deceptive. Who can truly label diverting retirement savings as a “holiday”? Would legislators and all stakeholders consent to the beginning of the dismantling of our pension statute if they had accurate and reliable information? Would this legislation have passed if those behind the scheme had to rely on the approval of the people whose retirement savings they intended to use to finance their political projects?

We need to stop focusing solely on costs and begin by repealing Tier 2, fully restoring the original statute, and rebuilding the pension from the inside out. This issue transcends mere numbers; misleading terminology has confused many. Our lawmakers, along with everyone who supported that law, recognize that it did not comply with the fundamental safe harbor rule. Furthermore, they understand the negative impact it has had on recruiting and retaining educators, as well as the overall sustainability of great public education.

I’m also including Julie's overview and the article.

https://docs.google.com/document/d/1ZQ7FFoEvoOd4cW1Fo8lKiRwh_2XnRpyVzDd7yz4t4pE/edit?tab=t.0

https://blockclubchicago.org/2025/04/08/illinois-teachers-unions-are-pushing-changes-to-the-states-pension-system-this-spring/

      2. The Tier 2 Fact Sheet

     3. A form letter and Governor Pritzker’s voice on an opinion site. 

 https://gov.illinois.gov/contact-us/voice-an-opinion.htmlfbclid=IwY2xjawJz1B5leHRuA2FlbQIxMABicmlkETFmY0NNQkNBMWlqZlhvT3Z0AR6d9e1jTThg_2QXXNKpJitcSt4IpbjuuwnwKi-yaSmbWOJ0xKROtorSU8DO5Q_aem_9rGaaJ8dEd0eWLCUtPSz7Q

I hope this information proves helpful. Please express our gratitude to the governor for his efforts in protecting defined benefit plans. 

Thank you,

Tina Padilla

The CTPF April 15, 2025 Investment Meeting Preview

 

 To listen, click  Audio 

Hello Tina Padilla, here, bringing you The April 15, 2025 Investment Meeting Preview

#5 on the agenda is the 4^th quarter of 2024 fund performance report.

1. Fund Value: The Fund was worth $12.7 billion at the end of the fourth quarter, which is $406.8 million less than it was at the end of September 2024.
2. Reasons for Change: The decrease in value was due to:
• Investment losses: The Fund lost $131.9 million from its investments.
• Cash outflows: $274.9 million was taken out of the Fund.
3. Asset Allocation: The Fund's investments were mostly within the allowed ranges, except for international stocks and bonds.
4. Market Performance: During the fourth quarter:
• U.S. markets went up.
• International markets went down.
5. Fund Performance:
• The Fund had a return of -1.02% before fees and -1.13% after fees.
• It did better than its Policy Target by 107 basis points (1.07%).
• It ranked in the 46th percentile compared to similar funds.
6. Long-Term Performance: Over five, seven, and ten years, the Fund has performed better than its Policy Target and is above the median of its peer group.

 

#6 of the agenda, Due diligence presentation from Newport Partners.  The reason that they are coming in for due is because our Consultants and fund investment staff are recommending that we continue to invest with this manager. #7 Recommendations to re-up with Newport Partners.

Commit $25 million to Newport Capital Fund IV in addition to $3 million as Special GP

Continuation of Newport Capital Fund III and Newport Capital Fund II strategies, which have performed well for CTPF– Performance as of September 30, 2024:

Fund II Net IRR 6.9% Net Equity Multiple 1.53x

Fund III Net IRR 9.4% Net Equity Multiple 1.10x (still in investment period)

 Adds vintage year diversification

Provides diversified exposure to necessity and grocery-anchored retail which is a segment of the real estate market that has performed well relative to other property types.

 Participating as a Special GP provides a fee benefit to CTPF as Special GP’s receive GP carried interest, but do not pay investment management fees on the GP commitment.  Assuming that Newport achieves a 15% gross IRR for the Fund over its life, the net return to CTPF would be 14.7% including Special GP carried interest and fee savings as opposed to 12.8% if CTPF did not participate as a Special GP.

After the investment meeting, there is a First Look meeting where trustees, staff, and consultants review presentations from minority managers. Hope this was helpful. Get involved and defend the Gold Standard, the Defined Benefit Retirement our Chicago Teachers’ Pension Fund.

Know what the Gold Standard of retirement savings is called, and don't be scamed again.

 

Dear Friends of The Defined Benefit Plan,

Misinformation like what I read today motivates my actions.

https://www.investopedia.com/this-florida-town-is-top-ranked-for-retirees-11693868?hid=7384e07948e16fedfa221ddb8a97ac3942a4787b&did=17124830-20250401&utm_campaign=investopedia-daily_newsletter&utm_source=investopedia&utm_medium=email&utm_content=040125&lctg=7384e07948e16fedfa221ddb8a97ac3942a4787b&lr_input=fa63812332ddf0517412b8def7e4e5af2799024ba2d53a45005d8a9b896cbc9f&utm_term=midday

A Defined Benefit is, according to Investopedia:

https://www.investopedia.com/ask/answers/032415/how-does-defined-benefit-pension-plan-differ-defined-contribution-plan.asp

Let’s advocate for our right to the 130-year-old Defined Benefit Plan of the Chicago Teachers’ Pension Fund. I would appreciate it if you could share this with your readers. Tina Padilla (PAG oversight representative)

 

Watson Lake Signpost Forest, Yukon, Canada

 

Picture: Tina and her dog Yami,

Unimaginable joy washed over me as I found myself in the breathtaking Yukon, reveling in the thrill of adventure after a long day of driving. My partner steered the vehicle to the side of the road, and as I gazed upward, my eyes widened in awe at the iconic Watson Lake Signpost Forest before me. The sight was nothing short of surreal—I felt like I had stepped into an Alice in Wonderland scene. "I’ve been here before; how did I end up here?" I wondered aloud, grappling with the whimsical sense of déjà vu.

It felt like I was dropped into the location of an intriguing story from the Farmer’s Almanac box calendar, which dedicated a feature to the fascinating Sign Post Forest. While I couldn’t recall the exact date of the story about Private Carl K. Lindley, I distinctly remembered how it captured my middle school students' imaginations that year. The narrative spoke of a U.S. private serving with the 341st Engineers, tasked with making repairs to a sign along the rugged Alaska-Canadian Highway. In a delightful display of creativity, he decided to personalize his contribution by erecting a sign that pointed toward his hometown, Danville, Illinois, along with the distance to that cherished place. I fondly remember sharing this captivating box calendar with my students in either 2021 or 2022, igniting their curiosity, sense of adventure, and love of learning all things including math.

I believe the tear-off was likely from the 2021 box calendar, I retired from CPS in December 2022 and, drove to Alaska summer of 2023. After returning from my trip, I attempted to locate the actual tear-off. I had repurposed these tear-off calendars as notepads. When I flipped through them, however, I couldn’t find it. Maya Angelou said, “There is no greater agony than bearing an untold story inside you.” I know this agony. I also feel that stories must be told. If we don’t they die and somehow it feels like we lose who we are and why we are here. I left my vibrant green platform shoes behind, along with a personalized memento, a staggering 2,506 miles away from the familiar streets of Chicago. In doing so, I shed not just my footwear but also the fear that my inability to continue serving as a Trustee for the Chicago Teachers’ pension fund would impede the important work that had already begun. This moment marked the beginning of my quest to restore the “Defined Benefit Plan,” a vital safeguard for teachers’ futures.

My unwavering commitment to holding our elected officials and other fiduciaries accountable is at the forefront of my mission. If one individual can spark success in this Forest, we can work together to restore the gold standard of retirement savings for everyone, one pension fund at a time. The journey ahead is daunting, but the vision of a secure retirement for all teachers fuels my determination.

In today’s data-driven environment, employers often require employees to utilize their designated network drives for various purposes, such as ensuring data security, improving collaboration, and facilitating access to important documents. Understanding the importance of adhering to these guidelines, I diligently followed the directive and stored all my work-related files on the CPS network. While this decision could be beneficial, it also has its drawbacks. The memories and relationships we build throughout our careers with co-workers and students are incredibly special and priceless. However, we often leave behind intellectual property that can be monetized, and we need to consider how we are being compensated for it and how we can protect it. 

To effectively repeal the unjust Tier 2 law, we, the participants in this initiative, must hold our fiduciaries accountable. We can no longer rely on the status quo. It is essential that we leverage our collective intellectual talent, along with that of the staff, to identify ways to improve our funding ratio, which, as of the last update, was just over 46%. How is this acceptable?

Let’s personalize our work, explore innovative revenue streams, and balance the pension actuarial equation by thoroughly examining our expenses. What is our expense ratio?

Where is the money?

What happened to the $41 million that a former employee brought to the attention of our internal auditor?

Where are our Pre-Paid Pensions, which have not yet been disbursed? The amount owed to CTPF stands at approximately $13.9 billion.

Most importantly, how are we collaborating on legislation that addresses the mistakes of the past and works toward repealing Tier 2?

 Respectfully,

Tina Padilla

 

                                                                   

What is a Fiduciary?

Pension Advocacy Group decided this was a perfect time to start the educational series. The objective is to develop members' knowledge of Defined Benefit Plans and how to protect and restore them.

 Lesson 1: What is a fiduciary?  In the simplest of terms, a fiduciary is someone who must put the best interest of the person they are representing ahead of their own.

Election materials will be mailed and online voting becomes available for the 2024 Teacher Trustee Election. Voting closes on November 1, 2024, at 5:00 p.m. (CT). 

Chicago Teachers' Pension (CTPF) members will have the opportunity to select two from a field of five.

PAG’s strategy to educate, engage, and empower members was met with a bumpy start when the conversation took an unfortunate turn when the meeting was hacked. PAG addressed the situation to the best of their ability and after resuming the Zoom meeting continued with the agenda. Thank you to our PAG nonprofit consultant Lili Molina a board member for helping us with the other imposters.   

 During the virtual meeting on Friday, October 11, 2024. Maria Blancas, PAG's Production Director introduced the panelist. Ray Wohl is a former CTPF Trustee and president of the PAG board.  Julie McShane is the legislation Director and an active CPS teacher. Dawn McGrath, a former CPS teacher is the Business Director.  Panelists introduced themselves and shared how they defined or understood the role of a fiduciary.  Tina Padilla was able to obtain the visitor link to the CTU candidates forum used her knowledge of a fiduciary and created a rubric to score all the candidates and shared her scores.  

 Next on the agenda was the discussion around Pension legislation. PAG is engaging in initiatives aimed at repealing Tier 2 such as  AFL-CIO Fix Tier 2, Undo Tier 2 Illinois Education Association, and IFT Fix Tier 2. Dawn McGrath lead the discussion on how to support all trustees, especially our woman trustees. 

 Several candidates joined the meeting but left before the candidate Q&A portion began.  Lucky for us, Trustee Washington joined at the right time and reflected on his 3 years on the board. We were also able to use the last few minutes to discuss HB 4098 and how we believe this bill might impact the fund. 

 We trust that good intentions yield good practice and can drastically reduce or eliminate harm. My scored rubric of the candidates and notes from my retiree delegate George Milkowski are attached. 

Learn more at ctpf.org/election-central.  

 file:///C:/Users/tpadilla/Downloads/HoD-2024%20-10-08%20(1).pdf

           

On the Watch

This summer, PAG has been actively engaging with key legislators to address the issue of Tier 2 pensions. Our most recent meeting was held on September 3, 2024, with Senator Martwick and Representative LaPointe. During the meeting, we presented factual information, shared testimonies, and discussed the necessary steps to rectify past mistakes and ensure a fair and comprehensive pension system with Tier 1 benefits for all employees. We believe that this approach is both moral and just, especially for the vital workers who shape our youth and deserve a dignified and equitable retirement.

Three Pension Advocacy Group (PAG) members who were present for this discussion included Faith Marie Ruiz, Ray Wohl, and Javier Pagon. These amazing educators motivated me to create a new logo for PAG.  

As I reflected on how to express gratitude to these wonderful individuals and others who have been working tirelessly behind the scenes, I realized that all the educators on the screen shared a common trait - we are all entrepreneurs currently running either a nonprofit or for-profit organization.

 

Ray Wohl, PAG board member, and retired CPS teacher, is the founder and Business Director of Chicago Male Clinic a holistic approach to male health. https://chicagomaleclinic.com/

Faith Marie Ruiz PAG board member, and retired CPS teacher, and president of Boundaries Publisher. Currently still working with children, women, and older persons. Mari is a children’s book author. Her first, WHAT WELA LEFT ME. https://www.amazon.com/What-Wela-Left-faith-marie/dp/B0C9GH5JY5

Javier Pagán is a member of PAG and an active high school music teacher. He is truly a force for good. In addition to helping his students, he has started a nonprofit to help teachers overcome the increasingly complex challenges of being an educator. https://www.humanvaluescollective.org/

Tina Padilla is a retired CPS educator and founding member of PAG. She is currently the representative of the Pension Advocacy Group. (The website has not been launched yet)

We all agree that Tier 2 is detrimental to Illinois and our community because it fails to provide a dignified and secure retirement. It creates division and an unfair work environment and diminishes services and economic impact on Illinois. We are determined to rectify our Defined Benefit Pension system for all.

Chicago Teacher's Pension (CTPF), April 24, 2024 Claims and Service Credits Committee Meeting

 

Chair, Lois Nelson Members: There was a Claims and Service Credits Committee Meeting of the Public School Teachers' Pension and Retirement Fund of Chicago, 425 South Financial Place, Suite 1500, Board Room, Chicago, Illinois, Hybrid (In-Person and Via Zoom) on Wednesday, April 24, 2024 at 9:30 A.M.

The meeting was scheduled to start at 9:30 am. It started well after.

1.   1.  Public Participation: There was no public participation.

2.  2.   Roll Call:

Committee Members: Lois Nelson (Chair), Maria Rodriguez, Paula S. Barajas, Victor Ochoa, and Quentin S. Washington. All in attendance

 Representing Active Members: Paula S. Barajas, Jeffery Blackwell, Victor Ochoa, (In person), Tammie F. Vinson, Quentin S. Washington (remotely)

Representing Retired Members: Lois Nelson, Maria J. Rodriguez, and (attended in person) Mary Sharon Reilly ( remotely)

Representing Principal: Vacant, No representation

Representing the Board of Education: Tanya D. Woods (attended remotely), 2nd Member Vacant, No representation.

3.   3. Approval of Trustee Remote Attendance: Quentin S. Washington,

4.   4.  Approval of Minutes: Return to Work Committee Minutes for

April 11, 2023, Yes 4, No 0, Abstain 1

 April 13, 2023, Yes Unanimous

April 25, 2023, Yes Unanimous

 April 27, 2023, Yes Unanimous

Trustee Maria Rodriguez and Trustee Lois Nelson inquired about not having a meeting of the committee for almost a year. It was stated that the Return-to-Work herring process has changed. It is no longer in close session.

5.   5. Return to Work Hearing regarding Elizabeth Chambers who attended remotely.

During the hearing, the attorney representing the Chicago Teachers' Pension Fund (CTPF), Mr. Ruffing, gave his opening statements. It was noted that Ms. Chabers had gone over the 140 return-to-work limit. Mr. Ruffing stated that the burden of proof lies on the members. He called his first witness, Ms. Jo Campbell, who is the pensions and refunds department manager, and has been a CTPF employee for nine years. He also presented ten exhibits, which included two forms of data from CPS, a letter sent to Ms. Chabers from the Fund about her exceeding the work limits, Form 761 Financial Hardship Request, Form 940 Assignment of Death Benefit, Notice of Administration Hering, and the Pension Fall 2022 newsletter.

During the meeting, Ms. Chambers reported that she had submitted several historical payroll corrections. Two of them have already been submitted to the board, and she is currently processing the final one. Trustee Lois Nelson clarified that all Guest Teachers, also known as Substitute Teachers, receive two professional development sessions that do not count toward the 140 limit. The matter was left open as the CTPF staff needed to verify other outstanding documentation. Trustee Ochoa and Trustee Washington commented on the process and recommended that CTPF take more proactive action to mitigate such scenarios in the future.

6.     6. The meeting was adjourned at approximately 11:30 am

A Copy of the policy, bylaws, or rules that govern The Claims and Service Credits
Committee, was requested on April 24, 2024, under the Illinois Freedom of
Information Act (“FOIA”), 5ILCS 140/1 et seq. The FOIA was granted on May 1, 2024. I have included CTPF's reply and links. 

If you believe anything in these notes is inaccurate, please email us at PensionAdvocacyGroup@gmail.com with "Correction Request" in the subject line. Thank you

Dear Ernestina Padilla,

 

Thank you for writing to the Chicago Teachers’ Pension Fund (“CTPF” or “Fund”) with your request for information pursuant to the Illinois Freedom of Information Act (“FOIA”), 5ILCS 140/1 et seq.

 

On April 24, 2024, you requested the following information:

 

• A copy of the policy, bylaws, or rules that govern The Claims and Service Credits Committee, under the Illinois Freedom of Information Act (“FOIA”), 5ILCS 140/1 et seq.

 

Your request is granted. CTPF’s Bylaws and Return to Work Policy can be found on the Funds website. FOIA allows a public body to refer a requester to the public body’s website if the requested records are provided on the public body’s website.  The records requested can be found at  https://www.ctpf.org/post/administrative-rules-and-policies .  For future requests for the above information, please see the CTPF website.

 

CTPF April 5, 2024, Investment Committee First Friday Meeting

 

Term of the Month

“Due Diligence”

An investigation, audit, or review is performed to confirm facts or details of a matter under consideration. In the financial world, due diligence requires an examination of financial records before entering into a proposed transaction with another party. Due diligence is a systematic way to analyze and mitigate risk from a business or investment decision. (Investopedia)

April 5, 2024, First Friday Managers and Investment Due Diligence Meeting (Agenda)

The meeting started after 9:30 am.

1.     1. Participation, Michael Angulo, Jonathan Perez, and Filez Venegas with United HERE Local 1, returned to provide an update on their dispute with Hotel Figueroa in Los Angeles. He stated that their fight for justice continues, and he is back to ask again for a letter from the Board of Trustees of Chicago Teachers’ Pension Fund to BGO (Greenoaks Trade name). They ask that the Trustee join U.S. Senator Bernie Sanders and other labor advocates, to end the labor dispute at the hotel and justice for the 100 fired workers. CTPF is invested with Green Oak Real Estate Three, “ IRR of 0.17% underperforming the benchmark of peer funds by 10.15%,” ( 3.05 minutes into the video), Michael Angulo stated.

 2.     Roll Call

Representing Active Members: Paula S. Barajas, Jeffery Blackwell, Victor Ochoa, Jacquelyn Price Ward, Tammie F. Vinson, Quentin S. Washington  ( All in attendance)

Representing Retired Members: Lois Nelson(Present), Maria J. Rodriguez (Not in attendance) Mary Sharon Reilly (Attended virtually)

Representing Principal: Vacant, No representation

Representing the Board of Education: Tanya D. Woods (Attended remotely), 2nd Member Vacant, No representation.

3.     Approve Remote trustee Attendance and full Participation. Vote Yes, Unanimous

4.     3. Approval of The minutes of the December 1, 2023 Investment Committee First Friday. 9 yes 0 No

Approval of The minutes February 2, 2024 Investment Committee First Friday 9 yes 0 No

5.     4. First Friday Presentations, (This committee grew out of the need of smaller managers and MWDBE managers who are not part of the big consultants' pipeline to get an opportunity to share new ideas and investment opportunities with the Chicago Teachers' Pension Fund (CTPF).)

The fund's Chief Investment Officer, Fernando Vinzons, joined the meeting remotely and greeted the trustees. He mentioned that four Chicago-based firms were invited to present before them. Three of these firms were already managing assets for CTPF under several asset classes, and three of them were in the market with their latest fund offering. Mr. Vinzons said they were interested in hearing what opportunities these firms saw. He also stated that the managers presenting today were diverse in asset class and ownership. The purpose of inviting Attucks was to have them provide an update on the firm, review the portfolio, and shed any insight on what management plans they have given recent personnel turnover. The meeting was then handed over to Mr. Binsfeld (investment staff), who introduced the trustees and managers before hearing their presentations.

The first presentation, Attucks Asset Management.    

$4.2 Billion in Assets Under Management (AUM), diversified 56% in Equity and 44% in Fixed Income.

Attucks currently manages $742 million in our customized “Multi-asset strategies” portfolios. Since its inception, on December 1, 2013, the Attucks “Best-in-Class” Portfolio has exceeded its benchmark by 25 bps or .25% gross of fees, on an annualized basis for over 10 years as of February 29, 2024. While recent markets disconnected from fundamentals, narrow leadership, and narrative-driven markets the past couple of years have depressed longer-term returns to be behind the benchmark net of fees by 0.39% since inception, the portfolio is quickly making up the ground as fundamentals come back into focus and the market breadth continues to expand.

On the January 31, 2024, Board of Trustees’ Investment Summary Report, no information on Attucks was found. Provided is the information ending November 30, 2023.

The trustee asked the Attacks team many questions about affordable housing during the meeting, around the 54:57-minute mark.

 After a brief intermission, the trustee returned to the meeting. Mr. Vinzons introduced JLC as an infrastructure entity owned by Loop Capital and Magic Johnson Enterprises and he said,” CTPF is invested in their Maiden fund, JLC fund 1 and are actively fundraising for fund 2”.  

 Second presentation MJE-Loop Capital Partners LLC

Founded in 2015, JLC Infrastructure is an independent investment manager based in Chicago targeting investment opportunities in the transportation, energy, communications and social infrastructure sectors in the United States. As of 12/31/23, the firm has ~$1.6Bn in AUM, with over $450MM raised thus far for Fund 2 (towards a targeted fund size of $750MM). Fund 1 gross and net performance has exceeded Fund 1 targeted returns of 12-15% Gross and 10-12% Net. JLC Infrastructure is a 100% minority-controlled firm.

Third presentation Muller & Monroe are not currently managing money for CTPF. However, CTPF was one of their three original clients in 2004.

Muller & Monroe Asset Management (“M2”) is a Chicago-based minority-owned private equity fund-of-funds manager with $1.4B in assets under management. M2 targets private equity funds investing in the lower middle market, including diverse and emerging managers. They invest in buyouts, growth equity, and special situation funds. Through commingled funds and separate accounts, they manage money for an august group of sophisticated investors. They currently manage 11 pools of capital 9 of 11 outperforming the Russell 3000, 1 investment is too early to evaluate and 1 is underperforming. 7 of the pools of investment exceed the benchmark by 6.50%  and 3 pools of investment exceed the benchmark by 10%.

 

Fourth presentation Newport Capital Partners 

Newport's investment strategy invests in neighborhood retail centers, located in densely populated submarkets, targeting necessity-based, non-cyclical tenants. Focus on Middle Market investments ($5-$20 million equity in primary/secondary markets allows LPs to benefit from pricing inefficiencies. The Firm’s extensive experience as an investor operator drives its mission to proactively manage tenancy and increase property net operating income (“NOI”). Their passion is revitalizing neighborhood centers with tenants that serve community needs while generating attractive racist-adjusted returns for its investors.

 

6.       5. Adjournment at approximately 1:00 pm. 

If you believe anything in these notes is inaccurate, please email us at PensionAdvocacyGroup@gmail.com with "Correction Request" in the subject line. Thank you