In a recent government meeting, members of the retirement subcommittee and the Board of Finance discussed significant updates regarding the town's pension plans and investment strategies. The meeting highlighted a consensus among the board members on the proposed changes to the investment portfolio, particularly within the fixed income sector.

The chair of the retirement subcommittee confirmed that outreach had been made to the Board of Education regarding the meeting, although representatives from the board declined to attend. The subcommittee's focus was on reviewing quarterly investment performance and preparing for a presentation from Fiducien, which provides investment management services.

During the presentation, it was noted that the pension plans have experienced positive returns, with reported fiscal year gains exceeding 9% and interim returns of 2% in July. However, concerns were raised about the performance of two legacy managers, Metropolitan West and Western Asset Management, which have been placed on a \"watch and terminate\" status due to recent challenges. The subcommittee recommended reallocating funds from these managers to new options that promise higher returns.

The proposed new managers include Hartford Total Return Bond, managed by Wellington Asset Management, and Dodge and Cox Income Fund. Both have demonstrated competitive historical returns and are considered top-tier managers in their field. The meeting underscored the importance of ongoing due diligence in managing the town's investments, with a dedicated team monitoring performance and risk controls.

Overall, the discussions reflect a proactive approach to ensuring the financial health of the pension plans, with a clear strategy to adapt to changing market conditions and enhance investment performance.