The City of Sarasota's General Employees' Pension Plan Board of Trustees convened on September 25, 2025, to discuss the performance and strategic direction of their investment portfolio, managed by Geneva, a boutique asset management firm. The meeting highlighted Geneva's focus on U.S. small-cap and mid-cap growth equities, with assets under management totaling approximately $6.4 billion.

During the meeting, Geneva representatives reported minimal changes in their firm since the previous year, noting the addition of a new salesperson and the promotion of an analyst to employee ownership, bringing the total employee owners to ten out of twenty staff members. This move reflects Geneva's commitment to employee ownership and team stability.

The discussion shifted to investment performance, where Geneva acknowledged recent challenges due to a market environment favoring speculative, low-quality stocks. The firm emphasized its strategy of investing in high-quality companies with strong management and conservative financial practices, aiming for consistent revenue and earnings growth. Despite this focus, Geneva's strategy underperformed the benchmark by approximately 650 basis points over the past year, attributed to a market rally favoring high-risk stocks.

Geneva's representatives expressed confidence in their long-term strategy, citing historical data that shows their ability to outperform during market downturns. They noted that while their portfolio's performance lagged in the recent speculative market, the fundamentals of their investments remained strong. The firm anticipates a market correction that would favor quality investments, similar to past cycles following periods of speculation.

The meeting concluded with discussions on the broader economic outlook, including a strong GDP growth forecast and cautious optimism regarding Federal Reserve interest rate cuts. Board members expressed interest in understanding the potential catalysts for a resurgence in small-cap stock performance relative to larger companies, particularly in light of the current dominance of large-cap firms in the AI sector.

Overall, the meeting underscored Geneva's commitment to a disciplined investment approach, even amid challenging market conditions, and the Board's focus on ensuring the long-term health of the pension fund.