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Treasurer brings proposal to hire investment adviser; IAC to vote next week
Summary
An SEC-registered investment adviser, METER Investments, presented a plan to manage Trumbull County’s longer-term securities; the Investment Advisory Council will consider a vote at a special meeting next Wednesday.
County officials heard a presentation from METER Investments on a proposal for professional investment-advisory services to manage Trumbull County’s portfolio and consolidate securities into a third-party custody account.
METER representative Jim McCord described services the firm provides to public entities, citing experience managing public funds and an SEC-registered fiduciary role. The presentation outlined a strategy to move a larger portion of the county’s investable assets into a diversified securities portfolio held in custody at US Bank, while keeping up to 20 percent in highly liquid vehicles to meet daily cash needs. The firm estimated Trumbull County’s investable assets in the presentation at roughly $195 million and proposed an asset allocation approach that would place about 80 percent into the managed securities portfolio.
McCord described compliance controls, pre- and post-trade checks tailored to the Ohio Revised Code (chapter 135 cited in the discussion) and an all-inclusive fee structure charged as basis points on assets under management. He noted the firm negotiates execution with broker-dealers, recommends a US Bank custodial account, and provides consolidated monthly reporting. The presentation included an illustrative maturity ladder to preserve liquidity while capturing higher yields by locking in multi-year securities.
County leaders asked about fees, contract terms, custody, and how daily liquidity would be preserved; McCord said the advisory agreement is cancellable on roughly 30 days’ notice. The treasurer asked and received support from the county auditor and commissioners for the process of moving forward.
The Investment Advisory Council (IAC) meeting for a decision was scheduled by staff for 9 a.m. next Wednesday; commissioners and staff indicated the IAC will vote on whether to engage METER and to sign necessary documents including an investment policy, an investment advisory agreement and a US Bank custody agreement.
No formal approval was recorded in the transcript excerpt provided; the board’s next public action will be at the IAC meeting.
