Adviser urges rebalancing after volatile quarter; trustees approve cash raise and small private‑credit allocations

TJ Lowe, the boards’ investment advisor, delivered the quarterly investment update on May 28 and proposed a set of rebalances to take risk off the table after a sharp market run: modest reductions to large-cap equity exposure, increases to fixed income and selected international and alternative allocations, and raising cash to meet upcoming pension distributions.

Lowe summarized market drivers — geopolitical risk, a rotation from growth to value, and the influence of a small number of large-cap technology names — and described how the boards’ portfolio structure intentionally underweights concentrated growth exposure relative to the policy benchmark. He recommended specific trade moves (for example, partial reductions in large-cap growth allocations and modest additions to international and fixed-income managers). He also reviewed newly added evergreen-style private-credit and private-equity-lite allocations (roughly 2% of the portfolio) and briefly addressed recent private-credit liquidity headlines, noting a Blue Owl gating episode that created short-term concern but saying the trustees’ small allocation was intended as a long-term, diversified exposure.

Trustees voted to accept the adviser’s recommended rebalances and the cash-raise plan to cover a roughly $1.5 million distribution and to restore targets after the cash raise. The motions passed on both the police and general plans. Lowe explained trades would settle in one to two business days and that the boards would continue to monitor small‑mid-cap and other managers whose year-to-date performance lagged benchmarks.

Outcome: Boards approved the adviser’s recommended rebalances and cash-management steps; staff will execute trades and report updated allocations at the next meeting.