The Lexington Police and Fire Pension Board convened on August 13, 2025, to discuss the performance of the pension fund and upcoming changes in management. The meeting highlighted a positive performance review, with significant gains in equity markets despite ongoing global economic uncertainties.

Jim O'Connor, a representative at the meeting, provided an overview of the capital markets, noting that the S&P 500 rose approximately 11% in the last quarter, while non-U.S. equities and emerging markets also saw gains of around 12%. In contrast, fixed income returns were modest, at about 1.2%. Real estate investments remained stable, with a slight appreciation noted over the past year.

The board reviewed the asset allocation, revealing that domestic equity was overweight compared to long-term targets, while real estate remained underweight. The total fund's market value increased by over $1 billion, with a net increase of approximately $58.5 million driven by strong market performance.

O'Connor reported that the fund achieved a gross return of over 7% for the second quarter, slightly trailing its policy target. However, the fund has outperformed its benchmark in eight of the last nine calendar years, indicating a strong long-term performance.

The meeting also addressed upcoming changes in management, including an extension of JPMorgan's fee credit program through June 2026 and the planned retirement of Kathleen McCrayer, a key portfolio manager at Jennison. The board expressed confidence in the management team's ability to maintain performance during this transition.

In conclusion, the meeting underscored the pension fund's robust performance amid market fluctuations and outlined strategic adjustments to ensure continued growth and stability. The board adjourned with no further questions or discussions.