the bahamas telecommunication corporation pension fund
TRANSCRIPT
The BahamasTelecommunication Corporation
Pension Fund
Group Structure
Group History Colina Financial Group, Ltd.® (CFG), parent
company to Colina Financial Advisors, Limited® (CFA) has origins extending back to 1965. The company has grown steadily through acquisition of talent and strategic business investment and today is the largest insurance company in The Bahamas. Through its affiliates, CFA provides “one-stop” financial services to individuals, corporations and institutions around the world.
Group Overview Fully integrated financial services company Based in The Bahamas World-class company leadership Employees are recognized top Bahamian talent Advanced financial and communication systems Total assets over $220 million Assets under management over $680 million Over 200 employees
Group Services
Mutual Fund Administration Private Banking Corporate and Institutional Advisory Services Escrow, RTA, and Brokerage Services Investment and Pension Management Insurance Services
• Life, health, property and casualty
Corporate Culture Aggressive employee acquisition, retention and
betterment programs Company-wide ‘excellence’ recognition Investment in ongoing training Customer Relationship Management methods,
technology, and resource development Support for community service programs
Strategic Alliance
Colina Financial Group Diversified financial services company Value added services Leveraged market expertise
CFA Overview Over $100 million in assets under management Fortune and institutional customers Lead advisor on major IPO issues Lead advisor on Private Placements issues Proven management excellence
Experienced operational staff
In-depth Analytical Research
Responsive methods and services
CFA Mission To be a premier provider of comprehensive
financial solutions that are innovative and responsive, and deliver exceptional and consistent returns to our customers.
• CFA will maintain the highest standards of ethical conduct and employ financial leadership with a proven approach to conservative and disciplined investing.
Porfolio Leadership Team Anthony R. Ferguson, CFA, Executive Director
• Executive Director of CFA & Sentinel Bank & Trust, Director of Colina Insurance, Dolphin Capital Management Limited., Member of the Financial Consultative Committee, Former member of the Council of Examiners for the Association of Investment Management & Research (AIMR), member of Securities Market Task Force, past Director of the National Insurance Board, past President of the Bahamas Society of Financial Analysts.
Larry Gibson, CFA, Managing Director• Managing Director providing day-to-day management for CFA. President and Director of First
Bahamas Capital. Over 20 years experience in the investment management field with extensive history and success managing U.S., U.K. and Canadian pension assets. Holds a B Sc. in Business Administration & Economics from the College of Notre Dame, Belmont, California, and is a Chartered Financial Analyst. Former Chairman of the Securities Market Task Force, a past Chairman of the Bahamas Development Bank and previously served as a Director of Commonwealth Bank Limited and Coutts (Bahamas) Limited.
Sean K. Longley, CPA, Chief Financial Officer• Chief of Financial oversight of CFA corporate affairs. Over nine years experience as auditor. Currently
serves as a Director of the Bahamas Financial Services Board (BFSB). Professional experience includes working within the offshore industry, primarily with Deloitte & Touche and the Coutts Group. Holds a Bachelors of Science in Accounting from Norfolk State University. A member of the American Institute of Certified Public Accountants and the Bahamas Institute of Charted Accountants.
Team (continued) Pamela Q. Musgrove, BBA, Research Analyst
• Research analyst and a portfolio manager at CFA. Over five years experience in securities administration and trading, portfolio accounting, research and portfolio management. Responsible for the day to day management of investment management accounts, as well as company analysis and research. Bachelor of Commerce degree with honours in Finance, from the Acadia University, Nova Scotia, Canada. A level III candidate in the Chartered Financial Analyst Program. Professional affiliations include memberships in the Bahamas Society of Financial Analyst and the International Society of Financial Analyst.
Lakeisha Moss, Assistant Portfolio Manager & Liquidity Trader• Assist the portfolio manager with the optimization, rebalancing and trading of the
portfolio. Treasuries trader, Commercial Paper, and Repurchase Agreement transactions for several hedge funds. A Member of the Association for Investment Management and Research. Successful in obtaining level I of the CFA examinations in September 2002, currently studying for level II. Earned a Bachelors Degree in Finance and Economics from Kings College, Pennsylvania.
Strategic Relationships Custodial Partners
• Citibank, Credit Lynonais, Bawag, Bear Stearns, CIBC Oppenheimer
• and other leading financial groups.
Deloitte & Touche• Auditors
Bank of Bahamas International Limited• Local Bankers
Alexiou, Knowles & Co.• Bahamian legal counsel
• Investment product design
Distinguishable Characteristics Proven professional history International relationships with market leaders Customer-centric attitude and service approach Stringent recording and reporting methods Leading analytical research methods and products Complete Escrow, and Registrar & Transfer Agent services Complete Stock Brokerage services Advanced private communications and integrated technologies
Advisory Services Professional corporate and institutional
advisory services • Business proposals
• Strategic alliances
• Mergers and acquisitions
• IPOs
• Private Placements
• Strategic investment planning
• Tax structuring and planning
• Risk management
CFA Technology Advanced Pension Administration system
Modern Portfolio and Investment
Management system (ADVENT)
State of the art Registrar and Stock Transfer system (STOPS)
Investment Strategy Structured Investment CFG Strategic Alliance International Asset Management Insurance Protections Deferred Variable Annuity Trusts, IBCs, and Mutual Funds Tax Deferral Privacy Consideration
Pension Administration Design, develop and administer Pension Plans
• Management and accounting of contributions
• Disbursements, records, verification and financial reporting
Pension services with lasting value• Understand client expectations and desires and align
with legal protections and financial opportunities
• Design and implement high performance financial strategies
• Monitor and adjust variables according to personalized client Pension Plan criteria as changes occur
CFA Managed Mutual Funds
The Balanced Portfolio The Money Market Fund The Colina Bond Fund The Equity Fund
CFA Performance to dateBalanced US Portfolio Historical Return
Pension Performance
Pensions Under Management2000 2001 2002
Pensions Under Management 13,713,821.00$ 23,340,433.00$ 26,918,040.00$
TOTAL PENSIONS UNDER MANAGEMENT 13,713,821.00$ 23,340,433.00$ 26,918,040.00$
Asset Allocation
Current TargetPortfolio Percentage Percentage Return* IncomeBonds - Govt $54,000,000.00 42.86% 48,000,000.00 38.10% 6.80% 3,264,000.00Bonds - Corp $0.00 6,000,000.00 4.76% 8.50% 510,000.00Cash $33,000,000.00 26.19% 20,000,000.00 15.87% 5.75% 1,150,000.00Stocks $18,000,000.00 14.29% 25,000,000.00 19.84% 7.25% 1,812,500.00Private Investments $0.00 6,000,000.00 4.76% 14.00% 840,000.00Mortgages $21,000,000.00 16.67% 21,000,000.00 16.67% 9.00% 1,890,000.00
Total $126,000,000.00 100.00% 126,000,000.00 100.00% 7.51% 9,466,500.00
*Colina Projected Return
Actuarial PerformanceComparative Three Year Annual Return
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
1
3 Year Return
Pe
rce
nta
ge
Batelco Plan
Colina Balance Fund
Colina Pension Fund
Actuarial Assumptions
Acturial Assumptions and Three Year Compounded Annual Return
2001 2000 1999Discount Rate 7.00% 7.25% 7.75%Expected ROPA 9.00% 9.00% 9.00%Future Salary Increase 4.50% 4.50% 4.50%Future Penson Increase 0 0 0Actual Return 0.05% 0.058% 0.0253
Batelco Plan 2.66%Colina Balance Fund 7.70%Colina Pension Fund 8.73%
Client Services Monthly portfolio reports Quarterly economic and investment reviews Financial analysis of investment opportunities Portfolio monitoring Periodic plan reviews Financial seminars (free for staff)
The CFA Advantage Experienced financial team and support personnel Unwavering support of business principals International partnerships with strategic financial leaders State of the art analysis and administrative methods
and technology Service oriented company culture Customer-centric (interactive) relationship management Diversified financial company Strategic alliance creates investment value Proven performance track record
Colina Financial Advisors Limited 3rd Floor Goodman’s Bay Corporate CenterWest Bay Street, P.O.Box CB-12407Nassau, BahamasTel: 242-502-7000
Colina.com