liking i like of in market street and wanted to run out of the room i don't want to see that what's happening in san francisco continue we don't want to be hong kong or shanghai or you know paris or london we can't live there on our salaries or - you know, i won't gone i could address every person keep the communication coming and maybe someday you'll understand why we come up here and make those outrage statement we don't have the same values as many of you have that's all i have to say roadway thank you. >> (clapping.) david williams it's almost good

evening folks gee sidney i want to echo what the lady said you're putting the cart before the horse it is pretty objective you'll be voting for a 5 percent hedge fund allocation process what's missing, however, is i've heard questions about rfps, about what the investments will be and how you'll hire managers no one can be answered with yes or no questions bus the bottom line is negotiation in a negotiation go all the negotiation i've fume with you go down with the bottom line you again in with a plan and talk about to the members and you know the values and everything else but i have the sense you'll go into the negotiations and take a piece i'll throw this. >> and thank taking place but

we'll take what we get in terms of the various investments and in terms of whether it's underfunded or bridge i don't understand how you can make the allocation it's still upside down in terms of what you want to do thank you. >> (clapping.) kari you diagonally commissioners and fell union members he want to set the record straight there were 2 of us members on staff that presented so it was more than zero. >> thank you i think that that promoted a couple of speakers. >> i'm john a four-year member of hedge funds i want to take

issue i'm sure that professor when you said that was warren buffett was a hedge fund he makes most of his money from 60 korptsdz if he's doing hedge funds that will be less than the one percent and those are issues oh when we have whereon in 2008, was a bad market and more than seven hundred hedge funds went out of business in 2008 that's one point and not point when most hedge funds losses money you can kiss is going back when you talk about the s.p.c.a. 5 hundreds sure it goes down but it goes down every recession so that's what happened when it doubles it

that's realty matt mat and 9 to buy a house was $50000 the storage was 850 and now it's pushing 18 thousand so everything is going upside down based on the economy any good hedge fund man will tell you you're making a big mistake they want 25 percent, 2 and 20 of $10 billion they're to laugh at you at 5 perris you know that so what i think you want the $57 billion is because hey sometimes, i go to las vegas and the race track. >> 30 seconds

(laughter). >> you'll have 5 percent of beginners luck and take commissioner paskin-jordan she didn't know. >> how do you know. >> i'll bet you a thousand dollars. >> i won't accept the bet. >> because what am i saying (inaudible). >> you've seen this and (laughter). >> he won't cook for me. >> now it was the 10 minutes are up david williams stole 35 my worlds you have the cart before the hours it is hard to follow

someone with a great sense of humor but you're missing a couple of things like david said you've got the horse before the cart before you decide the allocation if you don't have the guidelines why are you assigning an asset when you don't know was the guidelines are looking at your george the memberships and you have an obligation to serve the 50 thousand land members you 7 people can't be make that determination with our money. >> you did no due diligence and commissioner cohen didn't want the staff to do due diligence

did you? did you? commissioner paskin-jordan? the answer i've gotten out of norm >> (inaudible). >> so what's also missing where is the due diligence on your meltdown in 2008 that wasn't done perhaps the other gentleman can talk about the due diligence in the 2008 meltdown how did the 7 of you and mr. cokeer be able to get so manipulative larger it's amazing that you guys are that much smarter than the two

most prominent investors we'll have an obligation listening to our clients the survey revealed a - >> 30 seconds. >> the vast majority of the locals members if support that despite what of the the gentleman was telling us i urge you to vote against this because overall the biscuit thing you've failed to do is look at the 8 hundred pound ignore rely of why there was no alternate proposal put before you of vvl in the prudence index fund why not go to index funds

and not hedge fund i guess your smarter than warren. >> good evening, everybody i'm ali haven't spoke at our meetings i didn't want to we have look good people doing a lot of good work i was so appreciative tonight to get those things out and side see i perform in come back with some sort of an answer form you you know i've been in the city over thirty years and retired for thirty years and retired for 10 thanks to my retirement board so i appreciate everything you've

done he hope to pass it on to any wife, however, everything has perspectives i think the keywords here is perception this police department in san francisco if you look at how they put it all together it's the perception of how their seeing to whether they're performing their jobs perception see what happens with the other statistics i states when it was per accepted they were not doing their jobs if you guys and all of us take back the perception give us something we can see and perceive and he think this union which i'm a member of s c i u i think there's a lot of knowledge there and if we work together as a team we don't have to know all

the integral part but we need p that perception thank you and good night. >> seeing none no other speakers i'll close. >> i will opium i'm sorry this is not a question and answer period you can speak to the commission. >> i can say which of the two, 5 percent policies are testified next and here's any comment when you vote will you make it clear which policies you're voting on tuesday (laughter). >> i would be happy. >> make that clear as far as the funds for emergencies that is (inaudible) i will clarify the motion

those of you those are alternative policy hedge funds the break out is 40 percent in global equity 18 percent in private equities any public comment? 17 percent in real assets, 5 percent in absolute return hedge funds and 20 percent in fixed income >> i will - i don't want to open it up for editorial at this point is there my question that's pertinent to anybody's issues. >> okay all in favor, say i. >> i opposed? it is a 6 to one vote thank you everybody the commission will

take a 10 minute recess. >> item number 5. >> that's a discussion item. >> to the commission do they have questions for staff of this item this is self-explanatory i will on it up for questions. >> no questions staff anything you'd like to share more than what you've submitted. >> you have our report we're available for questions. >> i'll open up for public comment for number 5

annual report and sorry. >> thank you jed for city of chicago around. >> thank you all this is officially takes the cake for autograph us i think i was very excited to see that rep systemic the approximate i didn't voting was on the agenda the first level one activation of the level one approximate i didn't voting since 1992 was activated a year ago this month and involved taking active proxy votes at the board level for the top two gas companies that are

listed on the carbon tractor list i don't see any mention that existed so i actually am not sure that level one oh, say can you see by the dawn's early light was kwacht as this board implement one year ago if it was there was certainly no indication in the republican systemic report that is concerning to us despite what we've heard from the board we need to go through the steps and let level one take it's course it didn't seem like staff or the board has taken the social investment procures very seriously or if so perhaps staff didn't communicate to index s f they have include the approximate i didn't action i'll

say this is the only fear in the last year that the board specifically called out proxy action so the fact it is a discrepancy ricci so make sure make sure? included in the next item. >> speakers sielgd and we brought you monthly report under the proxy assault weapon that included the engagement it was a separate project we brought to you and report each month at the end the proximate i didn't we provided you with the result of our holdings and how we voted button proximate i didn't see

for the incentive we have those separated out and but we have also considered it not part of the annual report but as a special report i believe the last report had been in june or july we'll provide the level of details for o cooker 2 hundred companies. >> great, thank you call item 67. >> item 6 action item review and look at the proxy voting procedures did 2015. >> this is the second of two reports you've received from staff each february the action

item once in a while we'll address the recommended changes to the proxy voting policy and belief radiation on up for staff for questions. >> questions by commissioners? okay commissioner driscoll >> okay. then the chair will entertain the motion of adoption. >> is there a second. >> open up for public comment on item 6 welcome back jed. >> thank you for your repeated indulgence turn to page 8 of the staff report for this item you'll see that the 7th

restriction to the proxy restriction is related to adaptation of green house gas emissions point out on page 23rd the environmental issue that you would have a voting policy on i guess i would make to point one of them is the first reference i gave you number 7 kind of shows you that i ss as a major proxy voting contractor has moved pretty much beyond your level one vote of a year ago with their default plan to when we say your level one is weak i think this move by i ss

leads cede as an that the basic fundamental report is beyond the level one you specifically activated a year ago we'll agree our social policies are blovldabove and beyond the second point on the number 22 is to draw out when you look at this list how many of these are a case by case basis the vast majority are a case by case and i'll note that you'll level one because of a motion by a board member instead of it being across the board hike a anti climate change it is a case by case vote it looks like making a case by case vote

on those issues actually was not a new approximately unbeknownst to us we've not seen your i ss school district it looks like you had some kind of case by case by case by case voting with respect to fossil fuels proceeding this report i don't know if that is accurate but from this report is it my point relating to the last agenda item this stapling step was meant to be the first step the board intoxicate for inform cooker and at risk information which we bloomberg and at&t's others brought you to and what this report is exposing is that the last year is kind of been wasted that the kind of default plan, which example ss will be

recommending to its similar institutional investors to take a predictable reasonable approach we'll urge that this report that you use this report to judge the level one has been tried and not succeeded in changing the social investment conditions and now is the time that i ss has taken our level one and made it your baseline to move to level 2 thank you very much. >> welcome back claire. >> thank you. this time i'm speaking sole for myself again on page 19 item 21 the self-analyst testing and someone

pates a great advocate for conservation for animals and domestic animals i had expend conversations with a number of research veterinarians including those atic davis with issue with my own dog i've leader beyond the lab rates there's no necessity for animal testing we're not talking about the lab rats that are breed for that kind of test we're talking about the dogs and beagles and rabbits and other kinds of animal i'm hoping at some point roach the case by case and oppose all animal testing in regards to this think of our own pets and think if you want them to the ginny pigs and come up with a

different view thank you. i'll appreciate that if you change that thanks. >> seeing none, i'll close the speaks on page 167 under the reluctant can you walk me through why we support confidential voting i presume as opposed to an open vote so we can better cast all our votes on other issues. >> this particular issue is generally dealing with confidential voting that have been submitted by institutions to companies

and making sure that that information is confidential it is actually, the proposal we generally see we haven't seen this proposal for a number of years now it's been a few years since this type of proposal has been on the ballot of proxy companies. >> not towards votes in the board room. >> no only institutional investors and a as and present their votes to the company. >> all in favor, say i. of the motion. >> i. >> passes unanimously thank you you very much. >> item 8 please.

>> number 7 please call it. >> thank you thanks for everyone's patience commission dris cal colonel made a comment we shouldn't be giving money to managers that have too much this is one exception, however the group being one of the biggest global asset firms in the world but they're releasing is their largest

business line representing about $80 billion in annual and they have an infest track records going on 25 years but their performance through and after the global financial crisis that ceded their reputation the real estate group is managed by john gray who is likely to be running the firm someday and you know give the track record the impressive leadership dominating their franchise that led the firm to raise a rough sum of $15 billion and at very gp friendly terms the most notable only a percentage of acquisition

transaction fees will be refunded to investors even so i think a meaningful investment to this fund will provide the system r with fantastic global on turnoff global and the opportunity to invest with them 0 peter. >> hi commissioners so what give us the commission to recommend this money to the on turnoff real estate funds asz over a 25 he year periods one .7 multiple pretty much puts them in the top level of many on tusk real estate managers they focus on and the management to drive

the creation across everything they do and last but not least they are the only remaining what's called a scale player in open you tusk playing this is the financial crisis and this is a tremendous advantage sometimes the deals are two big or complex i'll pass it over to cambridge. >> thanks i'll reiterate everything it art and peter said regarding black stone they have an un34r5er8d real estate team in the entry a way to leverage the black stone that helps to generate the information flow to trj of the trends as peter men's their size coupled with they're built to act quickly is a true

competitive advantage and consider large portfolio investments that others can't and they have the ability to execute very rapidly so brought deals on a first look basis that others can't see and finally one of the best track records in the industry it is consistent over a long period of time and their consistent with their performance and on i r and r and disabled capital basis so a lot to like here and if there's specific questions i'll be happy to answer any questions. >> so the question is who's their biscuit competitor right now peter mentioned the larger global banks have been pushed out of the industry they're in a swee