Fort Walton Beach Council agenda — 06-26-2007 regular agenda — reading text

of Investment Manager. The Investment Manager represents and warrants to Client that it is registered as an investment advisor under the Investment Advisors Act of 1940. 15. Termination. This Agreement may be terminated at any time by either party giving written notice to the other of such termination. Fees paid in advance hereunder will be prorated to the date of termination as specified in the notice of termination, and any unearned portion thereof will be refunded to Client. 16. Non- Assignability. No assignment ( as that term in defined in the Investment Advisors Act of 1940) of this Agreement shall be made by the Investment Manager without the written consent of Client. 8  17. Notices. Unless otherwise specified herein, all notices, instructions, and advises with respect to securities transactions or other matters contemplated by this Agreement shall be deemed duly given either when delivered in writing to the addresses set forth below or when deposited by first- class mail addressed as follows: a. To Client: b. To the Investment Manager: Aletheia Research and Management, Inc. 100 Wilshire Boulevard, Suite 1960 Santa Monica, CA 90401 Attn: General Counsel 18. Disclosure Statement. The Investment Manager shall deliver to Client annually the Investment Manager' s written disclosure statement consisting of a copy of Part II of Form ADV as filed with the Securities and Exchange Commissions and as currently in effect) upon receipt of written request for same by Client. 19. Limitation of Liability. In the absence of willful misfeasance, bad faith, gross negligence, or reckless disregard of obligations or duties hereunder on the part of the Investment Manager, the Investment 9  Manager and its directors, employees, officers, and agents shall not be subject to liability to Client for any act or omission in the course of, or in connection with, rendering services hereunder or for any losses that may be sustained in the purchase, holding, or sale of any security in Client' s account. 20. Indemnification. If any threatened, pending, or completed action, suit or proceeding relating to the performance of services under this Agreement to which the Investment Manager or any of its shareholders, officers, directors, or employees was or is a party or is threatened to be made a party by reason of the fact that it, he, or she, is or was the Investment Manager, or a shareholder, officer, director, or employee of the Investment Manager, Client l shall indemnify and hold harmless any such shareholder, officer, director, or employee against any loss, liability, damage, cost, expense ( including reasonable attorneys' and accountants' fees and expenses), judgments and amounts paid in settlement actually incurred by the Investment Manager and/ or such shareholder, officer, director, or employee in connection with such action, suit, or proceeding if the Investment Manager and/ or such shareholder, officer, director, or employee acted in good faith and in a manner it, he, or she reasonably believed to be in or not opposed to the best interest of Client, and provided that the Investment Manager and such shareholder' s, officer' s, director' s, 10 or employee' s conduct does not constitute a breach of its, his, or her fiduciary obligations in the performance of its, his, or her duty to Client. The termination of any action, suit, or proceeding by judgment, order, or settlement shall not, of itself, create a presumption that the Investment Manager and/ or any such shareholder, officer, director, or employee did not act in good faith and in a manner which it, he, or she reasonably believed to be in or not opposed to the best interest of Client. 21. Entire Agreement; Amendment. This Agreement, including the Fee Schedule attached hereto as Exhibit " A" states the entire agreement of the parties hereto; is intended to be the complete and exclusive statement of terms hereof; and except as provided in paragraphs 2, 5, and 12 hereof, may not be modified or amended except by a writing signed by both parties hereto. 22. Governing Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of California and any dispute or controversy arising out of this Agreement shall be settled by arbitration in Los Angeles, California, in accordance with the rules and regulations of the American Arbitration Association. 23. Effective Date. This Agreement shall become effective on the day and 11 year first written above. IN WITNESS WHEREOF, Client and the Investment Manager have executed this Agreement on the day and year first written above. By: ALETHEIA RESEARCH AND MANAGEMENT, INC. By: its 12  CITY OF FORT WALTON BEACH GENERAL PLAN ADVISORY COMMITTEE May 3, 2007 Q, INTRODUCTION A meeting of the General Pension Advisory Committee was held on Thursday, May 3, 2007 in the Fort Walton Beach Council Chambers at 2: 00 p. m. with the following members present: Mark Wiltsie, Human Resources Director & Pension Chairman; Lisa Absher, Finance Director & Plan Administrator; Helen Spc:mcer, City CI~ rk; Tony Anderson, Adult Coordinator P& R; and Michael Beedie, Utilities Operations Manager Also present: Brandy Wunker, Sr.Accountant Also: telephone conference with Larry Cole, Investment Advisor from Merrill Lynch. CALL TO ORDER The meeting was called to order. The Chairman noted the objective today is to interview investment managers for the equity funds. Altheia Research and Management, Inc. Chad Cook, Vice President, Institutional Sales of Aletheia went over the firm' s growth performance; their value performance; their research disciplines, organizational chart, and firm ownership; the list of clients with assets under their management and the types of clients, and representative client list; their investment process and explained their portfolio risk controls; their buy and sell discipline; and Aletheia' s growth portfolio. In response to questions, Mr. Cook further went over the firm' s portfolio growth and sell discipline; and their fee schedule. Rigel Capital, LLC Todd Jessup,