Dennis Leone on pensions funds holding onto risky assets too long (Steve Mitchell -- what do you think?)

From Dennis Leone, May 13, 2010
Subject: RE: Ohio pension systems didn't move fast enough?

Hmmmmm, remember how – month after month – I begged the board to approve a mechanism that would trigger STRS getting out of certain stocks if abnormal circumstances caused them to suddenly go south? Couldn't get support for it. Mitchell said it wasn't necessary. He also didn't like my recommended provision that would require him to notify the board in the event that something extraordinary was happening. Nope.

DL

From John Curry, May 13, 2010

Yes, Dennis, I certainly do remember. For those affected by this great loss of funds, hindsight is 20/20 for those who suffered losses, isn't it? Even now, what do you bet that STRS won't adopt that "mechanism."

John

From Molly Janczyk, May 13, 2010

Dennis, There you go again - against the grain and not agreeing to agree so as not to make waves. What is the matter with you? A good board member should not question and should ALWAYS show unity. Once again the unions have what they want in unified agreement. I read the minutes and never see any dissent on votes. I admit I at times, don't bother with every month so maybe I missed one. Actually, as one STRS member stated to me, it is good that Stoll didn't win as it places one in such a position of negativity and frustration to actually raise issues and question STRS and he would never get a second anyway.