Saint John pension board 'sterling,' says expert

An investment expert offered a glowing assessment of Saint Johns pension plan and its board of trustees in the Court of Queens Bench on Wednesday.

Vaino Keelman, of API Asset Performance Inc., a national investment consulting firm, said the performance of the citys plan has been "fantastic" compared to other plans he monitors.

And he described the board as being "very astute."

Keelman was testifying in the defamation lawsuit against former city councillor John Ferguson.

The pension board is suing Ferguson for allegedly defamatory comments he made in 2005 about the board's handling of the pension fund, which had a $47-million deficit at the time and has since ballooned to about $193 million.

The board uses API to monitor its funds and the performance of its investment managers, the court heard.

The company does not recommend investments, but keeps track of investments and gives independent advice on performance against the market or similar funds, said Keelman.

His testimony that the Saint John plans performance has been "fantastic" surprised even the boards lawyer, Barry Morrison, who called him as a witness.

"Really, I wasn't expecting that answer," Morrison said.

Keelman said he has nothing but the highest regard for the Saint John pension fund and the board that runs it.

He would not keep any client without a "sterling" reputation for the sake of his own reputation, he said, adding that any professional who has dealt with the Saint John board has been impressed with its professionalism and has told him so without prompting.

"You say you only deal with clients with sterling reputations?" Fergusons lawyer, Gary Faloon, asked during cross-examination.

"That's right," said Keelman.

"Do you still do business with the Saint John pension board?" asked Faloon.

"Yes," Keelman replied.

"John Ferguson's statements didn't cause you concern?" asked Faloon.

Keelman told the court hes not familiar with those statements.

The trial, now into its fourth week at the Charlotte Street courthouse, is scheduled to last six weeks.