Texas Municipal Retirement System, Austin, hired State Street Global Advisors and UBS Global Asset Management to run $400 million each in rules-based equity portfolios, confirmed Bill Wallace, spokesman for the $19.8 billion pension fund.
Both managers will run $200 million each in domestic and international equity portfolios, Mr. Wallace wrote in an e-mail.
The hires are part of the pension fund's ongoing diversification strategy. The diversification plan calls for a 35% allocation to equities, of which 50% is in core/passive investments and 50% is in rules-based and active management.
These are the pension fund's first allocations to rules-based strategies, and they will be funded from the passive equity portfolio, Mr. Wallace said.