Taiwan's Labor Insurance Fund, Taipei City, hired Stone Harbor Investment Partners, BlueBay Asset Management and Templeton Asset Management to each run a $150 million emerging markets debt strategy, according to an announcement on the fund's website.
The fund, which had NT$546 billion (US$18.7 billion) in total assets as of Sept. 30, has been gradually increasing overseas exposure. As of Sept. 30, the Labor Insurance Fund invested about 42% of its assets overseas, mostly in cash or cash-equivalent securities. Two years ago, the fund had about 35% of total assets allocated overseas.
Within the overseas portfolio, about NT$137 billion was invested in bonds as of Sept. 30, compared with NT$79 billion at the end of the third quarter in 2010. About NT$73 billion was allocated to overseas equities as of Sept. 30, compared with NT$35 billion two years ago.
Further information about how the new emerging markets debt mandates were funded could not be learned by press time.