Chicago police pension fund gets help to pick new executive director

Updated with correction

Chicago Policemen's Annuity & Benefit Fund hired executive search firm DHR International to help the $3 billion pension fund's search for a new executive director, confirmed Samuel Kunz, chief investment officer, in an e-mail.

John J. Gallagher will resign from the pension fund on Friday to become executive director of the $12.4 billion Ohio Police & Fire Pension Fund, Columbus. Regina Tuczak, comptroller, will be acting executive director.

An RFP for an executive search firm was issued in October.

Separately, the pension fund named finalists for active non-U.S. developed markets small-cap equity and active emerging markets equity mandates.

The non-U.S. developed markets small-cap equity finalists are Acadian Asset Management, AQR Capital Management, Copper Rock Capital Partners, Franklin Templeton (BEN) Investments (BEN), Goldman Sachs Asset Management and Oberweis Asset Management.

The emerging markets equity finalists are Batterymarch Financial Management, EARNEST Partners, Eaton Vance (EV) Management (EV), Glovista Investments, Lazard Asset Management, Neuberger Berman, Victoria 1522 Investments, William Blair & Co. and PanAgora Asset Management.

The number of managers that will be hired has not been determined; the pension fund is expected to allocate 6%, or $180 million, to emerging markets and 4%, or $120 million, to developed markets equity. A selection is expected late this year or early in 2013.