STAMFORD, Conn. - The $28 billion IBM Corp. pension fund is close to hiring a group of firms to run part of the $8 billion it is moving to outside managers, said James K. Peterson, director-investment management, who oversees external investment relationships.
Ark Asset Management Co., New York, is rumored to have been hired to manage equities; officials at the firm couldn't be reached for comment.
Solon Asset Management, Walnut Creek, Calif., also is rumored to have been selected. Officials of the fixed-income firm, which specializes in mortgaged-backed and Treasury securities and uses derivatives, refused to comment.
Mr. Peterson said he would not comment on any hirings until they are completed, possibly this week.
Mr. Peterson said the impending hirings will represent "a fairly sizable amount."
Mr. Peterson declined to specify how much money or how many managers will be hired by the IBM fund.
He said IBM still will be looking for other managers to handle that part of the $8 billion not assigned to these new hires.
IBM is moving all $8 billion of its actively managed assets run in-house to external managers as part of a move to drastically cut its pension staff to an estimated 10 or fewer from the original 60 (Pensions & Investments, March 7 and May 16).