American Hospital Association
CHICAGO - The American Hospital Association Investment Program, Hewitt Associates' customized investment plan for hospitals and their employees, added two managers to the fixed-income portion of the program.
Neuberger & Berman and Western Asset Management each will manage $20 million in the full maturity fixed-income option. They replace Bankers Trust and Criterion Investment Management, which were terminated for performance reasons, a Hewitt spokesman said.
Officials at Bankers and Criterion (which recently was acquired by Nicholas-Applegate Capital Management) declined to comment.
The AHA Investment Program has $350 million in assets in four funds.
California State Teachers
SACRAMENTO, Calif. - The $17 million 403(b) program of the California State Teachers' Retirement System named two investment managers and added a self-managed brokerage account option.
Hired were Morley Capital Management for a stable value fund and California Investment Trust Fund Group for an S&P 500 index fund.
In addition, the fund will include a self-managed option from State Street Brokerage Services enabling participants to invest in a selection of 1,500 mutual funds for a small annual fee and transaction costs.
Before the hires, PNC Bank's Provident Institutional Fund's TempCash Prime Money Market Portfolio was the only investment option.
Donaldson Lufkin & Jenrette
NEW YORK - Amivest Capital Management has been added to the roster of portfolio managers for the Pershing Peak II Plus wrap account program offered by Donaldson, Lufkin & Jenrette.
Amivest will offer no-load mutual funds mirroring its equity, fixed-income and balanced portfolios, but with a minimum account size of $75,000 instead of Amivest's usual $1 million minimum.
HOUSTON - The $865 million Houston Firemen's Relief and Retirement Fund hired GW Capital to manage a $40 million fixed-income portfolio, said Danny J. Bowers Jr., CIO. GW was hired following a minority- and women-owned investment firm search, and will be funded from assets transferred from a manager terminated last year that Mr. Bowers declined to identify.
BOSTON - Trustees of the $4.9 billion Massachusetts Pension Reserve Investment Management Board voted to hire The Townsend Group as its real estate consultant, said Gregory White, executive director. Townsend replaces Boston Financial Group, which resigned at the end of 1994, said Mr. White. Townsend will serve a three-year term.
Memorial Health System
SOUTH BEND, Ind. - The $42 million Memorial Health System pension fund hired Putnam Investments to manage a third of the fund.
Putnam replaced Munder Capital Management, which was terminated for performance reasons, said David Sage, chief operating officer.
Munder officials didn't return telephone calls by press time.
The fund's assets are divided evenly among three managers, Mr. Sage said.
There is no set investment style managers must follow; each manager is expected to achieve 4% over inflation on an annual basis and is allowed to invest up to 60% of its share in equities.
EAST CAMBRIDGE, Mass. - The $325 million Middlesex County Retirement Board hired Cutler & Co. to run $10 million in domestic small-cap stocks, said Jack Walsh, executive director.
The move is the first time in some years the pension fund will employ such a specialty manager, although some of its existing managers have a part of their portfolios in small-cap equities, he said. Funding came from cash. Hannah Group assisted.
HARRISBURG, Pa. - The $450 million Pennsylvania Municipal Employees' Retirement System has hired Provident Capital Management to run $10 million in small-cap value equities, according to Jim Allen, secretary to the board.
The fund's board also has voted to retain Segal as its actuarial consultant, for another five years.
Assets for the Provident hire came from a reduction in a small-cap growth portfolio run by Putnam and cash flow.
Pennsylvania State Employes'
HARRISBURG, Pa. - Trustees of the $14 billion Pennsylvania State Employes' Retirement System voted to hire Pareto Partners and Record Treasury Management for currency overlay, said Geoffrey Yuda, board spokesman. Each firm will be authorized to hedge an average of $350 million in foreign currency exposure.
The trustees also voted to allocate $100 million each to Fidelity Management Trust Co. and J.P. Morgan Investment Management Inc. Both firms will manage an active risk controlled S&P 500 portfolio. Trustees also voted to commit $20 million to venture capital investment manager Weston Presidio Capital II L.P.
Teamsters, Central States
ROSEMONT, Ill. - Morgan Stanley, the named fiduciary for the $12.3 billion Teamsters, Central States, Southeast & Southwest Areas pension fund, received court approval to hire Boston International Advisors.
According to court documents, Boston International will manage an emerging markets equity portfolio. The amount is not known.
Separately, court documents also show Morgan Stanley received approval to hire Provident Investment Counsel. Although the documents are not explicit, they indicate Provident was seeking a rehiring following its purchase by United Asset Management.