SEARCHINGS & HIRINGS
The State Insurance Fund Corp., San Juan, Puerto Rico, hired five managers to run a total of $200 million in workers compensation assets, said Remigio F. Antunez, executive assistant to the administrator. Putnam Investments was hired to manage $32 million in growth equities; Schroder Wertheim, $48 million in value equities; and Bear Stearns, $30 million in a total return fixed-income strategy. Furman Selz and Wellington Management will divide $90 million in intermediate bonds.
The hirings followed a change in the insurance fund to a corporation run by a board of directors, as opposed to being a government agency, he said. Depending on performance, more money could be given to the five managers, or the Puerto Rico Government Development Bank, which manages $250 million in active strategies and $450 million in highly liquid conservative securities for the insurance fund. Smith Barney assisted with the searches.
Michael Baker Corp., Coraopolis, Pa., hired Putnam Investments to provide fully bundled, daily-valued services for its $40 million 401(k)/ESOP plan. Eight diversified Putnam funds, plus a company stock option, will be the plan's new investment options. Putnam will perform record keeping, administration, trust, employee communication and investment education services, said Donald J. Nelson, executive vice president-communications and corporate development.
Putnam replaces Dreyfus Retirement Services. Hewitt assisted.
The $75 million Lowell (Mass.) Retirement System hired QCI Asset Management to manage stock distributions from venture capital funds, said James T. Kennedy, chairman of the board. Under state law, the system can only hold stock for 60 days after it is distributed by venture capital funds. Mr. Sullivan estimated QCI could have as much as $5 million by the end of next year.
The Chicagoland Chamber of Commerce selected John Hancock Funds to provide a turnkey defined contribution plan program for its 2,000 members, one of the first such programs offered by a chamber of commerce. Members will have access to all John Hancock mutual funds, with daily-valued record keeping, trust and administrative services, employee education and communications and a toll-free voice response system. Mark Wilson, a spokesman for the Chicagoland Chamber of Commerce, said that by combining the assets of many small plans, member companies will have access to Hancock's funds without paying a front-end sales charge.