First ING Life of New York is searching for a subadviser for a global balanced portfolio for a new variable annuity product. The firm hired Tremont Advisors to conduct the search. So far, one finalist has been identified but the firm is still searching for others.
Several other subadvisers have been hired: Gabelli for a value fund and global telecommunications fund; Bee & Associates, international equity; Fischer, Francis for global bonds; and Stonehill Capital, domestic growth equity. The subadvisers will be paid under a fulcrum fee arrangement, which is highly unusual in the variable annuity business. In addition, the managers are required to invest $1 million in each of their portfolios. The product was designed by Palladian Marketing Group, which will distribute the funds.
