Frontier Corp., Rochester, N.Y., is in the final stages of hiring a U.S. fixed-income manager and has committed to two alternative investment funds following an asset-liability study of its $475 million defined benefit plan.
The fund will decrease equities and increase bonds to 25% from 13% to 14%, said Joseph Enis, treasurer. Equities make up roughly 80% of the portfolio, with almost 60% in U.S. equities.
The investment management committee is still deciding how much equities will be cut, Mr. Enis said.
The fund invested $5 million each in the Cornerstone Equity Partners fund and Heritage Asset Management's small-cap emerging markets private equity closed-end mutual fund. RogersCasey assisted.
A new fixed-income manager is expected to be chosen in early February. It is too early to tell how much will be given to a new manager or if some of the increased allocation will be given to existing managers, Mr. Enis said.