City of Lansing
LANSING, Mich. - City of Lansing hired its first international managers for its $180 million police and fire retirement system and a new trustee for all of its retirement systems.
Walter Scott and Harding Associates will manage $4 million each in international equities. The $8 million will come from existing U.S. equity investments, said Steve Dougan, operations analyst. Also Northern Trust Co. is replacing First Chicago NBD as trustee for the $130 million general retirement system. Hannah Group assisted.
TOLEDO, Ohio - Libbey-Owens-Ford Co. hired two managers following a reallocation of its $290 million defined benefit plan. Hired were Genesis, to manage $14 million in an emerging markets portfolio, and Moody, Aldridge & Sullivan, to handle $28 million in the fund's first domestic midcap value portfolio.
Columbus Circle Investors and Newbold's Asset Management were terminated. Columbus, a large-cap growth manager, had its portfolio moved into a large-cap growth index fund because the fund wanted to boost passive management. Newbold, a large-cap value manager, was terminated because of both poor performance and a move from active large-cap management to indexing, said Jeffrey T. Bowman, treasurer. Newbold executives would not comment.
INDIANAPOLIS - Lilly Industries hired Washington Square Advisers to manage fixed income for its $83 million defined benefit plan. Washington will get at least a portion of $12 million. Greg Brown, audit and tax manager, declined to give the exact amount or say if Washington was replacing a terminated manager. Oxford Financial Advisors assisted.
NEWLAND, England - The Lincolnshire County Council Pension Fund has hired Schroder Investment Management to manage a 26 million pounds ($42 million) Japanese equity portfolio, said Melvyn Harrison, chief financial officer. The fund has 510 million pounds ($826 million) in assets.
Schroder replaces Daiwa International Capital Management (U.K.). Mr. Harrison said Daiwa had met its performance targets and the manager had been on the short list for the mandate.
The fund also hired Norwich Union Investment Management for newly created 25 million pounds global fixed-income portfolio.
London Borough of Sutton
LONDON - The London Borough of Sutton Superannuation Fund hired M&G Investment Management to manage a 64 million pounds ($105 million) global balanced portfolio, said George Walmsley, head of corporate finance.
M&G replaces CCLA Investment Management. Mr. Walmsley said trustees of the 126 million pounds ($207 million) fund decided to switch to a more aggressive benchmark. Watson Wyatt Partners assisted.
Mason Tenders District Council
NEW YORK - Mason Tenders District Council Trust Fund hired State Street Global Advisors as a passive domestic equity manager. The $200 million fund will put $10 million in State Street's Flagship Fund. Independent Fiduciary Services assisted.
BOSTON - NASL Financial Services named subadvisers to offer 17 new portfolios in its Venture Annuities roster and added seven additional portfolios managed by existing managers. Miller Anderson & Sherrerd was chosen to manage value equity and high yield portfolios; Pilgrim Baxter to manage a growth portfolio; Rowe Price-Fleming International for international stock; and Warburg Pincus for emerging growth.
Also, T. Rowe Price was selected for its science and technology portfolio; Founders Asset Management for its Worldwide Growth and balanced portfolios; and Manufacturers Adviser for its Pacific Rim emerging markets, quantitative equity, real estate securities and capital growth bond portfolios.
NEW BEDFORD, Mass. - The $100 million New Bedford Retirement hired Loomis Sayles to run $15 million in fixed-income. Funding has yet to be determined, said Timothy O'Connor, city auditor. Watson Wyatt assisted.
New Mexico Public Employees
SANTA FE, N.M. - The $5 billion New Mexico Public Employees' Retirement Association hired Smith Breeden Associates to manage a $500 million fixed-income portfolio of mortgage securities. Smith Breeden had managed the portfolio until July, when its contract was not renewed because of technical issues regarding state procurement rules, said Jeff States, investment director. The issues were clarified and a search was conducted. Putnam managed the assets in the interim.
New York State Teachers
ALBANY, N.Y. - The $55 billion New York State Teachers' Retirement System committed $25 million to Mesirow Capital Partners VII, said Candace Ronesi, a spokeswoman. Mesirow VII will make later-stage private equity investments and participate in management buy-outs.
Pennsylvania State Employes
HARRISBURG, Pa. - The Pennsylvania State Employes' Retirement System, Harrisburg, hired four managers to handle $175 million in real estate and private equity.
The $18 billion fund allocated $56 million each to Blackstone Real Estate Partners II and Westbrook Real Estate Fund II, and $38 million to Starwood Opportunity Fund IV, all for opportunistic real estate. The fund also hired Hancock International Equity Partners II, an international private equity fund-of-funds, for a $25 million allocation.
Townsend Group assisted on the real estate search; Cambridge Associates assisted on the private equity search.
PONTIAC, Mich. - Pontiac Retirement System committed $13 million to a commercial mortgage investment pool from Capozzoli Advisory for Pensions.
The $300 million City Employees Retirement System and the $177 million Policemen and Firemen Retirement Fund will place $6.5 million each with the real estate manager, which will come out of cash and investment income, said Pamela Hopkins, retirement coordinator for the city. Merrill Lynch Consulting Services assisted the city employees; Callan Associates is the consultant to the police and fire fund.
Princess House Inc.
NORTH DIGHTON, Mass. - Princess House Inc. hired INVESCO Retirement Plan Services Group as its bundled service provider for its $6 million 401(k) plan. Princess House declined to name the existing service provider. INVESCO will provide six diversified investment funds as well as record keeping and communications.
Rhode Island State
PROVIDENCE, R.I. - The Rhode Island State Investment Commission hired Schroder Capital Management International as the $4.7 billion pension fund's first emerging markets manager.
Schroder will handle almost $100 million. It already runs $244 million in a European-region equity portfolio for the fund, said Steve Klamkin, spokesman. Other finalists were Montgomery Asset Management and State Street Global. Wilshire Associates assisted.
The commission also hired Fidelity as administrator for its $83.6 million 457 plan. Aetna Life Insurance and Variable Annuity Life had offered a life insurance-based plan.
San Diego Foundation
SAN DIEGO - The San Diego Community Foundation, San Diego, hired two small-cap managers, said Bob Clelland, trustee of the $80 million fund.
Kestrel was assigned $3.2 million and Becker Capital, $9.8 million. Wurts & Associates assisted.
San Francisco City & County
SAN FRANCISCO - The San Francisco City & County Employees' Retirement System has approved an allocation of up to $20 million to ABRY Broadcast Partners III, an alternative investment fund. The limited partnership invests in broadcast and broadcast related properties.
The $7.5 billion city pension fund has about 3.8%of assets in alternative investments.
St. Louis Water and Sewer
ST. LOUIS - St. Louis Water and Sewer District hired two fixed-income managers to split a $25 million portfolio that had been run by Patterson Capital. Llama Asset Management will manage $5 million; Income Research & Management will run $20 million.
Karl Tyminski, executive director of the $85 million system, said the change was made for structural rather than performance-related reasons.
Also, he said, the district's $10 million 457 plan changed fixed-income options, picking the Vanguard Total Bond Index Fund to replace the Federated Short/Intermediate Bond Fund.
University of Massachusetts
BOSTON - The University of Massachusetts endowment fund committed $1.5 million to a western Massachusetts-focused venture fund managed by Kestrel Venture Management, said Robert Lyons, executive director of the fund. The hiring is part of a newly created 5%allocation to alternative investments for its $55 million endowment fund.
University of Michigan
ANN ARBOR, Mich. - The University of Michigan allocated 2%of its $2.2 billion in mostly endowment assets to passive commodities, said Norman Herbert, treasurer.
First Quadrant, an existing manager, will handle the $66 million allocation tied to the Goldman Sachs Commodities Index for Michigan's long-term portfolio, which is mostly endowment assets. Also, Michigan committed $20 million to Advent Realty Fund IV, a real estate fund managed by TA Associates. No further information was available.
Wayne County Retirement
DETROIT - Wayne County Retirement System selected Smith Barney Futures to run $10 million in managed futures for the $1 billion system, said Joseph Magda, executive secretary.
Smith Barney will act as a manager of managers in a separate account for the system, he said.
BRADFORD, Pa. - Zippo Manufacturing hired Diversified Investment Advisors to manage a high-yield bond fund for its almost $50 million pension fund, said Robert R. Jackson, chief financial officer. The size of Diversified's allocation was not available. Funding came from a reallocation.