WASHINGTON - The AARP Investment Program, managed by Scudder, added six new mutual funds, including two asset allocation funds.
Added were: an S&P 500 tilt fund; a small-cap fund seeking out-of-favor companies; an international stock fund; and a bond fund. The two asset allocation portfolios will invest in other AARP funds without additional management fees.
Atlanta General Employees
ATLANTA - Gray & Co. was selected as the new investment consultant for the $513 million Atlanta General Employees' Pension Fund, confirmed Sheila Brown, a trustee. Gray replaces the joint venture between Watson Wyatt Investment Consulting and Washington Hackett, which was a finalist in the search.
ATTLEBORO, Mass. - The Attleboro Municipal Contributory Retirement System, with more than $28 million in assets, received regulatory approval to invest $1 million in non-U.S. stocks with Smith Barney, its first international stock manager, said Alison Ellsworth, the Segal Advisors consultant who assisted the fund.
Battle Creek Police and Fire
BATTLE CREEK, Mich. - Battle Creek (Mich.) Police and Fire Retirement System decided to split its $75 million in assets among five outside managers.
Hired were Rohr Asset Management for large-cap value; Oak Associates for small-cap growth; Loomis Sayles for corporate fixed-income; Grantry & Co., for international core equity; and Madison Investment for intermediate-term bonds. Old Kent Bank as trustee had handled all the fund's investments and will continue to run a total of $1 million in cash. McDonald & Co. assisted.
The California Endowment
WOODLAND HILLS, Calif. - The California Endowment named Boston Partners to handle a $98 million allocation to domestic small-cap stocks. Funding came from cash, said Jon Van Scoyk, finance manager of the $1 billion fund. Asset Strategy Consulting assisted.
Concord National Life
INDIANAPOLIS - Concord National Life Group hired Conseco Capital Management to manage $12 million in fixed income for the insurance company's reserve account. Asset Allocations had managed the entire $26 million in fixed income and will continue to handle the remaining part of the portfolio. Both firms will handle a broad spectrum of fixed-income investments.
Contra Costa County
CONCORD, Calif. - The $2 billion Contra Costa County Employees' Retirement Association hired Bankers Trust to temporarily manage a $55 million GDP-weighted international equity indexed portfolio. The money had been actively managed by an unnamed firm that was terminated for performance reasons, said Chuck Barron, the fund's assistant retirement administrator.
El Paso County
Segal's first job will be to do an actuarial evaluation of the fund, said Mike Cherry, plan administrator.
Fort Lauderdale Police & Fire
FORT LAUDERDALE, Fla. - The $250 million Fort Lauderdale Policemen's & Firemen's Retirement System hired Bank of New York as custodian, said Lynn Wenguer, pension administrator. It replaces SunTrust.
MONTREAL - Gaz Metropolitain hired Adenda Capital to manage a Canadian bond portfolio, said Edward Doucet, manager of its C$150 million (U.S. $111 million) pension fund. Adenda will be assigned 20%of the fund. Funding came from a reallocation. Sobeco Ernst & Young assisted.
INDIANAPOLIS - Indiana Energy replaced First Chicago NBD as fixed-income manager and trustee for its $75 million defined benefit plan.
PIMCO and Loomis Sayles will split the $23 million portfolio. Both firms will manage core fixed-income and below-investment-grade issues for diversification. Bank of New York replaced First Chicago NBD as trustee.
Oxford Financial Advisors assisted.
Investment Research Institute
CINCINNATI - The Investment Research Institute chose Fifth Third Investment Advisors as bundled provider to start a 401(k) plan for its 80 employees. Fifth Third will provide investment options, record keeping, voice response system, participant communications and education.
JASPER, Ind. - Kimball International restructured its $270 million pension plan after an asset allocation study, said Kenneth Sendelweck, vice president and assistant treasurer.
Seven new managers were hired: Brandes for international equities; Capital Technology and 1838 Investment Advisors, small-cap value; Pacific Financial Research, large-cap value; Hyperion and BlackRock, mortgage-backed securities; and INVESCO, intermediate-term and government bonds.
McDonald & Co. assisted.
Laborers Local 210
BUFFALO, N.Y. - Laborers Local 210 hired Marco Consulting Group to replace J.P. Jeannert Associates as consultant, said Frank Falzone, administrator.
Jeannert had a conflict of interest because it serves as a money manager for the $103 million pension fund.
Marco's first job will be to do an asset allocation study.
Jeannert will continue to manage an unidentified amount in a hedge fund for the pension fund. (cont. in Part 2)