Peabody Holding Co., St. Louis, is conducting an asset allocation/liability study for its $420 million defined benefit plan. The study should be finished in the next couple of months, said Roy H. Wood, assistant treasurer. He said he was ``pretty sure'' changes would be made in the manager lineup following the study. Hewitt Associates is assisting.
Chicago Area Pattern Makers pension plan board, La Grange Park, Ill., will discuss investing in real estate at its April meeting. The $114 million Taft-Hartley plan had about 10% in real estate many years ago but has no money in that asset class now, said Judith Kot, administrative manager.
She said the board is in the early stages of the discussion.
Marco Consulting is assisting.
Actuarial firm Milliman & Robertson is starting a pension consulting practice to leverage its knowledge of pension liabilities to help clients manage their plans.
John Ehrhardt, a consulting actuary with M&R, said the firm has done ad-hoc consulting projects for some of its actuarial clients over the last decade and some investment options selection for some defined contribution record-keeping and administration clients.
F. Jeffrey Van Orden, managing director of the new investment consulting services unit, joined M&R in January to build the consulting staff and client relationships. He was marketing director of Newbold's Asset Management.
ANZ Emerging Markets Fund Management today launched an emerging markets bond fund. The open-end unit is geared toward institutional and other sophisticated investors; it will invest in local currency debt . ANZ is part of Australia and New Zealand Banking Group.
SEARCHES & HIRINGS
State Universities Retirement System of Illinois, Champaign, is searching for a global custodian, said James M. Hacking, executive director of the $7.5 billion fund. Mr. Hacking said all of the major custodial banks - including incumbent Northern Trust - submitted RFPs and no other candidates are being sought. The system could make a decision this month.
Texas Firefighters' Pension Commission, Austin, selected four finalists for consultant. The $21.5 million fund is considering John Vann Co., Pension Consulting Services, Investment Consulting Services and Merrill Lynch. John Vann Co. is a new firm started by the fund's former consultant John Vann, who left incumbent Dean Witter Investment Services in August. A new consultant should be chosen at the board's June 5 meeting, said Helen Campbell, administrator.
Otter Tail Power Co., Fergus Falls, Minn., hired J.P. Morgan as domestic fixed-income manager for its $122 million defined benefit plan.
The firm will handle a $46 million portfolio, replacing Investment Advisers. Fund officials decided to change after Investment Advisers portfolio manager Mark Simenstead left the firm, said Bruce Clark, manager-compensation and employee benefits. Investment Advisers officials could not be reached for comment. Mercer Consulting assisted.
The fund also is involved in a manager search that should be finished by late April. Mr. Clark declined to elaborate.
U.S. Global Investors hired Global Strategic Management to run a new global fund, the Adrian Day Global Opportunity Fund. Adrian Day, president of Global Strategic, is portfolio manager. The fund will invest primarily in large-cap stocks worldwide.
Atlas Capital Group, Toronto, a manager-of-managers, appointed Marvin & Palmer Associates as the new manager of its C$10 million (U.S. $7.3 million) Atlas Pacific Basin Value Fund.
Sue Dabarno, president of Atlas, said previous manager Edinburgh Fund Managers was terminated for performance reasons. Lloyd Beat, managing director, North America, of Edinburgh Fund Managers, responded: ``The mandate of the fund has always been to cover the whole Pacific Rim. The benchmark Atlas set for the fund was a 50% Japanese weighting, and we managed the fund in accordance with the weighting. I understand now that Atlas wants to reposition the weightings of the fund.''
Atlas, said Ms. Dabarno, is in the process of consolidating the large number of money managers used in managing its funds. Marvin & Palmer already runs two other funds for Atlas with a total of C$20 million (U.S. $14.6 million).
Patrick Sullivan and Adam Berger, both directors, left AEW Capital Management. Sources say they left to start their own firm. Also, Greg Shea, an AEW senior vice president, is leaving to become the president of Allright Parking, an operator of parking lots. AEW and Apollo Real Estate Partners II bought the company in 1996.
Messrs. Sullivan and Berger will be replaced from within. Information about replacing Mr. Mr. Shea was not immediately available