American Airlines, Fort Worth, Texas, is searching for a master trustee to replace NationsBank, which is exiting the business. NationsBank is trustee for the company's 401(k) plan, defined contribution plan and defined benefit plan, with a combined total of $9.1 billion in assets. A new master trustee should be hired sometime in 1997, said Nancy Eckl, vice president of AMR Investment Services. Fund executives plan to meet with Bankers Trust officials this week, she added. Bankers Trust last week announced plans to buy NationsBank's trust business.
The City of Ocala (Fla.) Employees' Retirement Plan, with $54.7 million in assets, will name finalists May 6 in a search for a balanced manager, said Glen L. Baker, the city's finance director. The plan wants to replace Barnett Capital, which runs $22.6 million, because of ``mediocre performance,'' he said.
The City of Ocala Firefighters' Supplemental Pension Plan, with about $6.8 million in assets, and the City of Ocala Police Officers' Supplemental Pension Plan, with $10.3 million, are ``sitting and listening'' in on the search, said George V. Robinson, trustee of the police pension fund. Both have their assets split between Barnett and Manning & Napier. Merrill Lynch is assisting. The police fund is ``not particularly displeased with Barnett'' but is open to other firms, he said.
Barnett officials could not be reached for comment.
BARRA Inc. reported income of $4.6 million for the quarter ended March 31, up 91% from the same quarter a year ago. Operating revenue was $29.4 million for the quarter, a 42% increase. BARRA's results were restated to reflect its combined results with RogersCasey & Associates. Revenue from the core analytics and consulting businesses of BARRA and RogersCasey increased 14% from the same quarter a year ago.
Revenue from Symphony Asset Management and the asset management segment of RogersCasey totaled $8.1 million for the quarter, up from $2.1 million for the same quarter a year ago. Symphony has $1.2 billion under direct management and another $600 million in private equity that it assumed from RogersCasey.
The investment banking firm of Cowen & Co. closed Polaris Fund II, a $125 million private equity fund that will provide capital to emerging technology companies in Israel. Among the investors in the fund are Cowen, Travelers Group, Hancock Venture Partners and Chase Capital. Amounts for each investor were not released.
The fund is oversubscribed from its original $75 million target. Polaris Fund II is managed by DS Polaris Ltd. and sponsored by Dovrat, Shrem & Co. Ltd., an Israeli investment bank.
Most family business owners do not have a formal plan for managing either their companies' pension assets or their families' personal assets, according to a survey by Arthur Andersen and MassMutual. Of the respondents, 84% said they do not have an investment policy for pension assets and 93% of respondents do not have a documented investment policy for the family's personal assets.
Penn Mutual Life Insurance added funds from four outside money managers to its stable of variable annuity and variable life products: Robertson Stephens-Emerging Growth fund; Morgan Stanley-Emerging Markets Equity; Neuberger & Berman-AMT Partners portfolio, a midcap value fund; and Fidelity VIP II Index 500 portfolio, a passive fund.
Fidelity and Neuberger also run other funds offered by Penn.