SEARCHING & HIRINGS
Nestlé S A's pension fund will pick managers to run 7% of its 5 billion Swiss franc ($3.4 billion) in assets in private equities and hedge funds in the second half of the year.
Jean-Pierre Steiner, vice president and corporate pension director for the Vevey, Switzerland, fund, said an asset/liability study concluded four months ago recommended increasing alternative investments to 14% from 1% to 2%. The fund invested half of that allocation in emerging markets equities; he declined to name the firms. The remaining 350 million francs will be split among venture capital, mostly in the United States; U.S., Asian and European private equity; and hedge funds.
Buck conducted the study. The new asset mix is 51% equities, 20% bonds, 15% real estate and 14% alternatives.
School Employees Retirement System of Ohio, Columbus, committed to two real estate commingled funds, confirmed CIO Paul Kubinsky. The $5.3 billion fund committed $25 million to the Koll/Bren Opportunity Fund IV and $25 million to the Allegis/Aetna Real Estate Separate Account. Funding came from cash.
Yeshiva University endowment, New York, with $500 million in assets, hired Vinik Overseas Fund, said Bernard Pittinsky, director-finance. Vinik will run a $15 million hedge fund investment. Assets came from cash flow.
CORRECTION: Boston Partners will manage large-cap equities for Watertown Contributory Retirement System. The asset class was stated incorrectly in yesterday's P&I Daily.