LOS Angeles County Employees Retirement Association, Pasadena, Calif., terminated UBS Asset Management as a corporate bond manager and divided the $825 million equally among IDS Advisory, Western Asset Management and Loomis Sayles. The three are existing managers for LACERA.
The board of the $10 billion pension fund made the changes following recent personnel departures at UBS. UBS Managing Director George Jamgochian declined to comment.
Staff of the California Public Employees' Retirement System, Sacramento, is seeking approval at a board meeting next week to issue an RFP for a small-cap passive U.S. equity index manager. If approved, the RFP will be posted on the Internet.
Dimensional Fund Advisors is the $110 billion fund's current passive small-cap U.S. equity manager, running $1.2 billion. Questionnaires are expected to be due in July. Semi-finalists should be chosen in September and a contract awarded in January 1998. CalPERS does manager searches every few years.
Ann Arbor (Mich.) City Employees Retirement System terminated Lexington Global Asset Managers as a U.S. bond manager. The $50 million will be put in State Street Research's Lehman aggregate index fund, while a fixed-income portfolio review is completed. The review is expected to be completed by the end of the quarter, said Robb Hubbs, retirement administrator for the $300 million fund. It has yet to be determined if Lexington will be replaced. Callan is assisting.
East Bay Municipal Utility District Employees' Retirement System, Oakland, Calif., plans to eliminate the real estate allocation for its $375 million fund, said Lloyd J. Sawchuk, treasury manager. The fund has a 5% allocation, although only 2% is invested. Investments will be liquidated as they mature. Names of the managers weren't available.
Wisconsin Deferred Compensation Plan renewed the contract with its full service provider, National Deferred Compensation. Mary E. Willett, director of supplemental retirement plans, said the $600 million plan would renew the contract contingent on successful negotiations. Ms. Willett said the Wisconsin 457 plan is considering adding either a self-directed brokerage or mutual fund window option later this summer.
USF&G Corp. and the Teachers Insurance and Annuity Association formed Light Street Partners, a real estate investment partnership with $164.5 million in assets. USF&G Realty Advisors, the insurance company's real estate affiliate, is managing the partnership, which is investing in suburban office buildings around the country.