As China resumed rule of Hong Kong at noon Eastern time, China-linked stocks rallied in Singapore. Overall, its Straits Times industrials index was up 13.58 points to 1987.95.
The Taiwan market was up a slight 5.8 points to 9030.28. The Nikkei 225 in Japan was up 81.21 points to 20604.96.
The Dow Jones industrial average was down 21.94 points to 7665.78 around 1 p.m. The Hong Kong stock market, closed for three days for the celebration, will reopen Thursday. The Chinese stock markets were to be closed Monday and Tuesday.
Banque Nationale de Paris formed a new money management subsidiary, BNP Gestion, with 254 billion French francs ($43.4 billion) in assets under management. The new unit will be headed by Gilles de Vaugrigneuse, previously head of the bank's money management operation.
Jacques Cachuex, formerly in charge of institutional marketing, will be CIO for the unit's 43 portfolio managers. Gilles Gilcenstein will be in charge of domestic and international marketing and business development.
In addition, BNP rolled out three new SICAVs (akin to mutual funds) to invest in euro-based instruments for fixed-income and for large- and small-cap stocks.
Laclede Gas Co., St. Louis, is considering whether to retain Bankers Trust as trustee for its $250 million defined benefit plan and $80 million defined contribution plan.
The board's current trustee is NationsBank, whose custody business is being bought by Bankers. The board will decide in the next month or two, said James Fallert, manager of financial services.
SEARCHES & HIRINGS
Falmouth City (Mass.) Retirement System, with $35 million in assets, interviewed five finalists in its search for a balanced portfolio manager - Cutler, J&W Seligman, David L. Babson, Bear Stearns Asset Management and Safeco Asset Management, said Margaret Corellis, administrator. The fund has its entire portfolio in a balanced fund with Bear Stearns. Trustees will pick a manager at the July 29 board meeting. The Hannah Group is assisting.
BC Telecom Inc., Burnaby, British Columbia, hired Bimcor for a C$100 million Canadian bond index fund, said Garnet Andrews, cash and investments manager for the C$960 million (U.S.$700 million) pension fund. Funding will come from cash flow and a reallocation from bond managers; none will be dropped. Brockhouse and Cooper assisted.
Carnegie United Kingdom Trust, Dunfermline, Scotland, terminated its sole manager, Schroder Investment Management and appointed Glasgow Investment Managers to run the £29 million (U.S. $48 million) portfolio, confirmed John Naylor, secretary and treasurer of the fund.
``We weren't happy with the performance of Schroders,'' said Mr. Naylor.
The bulk of Glasgow's new mandate will be invested in U.K. equities with a target of besting the FT/SE All-Share Index by at least 1 percentage point a year. Glasgow was selected because it had an excellent performance track record and its chemistry was compatible with that of the trust, said Mr. Naylor. An official at Schroder declined to comment.
Norman (Okla.) City Retirement System hired Fidelity Investments Public Sector Services as bundled service provider for its $18 million 401(a) defined contribution plan. The plan now will offer participants 10 Fidelity investment funds, including four lifecycle funds. The fund previously was managed and administered by Diversified Investment Advisors, with investment decisions made by the board of trustees, a fund spokesman said.
Evangelical Lutheran Good Samaritan Society, Sioux Falls, S.D., hired Piper Capital Management as administrator and manager for its $30 million Short Asset Management Fund, a cash portfolio. Piper also will administer the $220 million Helping Hands Fund. The two funds invest money on behalf of the society's centers, nursing homes and central office.
Piper replaces Voyageur Asset Management, which sold its administrative business. Voyageur will continue to run $50 million in long-term fixed income for Helping Hands, said Thomas Peterson, finance director. Merrill Lynch assisted.
Clara Abbott Foundation, Abbott Park, Ill., hired Oak Associates to manage a U.S. equity portfolio, after conducting an in-house search. Barry Wojtak, executive director of the $250 million foundation, would not reveal the size of the portfolio. The funding will come from existing managers, none of which was terminated. Sierra Health Foundation, Sacramento, Calif., hired Boston Partners to manage $5 million in U.S. midcap equities.
The new allocation was funded through rebalancing of existing portfolios, said Len McCandliss, president of the $140 million foundation. No managers were terminated. Arnerich & Massena assisted