The Cable & Wireless P.L.C. Superannuation Fund is close to commissioning an asset/liability study, said Dean Johnson, secretary of Cable & Wireless Custodian Trustee Co., Milton Keynes, England.
`The £1.1 billion ($1.85 billion) had planned a study last year, but it was deferred because of various sales and acquisitions. Mr. Johnson said incumbent consultant Watson Wyatt, ``probably'' would get the nod, added that fund officials are looking at other options.
Separately, the fund has hired Northern Trust as its global custodian. Northern Trust takes over custody from five of the fund's managers: Schroder Investment Management, PDFM, Fleming Investment Management, Dresdner RCM, and J.P. Morgan (for U.S. equities). About 8% of assets already had been custodied with Northern Trust. Watson Wyatt assisted.
Allegheny College, Meadville, Pa., will consider a search for a real estate manager if an increase in its real estate allocation is approved for its $80 million endowment fund.
The college's investment committee is expected to make a decision on boosting the current $300,000 real estate allocation and by how much next month, said Randy Freebourn, director of budget and treasury manager. The endowment now uses The Common Fund and, if an increase is approved, it is likely the fund will seek additional managers, he said.
Cambridge Associates is assisting.
Dekalb Employees Retirement System, Decatur, Ga., may hire an investment manager as early as next month, said Betty Barton, administrator and employee benefits manager. Officials at the $800 million county fund have interviewed several managers, but Ms. Barton wouldn't say for what asset class. Funding probably would come from investment income. A decision is expected at next month's board meeting. Callan is assisting.
Frank Russell developed a specialized U.S. small-cap fund-of-funds for Société Générale Asset Management, France's largest mutual fund manager, which will offer the product to its clients.
Barclays Global Investors, WestPeak Investment Advisors and Fiduciary Trust Co. International will manage the money.
Alban Tractor Co., Baltimore, added the T. Rowe Price Growth Stock Fund and The Vanguard Group Growth Portfolio Fund as options in its $40 million defined contribution plan, said Steve Scherer, personnel manager. Alban also dropped Fidelity's Institutional Equity Fund because of turnover in portfolio managers, Mr. Scherer said. The Alban plan now has seven investment options.
Mercantile Safe Deposit & Trust assisted in the changes.
SEARCHES & HIRINGS
Contra Costa County Employees Retirement Association, Concord, Calif., plans to search for an international equity manager for its $2.2 billion pension fund, said Chuck Barron, assistant retirement administrator.
The manager will be assigned $70 million. The fund plans to issue RFPs next month for a top-down, EAFE-mandate manager. Funding will come from a Bankers Trust international index fund the fund uses as a temporary allocation. Dorn Helliesen & Cottle is assisting.
Ann Arbor (Mich.) City Employees' Retirement System is launching a search for a manager to handle $43 million in a core-plus fixed-income portfolio. RFIs will be launched within the next four weeks with the entire search process taking eight to 12 weeks, said Robb Hubb, retirement administrator for the $325 million fund. The board approved a 40% fixed-income allocation to be split in thirds between core U.S. bonds, indexed bonds and a core-plus portfolio.
The search criteria call for a manager with skill in duration management and ability to handle up to 10% in U.S. high-yield bonds and 10% in international bonds.
Callan is assisting.
Denver Board of Water Commissioners hired DeMarche Associates as a consultant on a project basis to complete an asset liability/allocation study for its pension fund.
The $150 million fund is still in contract negotiations with the firm, but expects to start the study shortly with results by the November board meeting, said Kathryn Corry, manager of treasury operations. The fund wanted to take a good look at cash flows and determine if changes need to be made in asset allocation, she said.
WHO'S NEWS
Donald E. Doherty has been appointed senior sales vice president-retirement services at State Street Research & Management, a new position.
`Mr. Doherty will market retirement plan products and services to the brokerage industry and defined contribution consultants. Mr. Doherty was marketing representative with John Hancock Funds, where he has not been replaced
