New York State Teachers' Retirement System's board of directors voted to keep Baring International on watch, despite a closed-door presentation by two Baring staffers to the board at last week's meeting.
Baring was put on watch by the Albany-based $58 billion system April 29, shortly after the president of Baring North America, Philip Bullen, took a job with Banco Santander.
Baring manages $172 million in active international equity and $665 million in active/passive international equity for the system.
The $385 million foundation's board hired both firms with the intention of consolidating the portfolios at a later date, said Thayer Tutt, president and CIO. MacKay Shields now will run $23 million, including the $7 million Harris had managed.
The IRS is giving employers plenty of time to amend their pension plans to comply with changes in regulations made as a result of three laws - the Small Job Protection Act of 1996, the Uruguay Round Agreements Act and the Uniformed Services Employment and Re-employment Rights Act of 1994. The IRS will give employers until the end of 1999 to comply.
City of Regina, Saskatchewan, is searching for at least four domestic managers - core equity, bond, small-cap stock and balanced - for its C$540 million ($748 million) defined benefit fund. Allocations to each haven't been decided.
RFPs are due back Aug. 27. The fund now has balanced portfolios with Conner, Clark & Lunn Investment Management and Altamira Management. Both firms will be included in the in-house search, said Randy Garvey, director of support services. The fund might hire more than one manager in the core equity and fixed-income mandates, he added.
The fund also hired SEI Capital Resources to complete an asset liability/allocation study by the end of September.
The Morgan Stanley Capital International World Index advanced 4.5% in dollar terms in July, well ahead of the 1.5% increase in the MSCI EAFE Index and the 1.3% gain in the MSCI Emerging Markets Free index.
Among developed markets, Finland's 10.8% return led the pack, followed by Germany's 9.7% gain and the Netherlands' 8% rise. Malaysia trailed with a 9.7% decline. Among emerging markets, the best performers in order, were Pakistan, up 29.7%; China non-domestic (Chinese companies listed in Hong Kong and New York exchanges, and not listed on the Shanghai and Shenzhen exchanges), with a 24.4% rise; and Russia, up 16.5%.
AMC Entertainment, Kansas City, Mo., will add an equity index fund from current provider Principal Financial Group to its more than $30 million defined contribution plan. Jim Beynon, treasurer, is not sure when the new fund will be added. The plan has eight options. He expects AMC gradually will drop the plan's balanced funds in favor of adding more index funds from Principal.
Mount Holyoke College, South Hadley, Mass., committed $27.5 million to alternative investments for its $290 million endowment fund. Fund officials made commitments to OCM Real Estate Opportunity Fund, Spinnaker Technology Offshore Fund, Ulysses Offshore Fund and Omega Overseas Partners, said Jan Albano, director of treasury operations. She would not disclose the amount committed to each.
Separately, the college awarded an additional $2.5 million to two Scudder, Stevens and Clark portfolios. The fund will now have $43.5 million in the Scudder International Investment Trust and $19 million in Scudder's Emerging Markets Portfolio.
Funding for all commitments will come from its share of the liquidation of the Odyssey Partners hedge fund, which totaled $50 million. Cambridge Associates assisted.
The Alfred I. Dupont Testamentary Trust & Nemours Foundation, Jacksonville, Fla., with $200 million in assets, hired Putnam and Montag & Caldwell to manage core growth equity portfolios. In addition, Sanford C. Bernstein and Delaware Investment Advisors were hired to manage large-cap value portfolios and Cadence Capital Management was retained for a midcap equity mandate. Putnam also will manage an international equity portfolio for the trust. A fund spokesman confirmed the hirings but declined to specify amounts each manager will invest.
Mark S. Jordahl, executive vice president and managing director of Washington Square Advisors, will become CIO of ReliaStar Financial next January. He will succeed Steven W. Wishart, who will reduce his work schedule in preparation for retirement in October 1998. ReliaStar is the parent of Washington Square; Mr. Jordahl will be replaced internally at Washington Square