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 New York Common Retirement Fund, Albany, selected 26 broker/dealers to trade the internally managed assets of the $80 billion pension fund, said state Treasurer H. Carl McCall, the fund's sole trustee.
New York Common selects broker/dealers every three years. Three of the 26 are new, six former vroker/dealers were nor retained. W.R. Lazard, Laidlaw was retained but, will only trade fixed-income securities on a trial basis. The financially troubled firm recently secured a loan from Prudential Securities Inc.
New broker/dealers are Chase Manhattan Bank, Guzman and PaineWebber. Dropped were Artemis Capital Group; CJ Lawrence; Carmona Motley; F.C. Financial Services; Pryor; McClendon Counts; and ScotialMcCleod.
Incumbents are Bear Stearns; Blaylock & Partners; CL King & Associates; CS First Boston; Donaldson;Lufkin & Jenrette; First Albany; Furman Selz; Gerard Klauer Mattison; Goldman; Sachs; Lehman; Brothers; MR Beal; Merril Lynch; Morgan Stanley; Muriel Siebert; Ormes Capital Markets; Prudential Securities; Samuel A. Ramirez: Smith Barney; Salomon Brothers; Utendahl Capital; the Williams Capital Group; and Yamaichi International.
Koeneman Capital Management retained Portfolio Strategy Consulting to do performance analysis, and assist with business development and consultant relationships. Koeneman is an investment manager that uses an Asia ex-Japan equity strategy and manages $600 million for institutional clients. The firm also retained the consultant to enhance its client servicing and communication.
In the secon quarter, Chase Global Investor Services in Australia for the first time ever captured the top market share position among custodians of assets of Australian superannuation funds, according to the secondquarter survey data from InTech Asset Consulting, Chase Global announced. Chase's share of the market was 30.9% in the quarter. The IAC survey, dated June 30, placed State Street Bank in second position among super-National Australia Bank in third, with 23.3%
In overall master custody in Australia, the latest IAC survey shows Chase ranks third, with 20.3% market share, while State Street continues to lead with a 38.8% share. National Australia Bank ranks second, with a 21.4% share, Chase said. Other market segments include insurers, banks, mutual funds and unit trusts.
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.
The college also 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. Callan assisted