AFL-CIO
WASHINGTON - The AFL-CIO's $150 million pension fund committed money to the Multi-Employer Property Trust, a commingled real estate fund sponsored by Union Labor Life Insurance Co. that invests in properties built with union labor.
Steve Rohrbaugh, pension fund administrator, confirmed the investment, but wouldn't disclose the amount.
Airport Group
GLENDALE, Calif. - Airport Group International selected New York Life Benefits Services as bundled service provider for its combined hourly and salaried 401(k) plans with assets of about $16 million. According to a spokeswoman, the plan previously was unbundled with Bank of America serving as trustee and investment manager, and Wyatt as record keeper. New investment options have not been selected, she said.
Amarillo Hospital District
AMARILLO, Texas - The Amarillo Hospital District hired Amarillo National Bank as custodian for its $22 million defined benefit fund.
The bank will replace the local branch of Boatmen's Trust, which is exiting the custodial business. The search was done in-house.
American Fidelity Group
OKLAHOMA CITY - American Fidelity Group hired Fox Asset Management to run an $11 million balanced portfolio and Bank of Oklahoma as custodian for its $25 million defined benefit plan.
Fox replaces American Fidelity Assurance, an American Fidelity Group subsidiary. Officials thought it was better to hire an outside manager, rather than to continue using the subsidiary, said Marvin Ewy, chief financial officer. Bank of Oklahoma replaces Boatmen's Bank, which exited the custodial business.
Asset Services Corp. assisted.
Amerisure Insurance Co.
SOUTHFIELD, Mich. - Amerisure Insurance Co. hired Lincoln Capital Management to run $20 million in a fixed-income index portfolio for its $40 million defined benefit plan.
Fixed-income had been run internally, said Dick Saranen, vice president of investments. The search was conducted in-house.
Communications Workers
COLORADO SPRINGS, Colo. - The Communications Workers of America/International Typographical Union Negotiated Pension Plan committed $3 million to the AFL-CIO Building Investment Trust, said John Foss, administrator of the $950 million plan. Funding will come from a rebalancing to bring the plan's equity allocation back in line, said Mr. Foss.
No managers will be terminated, he said.
Culpeper Foundation
STAMFORD, Conn. - The $193 million Charles E. Culpeper Foundation committed $5 million to a REIT fund managed by CRA Real Estate Securities.
Funding will come from cash left over from terminating small-cap stock manager Pinnacle Associates earlier this year, said Boris Wessley, comptroller.
Cambridge Associates assisted.
Dupont Trust
JACKSONVILLE, Fla. - The Alfred I. Dupont Testamentary Trust & Nemours Foundation, 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.
A fund spokesman confirmed the hirings but declined to specify amounts. Callan assisted.
East Bay Municipal Utility
OAKLAND, Calif. - The East Bay Municipal Utility District Employees' Retirement System hired Northern Trust as custodian for its $420 million pension fund, said Lloyd J. Sawchuk, treasury manager. The change will be effective Oct. 1. Northern will replace Wells Fargo.
Federal Express Corp.
MEMPHIS - Federal Express Corp. hired Oak Ridge Investments for its more than $3 billion defined benefit fund.
The new manager will handle midcap domestic equities. The amount wasn't available.
First National Bank
VANCEBURG, Ky. - First National Bank in Lewis County hired First & People's Bank & Trust as custodian for its pension plan, replacing Pittsburgh National, said Kathy Dillow, operations officer at First National. She declined to reveal the size of the fund.
Also, Fifth Third Bank replaced Pittsburgh National as custodian for First National's trust assets, trade settlements, income collection and reporting.
Harris Investment Management
CHICAGO - Harris Investment Management hired Hansberger Global Investors as the subadviser for the $200 million Harris Insight International Fund. The fund had been managed by Harris. The hiring is subject to shareholder approval.
Hawaiian Trust Co.
HONOLULU - Hawaiian Trust Co. Ltd. hired State Street Bank to provide custody and other back-office services for $8 billion of the trust's $12 billion holdings.
Hawaiian Trust previously used numerous banks to handle the back-office duties and has done some processing internally. State Street, which was not one of the banks previously used, will provide custody, securities processing, trust accounting, fee processing and disbursement processing services.
Illinois Municipal Retirement
OAK BROOK, Ill. - The Illinois Municipal Retirement Fund hired Cozad/Westchester to manage $75 million in a permanent crop farmland separate account.
The funding for the new allocation will come from cash. The assignment will be part of the $11.1 billion fund's alternative investment allocation. Institutional Property Consultants assisted.
Integrated Management Systems
BEAVERTON, Ore. - Integrated Management Systems Inc. hired Arnerich, Massena & Associates as the first consultant for its $5 million 401(k) plan.
The firm will oversee the plan's seven fund options and provide fund officials with information on current trends in the industry, said Gwyn Harvey, director of human resources.
INVESCO Funds Group,
DENVER - INVESCO Funds Group hired World Asset Management, a division of Munder Capital Management, to manage its first index fund.
Fees for the fund, based on the Standard & Poor's 500 Stock Index, will be 0.3% under a temporary expense cap. Regular total expenses on the fund will be 0.9% for Class I shares, which require a $250,000 minimum initial investment.
Jacobs Engineering Group
PASADENA, Calif. - Jacobs Engineering Group added two new funds and dropped another in its $259 million 401(k) plan.
AIM International Equity Fund and the Mutual Beacon Fund from Heine Securities were added to the plan, while committee members decided to drop the SEI International Fund, said Diane Hoffman, manager, compensation benefits/corporate human resources.
Minneapolis Employees'
MINNEAPOLIS - Minneapolis Employees' Retirement System hired ERE Rosen to manage a portfolio of real estate investment trusts, said Farouki Majeed, investment officer.
The new manager will be assigned $25 million. It will invest in publicly traded REITs.
Funding will come from cash and a reallocation.
Mount Holyoke College
SOUTH HADLEY, Mass. - Mount Holyoke College 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 Off- shore 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 now will 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.
NCR Corp.
DAYTON, Ohio - NCR Corp. placed $5 million in a large-cap growth equity portfolio with Yacktman Asset Management on a trial basis, said Norm Pao, assistant treasurer.
If the board of the $2.2 billion defined benefit plan decides to hire Yacktman permanently, the firm probably will manage $25 million. A decision will be made by the end of the third quarter.
Newey Group
TIPTON, England - The Newey Group P.L.C. pension fund hired Lloyds Bank Securities Services, London, as custodian for the 20 million pounds ($32.6 million) fund, which is entirely invested in U.K. securities.
Custody previously was provided by a stockbroker.
Northwestern Mutual Life
MILWAUKEE - Northwestern Mutual Life Insurance Co. hired M&I Global Securities Lending Group as lending agent for the $600 million international equity segment of its $60 billion general fund portfolio, said Brian Yeazel, securities lending program manager. Northwestern Mutual hadn't lent its international equity securities before, he said.
State of Nevada 457
CARSON CITY, Nev. - The State of Nevada 457 plan selected ICMA Retirement as its second service provider. The $144 million plan will add 23 diversified investment funds through ICMA effective Jan. 1.
The plan already offers 21 funds through ITT Hartford Insurance.
ICMA was added to comply with a 1995 state statute requiring investment options from at least two service providers.
New York City Deferred
NEW YORK - New York City Deferred Compensation Plan hired New York Life and Metropolitan Life Insurance as guaranteed investment contract managers. Officials for the $2.4 billion plan awarded New York Life $50 million split between two separate contracts and MetLife $25 million to be funded from cash. Mercer assisted.
Ohio Police and Firemen's
COLUMBUS, Ohio - The Police and Firemen's Disability and Pension Fund for the State of Ohio hired Star Bank as custodian, replacing Key Bank.
The change in custodians for the $6.9 billion fund resulted from a bidding process that takes place every two years. The state treasurer's office conducted the search.
Ohio Public Employees'
COLUMBUS, Ohio - The $40 billion Ohio Public Employees' Retirement System chose Strategic Investment Solutions as the new adviser to its board. SIS replaces Wilshire Associates, whose contract expired, said Richard Schumacher, executive director of the retirement system.
Strategic Investment will do an asset allocation study, an asset/liability study, and review and update the fund's investment policy, said Mr. Schumacher.
Sisters of Charity
CLEVELAND - The Sisters of Charity of St. Augustine (CSA) Health System hired nine investment managers for its $250 million foundation.
Hired were: Boston Partners and Brinson Partners, for large-capitalization value equity; Oak Associates and Montag & Caldwell, large-cap growth; Seix Investment Advisors, core domestic bonds; Scudder, Stevens and Clark, international equity; Alliance Capital and Scott & Stringfellow, small-cap growth stocks; and Crabbe Huson, small-cap value equity.
John Faulstich, senior vice president of finance, would not give amounts for each assignment. Funding will come from the consolidation of four regional foundations' cash assets. Mercer Investment Consulting assisted.
Staffordshire County
STAFFORD, England - The 1.2 billion pounds ($1.9 billion) Staffordshire County Council hired Northern Trust London as custodian for the fund's domestic, Japan and Pacific Basin equity investments, confirmed Richard Tettenborn, county treasurer.
The individual managers previously provided custody services for the assets they oversaw on behalf of the council, said Mr. Tettenborn.
Northern Trust previously served as custodian for the fund's North American and European assets.
Stop & Shop
QUINCY, Mass. - The Stop & Shop Companies Inc. hired Putnam Institutional Management to run $5 million in small-cap value and $14 million in core growth equities, said Gloria Williams, treasurer. She would not disclose the source of funding for the hires.
The company has two pension funds with about $141 million in total assets, a $60 million 401(k) plan and a $22 million savings plan, according to the Money Market Directory.
New England Pension Consultants assisted.
U.S. Holocaust Memorial
WASHINGTON - The United States Holocaust Memorial Museum hired Cramer Rosenthal McGlynn as the first small-cap manager for its endowment fund.
The firm will handle 10%of the fund's assets, said Zelda Silberman, special assistant for endowment and investment policy. She would not say how much the new fund has in assets, but said the endowment is still growing. Cambridge Associates assisted.
West Virginia University
MORGANTOWN, W.V. - West Virginia University Foundation Inc. hired two managers in a move to a multimanager approach for the fixed-income portion of its $200 million endowment fund, said R. Craig Walker, vice president-finance and administration and treasurer.
The two are Reams Asset Management and GMG/Seneca Capital Management. They will join Oppenheimer Capital, which had been the sole fixed-income manager.
Each will be assigned one-third of the $55 million allocation Oppenheimer had been managing alone.
Mr. Walker said each is a core manager, although they take different tacks in the use of Treasuries, corporate, high-yield and other securities.
Morgan Keegan assisted.
