Frank Russell officials say the firm now has retainer advisory relationships with institutional clients and retirement plans whose assets represent more than $1 trillion.
Frank Russell has 190 consulting clients. Of this, 40% come from North America; 24% from Europe, Middle East and Africa; 31% from Australia, Japan and elsewhere in Asia; and 5% are global. By asset size, 45% are from Australia, Japan and elsewhere in Asia; 42% are from North America; and 13% from Europe, the Middle East and Africa.
Russell's largest clients include: AT&T; General Motors; Canadian Airlines International Ltd.; Ontario Pension Board; Dai-ichi Mutual Fund Life Insurance Co.; Japan's Ministry of Posts and Telecommunications Postal Life Insurance Bureau; Civil Aviation Authority (Europe); IBM Europe; Lend Lease/MLC; and Australia's Transport Accident Commission.
Puget Sound Energy Inc., Bellevue, Wash., is considering a provider search for its 401(k) plan, said Ted Gates, compensation manager. Plan officials are doing an analysis of its $250 million plan, which was a result of the acquisition of Washington Natural Gas, Seattle. Puget Sound Energy uses a bundled approach through T. Rowe Price. Washington Natural Gas had used an unbundled approach with Howard Johnson as administrator.
A specific timetable for the search has yet to be determined. Mr. Gates stressed unsolicited calls are not welcome at this point. Plan changes should be finalized sometime in late 1998. R.V. Kuhns is the plan's consultant.
PRIMCO Capital Management, Barclays Global and T. Rowe Price received the highest satisfaction ratings as 401(k) fund managers with more than $100 million in a survey of 70,000 plans by LRP Market Research. Middle-market plans - those with assets between $5 million and $100 million - gave Principal Financial, Putnam and Fidelity the highest satisfaction ratings as fund managers.
Plan administrators with the highest satisfaction ratings from the large plans were T. Rowe Price, Vanguard and American Express. Middle-market plans gave the highest satisfaction ratings to Vanguard, Principal Financial and Fidelity as plan administrators.
Plans unhappy with their service providers cited poor administrative service and poor employee education and communication most frequently as the sources of their dissatisfaction.
Meriden (Conn.) Municipal Employee Pension Board plans to interview finalists Seix Investment Advisors and Caywood-Scholl Capital in a search for a U.S. bond manager, said John Miniter, chairman of the board. A decision is expected at the $176 million fund's Nov. 12 meeting. The fund now allocates $25 million to bonds. The size of a new portfolio has not been determined. A.G. Edwards Asset Performance Monitor is assisting.
Last month, the board terminated bond managers Princeton Investment and Anchor Capital in a restructuring. The board also terminated equity managers City Capital Counseling, Fred Alger and Savoy Asset Management, and reallocated assets to other firms.