City of Allentown
ALLENTOWN, Pa. -- The $137 million City of Allentown Employees' Retirement System hired Seix Investment Advisors to manage $40 million in "broad based" intermediate U.S. fixed-income.
The assets will come from Meridian Investment, which will continue to manage the $35 million U.S. equity portion of its formerly balanced portfolio.
The transfer of funds might not take place until the end of the year, and contracts have yet to be signed, said Linda Bodnar, director of finance.
Legg Mason assisted.
Anglican Church of Canada
TORONTO -- The Anglican Church of Canada hired Beutel Goodman as a Canadian real estate manager for its C$400 million (U.S.$285 million) pension fund, said Jer Homavazir, executive assistant. The firm will be assigned C$15 million, which will be funded gradually, depending on investments, she said.
Towers Perrin assisted.
ARLINGTON, Va. -- The Arlington County Employees' Retirement System, with around $900 million in assets, hired Trinity Investment to manage $70 million in a large-cap core equity portfolio and Sanford C. Bernstein to manage $70 million in large-cap value stocks, said Bruce O. Kallos, administrator.
Funding came from terminating Donald Smith & Co., a large-cap manager that had run about $70 million for the fund, and cutting back its exposure to BEA Associates, a midcap value manager.
"We were significantly overweighted in (domestic) midcap, and this maintains a modest overweighting to midcap," he said.
Baton Rouge Area Foundation
BATON ROUGE, La. -- The $75 million Baton Rouge Area Foundation hired four new managers: Fox Asset Management, $8 million in large-cap value equity and $10 million in core U.S. fixed income; Cohen, Klingenstein & Marks, $5 million, large-cap growth equity; ICM Asset Management, $3 million in small-cap value; and Brandes Investment Partners, $6 million in core international equity.
Bank One had managed $30 million in a balanced portfolio and will continue to manage $5.5 million that is part of the fund's assets from affiliated organizations.
The rest of the assets will remain in real estate and limited liability companies, said John McKowen, director of finance.
Legg Mason assisted.
Battle Creek Police & Fire
BATTLE CREEK, Mich. -- The $83 million Battle Creek Police & Fire Retirement System hired Comerica to replace Old Kent Bank as custodian effective Jan. 1, said Stan Schubinski, treasurer. McDonald & Co. assisted.
MACON, Ga. -- Bibb Co. hired CIGNA Retirement and Investment Services as bundled provider for its $28 million defined contribution plan.
The number of options will increase to nine from two. Previously, Bibb offered employees a number of annuities as one option and a domestic equity option through Shearson Lehman.
CIGNA will provide five lifestyle funds, the CIGNA Stock Market Index Fund and, through an alliance, the PBHG Small-cap Growth, the Templeton Global Equity Fund and the Fidelity Growth & Opportunity Fund, said Shirley McMullan, retirement coordinator.
CIGNA replaces Mercer as record keeper and NationsBank as trustee.
California State Teachers
SACRAMENTO, Calif. -- The $77.4 billion California State Teachers' Retirement System is expected to give new contracts to its current lineup of real estate managers.
The managers are: AMB Institutional Realty; ERE/Yarmouth; MIG Realty Advisors; O'Connor Group; SSR Realty Advisors; and TCW Realty Advisors.
The fund has about 2.49%in equity real estate. The contracts hinge on fee negotiations, to be concluded in December.
Detroit General Retirement
DETROIT -- The Detroit General Retirement System has hired T.T. International for a $60 million global equities portfolio. Funding will come from the termination of Wellington, which previously managed that global equities portfolio for the $2.5 billion fund.
New England Pension Consultants assisted.
WINNIPEG, Manitoba -- The Evangelical Lutheran Church in Canada hired Knight Bain Seath & Holbrook Capital Management for its C$130 million (U.S.$92.2 million) pension fund, said Carole Cockrell, executive director.
Knight Bain was assigned 50%of the fund to manage in a balanced portfolio.
Funding came from Indago Capital Management, previously the fund's sole manager. Indago will retain the remaining 50%of the assets, also in a balanced portfolio.
Aon Consulting assisted.
Fresenius Medical Care
LEXINGTON, Mass. -- Fresenius Medical Care North America added five options and dropped four from its $85 million 401(k)/savings plan.
Added were: Fidelity Spartan, a U.S. equity index fund; Fidelity U.S. Bond; Neuberger & Berman Genesis, a small-cap fund; American Fund's EuroPacific Growth Fund; and company stock. Dropped were Fidelity Balanced, Fidelity Blue Chip Growth, Fidelity Magellan and Fidelity OTC Portfolio.
The plan now has nine options.
Watson Wyatt assisted.
HONOLULU -- The Hawaii Employees' Retirement System hired Clarion Partners and Invesco Realty Advisors as core real estate managers. The $8 billion fund awarded each manager $100 million, which will come from cash.
The system also might invest in alternative investments such as timberland in the future, said Stanley Siu, administrator.
No searches would be expected until sometime next year.
Callan Associates assisted.
WILKESBORO, N.C. -- Ithaca Industries selected Scudder Defined Contribution Services as bundled provider for its $15 million 401(k) plan.
Scudder will provide eight investment options, along with daily valued record keeping and administration.
Two outside funds will be offered: Janus Worldwide and Neuberger & Berman Genesis. The Scudder fund options are four of its Pathway lifestyle funds (growth, balanced, conservative and international), along with value, income, stable value, and growth and income funds.
FENTON, Mo. -- Maritz Inc. hired Buford Dickson Harper & Sparrow for its $116 million pension fund, said David Fleisher, senior executive vice president and chief financial officer. The firm will manage $500,000 in growth equities.
Funding will come from pension contributions and a reallocation.
Maxus Energy Corp.
DALLAS -- The $130 million Maxus Energy Corp. defined benefit plan hired Northern Trust to manage a $60 million S&P 500 index equity portfolio.
Northern replaces two other passive managers, which Dan Imthurn, assistant treasurer, would not identify. Mr. Imthurn said the change was not performance related, but was done for efficiency reasons. Northern already manages a $25 million bond portfolio for the fund and is its custodian.
Principal Financial assisted.
Meriden Municipal Employee
MERIDEN, Conn. -- The Meriden Municipal Employee Pension Board hired Caywood-Scholl Capital, Paine Anderson and Rorer Asset Management.
Caywood will manage $16.1 million in a corporate bond portfolio; Paine Anderson, $20.3 million in a balanced portfolio with a growth tilt; and Rorer, $16.2 million in a balanced portfolio with a value tilt. The funding comes from the termination earlier this year of Princeton Investment and Anchor Capital in a restructuring.
A.G. Edwards Asset Performance Monitor assisted the $170 million pension fund.
Minnesota State Board
ST. PAUL, Minn. -- The Minnesota State Board of Investment committed the lesser of $30 million or 20%of the total capital raised to the Westmark Commercial Mortgage Fund IV, confirmed Howard Bicker, executive director of the $32 billion fund.
Commercial Mortgage Fund IV will invest in a diverse portfolio of high quality mortgages.
Funding will come from cash.
Nationwide Life Insurance
COLUMBUS, Ohio -- Nationwide Life Insurance added 39 investment options from 13 external managers to its Best of America Future Annuity program.
Hired were: American Century; Dreyfus; Federated Investment; Fidelity Management & Research; J.P. Morgan; Morgan Stanley Asset Management; Neuberger & Berman; OppenheimerFunds; Salomon Brothers; Strong Capital Management; United Asset Management; Van Eck Associates; and Warburg Pincus. Five funds from Nationwide Advisory Services, an affiliate, also will be available.
New York Common Retirement
ALBANY, N.Y. -- The New York Common Retirement Fund added HLM Management as a small-cap domestic growth manager in its emerging manager pooled fund, confirmed H. Carl McCall, sole trustee of the $90 billion fund.
HLM will receive $22 million; it replaces Apodaca Investment Group.
Tina Poitevien, president of FIS Funds Management, which oversees the pooled fund, said Apodaca was replaced to reduce the fund's exposure to momentum-style investing.
Reynolds & Reynolds
DAYTON, Ohio -- The $350 million defined contribution plan of Reynolds & Reynolds Co. hired Invesco to provide record keeping and administration in a move to daily valuation, which had been done in-house.
San Bernardino County
SAN BERNARDINO, Calif. -- The $2.5 billion San Bernardino County Employees' Retirement System selected ERE Yarmouth for a $70 million allocation to core realty. Targeted investments will be office, retail and some apartments. Funding will come from rebalancing.
Townsend Group assisted.
San Jose Police & Fire
SAN JOSE, Calif. -- The $1.3 billion San Jose Police & Fire Department Retirement Plan hired PMRealty to manage core real estate. The new portfolio will total $65 million or half of the $130 million allocation to real estate. Funding will come from cash.
Crabbe Huson and Provident Investment Counsel also were hired as small-cap value and small-cap growth managers, respectively. Each will manage $30 million. Funding will come from terminating small-cap growth managers Apodaca Investment Group and Investment Advisers Inc. Mercer assisted.
PINELANDS, South Africa -- Southern International Asset Management hired AMP Asset Management to run its 243 million rand (U.S.$50 million) global bond fund.
AMP replaces Paribas Asset Management, which continues to manage Southern International's global money market fund.
Brockhouse & Cooper's data base was used in the search.
True North Communications
CHICAGO -- True North Communications Inc. hired Fidelity as bundled provider for its $170 million profit-sharing and 401(k) plan.
Thirteen investment options will be provided. Seven of those are Fidelity funds: Fidelity Managed Income; Fidelity Growth & Income; Fidelity Spartan U.S. Equity Index; Fidelity Diversified International; and three lifestyle funds. Others are PIMCO Total Return; Neuberger & Berman Genesis; Oakmark Fund, managed by Harris Investments; Janus Overseas; company stock; and a self-directed brokerage option.
Previously, Mercer was the plan's administrator and record keeper and Citibank was trustee. Previous investment choices were a balanced option managed by Columbus Circle, Newbold, MacKay Shields, Templeton and Morgan Grenfell; U.S. and international bond funds managed by Brinson Partners; and a money market fund managed by Citibank. DeMarche assisted.
Vermont Teachers' Retirement
MONTPELIER, Vt. -- The Vermont Teachers' Retirement System, with about $900 million in assets, hired J & W Seligman as a domestic small-cap equity manager to run $50 million, said James H. Douglas, state treasurer. The money came from Scudder, Stevens & Clark, which had a global mandate, but the board decided while its international performance was good, on the domestic side it was below par, he said.
WILMINGTON, Del. -- Zeneca Group P.L.C. added six options to its 401(k) plan in order to fill in slots in the plan's risk/return spectrum, said David W. Agee, manager of compensation and savings.
Added were: State Street Global Advisors S&P 500 Index Fund; State Street Global Advisors EAFE Index Fund; Glenmede International Equity Fund; T. Rowe Price Small-Cap Value Fund; Parkstone Small Capitalization Fund, a small-cap growth fund; and Merrill Lynch Basic Value Fund, a domestic equity growth fund. The $698 million plan now has 13 options.
Ashford Capital Management assisted.