SEARCHES & HIRINGS
Memorial Sloan Kettering Cancer Center, New York, committed assets to three alternative managers and hired two domestic equity managers.
Brentwood Associates will run $5 million in a U.S. venture capital fund; Doughty Hanson $7 million in European-based leveraged buy-out fund; and Exxel Capital Partners will manage $10 million in a South American buy-out fund.
The $1.6 billion foundation also hired Goldman Sachs and J.P. Morgan Investment Management to evenly split $140 million in U.S. large-cap value equity managers. Mike Gutnick, senior vice president, finance, would not name the single manager both firms are replacing. The termination was due to poor performance. Cambridge Associates assisted.
Turner Corp., New York, hired Scudder, Stevens & Clark as its first international equity manager. The firm will manage $15 million in international core equity. Funding likely will come from the $250 million defined benefit plan's U.S. equity portfolio, said Don Sleeman, senior vice president and CFO. Ennis Knupp assisted.
Turner also will add the Fidelity Low Price Equity Fund and the Spartan Fund to its $103 million defined contribution plan, which currently uses Fidelity for all its investment options. The new funds bring the total number of options to 10.
Teachers' Retirement System of Louisiana, Baton Rouge, hired Bankers Trust as its domestic and global master custodian. Bankers replaces Chase Manhattan as global custodian and City National Bank as domestic custodian. A spokesman said the $9 billion fund wanted to consolidate its custodial activities with a single firm.
Girl Scouts of the USA, New York, hired two managers as it moved into two new asset classes for its $70 million pension fund, said Denise Jones, director-financial operations. It hired Templeton for emerging markets, assigning it 5% of its assets; and it hired Lazard Freres for domestic small-cap equities, assigning it 10%.
Funding will come from reducing its allocation to core domestic value equities to 35% from 50%.
International Brotherhood of Electrical Workers Local 701, Lisle, Ill., hired CIGNA as its bundled provider for its $30 million defined contribution plan. The plan had been handled in-house previously and was employer-directed. Officials used low-risk investments, managed by some outside managers. Fred Mersman, fund administrator, declined to name the managers used.
Participants now will have seven options, but the specific options have yet to be chosen. Ennis Knupp assisted.
Flinn Foundation, Phoenix, committed $2 million to Oaktree Capital Management's distressed securities limited partnership. The firm is expected to be the last one hired in the alternative investment area for the $160 million fund. The funding will come from cash. Cambridge assisted.
PLAN International, Warwick, R.I., hired MFS as a fund manager and PaineWebber as record keeper for its $3 million offshore defined contribution plan.
The firms were chosen to replace bundled provider AIG, after an asset performance analysis and a fiduciary compliance review. MFS will provide six investment options, which for the first time will include U.S. stock funds .
Argus Consulting assisted.