Teamsters Pension Trust of Philadelphia hired four new managers.
For the the $960 million pension plan, Alliance Capital will run $190 million in core U.S. bonds and $60 million in small-cap core equity; Sprucegrove will run $60 million in international core equity; Sanford Bernstein, $67 million in U.S. large-cap stocks; and SEI, $320 million for a manager-of-managers approach. SEI also will run the entire $60 million health and welfare fund using a manager-of-managers approach.
The firms replace Shields/Alliance, which was terminated as a balanced manager for both funds.
The changes were made mainly for diversification reasons, but there had been performance concerns, said Bill Einhorn, administrator. Watson Wyatt assisted. Shields/Alliance officials did not return calls by press time.
Service Employees International Union, Local 144, New York, hired Putnam Institutional Management as a U.S. fixed-income manager for its pension funds.
Putnam will manage $38 million. The union has $453 million in pension assets, according to the 1998 Nelson's Directory of Plan Sponsors. Quan-Vest Consulting assisted. No other information was available.
Rock-Tenn Co., Norcross, Ga., selected STI Capital to manage $30 million in a small-cap value equity style, said Paul Saari, vice president, finance, for the $160 million pension fund. Funding came from the fund's large-cap equity growth portfolios, which have been cut to $100 million and are still under management by STI and Montag & Caldwell.
Aqua-Chem, Milwaukee, added the Dodge & Cox Fixed-Income Fund to its defined contribution plan effective Jan. 1. The new fund brings the total number of options to seven for the $40 million plan. Hewitt assisted.