HAMBURG, Germany - Deutsche Shell AG hired Deutsche Bank and Dresdner Bank subsidiaries to manage its newly created 2 billion deutsche mark ($1.1 billion) pension fund, said Jens-Peter Stoehr, treasurer. In addition, Chase Manhattan Bank, London, has been selected as global custodian.
Each manager will run half of the assets, which previously had been invested in cash for the book-reserve pension fund.
Each mandate will be split 60% in European assets and 40% in non-European assets, and divided equally between stocks and bonds. Deutsche Bank's DEGEF unit will run a purely active account; the non-European portion of Dresdner Investment Management's portfolio will be invested passively.
Shell pension officials in London and Rijswijk, Netherlands, will advise on the management of the portfolios.