ANNE ARUNDEL RETIREMENT
ANNAPOLIS, Md. -- Anne Arundel Retirement Systems hired three managers for its $700 million pension fund, said Thomas W. Mullenix, director-employee benefits.
Also, the systems increased the assignments of ABKB LaSalle by $16 million, bringing it to $34 million for a REIT, and of Cigna Real Estate, also by $16 million, raising it to $36 million.
Funding came from two managers that were dropped in a reallocation: BEA Associates, which managed $20 million in international equities, and MacKay-Shields Financial, which ran $115 million in large-cap growth.
William M. Mercer assisted.
Atlantic Portfolio Analytics
ORLANDO, Fla. -- Atlantic Portfolio Analytics & Management selected Northern Trust Global Fund Services as custodian for two foreign funds with $800 million in total assets, the Protected Asset Management Portfolio I and II, and an affiliated Bermuda-based reinsurer, AFC Re Ltd.
City of Austin
AUSTIN, Texas -- City of Austin Employees' Retirement System hired Sector Capital Management for its nearly $1 billion pension fund, said Cathy Harrington, pension director. Sector will manage active core equities in a manager-of-managers approach.
The amount assigned wasn't available. Funding came from a rebalancing.
BRAINTREE, Mass. -- Bradlees Inc. hired MFS Institutional Advisors to manage about $10 million in large-cap equity growth for its $68 million defined benefit plan, said Bradlees Treasurer Gary Jones. New England Pension Consultants assisted.
California State Teachers'
SACRAMENTO -- The California State Teachers' Retirement System committed up to $150 million to Kelso Investment Associates VI, a domestic buyout fund; up to $50 million to Summit Ventures V, a private equity venture fund; and up to $200 million in Thomas H. Lee Equity Fund IV, an equity investment fund. CalSTRS has 4.4% of its assets invested in private equity. Investments are subject to acceptance of final documentation and legal review. The $82 billion fund's alternative investment adviser, Pathway Capital, assisted.
The Carroll Co.
DALLAS -- The Carroll Co. added the American Century Real Estate Fund as an investment choice in its $2.5 million 401(k) plan. Peter Laurea, controller, said the real estate fund, which invests primarily in REITs, brings the total investment offerings to 15 at Carroll.
CHARLOTTE, N.C. -- Charlotte Firefighters Retirement System, with $196 million in assets, hired Wedge Capital Management as a midcap value equity manager.
Wedge will manage about $18 million, or one-third of the $56 million portfolio that had been managed by First Union in large-cap and midcap stocks. First Union will continue to run the remainder of the portfolio in large-cap value stocks. Callan assisted.
DENVER -- Colorado Trust hired an active U.S. bond manager and an equity index manager for its $350 million foundation. Tempest, Isenhart, Chaffe, Lansdowne & Associates will manage $20 million in long-term bonds and Northern Trust will run $100 million in a S&P 500 Index Fund.
The funding will come mainly from reallocation, although the fund did terminate an active U.S. large-cap stock manager in the move to a passive mandate, said Peter A. Konrad, vice president and chief financial officer. He would not give the size of the portfolio or the manager's name. Mercer assisted.
CARMEL, Ind. -- Conseco Marketing hired three managers to offer additional options in its new Conseco Variable Annuity program. Mitchell Hutchins will manage a growth and income fund; Lazard Freres will manage a core equity fund and a small-cap fund; and Lord, Abbett, a growth and income stock option.
LONDON -- Delaware International Advisers selected Northern Trust Global Fund Services, in partnership with Arthur Andersen, to provide custody services to a new Delaware International Advisors' limited partnership. The joint venture will provide Delaware with partnership tax and reporting in additional to full custodial services.
El Pomar Foundation
COLORADO SPRINGS, Colo. -- The $414 million El Pomar Foundation hired GEM Capital to run $10 million in a U.S. convertible bond portfolio.
The funding is coming from cash, said R. Thayer Tutt Jr., executive director and chief investment officer.
First Financial Insurance
NEW YORK -- First Financial Insurance Co. and Burlington Insurance Co., subsidiaries of IFG Cos., hired Hartford Investment to manage up to $200 million in insurance assets in diversified, fixed-income portfolios.
DAYTON, Ohio -- Huffy Corp. hired MFS Retirement Services as bundled provider for its $44 million 401(k) plan and will invest $36 million in four MFS mutual fund options -- MFS Fixed Fund, MFS Bond Fund, Massachusetts Investors Trust and MFS Emerging Growth Fund. The rest of the assets will go to the Vanguard Index 500 Fund, American Funds Balanced Fund and Franklin Templeton Small Cap Fund, offered through MFS.
The plan had been bundled with Putnam Investments.
Illinois Municipal Retirement
The hiring was part of a plan to increase the fund's global equity allocation to 3% of total assets from 1% Trustees gave an additional $55 million to existing global equity manager Brandes Investment Partners, increasing the firm's portfolio to $174 million. The funding came from cash. Mercer assisted.
SPRINGFIELD, Ill. -- The $18 billion Teachers' Retirement System of Illinois hired eight managers.
Fixed-income managers hired were: Miller Anderson & Sherrerd for $275 million; Conseco Capital, $275 million; Strong Capital for $200 million; Forstmann-Leff for $100 million; and Taplin, Canida & Habacht for $75 million. Also, Joseph J. Blake and Associates was hired for real estate appraisal.
Kansas City Firefighters
KANSAS CITY, Mo. -- The $300 million City of Kansas City Firefighters' Pension System hired Goldman Sachs to run a $30 million large-cap equity portfolio.
Chancellor LGT had managed the portfolio previously and was dismissed because of the firm's "organizational uncertainty," said Rick Boersma, retirement administrator. Callan assisted.
LAKELAND, Fla. -- The Lakeland Employees Pension Fund hired Asset Consulting Group as consultant.
Fund officials will meet with the firm and will look at the fund's current asset mix and take it from there, said Gary Clark, executive director for the $300 million fund. Asset Consulting replaces Advest, which chose not to respond to the RFP.
LANCASTER, Pa. -- The Lancaster County Retirement Fund hired Emerald Advisers to manage $13.2 million in a small-cap growth strategy, said Greg Sahd, county treasurer. The money came from C.S. McKee, which will continue to manage the remainder of the $88 million pension fund, with around 50% in a value-oriented equity strategy and 50% in fixed income. Hewitt assisted.
MORRISTOWN, N.J. -- Lucent Technologies Inc. added Fidelity's series of five asset allocation funds to its $11.8 billion 401(k) plan. Freedom Funds comprise a series of funds based on a fund-of-funds approach designed to coincide with the retirement goals of participants. The addition brings the number of investment options at Lucent to 13. Fidelity is Lucent's bundled provider.
Nashville Electric Power
NASHVILLE -- Electric Power Board of Nashville hired Great West Life as its vendor for its $17 million 457 plan.
Great West replaces Aetna, which was included in the search. Great West will offer participants up to 18 mutual funds and a self-directed brokerage option.
The number of options have increased from the 11 provided by Aetna, said Donald Kohansky, senior vice president and chief financial officer.
RENO, Nev. -- The University and Community College System of Nevada hired John McStay Investment Counsel as a REIT manager for its $201 million endowment fund.
The firm will run about $10 million in the new portfolio. Funding comes from last month's terminations of Pacific Financial Research and Anderson Hoagland. Cambridge assisted.
The fund's investment committee plans to meet again April 29 to decide where to place the additional $6.5 million to $7 million in assets left over after the terminations, said Tim Ortez, director of banking and investments.
New York City Employees
NEW YORK -- New York City Employees' Retirement System, with $54 billion in assets, allocated $25 million to FDG Capital Partners, its first commitment to an alternative investment partnership, said Jon Lukomnik, deputy comptroller.
FDG is a management buyout firm sponsored by FDG Associates, said Mr. Lukomnik. The source of the money to fund the commitment has not been determined, Mr. Lukomnik said.
DEDHAM, Mass. -- The $300 million Norfolk County Retirement System hired Morgan Grenfell to run $10 million in a small-capitalization growth stock portfolio.
Ohio State Teachers
COLUMBUS, Ohio -- The State Teachers Retirement System of Ohio committed a total of $50 million to two alternative investment partnerships.
The $44 billion pension fund committed $20 million to Baker Communications Fund and $30 million to Fox Paine Capital Fund, said Executive Director Herb Dyer. The Baker Communications fund will invest in communications-related companies. Fox Paine makes controlling investments in middle market companies with the intent of adding value to increase performance and returns.
Rhode Island State Investment
PROVIDENCE, R.I. -- The Rhode Island State Investment Commission with $5.54 billion in assets committed $10 million to the Apollo Real Estate Investment Fund III, an opportunistic real estate fund, said Steve Klamkin, spokesman.
The funding will come from investment income. Pacific Corporate Group assisted.
NEW YORK -- Sony Music Entertainment added four investment options to its $329 million 401(k) plan: PIMCO Total Return Institutional Fund, Dodge & Cox Stock Fund, T. Rowe Price Small-Cap Fund and Bankers Trust Investors International Equity Fund. The plan now has nine options. Frank Russell assisted.
NEW YORK -- SunAmerica Asset Management hired Bankers Trust to replace Strong Capital Management as one of three subadvisers of its $74.3 million International Equity Portfolio mutual fund in its Style Select Series. Bankers Trust will use its active growth at a reasonable price strategy.
Strong was terminated because of performance, said Steve Schoepke, SunAmerica vice president of research and product development. Jody Lowe, a Strong spokeswoman, said the company was sorry SunAmerica was "leaving us for international equity management, but we continue to enjoy a good relationship and Strong continues to manage other accounts for SunAmerica."
Timber Operators Council
TIGARD, Ore. -- The Timber Operators Council hired Putnam Investments and INVESCO to split an international equity portfolio.
The portfolio will total 10% of the $200 million defined benefit plan, said Sharon Griffin, retirement manager. The funding will come from Putnam's existing $33 million dedicated bond portfolio, which will be reduced over the next six months. R.V. Kuhns assisted.
TRW Investment Management
CLEVELAND -- TRW Investment Management hired Putnam Investments as a large-cap growth manager for its $3.2 billion defined benefit plan. The firm will manage $80 million, which will come from existing managers. No managers will be terminated, said Bob Hamje, president. The hiring was made in order to gain more exposure to large-cap growth equities, he added.
OLYMPIA, Wash. -- The Washington State Investment Board committed to two more alternative investment funds. The $42 billion fund committed $37 million to the Cinven Second Fund, a U.K. and western continental European buyout fund, and $50 million to the First Reserve Fund, a domestic energy sector buyout fund. Brinson Partners assisted.
ROLLING MEADOWS, Ill. -- Whitman Corp. hired Barclays as the sole manager for its $100 million pension fund, said Andrew Stark, senior financial analyst for Whitman.
Barclays also was hired as sole manager for the pension funds of Hussmann International and Midas Inc., which recently were spun off from Whitman. Hussman's plan has $125 million in assets; Midas' plan has $50 million.
Barclays will run portfolios for all three companies tracking the S&P 500, Wilshire 4500, EAFE and Lehman Aggregate index. Each of the funds will be allocated roughly 70% stocks, 30% bonds.
Before the spinoffs, the Whitman plan used several active managers, Mr. Stark said. He would not name the terminated managers.