California State Teachers' Retirement System's board of trustees is expected to approve an RFP Wednesday for non-U.S. equity managers that will go out in September. The $88 billion fund has $18.5 billion in non-U.S. equity assets. Final filing date for the RFP would be sometime in November with manager interviews scheduled in January 1999.
Sacramento-based CalSTRS will continue to use the MSCI-EAFE index as a performance benchmark. About 50% of the non-U.S. equity assets are to be allocated for active management and the rest passive. The actively managed allocation will consist of MSCI-EAFE and regional European and Pacific basin mandates. Up to 16 managers could be selected but it is expected several of them will go into a standby pool to replace managers allocated non-U.S. equity assets but subsequently dropped.