Amesbury Retirement System
AMESBURY, Mass. -- The $20 million fund Amesbury Retirement System last week hired Allegis Realty as its first real estate manager. to run a $1 million portfolio (5%of assets) in a commingled private real estate investment trust, said Kevin Leonard, the Segal Advisors consultant who is assisting.
Brookline Retirement Board
BROOKLINE, Mass. -- The Brookline Retirement Board hired State Street Global Advisors as a large-cap domestic equities index manager, said William Wolf, director of retirement for the $130 million fund. Funding will come from existing managers. Wilshire Associates assisted.
City of Charlottesville
CHARLOTTESVILLE, Va. -- The City of Charlottesville Retirement Fund hired Dahab Associates as its first full retainer consultant. An asset allocation study will begin next month and will be completed by the first quarter, said Rita Scott, finance director for the $55 million fund.
The current asset mix is 60%equity and 40%fixed income.
The search was done in-house.
WISCONSIN RAPIDS, Wis. -- Consolidated Papers hired Quantitative Financial Strategies to manage $10 million in its Grossman Currency Fund and Zacks Investment Research to manage $10 million in Zacks Offshore Fund, a market neutral portfolio, said John D. Steinberg, treasurer for the $687 million defined benefit plan.
Mr. Steinberg said funding for the two new portfolios will come from a $120 million S&P 500 index fund managed by State Street Global Advisors. Diversification is the reason for the hirings.
Quantitative will emphasize spread trading and multicurrency cross-hedging, while Zacks Investments will concentrate on long positions in undervalued equities and short positions in overvalued equities.
State Street Global assisted.
Federal Reserve Employees
NEW YORK -- The Federal Reserve Employee Benefits System picked Principal Mutual as the 11th manager for its stable value fund, said Paul Lipson, CIO for the $2.2 billion thrift plan.
Principal will be allocated $54 million; the stable value fund has $1.5 billion in assets.
The system also has a $5.5 billion defined benefit plan.
WASHINGTON -- The IBEW hired Smith Breeden Associates to manage $30 million in fixed income, said Debbie Nisson, executive assistant to the $1.3 billion defined benefit plan.
Funding will come from reducing the fixed-income portfolios of existing managers ASB Capital, Payden & Rygel and Allied Investment Advisors.
Marco Consulting Group assisted.
City of Kansas City
KANSAS CITY, Mo. -- The City of Kansas City Employees' Retirement System hired two large-cap managers and one small-cap manager and terminated three other managers following a structural review of the system, said Richard G. Boersma, retirement administrator for the $550 million fund.
Peachtree Asset Management will run $50 million in a large-cap growth portfolio, replacing Provident Investment Counsel. LSV Asset Management will manage a $50 million large-cap value portfolio, replacing NewSouth Capital Management. Ark Asset Management was hired to handle a $25 million small-cap value portfolio. Bond Procope Capital Management, a large-cap growth manager, was terminated. The terminations were not performance- or fee-related, said Mr. Boersma.
DeMarche Associates assisted.
BOSTON -- The Massachusetts Pension Reserves Investment Board hired Schroeder Capital Management International at last week's meeting to manage $75 million in emerging market assets. PRIM wants to increase its current allocation to emerging markets to 4%from 2.89% The $21 billion fund has $613 million invested in emerging markets through managers Capital Guardian and Emerging Markets Management. The new assets come from portfolio rebalancing.
Separately, the fund hired Spectrum Equity Investors III to invest $40 million in middle-market growth companies providing products and services for information and telecommunications industries. The move increases the $21 billion pension fund's total commitment to alternative investments to $507 million for 1998. The board approved an allocation of $550 million to alternative investments for the year. The fund already has $30 million in Spectrum II, which invests in early-stage ventures.
North Dakota State
BISMARCK, N.D. -- The North Dakota State Investment Board hired Alliance Capital Management as its first large-cap growth equity manager and LSV Asset Management as an additional large-cap equity value manager, said Steve Cochrane, investment director for the $2.9 billion fund.
Funding for Alliance's $164 million portfolio will come from reducing two large-cap value portfolios managed by Wilshire Asset Management and Ark Asset Management. The new LSV $114 million value allocation comes from reducing a $363 million S&P 500 index fund managed by State Street Global Advisors.
Callan Associates assisted.
Pennsylvania State Employes
HARRISBURG, Pa. -- The Pennsylvania State Employes' Retirement System approved its first market neutral equity investment, allocating up to $100 million each to First Quadrant; Martingale Asset Management; Rosenberg Institutional Equity Management; and Standish, Ayer & Wood, said Geoffrey S. Yuda, spokesman for the $23 billion fund.
In real estate, the board allocated up to $25 million each to Miller Global Fund III and Prudential Senior Housing Partners I.
Funding for all of the new allocations will come from cash.
BARRA RogersCasey assisted with the equity allocations; Townsend Group, with real estate.
San Joaquin County
STOCKTON, Calif. -- The $1.2 billion San Joaquin County Employees' Retirement Association hired DePrince, Race & Zollo as its first small-cap value manager, said Robert Palmer, retirement administrator. Funding for the new $50 million portfolio will come from rebalancing, said Mr. Palmer. Strategic Investment Solutions assisted.
City of Sarasota
SARASOTA, Fla. -- The City of Sarasota General Employees' Pension Fund hired NFJ Investment Group to manage a $7.5 million small-cap value portfolio and Montag & Caldwell to manage a $15 million large-cap growth portfolio, said Benita Saldutti, pension manager for the $80 million fund. Portfolio diversification is the reason for the change, she said.
NFJ's portfolio will be funded by reducing Nicholas-Applegate's $15 million small-cap growth portfolio and the Montag & Caldwell allocation will be funded by reducing INVESCO's $30 million large-cap value portfolio. Smith Barney Consulting Group assisted.
City of Sunrise Firefighters'
SUNRISE, Fla. -- The $35 million City of Sunrise Firefighters' Retirement Fund hired State Street Global Advisors and Aronson + Partners as its first international equity managers, said Greg McNeille, consultant to the fund.
State Street will receive $2 million and Aronson will manage $1 million. Funding for both portfolios will come from the fund's domestic equity portfolio, said Mr. McNeille.
The hiring was the result of new state legislation, effective Oct. 1, allowing public funds to invest abroad. Dahab Associates assisted.
City of Tulsa
TULSA, Okla. -- The City of Tulsa hired John McStay and Ark Asset Management as its first small-cap equity managers. Each will manage $10 million, said Larry Stovall, employee benefits manager at the $220 million fund.
Funding for the changes came from terminating WEDGE Capital Management and Provident Investment Counsel, two large-cap active managers.
The fund also increased an S&P 500 index fund run by Barclays Global Investors -- to $136 million from $116 million.
Callan Associates assisted.
UMWA Health and Retirement
WASHINGTON -- The UMWA Health and Retirement Fund hired LSV Asset Management to run a $200 million large-cap value portfolio, said Enos T. Throop Jr., director of investments for the $6.5 billion fund.
LSV replaces Lazard Asset Management, which was terminated for performance reasons, Mr. Throop said.
Herbert W. Gullquist, vice chairman and CIO for Lazard, did not return phone calls seeking comment on the termination.
The search was conducted in-house.
Washtenaw County Retirement
ANN ARBOR, Mich. -- The $190 million Washtenaw County Retirement System hired Loomis, Sayles to replace Sirach Capital Management as manager of an $11 million small-cap growth portfolio.
Catherine McClary, treasurer for the fund, said Sirach was terminated for performance reasons. Harvey Bateman, CIO for Sirach, did not return phone calls by press time. SEI Capital Resources assisted.