Ohio Public Employees Deferred Compensation Program, Columbus, restructured its $1.8 billion guaranteed-return option and allocated 40% of the portfolio to existing manager Bankers Trust.
Bankers Trust currently manages $350 million, with the amount expected to rise to $720 million within the next few years. Nationwide and State Street Global, the funds other stable-value managers, will split the remaining assets in the next few years. Bankers Trust will continue managing a synthetic GIC portfolio for the $3.6 billion fund.
The three managers will continue running underlying stable-value assets in the portfolio, which will include synthetic GICs, a separate account consisting of bonds and possibly a small amount of traditional GICs. A Nationwide-run fixed annuity that is being liquidated previously contained a majority of the portfolios assets.