Deutsche Asset Management Americas hired eight people from State Street Global Advisors and two from other companies to shore up its index, enhanced index, alternative investment and active quantitative investment teams. Deutsche lost 12 passive management staff members earlier this summer to Merrill Lynch.
Dean S. Barr joined as managing director and head of global quantitative and index strategies. He was CIO of global active quantitative strategies and director of research at SSgA; he won't be replaced.
Joshua Feuerman joined Deutsche as managing director of international quantitative strategies. He formerly was a portfolio manager and head of international quantitative equity strategies at SSgA. He was replaced by Michael C. Schoeck, investment manager for SSgA's international developed markets equity portfolio.
Richard Goldman joined Deutsche as managing director and head of institutional sales. Previously, he was head of corporate defined benefit sales for SSgA's northeast region. Mr. Goldman brought with him to Deutsche his defined benefit sales force from SSgA: Maureen Garrity; Catherine Manning and Andrew Salem. They will not be replaced. Kenneth Yip and Thomas Picciochi, both SSgA analysts, joined Deutsche as, respectively, managing director of quantitative research, and director and senior research analyst.
Also joining were Jason Papastavrou and Kevin Brady.
Alaska eyes alternatives
The $26.1 billion Alaska Permanent Fund will look into alternative investments now that a state basket clause was passed, allowing up to 5% of the fund to be invested in alternatives.
U.K. merger expected
The expected acquisition of U.K. life assurer Legal & General Group by National Westminster Bank should create a banking and insurance group with L144 billion ($230.4 billion) in assets under management.
The banks confirmed they were in merger talks and a deal, with an estimated price tag of L10 billion, is expected this week.
World Bank reviews plans
The World Bank expects to complete asset-liability studies on its $1 billion benefits plan, which is used to pay health benefits, and $11 billion defined benefit pension plan by early October, said Ronald van der Wouden. The results will help determine the long-term investment policy for each of the plans, he said.
Separately, World Bank is performing due diligence on hedge fund managers specializing in long-short strategies and expects to hire two for its defined benefit plan by year end.
Asset-liability study set
United Way of the Texas Gulf Coast will begin an asset-liability study after completing a manager review to see if changes are needed for its $41 million defined benefit plan, said Mario Gomez, director of media relations. AIM Advisors, which runs a domestic fixed-income portfolio, and Mellon Capital Management, a domestic equity manager, will be reviewed. Salomon Smith Barney will conduct the review and study. No timetable was set.
University hires 8
Central Michigan University's $37 million endowment hired eight managers adding international equities as a new asset class, said Jonas Cook, associate vice president of business and finance. The new asset mix is 60% domestic equities, 30% domestic fixed income and 10% international equities. Commonfund was hired to run an $18.7 million S&P 500 index portfolio and a domestic fixed-income portfolio of as yet undetermined size; Lazard, active EAFE, $2.75 million; Rowe Price-Fleming, active EAFE, $2 million; Loomis Sayles, domestic small-cap growth, $2.6 million; Dimensional Fund Advisors, domestic small-cap value, $2.6 million; Cramer Rosenthal McGlynn, domestic midcap value, $4 million; Seneca Capital Management, domestic midcap growth, $4 million; and Allegiance Capital, domestic fixed income, undetermined.
Funding will come from terminating a U.S. equity portfolio and reducing a U.S. fixed-income portfolio run by BancOne.
Fund commits to private equity
The board of the $46.5 billion Pennsylvania Public School Employees' Retirement System has approved two private equity commitments: up to $87.5 million to Wicks Communications & Media Partners, and up to $62.5 million to LLR Equity Partners. It also OK'd the sale of Austin Shopping Centers for $103.5 million.
Group seeks ERISA update
The Coalition for Retirement Security commemorated the 25th anniversary of ERISA by calling for the law to be updated to prevent workers from losing pensions promised to them. The grassroots organization has targeted unfair pension practices it says can be stopped only if loopholes are plugged.
Allocation study set
Kalamazoo College is studying the asset allocation of its $100 million endowment and could add venture capital or real estate, said Chris Thomas, controller. Fund Evaluation Group is expected to complete the study by October.
Danish fund hires
Pensionskasserne Administration, Hellerup, Denmark, with E7.3 billion (U.S.$7.8 billion) in assets, hired Scottish Widows Investment Management to run E100 million in euroland equities.
KLM fund names exec
Hans Thoman was appointed managing director of KLM Pensioenfondsenkantoor, the 14.2 billion guilder ($6.6 billion) KLM pension funds for pilots, cabin personnel and ground staff. He is managing director for the 6.9 billion guilder Pensioenfonds DSM and will join KLM Jan. 1.
PBGC ready for 2000
The PBGC says it is ready for the 21st century, having tested its computer systems and asserted they are ready to handle the date change. Still, since the agency routinely sends out pension checks at the end of each month, the January pension checks will be sent out at the end of December.
San Francisco commits
The board of the $10.2 billion San Francisco City and County Employees' Retirement System approved a commitment of up to $25 million in Yorktown Energy Partners IV.
Pohlman to PanAgora
Larry Pohlman has joined PanAgora Asset Management as director of research, replacing John Capeci, who left to join Arrowstreet Capital. He was director of fixed-income research at Independence Investment Associates
