New York State Teachers Retirement System, Albany, hired four active EAFE managers, allocating up to $500 million each to American Express Asset Management, Putnam Investments and Baillie Gifford; and up to $250 million to Nicholas-Applegate. The $89.2 billion system also hired Bank of Ireland and Capital Guardian to manage up to $350 million each in active international equities. There are no immediate plans to fund any of these relationships.
The system placed Baring Asset Management on its watchlist; the manager handles a $381.7 million active international equity portfolio and a $1.03 billion portfolio in which country and currency selection are actively managed but security selection is managed passively.
It also approved an investment of up to $50 million in Cornerstone Apartment Fund I; and increased Forest Investment Associates timber portfolio to $80 million from $40 million, funded from a timber portfolio managed by Wachovia Bank, which terminated its agreement with the system. In addition, the system committed up to $250 million to DLJ Merchant Banking III; up to $75 million to VantagePoint Venture Partners IV; and up to $200 million to Welsh, Carson, Anderson & Stowe IX. Funding will come from cash.