Arizona State Retirement System, Phoenix, is searching for a commercial whole-loan portfolio adviser to help sell the plans commercial loan portfolio. The portfolios holdings are located exclusively in Arizona, and it has a current principal balance of $190 million.
The $22 billion system is dropping commercial loans as an asset class, said Robert Wittsell, procurement officer. The portfolio, which was run by Banc One, is not geographically diverse and is less liquid than the systems board would like, said Paul Matson, chief investment officer. The money will be reallocated to several existing fixed-income portfolios, said Mr. Matson.
A decision is expected by September.