New York State Teachers Retirement System, Albany, will conduct an invitation-only search for two managers to manage up to a total of $500 million in enhanced passive international equities, said Dave Daly, fund spokesman. The $81 billion systems consultant, Evaluation Associates, will give the system a shortlist of managers. There is no timetable for making selections.
The searches are the result of a change in the target levels of the systems $9 billion international equity portfolios to 30% passive from 40% passive. Morgan Stanley managed 30% of the systems international equity allocation in an enhanced indexed strategy, but it will now manage 40% of the international equity allocation in an active strategy.
Also, the system renewed Progress Investment Managements contract to run $563 million in a domestic small-cap and midcap fund of funds; increased Prudential Life Insurances co-lending program to $600 million from $150 million; increased Forest Investment Associates timber portfolio to $180 million from $80 million; approved its first joint venture with Reckson Associates Realty to acquire a 49% interest in 919 Third Ave., New York; and ratified a plan to acquire the former Montgomery Ward store at Lynnhaven Mall, Virginia Beach, Va.