Marconi PLC G.E.C. 1972 Pension Plan, Stafford, England, hired Merrill Lynch Investment Managers to run an £800 million ($1.14 billion) U.K. equity mandate, said Simon Lee, deputy financial manager at the £2.8 billion plan.
The portfolio was managed by Stanhope Investment Management, Marconis internal management firm. The move strips Stanhope of all business that it was managing for the plan, which was its only client. The plan decided to move the management of the assets to external managers as they were "better resourced and better able to manage the assets, said Mr. Lee. Performance had not been an issue, he added.
Stanhopes fate is unclear, Mr. Lee said. He would not comment on reports that CIO Paul Philips is to leave at the end of this month.