Manske to head Boeing fund
Susan E. Manske was chosen as head of the Boeing pension fund, according to sources.
She will replace Gary B. Bland, who retired in August as vice president-trust investments, shortly before the company moved its headquarters to Chicago from Seattle.
Boeing has a $41 billion defined benefit plan and a $24 billion 401(k) plan.
Ms. Manske was CIO of the Ameritech pension fund, leaving after the company was acquired by SBC Communications in 1999.
Further details were unavailable. "We are not in a position to discuss that at this time," said Kenneth Mercer, manager-public relations at Boeing.
Ms. Manske couldn't be reached for comment.
Korn Ferry International conducted the search for Boeing.
LTV funding reviewed
PBGC officials met Nov. 21to evaluate LTV Corp.'s pension funding, and estimated the company has $2 billion in unfunded pension liabilities.
LTV officials notified the agency that it intended to cease operations and sell its integrated steel facilities.
"We have not yet received information they want to terminate the plan," said Jeffrey Spiecher, PBGC public affairs specialist. The PBGC is a member of the court-appointed LTV unsecured creditors committee.
According to one SEC filing, LTV's defined benefit plan had $2.9 billion in assets and $3.4 billion in liabilities as of Dec. 31. Another SEC filing stated "LTV does not anticipate any significant pension funding requirements until 2004," under a 1998 agreement with the PBGC. Mr. Spiecher acknowledged the company was "in compliance with funding under that agreement.
Susan C. Leathers, LTV assistant treasurer and senior director-investments, and other LTV executives didn't return phone calls seeking comment.
Sainsbury to close plan
Sainsbury PLC will close its L2.7 billion ($3.8 billion) J Sainsbury Pension Scheme defined benefit plan to new members next April.
Sainsbury plans to set up a "stakeholder" defined contribution plan for new staff to be run by Legal & General Investment Management, according to Geof Pearson, secretary to the defined benefit plan.
Staff who are part of the defined contribution Group Pension Plan, set up in 1998 and also administered by Legal & General, will retain their option to join the defined benefit plan after five years until that plan is closed in April, he added.
Michigan fund taps Wasatch
The $3.7 billion Michigan Municipal Employees' Retirement System hired Wasatch Advisors to manage $65 million in active domestic small-cap growth equities, said Jeb Burns, director of investments. Funding will come from the termination of a Russell 2000 index account managed by Barclays Global Investors. Trustees wanted to move from a passive mandate to an active approach for small-cap growth, said Mr. Burns.
Separately, Mr. Burns said there are 20 semi-finalists in the fund's search for a private equity separate account manager to oversee $100 million. Mr. Burns said he expects to bring finalists to the board in January or February. The private equity hire is part of the fund's developing alternative investment program, Mr. Burns said. The structure of that alternative investment program likely will be finalized next summer, and more hirings of alternative investment managers are planned.
Choice backed in Germany
Germany's cabinet Nov. 21 approved proposals that would give new corporate pension funds freedom to make their own investment choices, according to a senior adviser to German Finance Minister Hans Eichel.
The new proposals place almost no limits on how the pension funds, which will be launched in January, invest their assets, said the adviser, who asked not to be identified. However, pension funds will be restricted to no more than 30% of total assets in non-euro denominated stocks and no more than 10% of assets in a single stock. Money managers had expected the new pension funds to have quantitative limits similar to those for other pension vehicles.
The proposals will be discussed by the upper house of the German parliament on Dec. 20.
Suit against trust is settled
A lawsuit against the $2 billion Carpenters Pension Trust for Southern California, filed by three retired union members, was settled.
The suit, filed in U.S. District Court in Los Angeles, claimed the fund had misused assets and that Blum Capital Partners, one of the trust's investment managers, charged excessive fees.
The case was settled days before a judge was to rule on a summary judgment motion by Blum Capital, according to Owen Blicksilver, a Blum Capital spokesman. No money was exchanged as part of the settlement, he said.
Dallas moves into REITs
The $1.8 billion Dallas Employees' Retirement Fund hired Lend Lease Real Estate and Security Capital to each manage $88 million in REITs, said Michelle Greer, assistant to the administrator. Funding will come from rebalancing.
Neuberger Berman Trust CEO
Albert C. Bellas was named CEO of Neuberger Berman Trust and Neuberger Berman Trust Delaware. He remains chairman of both organizations.
Stephen Brent Wells, who was COO of Neuberger Berman Trust, was named president of both organizations.
Elizabeth Mathieu, who had been president and CEO of both companies, left earlier this month, said Peg Towers, a spokeswoman for Neuberger Berman.
Few shifts in 401(k)s
Participants in 401(k) plans did not make significant changes in their accounts in 2000 despite market volatility, according to a study released by the Investment Company Institute and the Employee Benefit Research Institute.
The average asset allocation of 401(k) participants was 51% in equity funds, 19% in company stock, 10% in GICs, 8% in balanced funds, 5% in bond funds, 4% in money funds and 1% in other stable value funds, excluding minor investment funds.
The average account balance at year-end 2000 was $49,024, 12% lower than the 1999 balance.
Ivy Funds promotes McLachlan
Moira McLachlan was named head of the Ivy Funds international equities team. She replaces Sheridan Reilly, who is leaving the firm. Ms. McLachlan was portfolio manager of the Ivy Developing Markets Fund.
Russell adds Paris spot
Ludovica Grisi della Pie was named Paris-based sales manager of institutional investment services for Frank Russell, a new position, said Jon Baillie, managing director of institutional investment services. She was a portfolio manager for Societe Generale Private Banking.