Hartford (Conn.) Municipal Employees Retirement Fund named Morgan Stanley, Fiduciary Trust International, GE Asset Management and Arnhold & S. Bleichroeder as finalists to run a new $25 million active international small-cap to midcap equity portfolio, said Kathleen Palm, treasurer. The $1 billion fund also named Hartford Investment Management, PIMCO, Western Asset and Metropolitan West Asset to handle a $60 million core-plus fixed-income mandate, she said. Selections will be made next week.
Funding for the equity move will come from a now $77 million State Street Global Advisors EAFE index fund. The fixed-income mandate will take $50 million from Fleet Investment Advisors, which will manage $113 million in active domestic fixed income, and $10 million from a matured GIC. Ms. Palm explained that after Fleet acquired several other investment managers in the last year, the system has $153 million with Fleet; that became a "concentration of assets issue, and we had to redeploy some of those, she said.