Dunn quits as BGI chief
Patricia C. Dunn is stepping down as global CEO of Barclays Global Investors to focus on treatment for breast cancer and melanoma. She will remain vice chairman, serving in a non-executive capacity.
Blake Grossman in San Francisco and Andrew Skirton in London were named co-global CEOs. Mr. Grossman is CIO of the global advanced active area; Mr. Skirton, co-CEO of BGI's global index and markets group.
Ms. Dunn said in a statement: "Deciding to step down as CEO has been a tough decision. My entire career has been with BGI and I could not be prouder of its accomplishments and people."
VRS plans review
The $36 billion Virginia Retirement System will review its asset allocation in the coming months, said Al Semper, chairman. The fund will consider whether to invest in inflation- indexed bonds as a separate asset class; currently it allows bond managers to use the Treasuries to enhance returns. The system also will consider whether to increase exposure to emerging markets, and to invest in a limited way in hedge funds.
CII to scrutinize itself
The Council of Institutional Investors will examine its own corporate governance following pressure from officials at the $149 billion California Public Employees' Retirement System. A CalPERS document claims, among other things, that the CII executive committee violates the organization's one-fund, one-vote rule, and the committee has "no clear authority, responsibility or function"; and measures of accountability for Executive Director Sarah Teslik are "unknown or unclear."
The council's executive committee agreed to name a special committee to review the issues and make recommendations.
Capital Consultants settles
Ninth U.S. District Court judge Garr King approved a $140 million settlement for 66 pension funds in connection with former Portland money manager Capital Consultants, said a spokesman for the law firm representing the pension funds. The pension funds will be repaid more than half the money they invested with Capital. The firm was placed in receivership in November 2000 after an SEC investigation alleged the company had engaged in a Ponzi-like scheme.
CalPERS hires equity chief
Christianna Wood was named senior investment officer for global equities at the $149 billion California Public Employees' Retirement System. She is leaving Denver Investment Advisors, where she was vice president, portfolio manager and director of the firm's $600 million in value strategies. At DIA, research analyst David L. Hand will succeed Ms. Wood.
Ms. Wood is taking the role vacated by Mark Anson, who was promoted to CIO.
Endowment taps T. Rowe
The University of Maine System's $84 million endowment hired T. Rowe Price to run $5.8 million, said Michael J. Soucy, assistant treasurer. Assets will be invested in the T. Rowe Price Institutional High Yield Fund.
Borden takes Louisiana helm
Robert Borden was named executive director of the Louisiana State Employees' Retirement System. He had been CIO of the $5.5 billion system since 1995. He replaces Glenda Chambers, who will leave Aug. 1 to become executive director of the National Association of State Retirement Administrators. The process of replacing Mr. Borden will be discussed by trustees at their June 27-28 meeting.
Illinois SURS drops fund
State Universities Retirement System of Illinois, Champaign, is dropping the ING/Aeltus small company fund for its $119 million 401(a) plan. John R. Krimmel, CIO of Illinois Universities, said personnel changes at the fund, including the departure of Thomas DiBella, lead portfolio manager, prompted the move. Balances will be moved into Neuberger Berman Genesis Trust, unless participants direct otherwise. Ennis Knupp assisted.
Wickes picks MassMutal
Wickes Inc., Vernon Hills, Ill., hired MassMutual as provider for its $90 million 401(k) plan, said Tim White, director of human resources. Bank of New York was record keeper and Fidelity provided investment options, Mr. White said.
EGTRRA rule increased
The House voted 308-70 to permanently increase limits on retirement and pension plan contributions and benefits included in last year's tax law. The provisions, part of EGTRRA, were scheduled to expire at the end of 2010.
Russell taps 3
Frank Russell Co. hired Brandywine Asset Management and DePrince, Race and Zollo to manage part of the active, domestic, large-cap value equities within the FRIC Equity III and the Equity Income funds. Also, Goldman Sachs Asset Management was awarded management of part of the FRIC Equity II and Special Growth funds. Funding comes from cash. Brandywine now manages three mandates for Russell, totaling $54 million; and Goldman Sachs, seven totaling $829 million. DePrince's $23 million allocation is its first from Russell.
REIT allocation rises
The $530 million Oklahoma Law Enforcement Retirement System committed an additional $10 million to the RREEF America REIT, said Lawrence F. McCullock, executive director. This brings the fund's allocation to the REIT to $35 million, he said. Asset Consulting Group advised.
Fund to use Gabelli
Officials at the $68 million Lamson & Sessions pension plan are finalizing contract negotiations with Gabelli Asset Management to run $5 million to $10 million in active domestic value small-cap equity, said Patricia J. Perek, corporate cash manager. Salomon Smith Barney advised.
Burlington hires for ADRs
The $93 million Burlington (Vt.) Employees' Retirement System hired Lazard Asset Management for a $2 million active midcap value ADR mandate, said Cynthia Davis, retirement administrator. Morgan Stanley advised.
Alabama fund picks Atlanta
The $26 million Anniston (Ala.) City Police & Firemen's Retirement Fund hired Atlanta Capital to manage up to $2 million in active domestic small-cap value equity, said Alan B. Atkinson, secretary and treasurer.
Funding will come from a holding account with custodian SouthTrust.
Provident names CIO
J. Donald Raines has been promoted to CIO and managing director, a new position, at Provident Investment Advisors. Mr. Raines is not being replaced in his previous position of senior vice president and investment director.