Washington State Investment Board, Olympia, will launch a sweeping examination of its $5 billion international equity portfolio, said Joe Dear, executive director. Board officials, who oversee $36.9 billion in retirement assets, will study whether the international stocks are generating adequate performance and diversification benefits. "Do we want to be in this asset class? Mr. Dear asked rhetorically.
The review will also look at the funds current 50/50 split between passive and active managers and will scrutinize all its managers. State Street Global Advisors is the sole passive manager. Active developed-market managers are: Artisan; Delaware; Dresdner RCM; Nicholas-Applegate; Putnam; and Pyrford. Active emerging markets managers are: Capital International; Schroder; Grantham Mayo; and Foreign & Colonial. The system asked its pool of consultants Watson Wyatt, R.V. Kuhns and Callan to bid on the consulting part of the project.