Aussies tap J.P. Morgan as plans' global custodian
SYDNEY - Local Government, Energy Industries and Chifley superannuation schemes hired J.P. Morgan Investor Services as global custodian for A$5 billion (US$3 billion) in assets held by the three funds, according to Alicia Herr, spokeswoman for J.P. Morgan Investor Services. The plans' previous global custodian, Commonwealth Custodian Services, was put up for sale last month by its parent, Commonwealth Bank of Australia, Ms. Herr said. Brent Westbrook, CEO of the funds, could not be reached for comment by press time.
CIBC Trust picks Fiduciary Management as subadviser
TORONTO - CIBC Trust Corp. hired Fiduciary Management as a subadviser of the CIBC Imperial U.S. Equity Pool, said Richard McConnell, a CIBC spokesman. Fiduciary will handle US$61 million in U.S. small-cap equities. The firm replaces CIBC subsidiary TAL Global Management.
Bank of Scotland drops equity manager Edinburgh
CHESTER, Scotland - Bank of Scotland Pension Scheme terminated Edinburgh Fund Managers, which ran £550 million ($870.2 million) in active U.K. equities, because of performance, said Sarah Dixon, Edinburgh Fund Managers spokeswoman. Officials at the £1.2 billion pension scheme could not be reached for details by press time.
Stork NV considers action against former executive
AMERSFOORT, Netherlands - Executives of the e1.9 billion pension fund of Stork NV are considering civil and possible criminal action against Luc van Gastel, a former managing director.
Mr. van Gastel was terminated in mid-February on suspicion of financial mismanagement and embezzlement, said Kees van Rees, the newly appointed acting joint managing director. Mr. van Gastel was due to retire this month.
Mr. van Gastel's allegedly fraudulent behavior is supposed to have involved the plan's U.S. real estate investments, but he would not be more specific; nor would he indicate the financial impact of the mismanagement He did say the amount of money involved was relatively small.
Mr. van Rees came out of retirement to take over from Mr. van Gastel in late February at the request of Stork executives. Mr. van Rees was head of the European Federation of Retirement Provision, Brussels, and the e10.4 billion Stichting Pensioenfonds Shell, The Hague, before retiring early last year. Mr. Van Gastel could not be located for comment by deadline.
2 Dutch funds, AMB create real estate joint venture
RIJSWIJK, Netherlands - AMB Property formed a joint venture with the $14 billion Bedrijfspensioenfonds voor de Metaal en Technische Bedrijfstakken and $1 billion Stichting Pensioenfonds TNO, both of Rijswijk, to invest in industrial distribution properties in major U.S. hub and gateway cities. AMB is contributing $27 million, according to the firm; MTB is contributing $40 million, and TNO, $3 million, said Ruud Roosen, fund manager for U.S. real estate at MN Services, which is advising the two Dutch pension funds.
Caisse sells Paris office tower to Deutsche real estate unit
MONTREAL - Caisse de Depot et Placement du Quebec sold a 40-story office tower in Paris, which it jointly owned with Colony Capital, to Deutsche Bank's real estate management unit for C$594 million (US$408 million) in cash, said Jacques Chartrand, spokesman for the Caisse's SITQ real estate subsidiary. SITQ owned 70% of the tower, and Colony Capital, 30%. SITQ also owns other property in Paris and it may develop a building there, said Mr. Chartrand said. The Caisse has C$130 billion in total assets.
TNO to move 8% of assets into hedge funds of funds
RIJSWIJK, Netherlands - Stichting Pensioenfonds TNO is conducting an invitation-only search for hedge-fund-of-funds managers to run e100 million ($108 million) over the next three years. The e1.2 billion pension plan will allocate e15 million to hedge funds this year, TNO Director Eric van Ballegooigen said. Selections are expected within three months. "We were not happy with the performance of normal active managers and we wanted to look for diversification and less correlation," he said.
The plan's alternative investment adviser, Fund Partners, will select and monitor the fund of funds. TNO wants a low correlation with its primarily euro-oriented core investment portfolio, said Jurcell Virginia, head of alternative business at Fund Partners.