British Coal Staff Superannuation Fund, Sheffield, England, plans to dramatically downscale a £7 billion ($11.55 billion) multiasset portfolio run by Goldman Sachs Asset Management, as part of plans to begin using additional firms after Goldman Sachs' exclusive contract expired last year. The manager will retain £2.2 billion. It will continue to manage the money in U.K. bonds, quantitative global equities, active global equities and private equity.
The £10 billion fund will hire eight managers to run the rest of the money; David Morgan, CEO, declined to name the firms but said the board was "way down the track" in the selection process.
GSAM has managed most of the scheme's assets since 1996, when it acquired CIN Management, the in-house management team of both the staff superannuation fund and its sister plan, the £10 billion Mineworkers Pension Fund. Under the agreement, both schemes were obliged to use GSAM until last year. Mr. Morgan refused to comment on whether the Mineworkers Pension Fund plans to take similar action.
Watson Wyatt Worldwide is advising.
