Massachusetts Pension Reserves Investment Management Board, Boston, will issue RFPs for a hedge fund-of-funds manager to run $1 billion in its first absolute-return portfolio, and at least one high-yield bond manager to run a total of up to $900 million. The absolute return RFP will be issued this week, and the high-yield RFP will be issued shortly thereafter. Funding will come from trimming the $29 billion pension fund's equity allocation.
New Mexico Educational Retirement Board, Santa Fe, is searching for one or two active high-yield bond managers to run a total of $300 million, said Frank C. Foy, chief investment officer. The new allocation is a result of an asset-liability study of the $6.2 billion fund by consultant Wilshire, he said. Funding will come from a $2 billion internally managed fixed-income portfolio, Mr. Foy said. RFPs are available from Wilshire; proposals are due Oct. 30.
Taunton (Mass.) Contributory Retirement System is searching for a private equity fund-of-funds manager to run $2 million, said Kevin Leonard, the Segal Advisors consultant who is assisting. Proposals are due Oct. 30; RFPs are available from Christopher Tehranian at [email protected] The $117 million plan has $1.5 million invested in private equity.
Flintshire County Council Clwyd Pension Fund, Mold, Scotland, issued RFPs for two managers, one to handle £53 million ($86 million) in active European equities and another to run £36 million in enhanced passive U.S. equities, said Lynne Blake, county treasurer. The £520 million scheme is moving to a specialist investment manager lineup, she said. Ms. Blake would not provide further details. The scheme's managers are Barclays Global Investors, Baring Asset Management and Gartmore Investment Management, according to 2003 Pension Funds and Their Advisors. Mercer Human Resource Consulting is adviser.
Wyoming Retirement System, Cheyenne, might make a 3% to 5% allocation to alternative investments, its first, said Harry Wales, deputy director. The board of the $4.3 billion system will hear a presentation on private equity at its Nov. 21 meeting. System officials have not yet determined which other types of alternatives they will consider, and it will be "a long while" before any manager searches are begun, he said. Buck Consultants is assisting.
Ball State University Foundation, Muncie, Ind., plans to conduct an asset allocation study following a selection of a new investment consultant, said David Bahlmann, president and chief executive officer. The study should be completed in the first quarter. Investment officials are interested in adding a hedge fund allocation, he said. The $115 million foundation's current asset allocation is 75% equity, 25% fixed income. The fund's current consultant, DeMarche Associates, is being terminated because consultant Jeff Hoffman, former DeMarche managing director and founder of Index Capital Management, will no longer be able to provide independent services to the fund, Mr. Bahlmann said. Mr. Hoffman is assisting with the shortlist search, and a selection may be made at the investment committee's Nov. 21 meeting.
Indiana Public Employees' Retirement Fund, Indianapolis, is considering investing in private equity, international equities and Treasury inflation-protected securities as part of an asset-liability study, said Craig E. Hartzer, executive director. Mercer Investment Consulting is assisting. Also, specialty consultant Strategic Investment Solutions is helping the $9.7 billion system review its private equity policies and guidelines. He said the study could be presented to the board in the next two months. The fund has 5% of assets allocated to private equities.
Fairfax County Educational Employees' Supplementary Retirement System, Springfield, Va., will review its $158 million international equity portfolio; officials at the $1.37 billion system hope to finish the review and possibly hire new managers by the end of the year, said Alan Belstock, finance director. Mercer Investment Consulting is assisting.
Indiana State Teachers' Retirement Fund, Indianapolis, may search for a record keeper for its $2.7 billion annuity savings plan, said Robert D. Newland, chief investment officer. Record keeping is handled internally, with quarterly valuation. "We would like something more robust" in terms of services, such as daily valuation, he said. The board could decide on a search in several months, he said. Separately, Mr. Newland said the $3.5 billion defined benefit fund will begin an asset allocation study after actuary Gabriel Roeder Smith completes its own study in November or December. The asset allocation study could be completed by the end of the first quarter, he said. Callan will assist.