ST. LOUIS — Ascension Health Inc. hired Mazama Capital to run $100 million in active domestic small-cap to midcap growth equities for its $1.8 billion pension plan, said Mark Amiri, treasurer. Funding came from rebalancing, he said. Watson Wyatt Investment Consulting assisted.
BALTIMORE — The $1.2 billion Baltimore City Employees' Retirement System hired Boston Co. to run $14 million in an emerging markets equities portfolio, its first in that asset class, said Roselyn H. Spencer, executive director. Funding will come from terminating T. Rowe Price, which ran $30 million in an active EAFE portfolio, Ms. Spencer said. Fund officials wanted to diversify its 15% international equity allocation.Callan Associates assisted.
The remainder of the T. Rowe Price portfolio was added to Putnam's active international equity mandate, raising it to $56 million. The decision to add to the Putnam portfolio was made before civil fraud charges were filed against the firm, Ms. Spencer said, and plan officials are now taking a "watch-and-see position." Trustees were to meet with a Putnam representative last week; "Putnam has been one of our best-performing managers," she added.
MILWAUKEE — Brady Corp. added the Fidelity Diversified International fund as an investment option in its $100 million 401(k) plan and dropped the Janus Fund and Janus Overseas funds, said Gary Vose, director-compensation, benefits and HR systems. Plan officials were concerned about performance of the two Janus funds as well as management changes at Janus Capital, Mr. Vose said. Participants with money in the Janus Fund will be directed to move that money to the Fidelity Advisor Equity Growth fund, an existing option. Shelley Peterson, Janus spokeswoman, said that recent performance for both funds has "greatly improved." Smith Barney assisted.
CLEARWATER, Fla. — The $449 million Clearwater Employees Pension Fund hired Dodge & Cox to manage $75 million in core fixed income, pending trustee approval and contract negotiations, said Stephen Moskun, cash and investment manager. Officials will fund the hiring by reducing a Lehman Aggregate index portfolio run by Northern Trust, leaving it with $45 million; officials are considering moving that money to active management, and might hire Western Asset, the runner-up in the core bond search, Mr. Moskun said. That decision is expected to be made in February.
WILLIAMSBURG, Va. — Colonial Williamsburg Foundation hired Philippe Investment Management to run $10 million in small-cap to midcap European equities, part of "a broader allocation of funds among several international managers," said Robert Taylor, chief financial officer and senior vice president. The foundation has been reviewing its $568 million endowment over the past year, said Tim Andrews, spokesman. Further details were not available.
SOUTH ELGIN, Ill. — Hoffer Plastics Corp. added seven investment options to its $39 million 401(k)/profit-sharing plan and dropped 16 others, said Stanley Schambach, controller. The plan added the Neuberger Berman Focus Trust and T. Rowe Price Capital Appreciation funds; the American Funds Growth Fund of America and Washington Mutual funds; the American Century Value and Small-Cap Value funds; and the Principal Medium Company Blend Separate Account, Mr. Schambach said.
The change was made because plan officials wanted to reduce fund options to minimize confusion, Mr. Schambach said.
The plan now offers 15 options. The changes were effective Oct. 31 and were decided before the market-timing probe of Strong and charges against Putnam were announced.
Wayne Hummer assisted.
BATON ROUGE, La. — Louisiana State Employees' Retirement System hired Great-West Retirement Services as bundled provider for its new 401(a) plan. The plan is expected to be operational Jan. 1, said Shane Thurman, retirement benefits supervisor, and will offer 30 investment selections from various mutual fund families. He said the plan was created to provide participants in the $400 million deferred retirement option plan with a plan providing participant-directed investment choices. He said participants in the DROP plan would have the option of shifting to the new plan starting in January; all employees hired after Jan. 1 will only be eligible for the new plan.
AUGUSTA, Maine — Maine State Deferred Compensation Plan is adding eight funds as investment options in the $188 million 457 plan, said Terry Meehan, plan administrator. The new funds are: Calvert New Vision Small Cap; Lord Abbett MidCap Value; Franklin Mutual Discovery; Alger Aggressive Growth; Oppenheimer Global Securities; and ING Van Kampen Comstock, Baron Small Cap Growth and International Valuefunds.
The plan is dropping the Janus Worldwide, Aspen Midcap Growth and Aspen Worldwide funds; the ING Value Opportunity, Small-Cap Opportunities and International funds; and the MFS Capital Opportunities and Dreyfus Premier Third Century funds. Those funds had been on watch for over a year, Mr. Meehan said, and were dropped for performance.
JEFFERSON CITY, Mo. — The $5.3 billion Missouri State Employees' Retirement System hired Relational Investors to manage $50 million in a "special situations" equity portfolio, said Gary Findlay, executive director. The system expects the portfolio of concentrated large-cap value stocks to perform like private equity, but with greater liquidity, Mr. Findlay said. Funding will come from the system's 5% private equity allocation, he said. Summit Strategies Group assisted.
ALBUQUERQUE, N.M. — The New Mexico Pipe Trades Pension Trust Fund hired UBS Financial Services as investment consultant for its pension and 401(k) plans, effective Dec. 1, said John Case, financial secretary and treasurer. UBS replaced J.H. Ellwood, Mr. Case said. Trustees wanted a firm with an Albuquerque office that would accept fiduciary responsibility; J.H. Ellwood did not have the responsibility, Mr. Case said.
The pension plan has $85 million in assets, and the 401(k) plan has $35 million, according to the Money Market Directory.
ALBANY, N.Y. — The $5.9 billion New York State Deferred Compensation Plan hired Bank of New York as master custodian, replacing J.P. Morgan Chase. Plan officials determined BNY offered the best deal in terms of cost and capabilities, said Julian Regan, executive director.
ANN ARBOR, Mich. — NSK Corp. hired Fidelity as bundled provider of its two 401(k) plans, which mirror each other and have combined assets of $45 million, said John Ellis, vice president-finance and information technology. Fidelity replaced Prudential; plan officials "were not happy with Prudential's service," Mr. Ellis said. Darrell Oliver, Prudential spokesman, declined to comment.
401(k) Source assisted.
OAKLAND PARK, Fla. — Oakland Park Retirement System hired Bogdahn Consulting as investment consultant, pending contract negotiations, said Margie Adcock, president of Pension Resource Center, the $18 million plan's third-party administrator. Bogdahn will monitor the performance of INVESCO, which manages the plan's assets in a balanced account, Ms. Adcock said. Officials hired Bogdahn because of the market downturn, she added.
OKLAHOMA CITY — Oklahoma City Employee Retirement System hired Julius Baer to run $18 million in active international growth equities, said Rena Hutton, retirement system manager. The $381 million system will fund the hiring by terminating five passive international equity mutual funds, with a total of $36 million: the Scudder International, T. Rowe Price International, Templeton Foreign, Vanguard International Growth and State Street Global Advisors EAFE index, Ms. Hutton said.
Grantham Mayo Van Otterloo was hired in October to run the other $18 million in active international value equities. Plan officials wanted active management in the asset class, she said. Asset Consulting Group assisted.
SALEM, Ore. — The $40 billion Oregon Public Employees Retirement Fund hired Mazama Capital to manage $200 million in active domestic small-cap to midcap growth equities. Assets will come in part from a $50 million active domestic midcap growth equity portfolio run by Nicholas-Applegate that was terminated in September; the remainder of the funding has not been finalized.
ALBUQUERQUE, N.M. — PNM Resources Inc. hired Quellos Group and Grosvenor Capital to run $20 million each in hedge funds of funds, said Ed Jeung, director of trusts and corporate investments. The $415 million pension plan will partly fund the commitments by rebalancing its domestic equity portfolios, Mr. Jeung said. Additional funding will come from the plan's investment in a Hancock Timber fund, which is expected to close next year, he said; he could not provide further details. Financial Risk Management also was a finalist in the search. Watson Wyatt Investment Consulting assisted.
SAN FRANCISCO — The $11 billion San Francisco City & County Employees' Retirement System hired AXA Rosenberg and Brandes Investment Partners to manage about $300 million in active international small-cap equity mandates. AXA Rosenberg will manage around $200 million, while Brandes will run the balance. Funding will come from terminated international small-cap managers Capital Guardian and Nicholas-Applegate, which ran $99 million and $202 million, respectively. Nicholas-Applegate also was terminated as manager of a $192 million EAFE portfolio; those assets will be invested in global fixed income, using existing managers. Angeles Investment Advisors assisted.
NORTHFIELD, Minn. — St. Olaf College hired Grantham Mayo van Otterloo to run $25 million in active international equities, including $22 million that had been managed for the endowment by Putnam, said Mark R. Gelle, assistant treasurer. The $161 million endowment moved $3 million allocated in October to Grantham Mayo to run in emerging markets equities to the firm's active international equity portfolio, Mr. Gelle said. Putnam was terminated because of market-timing lawsuits against the firm.
SPOKANE, Wash. — Teck Cominco American Inc. hired Frontier Trust as custodian for its new 401(k) plan, said Steve Lindberg, manager-human resources. The new plan, open to employees hired after Aug. 1, will mirror the company's existing $32 million 401(k) plan, Mr. Lindberg said. Merrill Lynch is custodian to the original plan, he said.
AUSTIN, Texas — The University of Texas Investment Management Co., which manages the university's $14.7 billion endowment, committed $25 million to PTV Sciences, a life and material sciences venture fund.
MADISON, Wis. — The Wisconsin Department of Employee Trust Funds added the Barclays Global Investors Russell 2000 index fund as an investment option in its $1 billion 457 plan, bringing the total options to 18, said Shelly Schueller, deferred compensation director.
CASPER, Wyo. — Wyoming Machinery Co. hired CIGNA as bundled provider of its $36 million 401(k)/profit-sharing plan, said Bob Chynoweth, secretary and treasurer. Administration had been handled internally, Mr. Chynoweth said.