Fonds de Réserve pour les Retraites, Paris, hired eight managers to run a combined 4.12 billion euros ($5.03 billion) in new portfolios, the 16 billion euro fund announced today.
AXA Investment Managers, Capital International, Groupama Asset and Lombard Odier have four-year contracts to run 620 million euros each in active eurozone large-cap equities, and Société Générale Asset Management has a five-year contract to run 200 million euros in active U.S. midcap equities, according to a statement from the fund. J.P. Morgan Fleming will be a standby manager for both mandates.
F&C Management has a four-year contract for a 480 million euro international inflation-indexed bond portfolio, and CDC IXIS and Deutsche Asset have four-year contracts to run 480 million euros each in active non-euro denominated bonds, the statement said. AXA Investment was named inflation-indexed standby manager, and Capital International was named standby manager for the non-euro portfolio.
Separately, the fund is completing an existing search for 10 more firms to run a combined 1.8 billion euros; those managers are expected to be selected by the end of June, according to today's statement.
Mercer Investment Consulting is the investment consultant.