Boeing Co., Chicago, will complete contract negotiations with the two firms selected for its manager of emerging managers program in about three weeks, said Mark A. Schmid, CIO of the $36 billion plan. They will run a combined $1 billion; the amount might be divided equally, but details have not been finalized.
He would not identify the managers but commented, "There aren't many firms in this area."
According to a report earlier this spring from a consultant not involved with Boeing, the two firms with the biggest manager-of-emerging-managers programs are Northern Trust, with $1.1 billion, and Progress Investment Management, with $900 million. Mr. Schmid declined to say if Northern and Progress are the firms Boeing chose, and officials from Northern and Progress couldn't be reached for comment by press time.
Mr. Schmid said Boeing chose to use managers of managers because these "experts can do it efficiently on our behalf."
Boeing interviewed about 10 firms and did not use a consultant, he added.