Fujitsu Services Pension Fund, Slough, England, hired Liontrust Asset Management and Capital International to run £139 million ($256 million) and £71.5 million, respectively, in U.K equities, said David Sillitoe, chairman of the trustees. The £1.4 billion scheme also hired MFS International (U.K.) and Capital International to manage £139 million and £131 million, respectively, in international equities, and Barclays Global Investors to manage £193 million in passive equities and £105.8 million in active equities. Further details on BGI's mandates were not available The fund also hired BGI as transition manager, said Mr. Sillitoe. Fund officials made the changes because they wanted to have more balance between actively and passively managed funds.
Fixed-income manager Baring Asset Management's bond portfolio was increased to £40 million, from £21 million. The scheme's other bond manager, Merrill Lynch, runs £41 million in bonds.
Partial funding for the changes came from terminating Merrill Lynch Investment Managers because of performance; the manager ran £700 million in equities for the scheme. Additional funding came from terminating Societe Generale Asset Management, also because of performance, Mr. Sillitoe said. The size of the SGAM portfolio could not be learned by press time. Keith Percy, chairman and CEO of SocGen, did not return a call by press time seeking comment; Emma Phillips, a Merrill Lynch spokeswoman, declined comment.
Fund officials decided to move the fund from its allocation of 80% equities and 20% bonds to a target of 60% equities and 40% bonds, Mr. Sillitoe said. Mercer Investment Consulting assisted.