Kansas City (Mo.) Employees Retirement System hired active core equity managers Barclays Global Investors and GMO to each manage $50 million, said Rick Boersma, executive officer. BGI will run an international portfolio; GMO will handle global. Funding comes from the termination of active international core equity managers Lazard Asset, Oechsle International and Waddell & Reed; officials at the $700 million pension fund wanted "more opportunistic global approaches," Mr. Boersma said. Lazard ran $50 million, Oechsle $30 million and Waddell & Reed $20 million. Mr. Boersma said plan officials believed they "had a better opportunity to earn alpha if they took a different approach."
The plan's asset allocation is 29% fixed income, 26% domestic large-cap equity, 12% global TAA, 10% domestic small-cap equity, 7% each international equity and global equity, 5% real estate, 3% emerging markets and 1% cash.