Boeing Co., Chicago, hired Dwight Asset Management to oversee its $7 billion stable value fund and Western Asset Management to manage a portion of the underlying fixed-income assets, according to Anne Eisele, director-finance communications. The fund accounts for about 30% of the company's $24 billion 401(k) plan. Dwight replaces ING Life Insurance and Annuity, which will continue to manage a portion of the underlying assets and provide a portion of the insurance wrap protection for assets in the stable value fund. Other existing fixed-income managers of the stable value fund are BlackRock, PIMCO and State Street Global Advisors.
Boeing officials added Dwight because they wanted a separate company to oversee the managers, advise on target duration, negotiate insurance wrap protection of the underlying assets and report performance. They added Western Asset for further diversification.
Under the new structure, the stable value fund will have a combination of short-term, intermediate-term, and longer-term portfolios. The fund had consisted of only intermediate-term portfolios.
Ennis Knupp assisted.