Los Angeles City Employees' Retirement System's board approved hiring four managers for a new corporate governance mandate: Relational Investors will run $75 million; Knight Vinke, $33 million; Sparx Asset Management, $23 million; and Hermes Focus Asset Management, $18 million in the Hermes UK Focus Fund. Funding came from cash.
Separately, the board of the $8.3 billion system renewed the contracts of Loomis Sayles, which manages a $800 million core-plus portfolio benchmarked to the Lehman Universal bond index, and State Street Global Advisors, which runs a $567 million EAFE index fund.
The board also postponed making a decision on whether to commit $10 million each to the Whippoorwill Distressed Opportunity Fund and the Yucaipa American Alliance Fund I. It was not known when the board will consider the commitments.