Newton (Mass.) Retirement System is searching for an active global fixed-income manager to run $25 million for the $240 million system, confirmed Rafik Ghazarian, consultant with Segal Advisors, which is assisting in the search.
The move is being made for diversification. Funding will come from reducing an active domestic fixed-income portfolio managed by Wellington Management, leaving it with about $40 million, confirmed David Wilkinson, city of Newton comptroller and ex-officio member of the retirement system.
System officials are also seeking a manager to run $20 million in active domestic large-cap growth equities. The money is currently part of a Russell 1000 growth index fund managed by Mellon Asset Management, and the system is looking to shift to an active portfolio, Mr. Wilkinson said. The Russell index would be reduced by about $15 million, with the other $5 million coming from rebalancing, Mr. Ghazarian said.
The board will consider both commingled funds and separate accounts. The RFPs for both searches are available by contacting Brian Keenan at [email protected] Proposals are due at 3 p.m. EST Jan. 30. Fund officials hope to have make selections during the second quarter, Mr. Ghazarian said.