Environment Agency Pension Funds, Bristol, England, is seeking managers to run £50 million ($89 million) in active emerging market equities and a £400 million active currency overlay.
Funding for the equity mandate, a new allocation, will come from cash.
Officials for the £1.3 billion fund are adding the currency overlay as a result of an overall asset allocation restructuring that began last year, said Howard Pearce, head of pension fund management. "This is the first time we've done it," he said. "We've increased our exposure to overseas currencies, and this was a way to reduce the volatility of that exposure and at the same time get some alpha."
RFPs were issued Jan. 17, and the deadline for proposals is Feb. 24. Additional information is available by e-mail from Marcus Perrin at [email protected]