Pensioenfonds Vervoer, Schiphol, Netherlands, hired Goldman Sachs Asset Management as fiduciary manager for its entire €7.5 billion ($9.58 billion) in assets. Goldman will act as a manager of managers for the fund and advise on asset allocation and risk budgeting.
F&C Asset Management currently runs the bulk of the assets, including €1 billion in mortgage securities and real estate managed by affiliate Achmea Vastgoed. State Street Global Advisors also manages €420 million in passive U.S. equities.
Plan executives decided to replace F&C to reduce the risk of using just one money manager; they also wanted to invest in strategies F&C was not able to offer, said Patrick Groenendijk, an adviser to the board of the Dutch private transport industry pension plan. "One manager can't be good at doing everything," he said.
It is not yet clear whether SSgA will be replaced, as Vervoer executives still have to decide their approach to passive management, he added.
F&C spokesman Jason Hollands said the firm had not yet been informed "as to the extent of the loss of the assets."