The Michigan 21st Century Investment Fund, Lansing, issued an RFP for private equity and venture capital managers that either have Michigan-based investments or have experience making investments in the state. The $109 million fund was recently started to help create and retain jobs in the state of Michigan and has not yet made any investments. The new fund will be run by Credit Suisse's customized fund investment group. Bob Payne, manager of the Credit Suisse group in Michigan, said they will likely look for 10-12 funds. The 21st Century Investment Fund is part of Michigan's 21st Century Jobs Fund, a $2 billion initiative to diversify the state's economy. It is funded through a portion of Michigan's tobacco settlement money. Proposals are due Nov. 17. The RFP and further information are available at www.michigan21stcenturyinvestmentfund.com/about_21stCentFund.htm.
The Stanislaus County Employees Retirement Association, Modesto, Calif., issued an RFP for a manager to handle $100 million in active domestic small-cap value equities, said Maria DeAnda, a trustee for the $1.2 billion fund. Fund officials are considering replacing incumbent Charlotte Capital, which is on watch for underperforming its benchmark, the Russell 2000 value index, Ms. DeAnda said. "We might not get rid of Charlotte; we're just conducting the search in order to think ahead," she said. The RFP is available from its consultant, Strategic Investment Solutions, where Managing Director Michael Beasley is assisting with the search.
The Lothian Pension Fund, Edinburgh, will issue an RFP in November for a manager to run a £125 million ($234 million) active multiasset strategy, Colin Hay, investment manager, said in a telephone interview. The strategy will target a return of 0.5 to 1 percentage point above a custom liability-driven investing benchmark, using pooled funds. Funding will come from terminating a passive multiasset portfolio managed by State Street Global Advisors, which is invited to rebid. Officials of the £2.6 billion pension fund are not making the change because of performance, but rather "a combination of a change of investment strategy and the natural end of the contract" in April 2007, Mr. Hay said. Further information can be obtained from spokeswoman Elizabeth Macaulay at [email protected] An appointment is expected by April. Consultant Hymans Robertson is assisting.
The Denver Employees Retirement Plan will search for an active domestic small-cap growth equity manager, said Steven Hutt, executive director of the $1.7 billion fund. The firm will either "support" the system's two existing active domestic small-cap equity managers, Fiduciary Global Advisors and Neuberger Berman, or replace Fiduciary because of the system's concerns about performance and staff turnover, Mr. Hutt said. Fiduciary and Neuberger run $75 million each; the size of a third portfolio has not been determined, Mr. Hutt said. Bill Weeks, spokesman for Fiduciary Global Advisors, a unit of Franklin Templeton Institutional, declined to comment. The fund's internal investment staff will conduct the search, along with general consultant Callan Associates. The parameters of the search will be formalized with Callan in mid-October, Mr. Hutt said. A selection will likely be made before the end of the year. Questions should be directed to Mr. O'Leary at [email protected], Mr. Hutt said.
The Illinois State Universities Retirement System, Champaign, plans to search for a global custodian for its $14.4 billion fund, hoping to issue an RFP in mid-October, said Dan M. Slack, executive director. Northern Trust, incumbent since 1984, will be invited to rebid, he said. "We are conducting the search not out of any dissatisfaction with Northern Trust but because we feel it is prudent to rebid … and to take a fresh look at our custodial arrangement," he said. The board completed its last custodial search in 1997. The RFP will be available from the system, and officials hope to make a selection in March. Ennis Knupp is assisting.
The Alaska Permanent Fund Corp., Juneau, will seek one or more managers to run a total of $1.7 billion in global equities. Details of the search were not available. The search is part of a decision by trustees of the $34.6 billion fund to make a 14% allocation to global equities. As a first step, global equity portfolios of $1.7 billion and $1.4 billion, run by UBS Global Asset Management and Lazard Asset Management, respectively, will no longer be split proportionately between the fund's existing U.S. and international allocations.
The County Employees' Retirement Fund of Missouri, Jefferson City, will begin an asset allocation study this month, confirmed Richard Anderson, investment and DC plan coordinator. The study will cover the fund's $210 million defined benefit plan; there is also a $30 million deferred compensation plan. Plan officials will meet with consultant Asset Consulting Group on Oct. 11. Mr. Anderson said there might be some discussion of new asset classes but he had no other details. There is no specific timeline for completion of the study.
Louisiana Municipal Police Employees' Retirement System officials are being educated by consultant Summit Strategies Group on hedge fund investments, both direct and through funds of funds, said Charles Hall, CIO and actuary. Officials of the $1.4 billion Baton Rouge-based plan will likely ask Summit to conduct an asset-liability study within the next few months, Mr. Hall said. Plan officials will meet Oct. 18 to discuss possible changes to the fund's asset allocation. Mr. Hall became the fund's first CIO last month; he remains an actuary with Hall Actuarial Associates, he said. He has begun hiring staff members for the plan's newly created investment division.