Blue Sky Group is planning to shift its entire €4.2 billion ($5.71 billion) passive global equity portfolio into 120/20 or 130/30 strategies, said Ramon Tol, fund manager in equities. The group manages about €12 billion in pension assets, mostly on behalf of KLM Royal Dutch Airlines, Amsterdam.
A manager is much better able to reflect their ideas and stock rankings into the portfolio under the 120/20 and 130/30 strategies, Mr. Tol said, speaking at the Alpha Max 2007 conference today in Lisbon, Portugal.
Blue Sky is currently looking to shift a $300 million large-cap portfolio managed by INTECH, which is being considered to run the money in a 120/20 strategy. The asset manager initially converted a $300 million passive U.S. large-cap portfolio to a 120/20 portfolio in 2006, managed by State Street Global Advisors.
Theres no specific timeframe for shifting the rest of the passive equity portfolio. SSgA manages about 90% of the passive equities portfolio, and BGI runs the remainder, Mr. Tol said. Both firms will be considered for the short-extension strategies, he added.