Elizabeth Arden Salon
PHOENIX — Elizabeth Arden Salon Holdings Inc. hired Putnam Investments to manage its $26 million retirement savings program, said Laura McNamara, Putnam spokeswoman. Larry White, Elizabeth Arden senior vice president and chief financial officer, couldn’t immediately be reached for comment.
ATP
HILLEROED, Denmark — ATP appointed Bank of New York as global custodian of the 414 billion Danish kroner ($75.4 billion) pension fund, according to Ivan Royle, Bank of New York spokesman. BoNY will also provide services such as trade support, derivatives administration and data management. The contract of previous custodian Nordea expired earlier this year; the firm was allowed to rebid. Bjarne Graven Larsen, chief investment officer of ATP, could not be reached by press time for further information.
California Public Employees
SACRAMENTO, Calif. — CalPERS hired UBS to help the fund restructure its $15.2 billion private equity portfolio, according to a source familiar with the matter. In December 2005, the $245.3 billion California Public Employees’ Retirement System decided to pare the number of private equity investments to 30 to 40 top private equity funds, from 135, among other changes. Clark McKinley, CalPERS spokesman, and Doug Morris, spokesman at UBS, declined to comment. No further details could be learned by press time.
The system also committed to six private equity funds, according to a transaction summary posted on the fund’s website: €400 million ($544 million) with CVC European Equity Partners Tandem Fund; €300 million with Carlyle Europe Partners; $150 million each with Clearwater Capital Partners III and TPG Star; $100 million with Crimson Capital China’s China Privatization Fund; and $50 million with Tailwind Investment Partners.
Carpenters, Arizona
PHOENIX — Carpenters District Council of Arizona invested $5 million each with three firms. Blackstone will manage the assets in a hedge fund of funds, Western Asset Management will run its allocation in active domestic fixed income and ASB Capital Management will invest in real estate, said David Hafner, pension department manager.
The hedge fund-of-funds and real estate investments are new asset classes for the $188 million system, Mr. Hafner said. Funding will come from McMorgan & Co., whose portfolio is being phased out; Mr. Hafner could not comment further at press time. Marco Consulting Group assisted.
Clearwater Employees
CLEARWATER, Fla. — Clearwater Employees Pension Fund hired Aletheia Research and Management to run $20 million in active domestic large-cap value equities. Funding will come from rebalancing the $583 million fund’s assets; Ark Asset Management runs $42 million in the asset class for the system. Dahab Associates assisted.
Denver Public Schools
DENVER — Denver Public Schools Retirement System hired Westwood Management to run $100 million in active domestic smidcap value equities and committed $15 million to KPS Special Situation Fund III, a private equity fund, and $10 million to LaSalle Income and Growth Fund V, a closed-end value-added real estate fund.
Funding for the smidcap investment will come from terminating Boston Co. Asset Management for performance; Boston Co. ran a similar portfolio for the $2.9 billion fund. Joe Ailinger, spokesman for Mellon, Boston Co.’s parent company, was not able to comment by press time.
The private equity and real estate funding comes from cash.
Fort Lauderdale Police and Fire
FORT LAUDERDALE, Fla. — City of Fort Lauderdale Police Officers’ & Firefighters Retirement System hired real estate managers JPMorgan, American Realty Group and Prudential Real Estate Investors to run 5% to 10% of its assets, said Lynn Wenguer, administrator at the $476 million system. Dollar amounts have not been determined for the allocation, the system’s first in real estate, said Ms. Wenguer. Funding will come from rebalancing the system’s overall fixed-income allocation. Asset Consulting Group assisted.
Fulton County
ATLANTA — Fulton County Employees Pension Fund hired Winslow Capital Management to run $170 million in active domestic large-cap growth equities, said Jim Stephens, chairman of the $1.15 billion fund. Winslow replaces Davis Hamilton Jackson and Associates, which was terminated for “unsatisfactory performance,” Mr. Stephens said. Gilbert Garcia, managing partner at Davis Hamilton Jackson, did not return a phone call seeking comment. Watson Wyatt assisted.
Horeca & Catering
ZOETERMEER, Netherlands — Pensioenfonds Horeca & Catering hired BlackRock and Cohen & Steers to manage €480 million ($646 million) in fixed income and €125 million in listed real estate, respectively. The €3.5 billion plan terminated F&C Asset Management from the portfolios because of poor performance. F&C officials were not available for comment by press time. F&C continues to run e50 million in convertible bonds for the plan.
Kansas Public Employees
TOPEKA, Kan. — Kansas Public Employees Retirement System hired AEW Capital Management and Morgan Stanley to run $70 million each in global real estate investment trusts, pending contract negotiations, confirmed CIO Robert “Vince” Smith. AEW already manages $350 million in active domestic core real estate, and Morgan Stanley runs $100 million in the same style, Mr. Smith said. The allocation is being added for diversification. The $13.3 billion plan has about 8% of assets in real estate. Pension Consulting Alliance assisted. Funding will come from a general redistribution of real estate assets.
Los Angeles County
PASADENA, Calif. — Los Angeles County Employees Retirement Association hired PIMCO to manage $250 million and Lehman Brothers to handle $150 million, both in commodities, said Lisa Mazzocco, CIO of the $39 billion fund. It’s a new allocation, and funding will come from the system’s $13 billion domestic equity portfolio; she would not elaborate. The board also extended Goldman Sachs’ securities lending services contract, which expires in June, by two years.
Nashville & Davidson County
NASHVILLE, Tenn. — The $2.1 billion Metropolitan Government of Nashville & Davidson County Employees Benefit Trust Fund’s investment committee approved two follow-on private equity investments: $10 million to Pantheon VII for a total of $25 million; and $5 million to HarbourVest VIII, for a total of $30 million. Segal Advisors assisted.
North Dakota State Investment
BISMARCK, N.D. — North Dakota State Investment Board committed $40 million to MatlinPatterson Global Opportunities Partners III, a distressed debt fund, confirmed Steve Cochrane, executive director. The board, which oversees $3.9 billion in pension fund assets, already has $25 million committed to the firm’s first distressed debt fund and $40 million committed to its second fund, he said. Funding comes from cash.
The board also hired Research Affiliates to run a $23 million small-cap enhanced strategy for the $1.4 billion insurance trust, which the investment board also oversees. The move was made to diversify the trust’s small-cap portfolio. Funding comes from rebalancing.
Ohio Police & Fire
COLUMBUS, Ohio — Ohio Police & Fire Pension Fund trustees committed $32 million to Park Street Capital Private Equity Fund VIII, confirmed David Graham, spokesman for the $12.5 billion fund. Funding will come from domestic equity; no managers will be terminated.
Ohio Public Employees
COLUMBUS, Ohio — The $81 billion Ohio Public Employees Retirement System selected Mercer Investment Consulting as its investment consultant, pending contract negotiations, spokeswoman Michele Kowalik confirmed. Mercer replaces Ennis, Knupp & Associates; no reason was given for the switch.
Ohio School Employees
COLUMBUS, Ohio — Ohio School Employees’ Retirement System hired INTECH to manage $160 million in domestic large-cap growth equities, Dimensional Fund Advisors to run $42 million in international small-cap value equities and GlobeFlex Capital to manage $37 million in international microcap growth equities, according to spokeswoman Julie Graham-Price. Trustees of the $11 billion fund also approved a €25 million ($33.78 million) commitment to the TransEuropean Property IV Fund, managed by Rockspring Property Investment Managers. Each firm was hired to reach asset allocation targets and no managers were terminated, Ms. Graham-Price said.
Ohio Schools also converted the small-cap growth equity strategy run by Jacobs Levy Asset management to a 130/30 small-cap growth strategy, Ms. Graham-Price confirmed.
Oklahoma Police
OKLAHOMA CITY — Oklahoma Police Pension and Retirement System will invest $40 million to $50 million in the JPMorgan Strategic Property Fund, confirmed Bob Wallace, executive director. This is the $1.6 billion system’s first real estate allocation. Asset Consulting Group assisted. Funding comes from rebalancing.
Separately, the plan committed $7.5 million each to OCM Opportunities Funds VII and VII B, both distressed debt funds, and to Weathergage Capital, a venture capital fund of funds. Funding will come from cash.
Charles Schwab
SAN FRANCISCO — Charles Schwab hired Dwight Asset Management as the new lead subadviser on its $3 billion Charles Schwab Stable Value Fund, according to Schwab spokeswoman Lindsay Tiles. The firm replaces INVESCO Institutional, which had been sole subadviser on the mutual fund; Schwab last month said it would replace INVESCO with one lead manager and a number of underlying managers. Ms. Tiles said Dwight will manage 40% or about $1.2 billion, of the portfolio. The remaining subadvisers are being evaluated.
Sedgwick County
WICHITA, Kan. — Board of Sedgwick County Commissioners hired Great-West Life & Annuity as bundled provider for its $24 million 457 deferred compensation plan, confirmed Iris Baker, purchasing director. Incumbents ICMA and ING were invited to rebid. Arnerich Massena assisted.
Texas Teachers
AUSTIN, Texas — Teacher Retirement System of Texas will invest up to $100 million in the Forum Asian Realty Income II LP fund, confirmed Howard Goldman, spokesman for the $107 billion system. Funding will come from cash. The retirement system also approved several absolute-return funds for investment — Ivory Offshore Flagship and Offshore Long-Term funds; Henderson Japan and Japan Select absolute return funds; and the Amici Fund International. Amounts have not yet been determined.
United Norwest Co-op
STOKE-ON-TRENT, England — United Norwest Co-operatives Ltd. Employees’ Pension Fund appointed Baring Asset Management to run a £23 million ($45.7 million) diversified growth multiasset portfolio, according to a news release from Baring. Derek Rushton, United Norwest pensions manager, was not available for comment by press time. The United Norwest fund had £140.9 million in assets, according to the 2006 edition of Pension Funds and Their Advisers. HSBC Actuaries and Consultants advised.
Washington State Investment
OLYMPIA, Wash. — Washington State Investment Board will invest up to $300 million in Fortress Investment Fund V and up to $150 million in MatlinPatterson Global Opportunities Partners III, both private equity funds, confirmed Liz Mendizabal, spokeswoman for the $81 billion board.
West Warwick
WEST WARWICK, R.I. — The Town of West Warwick hired Punter Southall as actuarial consultant to its $40 million pension plan, confirmed Malcolm Moore, finance director. Incumbent UBS Financial Services was invited to rebid.
Wisconsin Investment Board
MADISON, Wis. — State of Wisconsin Investment Board committed $690 million to nine private equity funds. The $93 billion fund committed $100 million each to Green Equity Investors V, Providence Equity Partners VI and Thomas H. Lee Equity Fund VI; $75 million each to Gores Capital Partners II, Hellman & Friedman Capital Partners VI and OCM Opportunities Fund VII/VIIb; $65 million to CVC European Equity Partners Tandem Fund; and $50 million each to American Securities Distressed Partners and EQT V. Funding will come from liquidity funds managed by BGI, said Vicki Hearing, public information officer.
