CalPERS chooses Redwood, funds FIS

CalPERS hired long-only manager Redwood Investment Management to run $200 million and also committed $150 million to FIS Group, a manager of emerging managers, confirmed spokesman Clark McKinley. Redwood is the second hire for $246 billion California Public Employees’ Retirement System’s Manager Development Program II, in which CalPERS takes an equity stake in emerging firms. FIS, the first firm funded for CalPERS’ manager-of-emerging-managers program, was placed on a preapproved list in August by the Sacramento-based system. The funding sources haven’t been determined.