AP4, Stockholm, issued an RFI for up to three firms to run about e3 billion ($4.4 billion) in passive global equities, according to Tobias Fransson, head of external mandates at the e22 billion fund. Funding will come from several passive equity portfolios both internally and externally managed. Further information is available via e-mail at [email protected] Proposals are due March 10.
Avon Pension Fund, Bristol, England, issued RFPs for at least one manager to run two active real estate portfolios with a combined value of about £250 million ($486 million), said Tony Worth, investment officer. The new portfolios represent the £2.2 billion fund's first real estate investment, to be divided evenly between a U.K. and an overseas strategy. “The timing will depend on what the market does,” Mr. Worth said in a telephone interview. “The timing is fluid at the moment.” Funding will come from a multiasset portfolio managed by BGI, where the money was parked after a previous termination. Proposals are due March 10. Further information can be obtained from consultant bfinance.
Montana Board of Investments, Helena, is searching for at least one active non-core fixed-income manager to handle $250 million to $750 million, said Carroll South, executive director. Active domestic core and global high-yield managers will also be considered. The move is being made for diversification. The amount of the allocation depends on the number of managers selected. Separate and commingled accounts will be considered, and the fund could hire additional respondents up to two years after the first contract is signed. Funding will come from two internally managed core fixed-income pools that total $3.5 billion. The RFP is available at http://gsd.mt.gov/osbs/Results. asp?CategoryID=07. Responses are due by 2 p.m. MDT March 11. The board oversees $13 billion, $8 billion of which is in pension assets.
San Francisco City & County Employees' Retirement System issued an RFP for a new alternative investment consultant for the system's $4 billion private equity portfolio, said Alison Johnson, spokeswoman at the $16.9 billion pension fund. Incumbent Portfolio Advisors' contract expires June 30, and it is the fund's policy to issue an RFP. Proposals are due March 14. The RFP is available on the fund's website, www.sfgov.org/sfers.
Swampscott (Mass.) Retirement Board is searching for an investment consultant, according to a posting on the Massachusetts Public Employee Retirement Administration Commission website. The $31.2 million fund's current consultant is Segal Advisors. RFPs are available by calling 781-596-8827 or by e-mailing [email protected] ma.us. Proposals are due by 4 p.m. EDT March 18. Richard DiPesa, retirement administrator, was not available for comment; Rosemary Guillette, Segal senior associate, did not return a phone call seeking comment.
Louisiana School Employees' Retirement System, Baton Rouge, might issue an RFP for a small-cap value manager to run $75 million, said CIO Brendan Brosnan. Officials at the $1.6 billion system are concerned about the performance of current manager Brandywine Global Investment Management. “We may or may not make a change. We just want to compare them to their peers,” Mr. Brosnan said. “Everyone is having a tough time in these markets, but we want to make sure we get the best performance we can.” An RFP could come after a meeting in March. Brandywine would be invited to rebid, Mr. Brosnan said. Adam Spector, managing director and director of marketing, sales and client service at Brandywine, did not return a call seeking comment.
Massachusetts Pension Reserves Investment Management Board, Boston, will search for a hedge fund-of-funds manager and a high-yield manager to invest in bank loans, both to run $540 million each, and a manager of publicly listed natural resource stocks to handle $900 million, all as part of a change in the $53.7 billion system's asset allocation targets for 2008. The system's U.S. equity portable alpha and high-yield allocations were raised by one percentage point each to 6% of total assets for both, with the additional $540 million in high yield slated for a new investment in bank loans; REITs were raised one percentage point to 3%; and a new 2% allocation was created for natural resources, with 80% of the total slated for publicly listed investments and 20% for private equity investments. Manager selections are expected between July 1 and Sept. 1. PRIM cut its private equity target by one point to 9%, trimmed timber by two points to 2%; and reduced its TIPS allocation to 1% from 3%.
Illinois Municipal Retirement Fund, Oak Brook, plans to conduct an asset/liability study between April and June, followed by an asset allocation study, said Louis W. Kosiba, executive director of the $24.2 billion fund. Ennis Knupp, the fund's investment consultant, will do the asset/liability study with Gabriel Roeder Smith, the fund's actuarial consultant, he said. Ennis Knupp will also do the asset allocation study, which Mr. Kosiba said could be completed in the third quarter when recommendations would be presented to the fund's board. He said it's too early to consider any new asset classes in the allocation study, he said. The last asset/liability study was in 2005, Mr. Kosiba said. The fund's current allocation is 39.3% domestic equity, 34.8% fixed income, 18.7% international equity, 3.9% alternatives, 2.7% real estate and 0.6% cash.
