Texas Municipal Retirement System, Austin, hired BlackRock to run $13.8 billion of the funds $14.7 billion in assets as an active domestic non-discretionary fixed-income manager. The system plans to shorten the duration of its bond portfolio and prune it to 88% of total assets by year-end, confirmed Bill Wallace, system spokesman. Until last year, the funds assets were entirely run internally in fixed income. The fund plans to move 1% of total assets into equities each month so that by the end of the year there will be a 12% allocation to stocks. At the end of April, the fund had moved 5% of total assets into equity, split between domestic and international.
Separately, the fund hired Gabriel, Roeder, Smith as actuary, replacing Segal Co., whose contract expires at year-end. Segal held the position for more than a decade. Segal rebid after an RFP was issued in February.