National Pensions Reserve Fund, Dublin, Ireland, hired three managers for active emerging markets equities, said Adrian ODonovan, senior manager for the €19.5 billion ($29 billion) fund.
Principal Global Investors, Pioneer Investments and Batterymarch Financial Management could each manage up to €200 million. The source of funding has not been determined, but it likely will come from cash inflows, Mr. ODonovan said. There is no specific time frame for funding, he added.
The move followed a decision by fund officials to increase exposure to emerging markets equities to 5% of total assets, from 2%. Developed market equities, currently at about 61% of total assets, will be reduced by the same amount.
Because we receive a contribution equivalent of 1% (of the gross national product) per year, there is scope to make the shift without having to sell out of existing portfolios, Mr. ODonovan said.