AUSCOAL Super, Warners Bay, Australia, completed a restructuring of its A$800 million (US$629 million) fixed interest portfolio, according to Investment & Technology newspaper.
The A$4.1 billion fund hired absolute-return managers Franklin Templeton, Mondrian, Schroders, Vianova Group and Kapstream Capital; global credit managers AllianceBernstein and Banquo Credit Management; and passive manager PIMCO to manage the assets.
The mandates are structured to encourage managers to use their skills to identify value across the full range of sectors within the fixed interest universe. Implicit in the mandates is a disincentive to invest in sectors or securities which they perceive as offering little value, said an AUSCOAL spokesman.
PIMCO was the only manager retained from the original manager lineup; AMP Capital Investors, Credit Suisse and BT Financial Group were terminated.