Norfolk County Council Pension Fund, Norwich, England, hired M&G Investment Management and Goldman Sachs Asset Management to run about £150 million ($247 million) in fixed-income target-return mandates, said Glenn Cossey, investment manager for the £1.6 billion fund.
M&G will run about £100 million in a long-only, buy-and-hold strategy, while Goldman Sachs will run about £50 million in a fixed-income hedge fund, Mr. Cossey said. Both strategies will target returns of up to three percentage points over the three-month LIBOR rate.
Both strategies are part of the fund's fixed-income portfolio, which constitutes 18% of total assets.
The changes followed an asset-liability management review in 2008 conducted by investment consultant Hymans Robertson, who assisted in the search, Mr. Cossey said.