Indiana Public Employees' Retirement Fund, Indianapolis, hired Bridgewater Associates and BlackRock to manage $350 million each in active Treasury inflation-protected securities, said John Liu, director of public equities at the $13.1 billion fund.
The move is part of a set of recommendations in an asset/liability study completed in October 2008 but implemented in the latter part of this year, including the reduction of the fund's overall equity allocation to 40% from 70%.
Funding for the TIPS managers came from reducing by $200 million each RhumbLine Advisers' Russell 200 passive index fund to $750 million and SSgA's enhanced Russell 1000 index fund to $600 million.
Funding also came from reducing by $50 million each Numeric Investors' active small-cap value equity portfolio to $120 million; TimesSquare Capital Management's active small-cap growth portfolio to $130 million; Wells Capital Management's midcap growth portfolio to $125 million; and Artisan Partners' midcap value portfolio to $130 million.
Mercer assisted with the changes.