North Yorkshire Pension Fund, Northallerton, England, is searching for at least one active global bond manager to run a total £120 million ($182 million), according to Tenders Electronic Daily.
Funding comes from terminating European Credit Management, according to the fund's website. ECM ran a “relatively complex geared investment” strategy that invested, in part, in asset-backed securities, according to online documents from the fund's September trustee meeting. Fund officials decided to switch to a “plain-vanilla corporate bond mandate,” according to the documents.
ECM returned -18.2% vs. 4.7% by a custom benchmark in the year ended Sept. 30, according to data provided by the fund.
ECM ran $95 million as of Sept. 30. It could not be learned by deadline where the additional funding would come from.
Proposals are due April 7. Interested parties should contact Tom Morrison, principal accountant of the £1.2 billion fund, at [email protected] Mr. Morrison did not respond to requests for further information.
No consultant was listed in the search.