Environment Agency Active Pension Fund, Bristol, England, is searching for at least one active emerging markets equity manager to run up to £150 million ($224 million), confirmed Howard Pearce, head of pension fund management.
Partial funding will come from terminating Scottish Widows Investment Partnership, which runs £75 million in emerging markets equities, for personnel changes. The £150 million limit was set to allow for future asset growth, Mr. Pearce said in an e-mail response to questions.
The £1.6 billion fund is looking for managers that incorporate ESG criteria into their processes, and are signatories to the United Nations Principles for Responsible Investment.
The fund seeks annualized returns of three percentage points in excess of an as-yet-undetermined emerging markets index on a rolling three-year basis. Fund officials prefer a mix of fixed maintenance fees plus performance fees to help align a manager’s interests to its own, according to the RFP on European procurement platform Tenders Electronic Daily.
Proposals are due June 2. More information is available by contacting Layla Boukhemkhem, procurement officer, at [email protected] A selection is expected by December.
Consultants Rathbone Greenbank Investments, Mercer and bfinance are assisting.
