New York State Teachers' Retirement System, Albany, renewed one-year contracts with six money managers that oversaw investments totaling $7.14 billion as of June 30, confirmed John Cardillo, a spokesman for the $89 billion system.
The system renewed agreements with:
• BlackRock, to manage $5.6 billion in passive international equities, effective Sept. 21;
• Progress Investment Management, $554.4 million in a domestic all-cap equity fund of funds, effective Nov. 15;
• T. Rowe Price, $399.6 million in domestic enhanced index equities, effective Oct. 30;
• William Blair, $275.2 million in international all-cap growth equities, effective Sept. 22;
• Prima Capital Advisors, $158.6 million in active CMBS and investment-grade REIT bonds, effective Oct. 1; and
• Cohen & Steers, $149.4 million in active REITs and real estate operating companies, effective Sept. 13.
The renewals were approved by the pension system's retirement board at its quarterly meeting on July 27, Mr. Cardillo wrote in an e-mail.
The system's board also approved switching the benchmark for the pension fund's passive international equity portfolio to the MSCI ACWI ex-U.S. index from the EAFE. The pension fund had about $11.1 billion in passive international equity as of June 30, Mr. Cardillo wrote.
A timetable for the switch has not been set. “The key is to insure a smooth and orderly transition,” Mr. Cardillo wrote.
The ACWI ex-U.S. index “offers broader international coverage, and (it) includes both the domestic and emerging markets,” he wrote. “Previously, our targets were 75% EAFE index (for) passively managed assets and 25% ACWI ex-U.S. (for) actively managed assets.”
Separately, the system's retirement board also elected David P. Keefe as vice president, the second-ranking job on the board. Mr. Keefe, who spent 37 years as a public school teacher before retiring in 2004, joined the board in 2004, Mr. Cardillo wrote.