Arizona Public Safety Personnel Retirement System, Phoenix, hired State Street Global Advisors to manage up to $600 million in a derivatives overlay, confirmed James Hacking, administrator for the $6.8 billion system.
SSgA replaces BNY Mellon Beta Management, which was terminated for excessive tracking error, according to Mr. Hacking. Mike Dunn, BNY Mellon spokesman, said the company does not comment on client activities.
Separately, the system hired Neuberger Berman to run around $140 million in active domestic small-cap value equities. Funding will from indexed equities, according to Mr. Hacking.
The system also committed up to $100 million to D.E. Shaw Multi-Asset Fund; up to $50 million each to Fundamental Partners II and Vista Equity Partners Fund IV; and up to $30 million in co-investments, with a cap of $8 million per co-investment, to Littlejohn Fund IV.
Also, the system also committed an additional $3.4 million to Ladder Capital Finance Holdings, bringing its total commitment to as much as $23.4 million.