Los Angeles County Employees Retirement Association, Pasadena, Calif., issued an RFQ for a consultant to help find a global custodian for the $37.5 billion retirement system, said David Kushner, chief investment officer for the $37.5 billion pension fund in an e-mail.
The consultant would be used on only this limited purpose project — to gauge the retirement system's custody needs, to prepare RFPs and assist in evaluating RFP responses, and possibly assist in a transition to a new custodian.
BNY Mellon is the retirement system's current custodian.
The selected consulting firm would provide analysis and recommendations on a number of topics including the advantages and disadvantages of maintaining a single global custodian and a custodian's optimal role in LACERA' securities lending program.
The RFQ is posted on LACERA's website. Proposals are due at 5 p.m. PDT July 13. A consultant could be selected Aug. 15, with a custodian RFP issued Sept. 13. The custodian could be selected on Dec. 13.
Separately, the pension fund hired J.P. Morgan Asset Management as its new enhanced cash investment manager, Mr. Kushner wrote.
The size of the mandate and the source of the funding have not been determined. J.P. Morgan was hired following an RFI launched earlier this year.
