Chicago Policemen's Annuity & Benefit Fund will issue an RFP on Oct. 1 for global custodian services for the $3 billion pension fund, said Samuel Kunz, chief investment officer, in an e-mail.
The RFP will be “segregated into modules and bidders can bid for parts or the totality of the services (that will be) required in the RFP,” Mr. Kunz said in his message.
The RFP will be available on the pension fund's website.
Northern Trust is the pension fund's current global custodian and may rebid.
In other news from the pension fund's Thursday board meeting, Ariel Investments was terminated from a $45 million active U.S. smidcap value equity mandate. Mr. Kunz said he could not disclose the reason for Ariel's termination because the decision was made during an executive session of the investment committee.
In late August, after a search that brought five finalists for a U.S. smidcap search before the board, trustees elected to retain incumbent Ariel and hired Fisher Investments. The termination raises Fisher's allocation to $90 million as the lone manager of the portfolio, Mr. Kunz wrote in his message. The other U.S. smidcap finalists were Diamond Hill Capital Management, Integrity Asset Management and Lombardia Capital Partners.