Indiana Public Retirement System, Indianapolis, restructured its fixed-income investments, hiring three managers, terminating three and revising the mandates of three others, moving a total of $3 billion in assets, according to a board report dated Friday.
The system — which oversees $28.3 billion in assets, its all-time high — hired Income Research & Management to manage $403 million and TCW Group to manage $401 million, both in U.S. long-duration government bonds and investment-grade securities, moves done to take advantage of favorable sector characteristics and low correlation to equity; and Stone Harbor Investment Partners to manage $224 million in emerging markets debt, a move done for an attractive risk and return profile in the sector, according to the board report.
Funding came mostly from terminating Taplin Canida Habacht, which managed $537 million, and Prudential, which managed $353 million, both in core strategies, and Mondrian, which managed $80 million in a non-U.S. strategy. All were dropped because of a strategic shift in the fixed-income allocation.
Also, it changed the strategy of a $393 million Reams portfolio and a $298 million PIMCO portfolio to U.S. long-duration government bond and investment-grade credit. In addition, it revised a $227 million Goldman Sachs portfolio mandate to emerging markets debt.
Previous portfolio mandates came from an earlier board report, although information for some previous mandates was unavailable.
Jodi L. O'Neill, INPRS communication manager, didn't respond to requests for further details.