New Zealand Superannuation Fund, Auckland, hired Northern Trust Global Investments to manage four passive strategies, the NZ$23 billion (US$19.2 billion) sovereign wealth fund announced Tuesday.
NTGI will manage passive funds in global large-cap and small-cap equities, emerging markets equities and developed markets REITs.
The firm was hired this month, said Catherine Etheredge, NZSF spokeswoman.
The amount in each strategy was not provided; Ms. Etheredge said the portfolio sizes were “flexible” and that the fund has a maximum asset limit per manager of 20% of total assets.
NTGI is the third manager hired by the superannuation fund to manage those four strategies passively; BlackRock and State Street Global Advisors are the other managers, Ms. Etheredge said.
The sovereign wealth fund had 61% of assets in global equities as of June 30, according to the latest data available on the fund’s website.
Northern Trust has been global custodian to the superannuation fund since 2007. Fiona Mackenzie, head of investments at the New Zealand fund, said in a news release that there was “appropriate separation” in place between Northern Trust’s asset management and asset servicing businesses.
