Illinois State Board of Investment, Chicago, hired Standish Mellon Asset Management to manage $292 million in active emerging markets fixed income, said William R. Atwood, ISBI executive director.
ISBI, which oversees $13.4 billion in defined benefit assets, funded the hiring by eliminating an intermediate government fixed-income portfolio of the same size managed by Chicago Equity Partners.
Chicago Equity will continue to managed a $324 million core fixed-income portfolio, which was unaffected by the change.
The Standish hiring is the result of an RFP issued in July.
“We're trying to reduce our correlation to the domestic equity market and looking for other income streams,” Mr. Atwood said, explaining the move.
Marquette Associates, ISBI's investment consultant, assisted in the search.
