North Dakota State Investment Board, Bismarck, hired Axiom International Investors to manage about $110 million in active emerging markets equity, said Darren Schulz, deputy chief investment officer, in an e-mail.
The other finalist was AQR Capital Management.
The search was conducted earlier this year as part of the restructuring of the $8.7 billion board’s global equity portfolio.
The majority of the funding will come from the termination of a Northern Trust Asset Management emerging markets index fund, Mr. Schulz wrote. The allocation was a placeholder while the board searched for an active manager.
Mr. Schulz declined to name where the rest of the funding is coming from at this time.
Investment consultant Callan Associates assisted.
The board’s actual allocation to emerging markets equity is 3.3% and its target 3.1%.