Florida State Board of Administration, Tallahassee, hired Citibank and Citigroup Global Markets in its search to add additional providers of prime brokerage services, John Kuczwanski, communications manager, said in an e-mail.
The hirings are pending contract negotiations.
The FSBA, which oversees $173.7 billion in assets, has tabled any decision in its search for providers for collateral management services, Mr. Kuczwanski said, noting no other details are available.
The board issued a solicitation last June for providers of both sets of services to expand its service providers to mitigate concentration risk.
BNP Paribas, incumbent prime services brokerage firm, and Bank of New York Mellon, incumbent provider of collateral management services, have contracts that will remain in place as the board expands providers for both services,
Prime services include prime brokerage in short-selling of securities, foreign-exchange prime brokerage, and clearing for futures, options and over-the-counter derivatives, including swaps, according to the solicitation.
Collateral management includes margin collateral custody and management services related to prime services.
The FSBA handled the search internally.
