Lonmodtagernes Dyrtidsfond, Frederiksberg, Denmark, hired five managers to run more than 20 billion Danish kroner ($3.35 billion) in fixed income.
The 53.4 billion Danish kroner fund hired Nordea Investment Management and Nykredit Asset Management to each run a 9 billion Danish kroner allocation to Danish and Northern European gilt-edged government and mortgage bonds, according to a statement posted on the pension fund’s website.
The hires were due in part to the Danish managers having the “highest international standard in risk management,” said Claus Buchwald Christjansen, investment manager at the pension fund, in the statement.
In addition, HP Fondsmaeglerselskab will run about 2 billion Danish kroner in short-duration bonds.
AXA Investment Managers was hired to run about 2.5 billion Danish kroner in European investment-grade bonds, and Fischer Francis Trees & Watts was awarded a 700 million Danish kroner allocation to global index-linked bonds.
The pension fund already has had bond allocations with Nordea Investment Management and Fischer Francis Trees & Watts, the statement said. Nykredit Asset Management, HP Fondsmæglerselskab and AXA Investment Managers are new managers.
An RFP was issued in April. Contracts are set to start Dec. 1, the RFP said.
Spokesmen at LD could not be reached for comment by press time.