Fonds de Reserve pour les Retraites, Paris, is searching for up to three money managers to optimize its replication of equity indexes with an environmental, social and governance approach, said a spokeswoman for the pension fund.
The spokeswoman said the €36.6 billion ($40.8 billion) pension fund has launched a negotiated contract procedure to choose up to three managers to “optimize the replication of equity indexes with an ESG approach, and subject to the constraint of an ex-ante tracking error minimization.” She said index characteristics must be sustained.
The search is part of FRR's aim to reduce over time the carbon intensity of its portfolio, and its exposure to fossil-fuel reserves. “The procedure allows negotiation on the most adapted methods” to achieve this aim, the spokeswoman said.
She did not specify the assets to which the search is applicable.
Proposals are due Sept. 15. Tender documents and applications must be submitted in French.
Further information is available on FRR's website.