Iowa Public Employees' Retirement System, Des Moines, hired PGIM to manage $400 million in emerging markets fixed income, said Karl Koch, chief investment officer, in an e-mail. The hiring is pending contract negotiations.
Prudential replaces Western Asset Management Co., which ran the $400 million portfolio. The $27.2 billion pension fund last year placed Western Asset Management on a comprehensive review status due to continued poor performance.
Mary Athridge, WAMCO spokeswoman, said the firm's officials don't comment about clients.
An RFP was issued in September. Wilshire Associates, IPERS' investment consultant, assisted in the search.