Los Angeles City Employees’ Retirement System expects to launch an RFP for a general investment consultant as early as May 16, the minutes for the $13.9 billion pension fund’s April 26 board meeting show.
LACERS hired incumbent Wilshire Associates on Nov. 23, 2010, for three years and then approved a three-year contract extension on Aug. 13, 2013. LACERS has not conducted a competitive bidding process to evaluate the marketplace since then, a staff memo states.
Wilshire will be invited to rebid.
Proposals will be due June 27, with a selection by the board possibly in October, according to a tentative RFP timeline included in the staff memo. The RFP is expected to be posted on the pension fund’s website.
Separately, LACERS’ board also renewed State Street Global Advisors’ contract for five years. SSgA’s mandate gives LACERS access to nine SSgA passive equity and fixed-income strategies. The broad mandate gives LACERS quick exposure to various passive strategies in cases of asset allocation changes, portfolio rebalancings or manager terminations. Currently, SSgA manages $845.5 million for the pension fund in SSgA’s U.S. Aggregate Bond Index Fund. SSgA’s multi-passive mandate was set to expire May 31.
Also, the board voted unanimously to establish an investment committee made up of board members. The minutes do not reflect the board’s reasoning, and further information was unavailable by press time. LACERS does not currently have an investment committee.