Pensioenfonds ING, Amsterdam, hired BlackRock and AXA Investment Managers to run about €10 billion ($11 billion) each for its liability-matching portfolio, said a notice on the pension fund's website.
The €26 billion fund's matching portfolio is designed to match its liabilities, said the notice. How the allocation will be funded could not be learned by press time.
AXA IM said in a news release that the management of the portfolio is being divided equally between itself and BlackRock. The release added that risk management and inflation hedging are particularly important for ING's pension fund members.
“By teaming up with AXA IM, the pension fund gets access to our liability-driven investment expertise in defining an effective benchmark for managing these risks as well as one of Europe's largest and strongest performing fixed-income trading platforms,” said Hanneke Veringa, head of the client group in the Netherlands for AXA IM, in the release. “The fund will also gain from tight control over transaction costs.”
Spokesmen for ING could not be reached for additional information by press time.