University of Maine System, Bangor, hired Guggenheim Investments to manage a total of $16 million in bank loan portfolios for the system’s $272 million managed investment pool of six endowment funds and $31 million pension fund, said Tracy Elliott, director of finance and controller, in an email.
Guggenheim will run $14.5 million in the managed investment pool and $1.5 million in the pension fund. The hire was the result of a new 5% target allocation to bank loans, funded by the elimination of a 5% global multisector fixed-income target.
Loomis Sayles & Co. manages the same amounts in global multisector fixed-income portfolios and will be terminated as a result of the allocation change.
The other finalist in the shortlist search was Bain Capital.
Investment consultant NEPC assisted.