San Diego City Employees' Retirement System rehired State Street Bank as its custodial bank, following a search launched in October, said Liza Crisafi, chief investment officer of the $8 billion pension fund.
Pension fund officials initiated the search with the assistance of its general investment consultant, Aon Hewitt Investment Consulting because State Street's contract was set to expire in September. The new contract is for five years expiring in September 2022.
Separately, the investment committee approved a target asset allocation change to reduce U.S. equities to 18% from 21% and increasing its global equity allocation by that 3 percentage points to 8%. Aon had recommended the board implement the change with existing managers, but the board decided to delay that decision until July because committee members wanted to see more analysis and comparison to some other global managers, Ms. Crisafi said.