Alaska Retirement Management Board, Juneau, hired Legal and General Investment Management America and State Street Global Advisors to run new passive portfolios, and McKinley Capital Management to run $250 million in its global health-care transformation strategy, according to information provided by Stephanie Alexander, liaison officer.
The board hired LGIMA to run a passive portfolio benchmarked against the Scientific Beta Developed ex-U.S. Multi-Beta Multi-Strategy Four-Factor EW index and the Scientific Beta Emerging Multi-Beta Multi-Strategy Four-Factor EW index. The size of the portfolio was not provided.
The board hired SSGA to manage a passive international equity portfolio benchmarked against the MSCI World ex-USA Investable Market index and a passive emerging markets equity portfolio benchmarked against the MSCI Emerging Markets index. Portfolio sizes were not provided.
The board also terminated BlackRock and SSGA from passive international equity portfolios benchmarked against the MSCI All Country World ex-USA IMI. Their portfolio sizes as of July 31 were $619 million and $997 million, respectively. A reason for the terminations was not provided.
The McKinley Capital health-care transformation strategy is a global all-cap equity approach that invests primarily in the health-care industry, with a bias toward smaller and midsize companies. McKinley as of July 31 managed $361 million for the board in an active international large-cap equity portfolio. According to a presentation by general investment consultant Callan, the new investment will be allocated to the board's opportunistic portfolio.
As of July 31, the actual allocations to global equity and opportunistic portfolio were 21.4% and 9%, respectively.
The board oversees the management of $32.5 billion in defined benefit and defined contribution plan assets, including the $16.9 billion Public Employees' Retirement System and $8.9 billion Teachers' Retirement System.
Ms. Alexander did not respond to requests for further information.