The $6.5 billion Los Angeles City Employees Retirement System last week issued an RFP for a Russell 1000 index manager to manage $150 million. The due date is Dec. 1; the board could make a decision on the manager the same month, said Dan Gallagher, chief investment officer. The assets for the hire will come from dropping a $300 million large-cap active value portfolio now managed by Loomis Sayles; Loomis will continue to manage a $314 million long-bond portfolio. The search replaces a search for a large-cap active value manager, and is the result of a new asset allocation structure.
The $650 million City of Tallahassee (Fla.) Pension Plan issued RFPs last week for a noncore U.S. fixed-income manager for the $650 million fund, said Garolyn Davis, spokeswoman for Arthur Andersen Institutional Investment, the fund's consultant. Proposals are due Dec. 2. The portfolio size and funding source were not made available.
The $1.1 billion Oklahoma Police Pension & Retirement System, Oklahoma City, issued an RFP for two to three additional alternative investment managers to help reach its 5% target, said Robert J. Wallace, executive director. The new managers will each receive $5 million to $7 million, he said, and funding will come from reducing domestic equity portfolios. Responses are due Dec. 9. The fund has three alternative investment managers: Oaktree Capital, distressed debt, $1.6 million; Mount Lucas, managed futures, $8.8 million; and Prudential Timber Investments, $7.7 million. A final decision is expected in February. Asset Consulting Group is assisting.
The $300 million Worcester (Mass.) Retirement System is searching for a high-alpha manager for its pension fund, said James A. DelSignore, city auditor and trustee. The system's board will keep the search open until Dec. 21. It would allocate $25 million to the new manager. The search is open to any high-yield candidate that essentially is investing "in what's hot" at the moment. Such strategies include tilted index funds. Funding would come from new cash flow. Dahab Associates is assisting in the search.
The $500 million Automobile Club of Southern California, Santa Ana, is searching for its first high-yield fixed-income manager, said Mary Haggerty Korey, manager-investments. The pension fund hopes to complete the search by the end of the year. Policy guidelines permit the fund to invest up to 5% of its assets in this area, although she said the initial funding, which will come from a reallocation, will probably be much less. Wilshire is assisting.
The $46 billion Washington State Investment Board, Olympia, is issuing RFPs this week for "multiple managers" to actively run foreign developed market equities, said John Lynch, procurement officer for the fund. The board has not determined the size or funding of the mandates. To be considered, applicants must have $500 million of equity assets under management for institutional clients or at least $250 million within a particular style under management for institutional clients, Mr. Lynch said. The board is looking for additional managers because "it has targeted the developed markets of its international portfolio to be" 50% active and 50% passive, Mr. Lynch said. The board now has about $4.8 billion invested in international equities, he said.
The $5 billion Teachers' Retirement System of Oklahoma, Oklahoma City, will issue an RFI around Dec. 1 for domestic enhanced core fixed-income managers. Managers will be given three weeks to respond. Trustees probably will hire two managers to complement the existing lineup of managers, said Jo Witt, chief investment officer. The $500 million will come from a domestic bond index portfolio Ms. Witt declined to identify, and the allocation will be for noninvestment-grade bonds in addition to traditional fixed income. Marquette Alliance is assisting.
The District of Columbia Office of Finance and Treasury is planning to issue RFPs sometime in December for a service provider for the city's defined contribution plan with approximately $175 million in assets, Gerard C. Widdicombe, special projects manager in the city's Finance and Treasury office said at a meeting of the District of Columbia Retirement Board. The move comes as the city is planning to make the plan participant-directed, said Mr. Widdicombe. The city is keeping its options open on whether to pick a bundled or unbundled provider, he said. The plan now is managed by ASB Capital in a balanced fund, with Ewing Capital as a subadviser and Group Insurance Administration as record keeper. Mercer Investment Consulting is assisting.
Fordham University, Bronx, N.Y., is considering a manager search as a result of an asset allocation study and is expected to make a final decision in December, said Conrad Obregon, director of treasury for the $200 million endowment. The current asset mix is 61% U.S. equities; 29% domestic fixed-income; and 10% international equities.