Carolina Power & Light Co., Raleigh, N.C., restructured the fixed-income allocation to its $670 million pension fund. Brinson Partners and ARM Capital were hired, and Putnam was reassigned, said Donald F. Ray, project business analyst. Together, they'll manage $200 million, divided about equally.
Both Brinson and Putnam will have broad global mandates allowing each to invest in ``any bonds in the world and make the asset allocation decision within certain constraints,'' he said. ``We wanted people who can add value through asset allocation in any bond.''
ARM was hired for a U.S. fixed-income mandate.
Putnam previously managed a global portfolio restricted to sovereign debt. Funding for the two new managers will come from terminating five other fixed-income firms. Mr. Ray would not name the firms let go. LCG Associates assisted in the changes.