Compass Group USA, formerly Canteen Corp., Charlotte, N.C., hired T. Rowe Price and Putnam Investments to run its $80 million defined benefit fund in global balanced portfolios, said Robert Kovacs, director-compensation, benefits and human resources. Each will get half of the fund's assets. The fund dropped all of its existing managers, which he declined to list.
The new managers will have discretion to manage U.S. and international stocks and bonds within 5% or 10% of certain limits. U.S. equities, for example, can range from 45% to 55%, while international equities can hover around 35%. Mr. Kovacs said the previous individualized, specialty manager approach ``was more complicated than it needs to be.'' And, fees were higher.
Now with two managers, he said, ``It will be interesting to see if they meet their targets and if not, why not.'' Bacon & Woodrow assisted.