OSLO, Norway - KLP Insurance hired Oppenheimer Capital, New York, to manage a $20 million U.S. equities portfolio, said Per Victor Nordan, director of finance.
The move represents a modest increase in the overseas exposure of the Oslo-based insurance company, which manages 48.5 billion kroner ($7.8 billion) in Norwegian municipal pension assets. The insurer has nearly 2% of assets invested outside of Norway, although it plans to raise the level to be perhaps 5% over time.
Last fall, the insurer hired Indosuez Asset Investment Services Ltd., Hong Kong, to run a $20 million Far Eastern equities portfolio. It also has $100 million invested in European equities with Carnegie Asset Management A/S, the Copenhagen-based money management arm of Stockholm-based Nordbanken.
Meanwhile, KLP also is seeking to raise its Norwegian real estate exposure.
It has launched a bid to acquire the 85% of stock it doesn't own in Nora Eiendorn, a domestic property company. If successful, the bid would cost KLP 1 billion kroner and would boost its real estate exposure to 5% from 2%.
TORONTO - Noranda Forest plans to consolidate under one master trustee the pension funds of several major units. The move will create a single investment pool of C$300 million (U.S. $213 million) and will result in a review of existing managers.
Although each fund now manages its investments separately, the new idea is "to avoid duplicating investments and strategies or negating contrary strategies and use the increase in assets to get better pricing and fees" on investment services, said Bernard A. LeBlanc, manager-compensation and pensions at Fraser Paper Ltd., Edmundston, New Brunswick, a Noranda Forest unit.
Mr. LeBlanc, who oversees the investments of both Fraser's U.S.$60 million U.S. pension fund and C$150 million Canadian pension fund, is a member of the consolidation committee. Among other units to be consolidated is James MacLaren Industries, Buckingham, Quebec, with a C$90 million pension fund.
Consultant James P. Marshall Co. is assisting.
LONDON - More open communication between U.K. companies and institutional investors will improve the atmosphere for long-term growth in U.K. industry, a new report says. A group of industry experts and investors, which did the study, found the charge of "short-termism" leveled at institutional investors was a matter of perception, not a reality.
Instead, the group, chaired by Gartmore PLC Executive Chairman Paul Myners, urged corporate managers to articulate better their vision and strategies and improve the value of annual meetings and reports. Institutional shareholders were urged to be more open with management and more active in corporate governance.
Baring Securities is now providing simultaneous closing prices - same-day pricing - for all markets in its Baring Emerging Markets Index. Baring officials said the emerging markets index is the only one to offer a price published daily on the day.
Wilshire Associates provides the day's final calculation.